INOX LEISURE LTD. RESULTS UPDATE |Q1 FY2019 1 D I S C L a I M E R DISCUSSION SUMMARY
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INOX PALM BEACH VASHI INOX LEISURE LTD. RESULTS UPDATE |Q1 FY2019 1 D i s c l a i m e r DISCUSSION SUMMARY This presentation and the following discussion may contain “forward looking statements” by Inox Leisure Limited (“ILL” or “the Company”) that are not historical in nature. These forward looking statements, which may include statements relating to Financial Results future state of affairs, results of operations, financial condition, business prospects, plans and objectives, are based on the current beliefs, assumptions, expectations, estimates, and projections of the management of ILL about the business, industry and markets in which ILL operates. Property Openings and Pipeline These statements are not guarantees of future performance, and are subject to known and unknown risks, uncertainties, and other factors, some of which are beyond ILL’s control and difficult to predict, that could cause actual results, performance or achievements to differ materially from those in the forward looking statements. Content Pipeline Such statements are not, and should not be construed, as a representation as to future performance or achievements of ILL. In particular, such statements should not be regarded as a projection of future performance of ILL. It should be noted that the actual Shareholding Structure and performance or achievements of ILL may vary significantly from such statements. Balance Sheet Items Due to rounding-off, figures presented throughout this document may not add up precisely to the totals provided and percentages may not precisely reflect the rounded- off figures. Annexure All financial figures, upto and including FY15 are as per IGAAP and for FY16 and thereafter are as per IND-AS. Revenues for FY14 to FY15 are shown net of entertainment tax, to be consistent with the revenues under IND-AS for FY16 and thereafter. 2 Q1 FY19 Results Highlights Q1 FY19 YoY Comparison REVENUE FROM EBITDA PAT OPERATIONS 500.0 EBITDA EBITDA Margin PAT PAT Margin 450.0 50.0 10.0% 100.0 25.0% 8.9% 400.0 45.0 9.0% 90.0 19.6% 20.1% 8.3% 350.0 40.0 8.0% 80.0 20.0% 35.0 7.0% 300.0 70.0 30.0 6.0% 60.0 15.0% 250.0 7% 10% 15% 25.0 50.0 5.0% 200.0 387.4 414.9 20.0 40.0 83.5 10.0% 4.0% 150.0 75.9 37.0 15.0 30.0 32.1 3.0% 100.0 10.0 20.0 5.0% 2.0% 50.0 5.0 10.0 1.0% - - - 0.0% 0.0% Q1FY18 Q1FY19 Q1FY18 Q1FY19 Q1FY18 Q1FY19 All figures in INR Crs., unless specified Note: EBITDA excludes Other Income (non-operating) 3 Q1 FY19 Results Analysis – Revenue Break Up Analysis Q1 FY19 YoY Comparison 500.0 450.0 414.9 387.4 400.0 21.6 26.7 40.0 350.0 33.4 -18.8% 300.0 111.4 %Share Q1FY18 Q1FY19 88.2 Net Box Office 61.7% 58.3% 250.0 20.0% Net Food & Beverage 22.8% 26.8% 200.0 Advertisement 8.6% 9.6% Other Operating Revenues 6.9% 5.2% 150.0 26.3% 239.2 241.9 100.0 1.1% 50.0 0.0 Q1FY18 Q1FY19 All figures in INR Crs., unless specified 4 Q1 FY19 Results Analysis – Top 5 Movies in INOX TOP 5 Movies in INOX Avengers: Jurassic World : Q1FY19 Infinity War Raazi Race 3 Baaghi 2 Fallen Kingdom Footfalls (Lacs) 21.07 15.86 10.55 11.01 8.74 GBOC (INR Crs.) 51.07 30.03 24.81 18.50 17.23 Baahubali - The Q1FY18 Conclusion Fast & Furious 8 Tubelight Hindi Medium Half Girlfriend Footfalls (Lacs) 61.25 9.38 7.33 8.69 5.94 GBOC (INR Crs.) 128.75 18.41 17.23 14.96 10.76 Top 5 films accounted for 46% of Q1 FY19 GBOC revenues (63% in Q1 FY18) GBOC – Gross Box Office Collection 5 Q1 FY19 Results Analysis – Key Operational Metrics Overall Footfalls & Occupancy% Comparable Properties Footfalls & Occupancy% Footfalls (Lacs) Occ% Footfalls (Lacs) Occ% 150.0 38% 200.0 31% 33% 29% 148.0 180.0 32% 33% 28% 30% 160.0 146.0 28% 140.0 144.0 23% 120.0 23% 142.0 100.0 18% 140.0 18% 80.0 158.2 156.2 138.0 13% 60.0 143.1 13% 136.0 40.0 -1.2% -3.4% 8% 138.2 8% 134.0 20.0 132.0 3% - 3% Q1FY18 Q1FY19 Q1FY18 Q1FY19 Footfalls with Management properties: Q1FY19: 165 lacs 300 Comparable Properties Average Ticket Price (ATP) [INR] Overall Average Ticket Price (ATP) [INR] 300 250 250 200 200 150 150 3.1% 100 2.4% 199 100 193 190 194 50 50 - - Q1FY18 Q1FY19 Q1FY18 Q1FY19 6 Note: All above charts exclude management properties Q1 FY19 Results Analysis – Key Operational Metrics Spend Per Head (SPH) [INR] Food & Beverages – Net Contribution (%) 100 100.0% 90 90.0% 80 80.0% 70 70.0% 60 60.0% 50 50.0% 40 17.2% 76 40.0% 76.8% 75.6% 30 65 30.0% 20 20.0% 10 10.0% - 0.0% Q1FY18 Q1FY19 Q1FY18 Q1FY19 Advertisement Revenue [INR Crs.] Other Operating Revenue [INR Crs.] 50.0 50.0 45.0 45.0 40.0 40.0 35.0 35.0 30.0 30.0 25.0 25.0 20.0 20.0 20.0% 40.0 15.0 15.0 33.4 26.7 10.0 10.0 21.6 5.0 5.0 -18.8% - - Q1FY18 Q1FY19 Q1FY18 Q1FY19 7 Q1 FY19 Results Analysis – Key Operational Metrics Film Distributor Share [%] 70.0% Distributor Share On NBOC Distributor Share On GBOC 60.0% 50.0% 43.7% 44.2% 40.0% 34.5% 34.7% 30.0% 20.0% 10.0% 0.0% Q1FY18 Q1FY19 Other Overheads Per Operating Screen (INR Lacs) 50.0 45.0 42.5 42.4 -3.4% 40.0 35.0 13.0 12.4 30.0 -4.1% 25.0 12.1 11.7 20.0 15.0 4.8% 12.6 10.0 12.0 5.0 5.3 8.5% 5.7 - NBOC (Net Box Office Collections) , Q1FY18 Q1FY19 8 GBOC (Gross Box Office Collections) INOX Brings The IMAX Experience to Malad • INOX has redefined the way cinema is viewed in the country with the best of world-class technology, service and 7-star luxury. • The new INOX IMAX theatre at Inorbit Mall offers a truly immersive cinematic experience for its guests. • IMAX’s cutting-edge projection system, which delivers crystal-clear images, coupled with IMAX's customized theatre geometry and powerful digital sound system, create a unique environment that will make audiences feel as if they are in the movie. • At INOX, it’s about living the movie and an association with IMAX only brings forth that philosophy to practice. 9 New Properties Opened Mumbai Palm Beach (8th May’18) Cuttack SGBL Square Mall (16th Jun'18) Zirakpur Dhillon Mall ( 29th Jun'18) 4 Screens 779 Seats 4 Screens 830 Seats 4 Screens 945 Seats Property Names Opened Property Screens Seats Mumbai Palm Beach Q1FY19 1 4 779 Cuttack SGBL Square Mall Q1FY19 1 4 830 Zirakpur Dhillon Mall Q1FY19 1 4 945 Q1FY19 Openings 3 12 2,554 Kakinada SRMT Q2FY19 1 5 915 Gurgaon Sapphire Q2FY19 1 3 567 YTD FY19 Openings 5 20 4,036 Kakinada SRMT (9th Jul'18) Gurgaon Sapphire (24th Jul'18) 5 Screens 915 Seats 3 Screens 567 Seats 10 Track Record of Aggressive Expansion Screens Properties 128 123 600 118 130 107 110 96 512 492 500 468 79 90 72 68 420 63 70 400 372 50 32 310 22 26 300 279 30 14 257 9 2 3 6 239 10 200 -10 119 -30 91 100 76 51 35 -50 25 12 8 0 -70 FY03 FY04 FY05 FY06 FY07 FY08 FY09 FY10 FY11 FY12 FY13 FY14 FY15 FY16 FY17 FY18 Jul-18 AVERAGE ADDITION OF 8 SCREENS EVERY QUARTER SINCE INCEPTION Note: Includes Acquisition of 89 Cinemas in FY07, Fame in FY11 and Satyam in FY15 11 PAN India Presence ONE OF THE LARGEST MULTIPLEX CHAIN OPERATOR IN INDIA PUNJAB | 2 Property | 10 Screens UTTAR PRADESH | 6 Properties | 24 Screens 19 States DELHI | 4 Properties | 13 Screens JHARKHAND | 1 Property | 4 Screens HARYANA | 6 Properties | 19 Screens 64 Cities RAJASTHAN | 13 Properties | 43 Screens MADHYA PRADESH | 4 Properties | 16 Screens Assam | 1 Property | 2 Screens 128 Properties GUJARAT | 17 Properties | 71 Screens WEST BENGAL | 14 Properties | 55 Screens ODISHA | 2 Property | 7 Screens MAHARASHTRA | 28 Properties | 122 Screens 512 CHHATTISGARH | 2 Properties | 8 Screens Screens GOA | 4 Properties | 14 Screens TELANGANA | 2 Properties | 11 Screens KARNATAKA |10 Properties | 40 Screens ANDHRA PRADESH | 8 Properties | 33 Screens 125,508 Seats KERALA |1 Property | 6 Screens TAMIL NADU | 3 Properties | 14 Screens * Includes 8 management properties with 29 screens and 7,370 seats 12 New Screen Pipeline FY19 Pipeline Properties Screens Seats Properties Properties Screens Seats FY18 123 492 121,780 Mumbai Palm Beach (Opened 8th May'18) 1 4 779 Adjustments** - - (308) Cuttack SGBL Square Mall (Opened 16th Jun'18) 1 4 830 FY19 Openings till date 5 20 4036 Zirakpur Dhillon Mall (Opened 29th Jun'18) 1 4 945 Expected - Aug18 to Mar19 7 39 6,543 Kakinada SRMT (Opened 9th Jul'18) 1 5 915 FY19 Expected 135 551 132,051 Gurgaon Sapphire (Opened 24th Jul'18) 1 3 567 Additions Post FY19 118 757 135,506 Pune (Existing) - 2 428 Leading to 253 1,308 267,557 Gwalior 1 6 1,009 Delhi 1 3 117 Jaipur 1 7 723 STRONG VISIBILITY FROM NEW SCREENS Bangalore 1 5 1,328 PIPELINE BACKED BY SIGNED AGREEMENTS Mumbai (Existing) - 2 98 Hyderabad 1 8 1,678 Bhubaneswar 1 3 612 Jaipur 1 3 550 Total 12 59 10,579 **Adjustments: • 308 seats reduced due to renovation at Nashik, Banglore Garuda, Kolkata Southcity, Mumbai Malad 13 Content Pipeline – July 2018 Ant Man And The Wasp Soorma Skyscraper (3D) (3D IMAX) Release Date: Release Date: Release Date: 13th July 2018 20th July 2018 13th July 2018 Cast: Diljit Dosanjh, Cast: Dwayne Johnson, Cast: Paul Rudd, Sandeep Singh, Taapsee Neve Campbell Evangeline Lilly, Michael Pannu Director: Rawson M.