PVR INOX Limited stands as a premier and the largest cinema exhibition company in India. As of March 31, 2026, the company operates an extensive network of 1,798 screens across 359 properties, located in 113 cities throughout India and extending to Colombo, Sri Lanka. This vast footprint ensures a diversified presence across various geographies and consumer demographics. The company's operations are segmented regionally, with the South representing 34% of its screen portfolio, followed by the North (27%), West (20%), Central (11%), and East (8%). This distribution is further stratified across city tiers, with 48% of screens in Metro areas, 30% in Tier I cities, and a growing presence in Tier II (13%) and Tier III (9%) cities. PVR INOX is committed to enhancing the cinematic experience by offering a variety of premium formats, including IMAX, 4DX, Director's Cut, and P[XL], which constitute 16% of its total screens. This strategy aims to make the brand both aspirational through high-end experiences and affordable through its widespread, accessible network, catering to the full spectrum of the Indian movie-going audience.

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• Record-Breaking Annual Performance (FY’26): The company reported its highest-ever annual figures for the fiscal year ending March 31, 2026.

• Revenue: Total income reached INR 67,426 million, a 16% increase from INR 57,918 million in FY’25.

• EBITDA: Adjusted EBITDA (excluding Ind AS 116) doubled to INR 9,680 million from INR 4,848 million in the previous year.

• Profit After Tax (PAT): The company achieved a significant turnaround, posting a PAT of INR 3,868 million, compared to a loss of INR 1,523 million in FY’25. This PAT figure includes a one-time exceptional gain from the disposal of its subsidiary, Zea Maize Pvt. Ltd. (4700 BC). PAT from continuing operations stood at INR 2,306 million.

• Strong Quarterly Performance (Q4 FY’26): The final quarter also showed robust year-over-year growth.

• Revenue: Q4 FY’26 revenue was INR 15,778 million, up 25% from INR 12,626 million in Q4 FY’25.

• EBITDA: Adjusted EBITDA for the quarter was INR 1,696 million, a substantial recovery from INR 289 million in the prior-year period.

• Profit After Tax (PAT): Q4 FY’26 PAT stood at INR 1,788 million, reversing a loss of INR 1,060 million in Q4 FY’25.

• Revenue Drivers: Growth was driven by strong performance across all key operating metrics.

• Admissions: Full-year admissions grew by 9.6% to 150.1 million.

• Average Ticket Price (ATP): ATP for FY’26 rose 8.1% to a record INR 280.

• Spend Per Head (SPH) on F&B: SPH also hit a new high of INR 147, a 9.5% increase year-over-year.

• Balance Sheet and Cash Flow: The company significantly strengthened its financial position.

• Debt Reduction: Net debt was reduced to a negligible level of INR 1,619 million as of March 31, 2026, down from INR 9,522 million a year prior. Gross debt was nearly halved from INR 14,908 million to INR 7,586 million.

• Free Cash Flow (FCF): The company generated a robust FCF of INR 7,901 million in FY’26, more than double the FCF of FY’25. This was driven by strong EBITDA, proceeds from the divestment of a subsidiary, and controlled capital expenditure.

The company delivered a landmark financial year, evidenced by record revenues and a decisive return to profitability, all while fortifying its balance sheet through significant debt reduction and strong free cash flow generation.

• Extensive Premium Format Portfolio: PVR INOX differentiates its offering with a significant focus on premium and luxury viewing experiences. The company operates 286 premium format screens, which account for 16% of its total screen count. This includes globally recognized formats such as:

• IMAX: 26 screens featuring giant screens and powerful digital surround sound for an immersive experience.

• 4DX: 37 screens with motion seats and environmental effects like wind, mist, and bubbles synchronized with on-screen action.

• P[XL]: 24 screens equipped with extra-large screens, dual 4K laser projection, and advanced Dolby Atmos sound.

• Onyx: 8 projector-less screens that use LED picture technology for superior visual quality.

• Director's Cut: 22 screens offering a premium luxury concept.

• Unmatched Scale and Diversified Network: The company's network of 1,798 screens across 113 cities is the largest in India. This scale provides several advantages:

• Geographic Diversification: A presence in every major region (North, South, East, West, Central) mitigates risks associated with the performance of regional content.

• Tiered City Penetration: Operations span from major Metros (48%) to emerging Tier III cities (9%), allowing the company to capture growth across the entire urban spectrum.

PVR INOX sets itself apart through a dual strategy of offering a wide array of high-margin premium formats and leveraging its unparalleled scale and diversified geographical footprint across India.

• Consistent Long-Term Growth: The India Gross Box Office Collection (GBOC) has demonstrated a consistent long-term growth trend, with a Compound Annual Growth Rate (CAGR) of 7% pre-COVID and 8% post-COVID. After the pandemic disruption, the box office has recovered strongly, reaching INR 13,395 crores in CY2025.

• FY’26 Box Office Performance: The Indian box office grew 11% in FY’26 to INR 13,519 crores, characterized by a broader and more balanced performance.

• Hindi Cinema Resurgence: The share of original Hindi content grew significantly from 29% to 42% of the total box office, driven by consistent performance.

• Mid-Budget Success: There was less reliance on mega-blockbusters, with the share of films grossing INR 100-200 crores increasing from 12% to 20%, indicating a healthier, more diversified content ecosystem.

• Theatrical and OTT Synergy: The dynamic between theatrical releases and Over-The-Top (OTT) platforms is evolving favorably for cinema exhibitors.

• Theatrical-First Model: The number of films released directly to OTT has decreased sharply, from 105 in CY2022 to just 30 in CY2025. The theatrical-first window is re-establishing its importance.

• OTT as a Complimentary Platform: OTT is shifting from a substitute to a complimentary platform, where a film's box office success increasingly determines its subsequent monetization value on streaming and broadcast. This incentivizes producers to focus on creating compelling content for a theatrical release.

• Strong Content Pipeline: The company has highlighted a robust and diverse lineup of upcoming films across Hindi, English, and regional languages, which provides visibility for continued footfalls in the upcoming quarters.

The cinema industry is in a strong recovery phase with a clear long-term growth trajectory, supported by a resurgence in Hindi content and a normalizing relationship with OTT platforms that reinforces the value of theatrical exhibition.

• Capital-Light Expansion Strategy: The company is focused on a disciplined and efficient growth model to expand its screen network.

• FOCO and Asset-Light Models: The majority of new screen additions are now under Franchise-Owned Company-Operated (FOCO) and Asset-Light models, where the property developer bears 100% or 40-80% of the capital expenditure, respectively.

• Pipeline Composition: Of the 93 new screens in the signed pipeline, 55% (52 screens) are under the FOCO model, and an additional portion (86 screens signed) are under the Asset-Light model. This significantly reduces the company's capex burden.

• Geographic Focus on South India: A key pillar of the growth strategy is to accelerate expansion in the underpenetrated markets of South India.

• FY’26 Additions: In FY’26, 44% of the 75 net new screens were added in the South, reflecting this strategic priority.

• Expansion in Tier 2 & Tier 3 Cities: The company continues to expand its presence beyond metro areas to capture growth in emerging urban centers, which are currently underserved by high-quality cinema exhibition.

• Increasing Premium Format Share: Growth is not just about adding screens, but also about enhancing the quality of the portfolio. The company plans to continue increasing the share of high-yield premium formats in its network.

The company's growth is being driven by a disciplined, capital-light expansion strategy with a clear focus on penetrating the high-potential South Indian market and Tier 2/3 cities.

• Tapping Underpenetrated Markets: The primary opportunity lies in expanding the cinema network in regions with low screen density, particularly in South India and smaller cities (Tier 2/3), where demand for out-of-home entertainment is strong but quality supply is limited.

• Driving Footfalls and Revenue per Patron: The company has identified several initiatives to boost revenue beyond just ticket sales.

• Targeted Promotions: Implementing weekday deals and other targeted promotions to attract various consumer segments and increase occupancy during non-peak hours.

• F&B Innovation: Continuously innovating the food and beverage menu and using promotions to drive higher Spend Per Head (SPH).

• Alternate Content: Utilizing cinemas for non-movie content such as film festivals, curated shows, and live events to broaden the offering and increase asset utilization.

The key opportunities for the company are to capitalize on the growth potential in underserved markets and to enhance revenue per patron through targeted marketing, F&B innovation, and diversification of content.

• Capacity Utilization (Occupancy): The company saw a healthy improvement in its occupancy rates.

• Full Year FY’26: The average occupancy for the full fiscal year was 26.2%, an increase of 312 basis points from 23.0% in FY’25.

• Quarterly (Q4 FY’26): For the fourth quarter, occupancy stood at 23.9%, a significant improvement of 338 basis points from 20.5% in the same quarter last year.

• Screen Network Changes (FY’26): The company executed a strategy of calibrated expansion and portfolio rationalization.

• New Screens Opened: 75 new screens were opened across 17 locations.

• Screens Closed: 18 underperforming screens were closed.

• Net Addition: This resulted in a net addition of 57 screens for the year, bringing the total to 1,798.

• Capital Expenditure (Capex): The shift to a capital-light model has led to a marked reduction in capex intensity.

• FY’26 Capex: Total capex for new screens and maintenance was INR 2,542 million.

• YoY Reduction: This represents a 24% decrease from the INR 3,335 million spent in FY’25, demonstrating the effectiveness of the FOCO and Asset-Light expansion models.

The company has successfully increased its capacity utilization while simultaneously reducing its capital expenditure intensity, reflecting a disciplined approach to both operational efficiency and network expansion.

• Continued Capital-Light Screen Expansion: The immediate future plan is to continue growing the screen network based on the capital-light strategy. The company has a signed pipeline of 93 screens to be opened in the coming periods.

• Sustained Focus on South India and Tier 2/3 Cities: The strategic priority of penetrating South Indian markets and smaller cities will guide the location of future screen additions.

• Strengthening the Balance Sheet: A core objective is to maintain a healthy balance sheet. Having achieved a negligible net debt level, the company will likely focus on funding future growth through internal accruals and maintaining low leverage.

• Leveraging a Strong Content Pipeline: The company plans to capitalize on a strong and diverse slate of upcoming movies to drive admissions and operational revenues in FY’27 and beyond.

Future plans are centered on disciplined, capital-efficient network growth in targeted high-potential markets, supported by a strong content pipeline and a commitment to maintaining a robust balance sheet.

• EBITDA Margin Expansion: The company achieved a significant improvement in profitability margins in FY’26.

• Full Year FY’26: The adjusted EBITDA margin expanded to 14.4%, a substantial increase from 8.4% in FY’25.

• Quarterly (Q4 FY’26): The Q4 adjusted EBITDA margin was 10.7%, a marked improvement from 2.3% in the corresponding quarter of the previous year.

• Sustained Cost Discipline: A key driver of margin improvement has been a relentless focus on cost control, holding fixed costs nearly flat over a six-year period despite significant inflation.

• Fixed Costs Per Screen: Total fixed costs per screen (excluding movie distribution) have increased at a CAGR of only 1% between FY’20 and FY’26.

• Manpower Efficiency: Total headcount per screen has been reduced by 32% over the last six years, from 17.7 to 12.1.

• Operating Cost Control: Key fixed costs like personnel, utilities, and other overheads per screen have seen a CAGR of -1% to -2% over the six-year period, demonstrating exceptional cost management.

• F&B Margin Improvement: Cost of Goods Sold (COGS) as a percentage of F&B sales has improved, indicating better F&B margins.

• FY’26 COGS %: COGS was 22.5% of F&B revenue, down from 24.9% in FY’25.

Significant EBITDA margin expansion was achieved through a combination of strong revenue growth and disciplined, sustained cost control measures that have kept fixed cost growth well below the rate of inflation.

• Divestment of Subsidiary: In FY’26, the company completed the disposal of its subsidiary, ‘Zea Maize Pvt. Ltd.’, which operates the gourmet popcorn brand 4700 BC.

• Financial Impact: This transaction resulted in net proceeds of INR 2,221 million and contributed an exceptional gain to the company's profitability for the year. The cash inflow was a key contributor to the company's debt reduction efforts.

• Return on Capital Employed (ROCE) Breakout: The company’s strategic initiatives have culminated in a significant improvement in its return on capital.

• ROCE Trend: After a cyclical dip in FY’25 (-0.3%), ROCE rebounded strongly to 10.2% in FY’26. This reflects the benefits of merger synergies, a pivot to capital-light growth, and strong free cash flow generation.

The strategic divestment of a non-core asset provided a significant cash infusion that accelerated deleveraging, contributing to a breakout in the company's Return on Capital Employed in FY’26.