INOX Leisure announces Q2FY21 results

INOX Leisure Ltd (INOX) reported financials for the second quarter ending 30th September 2020. The results were taken on record by the Board of Directors today. With lockdown imposed by the Central & State Governments to contain the spread of COVID-19 since the month of March '20, the company witnessed yet another Quarter with not a single day of operations. As a result, the Company reported Revenues at Rs 5 Cr, EBITDA at Rs (30) Cr* and PAT at Rs (48) Cr*.

With an objective to keep the costs under a check, the Company has implemented active cost control measures and brought down major expenses including Employee Costs, Power & Fuel Costs and Rentals & CAM Charges.

Company has continued to engage with key stakeholders including Landlords - for waiver of rentals and implementation of revenue sharing model for the current Financial Year and with Film Producers - to ensure the availability of ample fresh content for exhibition.

The Board & Shareholders of INOX have approved fund raising through Equity Shares / Other securities up to Rs. 250 Cr.

The Ministry Of Home Affairs had issued Guidelines for Re-Opening on 30th September 2020, which allowed Cinemas to operate with 50% seating capacity. Subsequently, the Ministry of Information & Broadcasting issued Standard Operating Procedures on 6th October, 2020, detailing the Standard Operating Procedures for Cinemas. INOX has been permitted to open cinemas in the states of Delhi, Uttar Pradesh, Haryana, Punjab, Gujarat, Madhya Pradesh, West Bengal, Andhra Pradesh, Karnataka, Assam, Goa, Maharashtra and Tamil Nadu. The Company is yet to receive notification to resume operations in the States of Odisha, Jharkhand, Chhattisgarh, Kerala, Telangana and Rajasthan, as the resumption notifications from the state governments are expected at a later date.

The Company has ensured that SOPs prescribed by the Ministry of Information & Broadcasting are implemented in stringent manner. Company has also initiated number technology initiatives to ensure that physical contacts are reduced while experiences become seamless. INOX has also rolled out the concept of Private Screenings, where smaller groups of family members or friends, can enjoy a screening of a movie of their choice in an auditorium entirely booked for them.

Siddharth Jain, Director - INOX Group says, "We are glad that the toughest times are behind our back, and we can now continue to add new chapters in the glorious journey of our company and set new benchmarks. Once we see off the initial headwinds, I am certain that the pent-up desire to wholeheartedly delight our guests will unlock a whole new world of entertaining experiences. Toughened and seasoned, INOX 2.0 is all set to tread on its new journey, with remarkable innovations, delightful enchantments and whole lot of tech-driven initiatives. There cannot be a better time to thank all the stakeholders, for standing by the cinema industry and showing faith. I am sure that we will love up to this faith and confidence and bring back the glory in quickest of time."

Shares of INOX LEISURE LTD. was last trading in BSE at Rs.275.75 as compared to the previous close of Rs. 264.35. The total number of shares traded during the day was 148016 in over 5291 trades.

The stock hit an intraday high of Rs. 279.4 and intraday low of 262. The net turnover during the day was Rs. 40512116.

Source : Equity Bulls

Keywords