- PVR INOX reported strong Q3 FY26 results with revenue of Rs 1,908 crore and PAT of Rs 115 crore
- Footfalls grew 9% YoY, occupancy rose to 28.5%, with ticket and food prices up 4% each
- EBITDA margins stayed around 18%, aided by merger synergies, cost savings, and rental renegotiations
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PVR INOX Ltd. delivered a strong Q3 FY26 performance, supported by a sharp recovery in theatrical demand and solid execution benefits from the merger. Industry trends remain favourable, with calendar 2025 being the highest-ever box office year, showing that cinema has structurally recovered.
During the quarter, footfalls grew 9% YoY, occupancy improved to 28.5%, and both ticket prices and food spend rose 4%, reflecting healthy consumer demand. Revenue increased to Rs 1,908 crore, Ebitda rose to Rs 344 crore, and PAT stood at Rs 115 crore, driven by operating leverage and cost control.
Importantly, the company sustained ~18% Ebitda margins at lower occupancy than pre-Covid levels, highlighting merger synergies, rental renegotiations, and structural cost savings. Balance sheet strength continues to improve, with net debt reduced to Rs 365 crore and over Rs 1,000 crore deleveraging since the merger, further aided by the Rs 226.8 crore divestment of 4700BC.
Screen expansion remains disciplined and assetlight, while renovation capex should protect customer experience. With a strong and diversified 2026 content slate across Hindi, regional, and Hollywood films, earnings visibility and cash flows look stable, supporting a positive medium-term outlook.
The brokerage reiterates its rating to Buy with target price of Rs 1,150 valuing the stock at 10.1x FY27E EV/Ebitda.
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