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Kapil Agarwal, Joint Managing Director, UFO Moviez is hopeful that the company will come out stronger once cinema halls...
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UFO Moviez reports ad revenue of Rs 302 million in Q4FY20

Kapil Agarwal, Joint Managing Director, UFO Moviez is hopeful that the company will come out stronger once cinema halls...
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  • UFO Moviez sees a downfall in advertising revenue.
  • Kapil Agarwal, Joint Managing Director, says the company has implemented cost optimisation strategies and is comfortable enough to sustain during this challenging phase. He is hopeful that the company will come out stronger once cinema halls open up.
UFO Moviez, an in-cinema advertising platform, reported advertisement revenue of ₹302 million in Q4FY20, down by 37.51% from Q4FY19 of ₹805 million.

This quarter, UFO Moviez average advertisement minutes sold per show per screen stood at 3.06 (Q4FY19 – 6.85) minutes.

Explaining the reason behind this downfall in advertising revenue, Kapil Agarwal, Joint Managing Director, said, “UFO’s advertisement performance during the quarter and full-year was weak primarily on account of lower Government spending. Additionally, the shutdown of operations in mid of March due to the COVID-19 pandemic impacted total revenues including Corporate advertising. This has severely impacted the overall profitability of the Company.”

He added, “To conserve cash, we have implemented cost optimisation strategies. The Company's liquidity position remains comfortable to sustain during this challenging phase. We are awaiting the Government’s decision to reopen Cinemas that is likely to take place in the third phase of unlocking based on the situation. Post-re-opening, we expect slow recovery as social distancing will impact cinema footfalls until the situation normalizes. However, we are optimistic that UFO will emerge stronger at the end of this crisis.”

Financial Highlights:

Quarter ended March 31, 2020:

Consolidated revenue stood at ₹1,094 (Q4FY19 – ₹1,939) million.
EBITDA stood at ₹275 (Q4FY19 – ₹656) million.
PBT stood at ₹94 (Q4FY19 – ₹480) million and PAT stood at ₹68 (Q4FY19 – ₹335) million.
Advertisement revenue stood at ₹302 (Q4FY19 – ₹805) million.
Average advertisement minutes sold per show per screen stood at 3.06 (Q4FY19 – 6.85) minutes.

Year ended March 31, 2020:

Consolidated revenues stood at ₹5,039 (FY19 – ₹6,169) million.
EBITDA stood at ₹1,194 (FY19 – ₹1,683) million.
PBT stood at ₹522 (FY19 – ₹995) million and PAT stood at ₹388 (FY19 – ₹665) million.
Advertisement revenue stood at ₹1,547 (FY19 – ₹2,372) million.
Average advertisement minutes sold per show per screen stood at 4.16 (FY19 – 5.54) minutes.

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