Rajasthan-based Miraj Cinema is planning to invest ₹55-60 crore to set up 37 screens in both metros and tier II cities by the second quarter of next year to capitalise on the growth in the cinema exhibition and entertainment space.

The company, which started operations in 2012, has 65 screens in 11 States and is the fifth largest multiplex player in terms of number of screens.

“Even though we are a late entrant in the cinema exhibition business, we are growing backed by growth in the sector. We are looking to touch 100 screens by next year. We will be adding 37 new screens,” Amit Sharma, MD, Miraj Cinema told BusinessLine .

He said the company will be funding its expansions largely through internal accruals. Sharma said the company also has interests in film production.

Sharma said that a healthy pipeline of Bollywood, Hollywood and regional films was helping it to grow the business. “We believe that Hollywood films will grow in India as they are dubbed for the local market. There is a healthy pipeline of films,” he added.

Online payments

Sharma said the company has also undertaken strategic tie-ups with wallets and online players to sells its tickets. “We were among the first few players to adopt online payments,” he added.

Asked if demonetisation has hit the business, Sharma said the impact has been significant.

“At least 60 per cent of our bookings are through cash. The rupee demonetisation has impacted footfall as entertainment is low on the list of priority,” he said.

Asked about its revenues, Sharma said the company is looking to close the year at ₹140-150 crore. He said ticketing accounts for 70 per cent of its revenues, 25 per cent through food and beverages and the balance five through in-cinema advertisements.

The company said it enjoys an occupancy rate of 32-34 per cent across India.