Firstpost
  • Home
  • Video Shows
    Vantage Firstpost America Firstpost Africa First Sports
  • World
    US News
  • Explainers
  • News
    India Opinion Cricket Tech Entertainment Sports Health Photostories
  • Asia Cup 2025
Apple Incorporated Modi ji Justin Trudeau Trending

Sections

  • Home
  • Live TV
  • Videos
  • Shows
  • World
  • India
  • Explainers
  • Opinion
  • Sports
  • Cricket
  • Health
  • Tech/Auto
  • Entertainment
  • Web Stories
  • Business
  • Impact Shorts

Shows

  • Vantage
  • Firstpost America
  • Firstpost Africa
  • First Sports
  • Fast and Factual
  • Between The Lines
  • Flashback
  • Live TV

Events

  • Raisina Dialogue
  • Independence Day
  • Champions Trophy
  • Delhi Elections 2025
  • Budget 2025
  • US Elections 2024
  • Firstpost Defence Summit
Trending:
  • Charlie Kirk shot dead
  • Nepal protests
  • Russia-Poland tension
  • Israeli strikes in Qatar
  • Larry Ellison
  • Apple event
  • Sunjay Kapur inheritance row
fp-logo
Maharashtra food rule threatens to pull down multiplex profits by about Rs 100 crore: Crisil
Whatsapp Facebook Twitter
Whatsapp Facebook Twitter
Apple Incorporated Modi ji Justin Trudeau Trending

Sections

  • Home
  • Live TV
  • Videos
  • Shows
  • World
  • India
  • Explainers
  • Opinion
  • Sports
  • Cricket
  • Health
  • Tech/Auto
  • Entertainment
  • Web Stories
  • Business
  • Impact Shorts

Shows

  • Vantage
  • Firstpost America
  • Firstpost Africa
  • First Sports
  • Fast and Factual
  • Between The Lines
  • Flashback
  • Live TV

Events

  • Raisina Dialogue
  • Independence Day
  • Champions Trophy
  • Delhi Elections 2025
  • Budget 2025
  • US Elections 2024
  • Firstpost Defence Summit

Maharashtra food rule threatens to pull down multiplex profits by about Rs 100 crore: Crisil

press trust of india • July 31, 2018, 17:44:05 IST
Whatsapp Facebook Twitter

Maharashtra accounts for roughly a quarter of the revenues of multiplex operators, and non-ticket segments comprising F&B and advertising are highly profitable

Advertisement
Subscribe Join Us
Choose
Firstpost on Google
Choose
Firstpost on Google
Maharashtra food rule threatens to pull down multiplex profits by about Rs 100 crore: Crisil

Mumbai: The multiplex industry is likely to see its operating profit diminish by 200 basis points or by around Rs 100 crore, if half of the movie-goers in the state carry their own food and beverages, according to Crisil. The rating agency estimates that multiplexes in the state will be required to increase ticket prices by Rs 70 to offset the impact on the food and beverages (F&B) division, while observing that such a sharp hike may not go well with movie-goers. The state government this month made it clear that while there can not be any ban on carrying outside eatables to the theatres, strict action would be taken against overcharging multiplexes from 1 August. A public interest litigation on this is pending before the Bombay High Court. Maharashtra accounts for roughly a quarter of the revenues of multiplex operators, and non-ticket segments comprising F&B and advertising are highly profitable and subsidise losses on ticket sales. The agency noted that non-ticket revenues are growing twice as fast as ticket sales, with a compound annual growth rate of 29 percent in the past five fiscal years, compared with 15 per cent for ticket revenues. [caption id=“attachment_2188109” align=“alignleft” width=“380”]Representational image. AFP Representational image. AFP[/caption] As a result, share of non-ticket revenues has increased to around 43 percent in FY18, compared with around 30 percent in FY13. The gross profit margin of multiplexes in the F&B segment is about 75 percent, and in the advertising segment over 80 percent, according to Sachin Gupta, senior director, Crisil Ratings. In FY18, leading multiplexes reported an operating profit (EBITDA) of Rs 58 lakh per screen. Of this, the gross profit generated by the F&B segment was Rs 61 lakh per screen, while advertisements reeled in Rs 33 lakh per screen, he said while pointing out that these multiplexes would have bled if their only source of revenue was ticket sales. Crisil noted that in the event the rule is imposed, the ability of multiplexes to augment their revenue streams by raising tickets prices and advertising tariffs will be the key monitorable. Crisil Ratings director Nitesh Jain said multiplexes account for half of the box-office collections despite having only a fourth of the total movie screens in the country and are also the main attraction at shopping malls. Therefore, Jain feels any disruption in multiplex operations, apart from having a cascading impact on the film industry, will affect footfalls at malls, too.

Tags
NewsTracker CRISIL Bombay High Court Maharashtra Food and beverages multiplex industry
  • Home
  • Business
  • Maharashtra food rule threatens to pull down multiplex profits by about Rs 100 crore: Crisil
End of Article
Latest News
Find us on YouTube
Subscribe
  • Home
  • Business
  • Maharashtra food rule threatens to pull down multiplex profits by about Rs 100 crore: Crisil
End of Article

Impact Shorts

Chennai Ranks #1 in Challan Checks: ACKO Insights for Smarter Car and Two Wheeler Insurance Decisions

Chennai Ranks #1 in Challan Checks: ACKO Insights for Smarter Car and Two Wheeler Insurance Decisions

Chennai leads India in challan checks, with drivers checking their e-challans over 5 times a month on average. Helmet non-compliance is the most broken rule, accounting for 34.8% of all traffic offences in Chennai. Regular digital challan checks help drivers avoid hefty fines, promote safe driving, and improve insurance premiums.

More Impact Shorts

Top Stories

US ready to ‘impose costs’ on Russia if war in Ukraine drags on, says Hegseth

US ready to ‘impose costs’ on Russia if war in Ukraine drags on, says Hegseth

US tells Hamas to stop violence against Gaza civilians and disarm 'without delay'

US tells Hamas to stop violence against Gaza civilians and disarm 'without delay'

China seizes 60,000 maps mislabelling Taiwan, omitting South China Sea islands

China seizes 60,000 maps mislabelling Taiwan, omitting South China Sea islands

Syria’s Sharaa pledges to honor Russia ties, seeks economic and military support in Kremlin visit

Syria’s Sharaa pledges to honor Russia ties, seeks economic and military support in Kremlin visit

US ready to ‘impose costs’ on Russia if war in Ukraine drags on, says Hegseth

US ready to ‘impose costs’ on Russia if war in Ukraine drags on, says Hegseth

US tells Hamas to stop violence against Gaza civilians and disarm 'without delay'

US tells Hamas to stop violence against Gaza civilians and disarm 'without delay'

China seizes 60,000 maps mislabelling Taiwan, omitting South China Sea islands

China seizes 60,000 maps mislabelling Taiwan, omitting South China Sea islands

Syria’s Sharaa pledges to honor Russia ties, seeks economic and military support in Kremlin visit

Syria’s Sharaa pledges to honor Russia ties, seeks economic and military support in Kremlin visit

Top Shows

Vantage Firstpost America Firstpost Africa First Sports
Enjoying the news?

Get the latest stories delivered straight to your inbox.

Subscribe
Latest News About Firstpost
Most Searched Categories
  • Web Stories
  • World
  • India
  • Explainers
  • Opinion
  • Sports
  • Cricket
  • Tech/Auto
  • Entertainment
  • IPL 2025
NETWORK18 SITES
  • News18
  • Money Control
  • CNBC TV18
  • Forbes India
  • Advertise with us
  • Sitemap
Firstpost Logo

is on YouTube

Subscribe Now

Copyright @ 2024. Firstpost - All Rights Reserved

About Us Contact Us Privacy Policy Cookie Policy Terms Of Use
Home Video Shorts Live TV