INOX Leisure announces Q1'FY22 Financial Results

INOX Leisure Ltd reported financials for the first quarter ending 30th June 2021. The results were taken on record by the Board of Directors today. The ongoing restrictions imposed by the Central and State Governments to contain the spread of second wave of COVID-19 has affected cinema operations severely, with the Company's operations halted for a large part of Q1'FY22. As a result, the Company reported Revenues at Rs 26 Cr, EBITDA at Rs (104) Cr* and PAT at Rs (101) Cr*.

Highlights for 1st Quarter ended on 30th June 2021

- Q1'FY22 witnesses severe impact of 2nd wave of COVID-19 resulting into prolonged closure of Cinemas through majority of the Quarter, adversely impacting Revenues, EBITDA, PAT and Footfall

- Revenues reported at Rs 26 Cr, EBITDA at Rs (104) Cr* and PAT at Rs (101) Cr*

- Successfully raised Rs 300 Cr through QIP in June 2021

- Stringent cost control procedures continue to remain implemented

- 1st dose vaccination completed for all eligible employees across the country.

- 1 new property with 5 screens and 694 seats was launched in April 2021 at SBR Horizon Mall, Bengaluru

- INOX now operates 648 screens across 153 multiplexes in 69 cities

- Cinema operations resumed after Lockdown on 30th July at select locations across the country

- With a massive lineup of great quality content in Hindi, English and other Indian languages, Company expects a robust recovery in the coming quarters

The Company managed to successfully raise Rs 300 Cr through Qualified Institutional Placement with issuance of 96,77,419 equity shares at Rs. 310 per equity share (including premium) in the month of June 2021. The QIP received an overwhelming response, showing the huge amount of faith it commands among the investors.

With an aim to resume operations in a safe and hygienic manner, and with an objective to ensure employee safety, the Company has carried out vaccination of all the employees across the country. Under this initiative, 100% employees have been administered with the 1st dose of vaccine. Company is optimistic about the robust lineup of movies to release once normalcy returns. With cinemas allowed to operate in 13 States and 1 Union Territory, 113 INOX multiplexes with 459 screens will be resuming operations in the coming days in a staggered manner as per operational readiness and government guidelines in the near future.

Company has been actively engaging with key stakeholders including the Government Authorities, Mall Developers & Content Producers to garner critical support and ensure a smooth and prompt return to normalcy. With an objective to keep the costs under a check, the Company will continue to implement active cost control measures and bring down major expenses including Employee Costs, Power & Fuel Costs and Rentals & CAM Charges.

With 1 new property, with 5 screens and 694 seats, inaugurated in SBR Horizon Mall, Bengaluru, in April 2021, the Company now operates 153 multiplexes with 648 screens in 69 cities across the country.

Mr. Siddharth Jain, Director - INOX Group says, "As we were coming to terms with the new normal after the 1st wave, we were once again troubled by the 2nd wave which coincided with Q1 'FY22. Having already shown huge resilience in the past 4 Quarters, we have drawn inspiration from the faith of all our stakeholders, who have stood by us, as well as the captivating content lineup, which is in store for the immediate future. With 100% of our team vaccinated, operations resuming across the country, strong liquidity position and the great content pipeline, the industry will see us at our buoyant best and our guests will enjoy our renewed rigor and warmth that we are known for."

Shares of Inox Leisure Limited was last trading in BSE at Rs. 321.9 as compared to the previous close of Rs. 325.55. The total number of shares traded during the day was 20059 in over 1019 trades.

The stock hit an intraday high of Rs. 328.2 and intraday low of 320.1. The net turnover during the day was Rs. 6497070.

Source : Equity Bulls

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