INOX LEISURE LTD. RESULTS UPDATE |Q2 & H1 FY20191 Disclaimer
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INOX DELHI EPICURIA INOX LEISURE LTD. RESULTS UPDATE |Q2 & H1 FY20191 Disclaimer 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 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 DISCUSSION SUMMARY which ILL operates. These statements are not guarantees of future performance, and are subject to known Financial Results 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. Property Openings and Pipeline Such statements are not, and should not be construed, as a representation as to future Content Pipeline 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 performance or achievements of ILL may vary significantly from such statements. Shareholding Structure and 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 Q2 & H1 FY19 Results Highlights Q2 FY19 YoY Comparison Revenue from Operations EBITDA PAT 400.0 EBITDA EBITDA Margin PAT PAT Margin 350.0 300.0 14.3% 50.0 20.0 3.3% 12.3% 16.0% 3.8% 2% 4.0% 45.0 18.0 250.0 17% 1% 14.0% 3.5% 40.0 16.0 12.0% 3.0% 200.0 35.0 14.0 365.3 30.0 10.0% 12.0 2.5% 150.0 311.3 25.0 8.0% 10.0 2.0% 20.0 8.0 100.0 44.4 44.8 6.0% 1.5% 15.0 6.0 4.0% 1.0% 10.0 4.0 11.7 12.0 50.0 5.0 2.0% 2.0 0.5% - - 0.0% - 0.0% Q2FY18 Q2FY19 Q2FY18 Q2FY19 Q2FY18 Q2FY19 H1FY19 YoY Comparison Revenue from Operations EBITDA PAT 900.0 EBITDA EBITDA Margin PAT PAT Margin 800.0 700.0 17.2% 140.0 16.4% 20.0% 60.0 8.0% 600.0 6.3% 6.3% 12% 7% 18.0% 120.0 12% 7.0% 50.0 500.0 16.0% 6.0% 100.0 14.0% 40.0 400.0 5.0% 780.3 80.0 12.0% 30.0 300.0 698.7 10.0% 4.0% 60.0 128.3 8.0% 3.0% 120.3 20.0 200.0 49.0 40.0 6.0% 43.8 2.0% 4.0% 10.0 100.0 20.0 2.0% 1.0% - - 0.0% - 0.0% H1FY18 H1FY19 H1FY18 H1FY19 H1FY18 H1FY19 All figures in INR Crs., unless specified Note: EBITDA excludes Other Income (non-operating) 3 Q2 & H1 FY19 Results Analysis – Revenue Break Up Analysis Q2 FY19 YoY Comparison H1FY19 YoY Comparison 450.0 900.0 780.3 400.0 365.3 800.0 698.7 47.9 350.0 26.2 700.0 311.3 53.1 77.9 37.8 300.0 26.4 600.0 65.5 -0.8% 32.1 -9.8% 206.2 250.0 94.9 500.0 155.2 67.1 200.0 17.8% 400.0 18.9% 150.0 300.0 448.3 100.0 41.4% 200.0 424.8 185.6 206.4 32.8% 50.0 100.0 11.2% 5.5% 0.0 0.0 Q2FY18 Q2FY19 H1FY18 H1FY19 %Share Q2FY18 Q2FY19 H1FY18 H1FY19 Net Box Office 59.6% 56.5% 60.8% 57.5% Net Food & Beverage 21.5% 26.0% 22.2% 26.4% Advertisement 10.3% 10.4% 9.4% 10.0% Other Operating Revenues 8.5% 7.2% 7.6% 6.1% All figures in INR Crs., unless specified 4 Q2FY19 Results Analysis – Top 5 Movies in INOX Mission: Impossible - Q2FY19 Sanju Stree Gold Fallout Dhadak Total Footfalls (Lacs) 23.10 12.98 9.91 8.67 7.40 62.06 GBOC (INR Crs.) 51.20 22.94 21.54 17.50 13.52 126.69 Toilet Ek Prem Spiderman Jab Harry Met Q2FY18 Katha Homecoming Sejal Jagga Jasoos Mubarakan Total Footfalls (Lacs) 12.44 6.23 5.39 6.05 5.61 35.72 GBOC (INR Crs.) 24.75 13.11 11.96 11.39 10.33 71.54 Top 5 films accounted for 47% of Q2 FY19 GBOC revenues (30% in Q2 FY18) GBOC – Gross Box Office Collection 5 Q2 & H1FY19 Results Analysis – Key Operational Metrics Overall Footfalls & Occupancy% Comparable Properties Footfalls & Occupancy% Footfalls (Lacs) Occ% Footfalls (Lacs) Occ% 350.0 33% 350.0 33% 28% 28% 300.0 27% 300.0 28% 27% 28% 25% 25% 25% 25% 250.0 250.0 23% 23% 200.0 200.0 18% 18% 150.0 150.0 285.7 292.9 258.6 13% 13% 251.8 100.0 100.0 7.2% 2.5% 8% 8% 136.7 50.0 -1.3% -2.6% 50.0 127.5 118.3 116.8 - 3% - 3% Q2FY18 Q2FY19 H1FY18 H1FY19 Q2FY18 Q2FY19 H1FY18 H1FY19 Footfalls with Management properties: Q2FY19: 144 lacs, Q2FY18: 134 lacs & H1FY19: 309 lacs, H1FY18: 302lacs 300 Comparable Properties Average Ticket Price (ATP) [INR] Overall Average Ticket Price (ATP) [INR] 300 250 250 200 200 150 150 5.1% 3.9% 3.8% 3.1% 100 195 197 100 186 190 186 193 189 195 50 50 - - Q2FY18 Q2FY19 H1FY18 H1FY19 Q2FY18 Q2FY19 H1FY18 H1FY19 6 Note: All above charts exclude management properties Q2 & H1FY19 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% 15.4% 40 13.5% 40.0% 73 75 75.0% 73.3% 76.0% 74.5% 30 65 65 30.0% 20 20.0% 10 10.0% - 0.0% Q2FY18 Q2FY19 H1FY18 H1FY19 Q2FY18 Q2FY19 H1FY18 H1FY19 Advertisement Revenue [INR Crs.] Other Operating Revenue [INR Crs.] 70.0 100.0 90.0 60.0 80.0 50.0 70.0 60.0 40.0 50.0 17.8% 18.9% 30.0 40.0 77.9 53.1 47.9 30.0 65.5 20.0 20.0 26.4 26.2 32.1 37.8 10.0 10.0 -0.8% -9.8% - - Q2FY18 Q2FY19 H1FY18 H1FY19 Q2FY18 Q2FY19 H1FY18 H1FY19 7 Q2 & H1 FY19 Results Analysis – Key Operational Metrics GST/Entertainment Tax [%] Film Distributor Share [%] On NBOC On GBOC On NBOC On GBOC 26.6% 27.6% 26.6% 27.4% 46.5% 44.7% 44.9% 44.4% 21.0% 21.6% 21.0% 21.5% 36.8% 35.0% 35.5% 34.8% Q2FY18 Q2FY19 H1FY18 H1FY19 Q2FY18 Q2FY19 H1FY18 H1FY19 Q2FY18 Q2FY19 H1FY18 H1FY19 Q2FY18 Q2FY19 H1FY18 H1FY19 NBOC (Net Box Office Collections) , GBOC (Gross Box Office Collections) Other Overheads Per Operating Screen (INR Lacs) 50.0 100.0 45.0 41.7 30.9% 90.0 10.9% 84.1 40.0 36.8 79.5 80.0 35.0 12.6 9.6 Other Overheads 70.0 25.2 30.0 22.7 0.9% 60.0 -2.1% 25.0 CAM, Power & Fuel, R&M 10.8 10.9 50.0 22.5 20.0 23.0 40.0 15.0 11.6% Property Rent & 7.7% 30.0 12.3 Conducting Fees 10.0 11.0 24.9 20.0 23.1 5.0 Employee Benefits 10.0 5.3 9.4% 5.8 10.6 8.6% 11.5 - - Q2FY18 Q2FY19 H1FY18 H1FY19 8 INOX Brings The IMAX Experience to Bengaluru RMZ Galleria Mall • INOX opens its 5th IMAX screen in India, at Bengaluru RMZ Galleria Mall • 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. • INOX has redefined the way cinema is viewed in the country with the best of world-class technology, service and 7-star luxury. 9 New Properties Opened Kakinada SRMT (9th Jul 2018) Gurgaon Sapphire Mall (24th Jul 2018) Pune Heritage Mall (1st Aug 2018) 5 Screens 915 Seats 3 Screens 567 Seats 2 Screens 428 Seats Coimbatore Prozone (20th Aug 2018) Surat Reliance Mall (22nd Sep 2018) 9 Screens 2057 Seats 3 Screens 539 Seats 10 New Properties Opened Gorakhpur City Mall (24th Sep 2018) Delhi Epicuria (29th Sep 2018) Mumbai Metro Cinema (6th Oct 2018) 3 Screens 742 Seats 3 Screens 117 Seats 2 Screens 94 Seats Property Opened till date in FY19 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 Pune Heritage Mall (existing) Q2FY19 - 2 428 Coimbatore Prozone Q2FY19 1 9 2,057 Surat Reliance Mall Q2FY19 1 3 539 Gorakhpur City Mall Q2FY19 1 3 742 Delhi Epicuria Q2FY19 1 3 117 Bangalore RMZ (12th Oct 2018) Q2FY19 Openings 6 28 5,365 Mumbai Metro (existing) Q3FY19 - 2 94 5 Screens 1317 Seats Bangalore RMZ Galleria Q3FY19 1 5 1,317 Q3FY19 QTD Openings 1 7 1,411 YTD FY19 Openings 10 47 9,330 11 Track Record of Aggressive Expansion Screens Properties 650 132 123 118 130 536 550 107 110 96 492 468 450 79 420 90 72 68 372 63 70 350 310 279 257 50 239 250 32 26 22 30 14 150 6 9 119 2 3 91 10 76 51 35 50 25 12 8 -10 -50 FY03 FY04 FY05 FY06 FY07 FY08 FY09 FY10 FY11 FY12 FY13 FY14 FY15 FY16 FY17 FY18 Oct-18 -30 AVERAGE ADDITION OF 8 SCREENS EVERY QUARTER SINCE INCEPTION Note: Includes Acquisition of 89 Cinemas in FY07, Fame in FY11 and Satyam in FY15 12 PAN India Presence ONE OF THE LARGEST MULTIPLEX CHAIN OPERATOR IN INDIA PUNJAB | 2 Property | 10 Screens UTTAR PRADESH | 7 Properties | 27 Screens 19 States DELHI | 5 Properties | 16 Screens JHARKHAND | 1 Property | 4 Screens HARYANA | 6 Properties | 19 Screens 66 Cities RAJASTHAN | 12 Properties | 40 Screens MADHYA PRADESH | 4 Properties | 16 Screens Assam | 1 Property | 2 Screens 132 Properties GUJARAT | 18 Properties | 74 Screens WEST BENGAL | 14 Properties | 55 Screens ODISHA | 2 Property | 7 Screens MAHARASHTRA | 28 Properties | 126 Screens 536 CHHATTISGARH | 2 Properties | 8 Screens Screens GOA | 4 Properties | 14 Screens TELANGANA | 2 Properties | 11 Screens KARNATAKA |11 Properties | 45 Screens ANDHRA PRADESH | 8 Properties | 33 Screens 129,544 Seats KERALA |1 Property | 6 Screens TAMIL NADU | 4 Properties | 23 Screens * Includes 8 management properties with 29 screens and 7,370 seats 13 New Screen Pipeline FY19 Pipeline Properties Screens Seats Properties Properties Screens Seats