PVR Limited on Monday reported a big rise in net profit for the third quarter ended December 2011 at Rs 8.92 crore on account of the robust cinema exhibition business. In the same period last year, the company had reported a loss of Rs 13.26 crore.

“During the quarter, the company had 6.6 million footfalls in its cinemas, up 28 per cent from the corresponding quarter of last fiscal. Admissions revenue, the company's biggest top-line contributor, jumped 15 per cent. Food and beverage revenues have shown a growth of 40 per cent. Advertising and sponsorship revenues, too, went up 26 per cent over the corresponding period last year.

The company recorded a 21 per cent rise in exhibition revenues at Rs 125.84 crore against Rs 103.87 crore in the corresponding quarter last fiscal, it said in a statement.

The consolidated net sales for the quarter were up 4 per cent at Rs 138.96 crore, compared with Rs. 133.60 crore in the year-ago period.

“In the third quarter of last fiscal, we lost Rs 20 crore from the film production business. Now we are shifting focus from production to cinema exhibition,” said Mr Nitin Sood, Chief Financial Officer, PVR Ltd.

The company plans to set up 70-75 cinema screens (already under construction) by December this year, worth Rs 100-150 crore. At present, PVR has a network of 158 screens spread over 20 cities.

The firm that operates two bowling alleys in Delhi and Gurgaon under ‘PVR BluO' brand is planning to add four centres in Bangalore and Pune in the next six months.

“Total investment on expansion is between Rs 100 crore to Rs 175 crore till December,” Mr Sood added.

PVR Ltd's scrip closed at Rs 138.90 apiece down 5.71 per cent on the BSE.

>heena.k@thehindu.co.in

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