PVR INOX plans to shut down some cinema screens over the next six months, the country’s largest multiplex chain announced on Monday.
How many screens are being closed, and why?
In a statement, PVR INOX said it will close approximately 50 screens. These screens, it noted, are either ‘loss-making’ properties, or are in malls that have reached the end of their life cycle.
“These properties are loss-making, or these are housed in malls that are at the end of their life cycle, and with little hope of any revival. The company has, therefore, taken an accelerated depreciation in its books and written off the WDV (written-down value) of assets,” the statement read.
The total depreciation charge taken on these screen amounts to ₹105.8 million ( ₹10.58 crore).
Future plans
In its statement, PVR INOX also said it plans to add up to 175 more screens during financial year 2023-24. Of these, it noted, nine are already functional, 15 are awaiting license for commercial opening, and the remaining 152 are in various stages of fit-out.
In FY23, on the other hand, the operator opened 168 new screens in 30 cinema houses.
PVR INOX Limited
In Feb, erstwhile rivals PVR and INOX completed their merger – announced in March last year – to become a unified entity, PVR INOX Limited. Together, they operate 1,546 screens (PVR-871, INOX-675) across 341 properties (160, 181) in 109 Indian cities.
