PVR ends higher despite logging Q1 loss of Rs219.5cr loss due to Covid-19 second wave

The multiplexes owners consolidated revenue increases 67% yoy to Rs92.5cr compared to Rs55.4cr for the quarter ended June 30, 2020.

Jul 29, 2021 03:07 IST India Infoline News Service

Quarterly Results
PVR Limited on Thursday announced its financial results for the quarter ended June 30, 2021. For the quarter ended June 30, 2021, consolidated revenue increased 67% yoy to Rs92.5cr compared to Rs55.4cr for the quarter ended June 30, 2020. 

The company’s EBITDA and Profit After Tax (PAT) were in the negative in Q1FY22 at Rs-57.8cr and Rs-219.5cr respectively as compared to Rs-73.3cr and Rs-225.7cr for the corresponding quarter last year.

After adjusting for the impact of INDAS 116 - Leases, Consolidated Revenue, EBITDA, and PAT of the company was Rs70.9cr, Rs(109.9)cr, and Rs(141.9)cr respectively as compared to Rs12.6cr, Rs(116)cr, and Rs(141)cr for Q1FY21.

PVR Ltd ended at Rs1,360.30 per piece up by Rs24.3 or 1.82% from its previous closing of Rs1,336 per piece on the BSE.

“Covid-19 continued to adversely impact the operations and financial performance of the Company in the first quarter. The 2nd wave of Covid-19 surprised everyone with its rapid spread of infection, which led to localized lockdowns and curfews announcements by various state governments. Our entire cinema network was shut down, in a staggered manner, in April’21 and continues to remain shut till date,” company said in a filing on Thursday.

As the Covid–19 situation normalises in the country, various state governments have restarted economic activities, including the re-opening of cinemas. As of July 29th 2021, 12 states and 2 UTs in India and Colombo, Sri Lanka, where PVR has a presence, have allowed cinemas to restart operations with restrictions around timings and other social distancing requirements. These states / UTs account for 526 screens across 111 properties. The company is looking to restart operations, in a gradual manner, from July 30th 2021 onwards.

During the first quarter, the company has continued with its strategy of keeping the monthly cash burn rate low through aggressive cost-saving initiatives. Further, the company is in active discussions with its landlords for seeking waivers/discounts of rent and CAM charges and is hopeful for a positive outcome of these discussions as the business re-opens.

It further said, during the current financial year, the company had availed additional borrowings of Rs200cr under the ECLGS 3.0 scheme of the GoI. This has further strengthened the liquidity position of the company. As on June 30th 2021, the company had total liquidity of ~Rs850cr (including undrawn sanctioned credit lines).
“As an organization our priority during the last quarter has been to vaccinate all our employees so that our patrons can experience the joy of watching movies in a completely safe environment. I am proud to state that as on date PVR has achieved the target of 100% vaccination of all its employees. We are fully prepared, with all necessary precautions, to welcome back our patrons to our cinemas,” Ajay Bijli, Chairman cum Managing Director, PVR Ltd., said.

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