PVR INOX has announced an ambitious expansion strategy that will significantly increase its cinema network over the next two fiscal years. The multiplex operator plans to add almost 250 new screens across FY26 and FY27, marking one of its most aggressive growth phases in recent years.

Expansion Timeline and Screen Addition Plans

The company's growth strategy is structured across two distinct phases, with a measured approach to capacity addition:

The phased approach indicates PVR INOX's confidence in market recovery and consumer demand for theatrical experiences. The company expects minimal screen closures during this expansion period, suggesting a net positive addition to its cinema network.

Investment Allocation for FY27

PVR INOX has outlined a comprehensive investment plan to support its expansion and maintenance activities. The company aims to spend between ₹350 crore to ₹400 crore in FY27, covering multiple operational areas:

• New Screen Development: Capital expenditure for establishing new cinema locations
• Renovations: Upgrading existing facilities to enhance customer experience
• Maintenance: Ongoing operational maintenance across the network

Strategic Growth Focus

The expansion plan reflects PVR INOX's commitment to strengthening its market position in India's cinema exhibition sector. With almost 100 screens planned for FY26 and 150 screens targeted for FY27, the company is positioning itself to capture growing demand in both metropolitan and emerging markets.

The substantial investment of ₹350 crore to ₹400 crore in FY27 demonstrates the company's financial commitment to not only expanding its footprint but also maintaining high operational standards across its existing network. This balanced approach between growth and maintenance is expected to support long-term operational efficiency and customer satisfaction.

PVR INOX Limited has delivered a strong financial performance for the third quarter ended December 31, 2025, demonstrating significant recovery in its theatrical exhibition business. The company's Board of Directors approved the unaudited standalone and consolidated financial results on February 05, 2026, following review by the Audit Committee.

Financial Performance Highlights

The company's standalone financial results showed remarkable improvement across key metrics. Net profit surged to ₹950 million in Q3FY26 compared to ₹345 million in the corresponding quarter of the previous year, marking a substantial increase of 175.36%.

Operational Efficiency and Cost Management

The company demonstrated improved operational efficiency with total expenses rising modestly to ₹16,500 million from ₹15,912 million in Q3FY25. Key expense categories showed controlled growth:

• Movie exhibition cost increased to ₹4,471 million from ₹4,056 million
• Employee benefits expense rose to ₹1,807 million from ₹1,638 million
• Finance costs decreased to ₹1,798 million from ₹2,023 million, indicating improved debt management
• Depreciation and amortisation remained stable at ₹3,129 million compared to ₹3,160 million

Nine-Month Performance

For the nine months ended December 31, 2025, PVR INOX showed strong recovery with revenue from operations reaching ₹49,042 million compared to ₹42,658 million in the corresponding period of FY25. The company achieved a net profit of ₹1,477 million for the nine-month period, a significant turnaround from the loss of ₹1,541 million in the previous year.

Exceptional Items and Regulatory Impact

The company recorded an exceptional item of ₹423 million in Q3FY26 related to the implementation of four new Labour Codes notified by the Government of India on November 21, 2025. These codes consolidate 29 existing labour laws and required the company to assess and account for incremental compliance costs.

Key Financial Ratios

The company's financial health indicators showed improvement:

Post-Reporting Period Development

Subsequent to the reporting period, PVR INOX disposed of its entire 93.27% shareholding in subsidiary Zea Maize Private Limited for a consideration of ₹2,268 million. The carrying value of this investment as at December 31, 2025 was ₹951 million. This disposal is expected to generate significant gains for the company in the subsequent quarter.

The results reflect PVR INOX's successful navigation of the challenging entertainment industry landscape and its ability to capitalize on the recovery in theatrical exhibition business.