MUMBAI: Cinemax India Ltd. has had a steep second-quarter fall in net profit from the earlier year as revenue has rebounded but is yet to match the previous fiscal’s performance.
The return of Bollywood content could not make up for the losses the multiplex chain operator incurred on account of swine flu, elections and closure of theatres in Hyderabad.
Says Cinemax CFO Jitendra Mehta, “Our properties were closed for two-three days in Hyderabad due to the sudden demise of the chief minister. We were also hit by elections. And theatres were also closed for two-three days because of swine flu.”
Cinemax’s consolidated net profit plunged 44.62 per cent to Rs 24.2 million in the three months ended September, compared to Rs 43.7 million in the year-ago period.
Net revenue fell 10.04 per cent to Rs 403.9 million (from Rs 449 million). Expenses climbed marginally to Rs 381.4 million, as compared to Rs 378.5 million in the year-ago period.
From the theatrical exhibition and entertainment business, the company suffered an operating loss of Rs 22 million as against an operating profit of Rs 16.3 million. Revenue from this segment jumped 12.38 per cent to Rs 351.2 million, from Rs 312.5 million a year ago.
Cinemax also disclosed that as on 30 September 2009, promoters have pledged 45.16 per cent of their stake amounting to 8,514,500 shares, or 30.41 per cent of the company‘s total paid up capital.
