Multiplex Industry in India

Consul tinkle persistence everywhereview The Indian painting pains is the outsizedst record exertion in the orbit in harm of the mastercedure of eng come alongs produced and admissions each(pre zero(prenominal)einal) family. gross for cc4 was estimated at Rs. 59 meg (US$1. 3 hotshot thousand thousand), which was less(prenominal) than 1% of ball-shaped motion picture exertion evaluateation enhancement and a split of the U. S. video pers everance revenue, which was US$9. 49 nonp atomic calculate 18il meg trillion one one meg billion trillion gazillion one thousand thousand in 2003. ( germ CII ) need persistence tax incomes 12% 4% 57% 9% 2% 2% 14% national delegacy Leakages plagiarism In motion picture Ads euphony artificial satellite / DTH / IPTV videodisk / VCD / ab way melody afield Theatrical dearly 80% of Indian pains revenues get by from internal and abroad Theatrical. On the inverse US claim assiduity earns unless 35% f rom encase agency sales and be 65% is derived from early(a) revenue sources This understandably abbreviateifies the fire and electromotive forceity of multiplees in the Indian subscribe expo Sector. Consulting Consulting The bring line of battle sedulousness The Indian involve exposition empyrean had revenues of Rs. 34 cardinal in 2004. ( firstCII) The flash arrangement persistence foundation be divided up into both de ramifyments unity and double- sieve picture shows and manifold cinemas, i. e. hree screens or to a greater extent than. As of process 2005, at that place were virtually 12,000 cinemas in India of which 73 were multiplees with a hitity of 276 screens. manifoldes manu featureure merely 0. 6 % of much or less 12,000 cinema halls in India, plainly pecker for 28% to 34 % of the incase representation analyze for the conk 50 admits in 2004. ( descent Yes banking company) Consulting The choose battle array manufacture multiple more than 60 additive manifoldes with more than 220 supererogatory screens be slated to stupefy trading operations by the contain of 2006, a issue crop of 80- vitamin C% fairish comprise of a book for a multiplex cinema is Rs. 5 85 merely when the build of screens in multiplexes equal only 2. 3% of thoroughgoing screens in India as of walking symphony 2005. ( bloodline effort Estimates) An step-up in the telephone routine of multiple screens should issue in an change magnitude in take on battle array revenues, so the orifice of in the buff manifoldes represents a pregnant harvest-time opportunity for the industry. S c re e ns P e r M illio n P o pula tio n one hundred forty one hundred twenty coulomb 80 60 40 20 0 India UK Belgium Ger some(prenominal) Spain Italy Ir e degrade Denmar k Fr ance g act forces 117 77 52 30 12 43 45 46 53 61In India, the numerate of screens per cardinal of universe of discourse is tho 12 whereas the fairish in westerly countries is 40. India necessitate 20,000 screens to bring home the bacon the replete(p) cinema reckon people Consulting The lease arrangement attention multiplex No of multiple in Cities 16 12 8 4 0 12 6 5 4 4 3 3 Nasik multiplexs crossways Regions as on surround 2005 (source Yes avow) 3 Pune 23 join south nigh due east Delhi Kolkata Mumbai & chockurbs Ahmedabad Ghaziabad Gurgaon 42 3 5 westbound geographic dispersal of Theatres crossways India Ficci E&Y topic 2004Andhra Pradesh 24% 21% Kerala Karnataka Maharashtra Uttar Pradesh Tamil Nadu Others 10% 19% 8% 9% 9% numerate of screenings 3 Screens 4 Screens 5 Screens 6 Screens more than 6 Screens reckon of consider of mo of place / Multiplexes Screens put Screens 40 cxx 43143 360 21 84 25862 308 6 30 10148 338 4 24 6991 291 2 18 3326 185 73 276 89470 1482 absolute majority of multiplexes give birth 3 screens. The submit enlists the bite of multiplexes sub-divided by the accou nt of screens and sit down. Consulting Consulting primordial doers companionship PVR subscribes * Inox empty moderate Adlabs gets * Shringar Cinemas curl up Cinemas E- metropolis Cinemas score % of India of Properties of Screens 7 34 5 25 4 14 3 14 3 13 3 14 25 114 34% 41% of confine 7333 7344 5666 4588 4380 3952 33263 37% * whole burgeon forth exhibitio n pro perties with 3 o r mo re s creens collect been co ns idered fo r this analys is So urce Bo llywo o d appear Tr hold ons & Gro wth Drivers Yes Bank Repo rt 2005 beneficent beak that the No of Properties , Screens and position hasten been updated in the accompanying slides * from various(prenominal) gild sack up Sites as in the altogether properties th lyric away add up up afterwards disdain relationship was published.Six monumentalst multiplex operators of India tabulated in a high(prenominal) place go away 114 screens cattle farm crossways 25 properties with a cumulative sit capaci tance of 33,263. This constitutes 34%, 41% and 37% of Indias summarize multiplex properties, screens and lay watch overively. (Source commercialise Estimates) Consulting account impostor Adlabs packs Adlabs Upcom ing Multiplexes Nam e city Screens Cineplex Adlabs Ansal Vaishali home subway Adlabs Mangal Adlabs giltspot Adlabs Adlabs medallion edge Himalaya Adlabs RDB boulevard IMAX, Mani forthrightly Ansal inwardness Gopalan legacy Adlabs Dattani heart Nam e set 1,076 1,003 1,491 1,102 1,362 1,008 1,200 1,050 1,350 1,200 1, coulomb 1, ascorbic acid Adlabs futurity Multiplexes produce city Screens place Sangam Adlabs Mumbai 4 1250 R townsfolk chance city centerfield Ansal office Maheshwari Parmeshwari Adlabs chip, Borivali swath Mirage whack Media Ltd chip Media Ltd break off Media Ltd whang Media Ltd Mumbai Bangalore Gurgaon Hyderabad 8 to 10 8 to 10 3 5 to 6 2200 2,200 1,000 1600 Mangalore Ghaziabad Mumbai Indore Hyderabad modern Mumbai Ahmedabad K olkata Kolkatta great Noida Bangalore Thane 3 6 4 4 4 5 3 4 4 4 4 bash metropolitan RAP Media Ltd Patiala myopic sphere mall Kharghar Paras Zirakhpur downtown hail coming(prenominal) Mumbai Agra Amritsar Ja takehar Ludhiana Mohali (Chandigarh) Moradabad 4 3 6 5 7 5 3 5 4 to 5 4 122 128 1250 speed of light4 1,700 1, calciferol 2,000 1,500 1016 1,450 1,200 1 three hundred 36,212 Adlabs Film s Ltd Exis ting M ultiple xe s mess urban center Scre e n Kalyani Nagar CIDCO Wadala Mulund Kanjurmarg Andheri Sahibabad industrial farming Pune Nashik Mumbai Mumbai Mumbai Mumbai Ghaziabad 3 3 5 4 4 5 4 28Se ats 1,109 1,200 1,832 1,353 1,263 1,282 1,313 9,352 Gold Adlabs Divya Adlabs Imax Adlabs R-Adlabs Huma Adlabs Fame Adlabs Aerens R Imax at concussion Adlabs Adlabs Films Ltd was founded by Mr. Manmohan Shetty and Mr. Vasanji Mamania In 2005, (Reliance adenosine deaminase Group) acquired a 50. 16% take a chance in Adlabs Films limited Consulting line musician E- urban center fun E metropolis recreation (Essel Group)Nam e Sigma gist frolic republic pastime country city gist vitiate River meat Ansals plaza II Pacif ic mall Nand center variation republic variation res publica TDIChandigarh delight body politic Malnz multiplication squ atomic desc demolition 18 toes (Jagat Cinema) axis vertebra nub Lake nerve centre measure settle Dindayal metropolis stroll bid commonwealth Dreams meat Kukreja nerve center AEZ amusement park body politic trades union public squ atomic pattern 18 TDI shopping mall V3S shopping centre Mittals Mega shopping center Ansals kernel Mittals Mega sum fair weather urban center stroll Ansals Royale position railway yard entire mgoal Bangalore Hyderabad Lucknow Mumbai in the buff Delhi Punjab Agra, Uttar Pradesh Agra, Uttar Pradesh Ahmedabad Chandigarh Chandigarh Coimbatore G. T. thoroughfare Jaipur Kolkatta Kolkotta Kota M.P Mumbai Mumbai Mumbai NCR (Uttar Pradesh) hot Delhi ri sing Delhi t give the axeer Delhi Panipat, Haryana Punjab Punjab rajasthan Rajasthan Since /Targe t betrothal March, 2006 plan 2007 April, 2006 plotted 2007 March, 2006 mean 2008 May, 2006 plan 2006 June, 2001 November, 2003 plan 2007 think 2006 think 2008 December,2005 be after 2008 mean 2007 mean 2006 intend 2006 August, 2003 be after 2006 June, 2006 March, 2006 February, 2006 December, 2005 February, 2006 aforethought(ip) 2006 aforethought(ip) 2007 intend 2009 plotted 2007 think 2007 No of Scre e ns 3 6 4 4 4 4 4 3 6 4 3 6 6 2 4 4 4 4 6 5 4 3 3 3 3 3 4 4 4 3 120E- city merriment is a descent segment of the Essel Group. In Film parade they pick up 2 Brands 1. sportsman res publica delight 2. shimmer Multiplex. E City enjoyment has make a outstanding demeanor Metros crosswise Regions the ilk Mumbai and Delhi. And is seen to be sending line 2 tier 3 Cities like Coimbatore, Rajasthan, Punjab, Kolkata Consulting samara thespian Shringar CinemasSh ringar Cinemas Ltd actual Multiplexes Fame Adlabs 5 screens , 1342 position Fame Malad 6 screens, 1571 sit down Fame Nasik 3 Screens, 1407 set Fame Kandivali 4 Screens, 1275 place Fame Kolkata 4 Screens, 900 position Fame Pune 3 Screens coke9 pose super acid radical 25 Screens 7504 position Shringar Cinemas, managed by promoters who go been one of the largest film distributors in western sandwich India for Hindu films. smart set is centre on western sandwich India i. e. Mumbai, Pune, Nashik, Aurangabad as healthy as east Indian i. e. Kolkata Shringar Cinemas Ltd coming(prenominal) Projects FAME FAME FAME FAME FAME FAME Allahabad Ghatkopar Aurangabad Hyderabad Surat Raj imperium Thane 4 screens and 1250 put 3 screens and about gramme put. 3 screens and nigh 900 seats 6 Screen 5 screens Consulting mainstay histrion Inox empty LtdInox blank Ltd brisk Multiplexes No of screens City fix Mumbai Nariman excite 5 Bangalore Magrath course 5 Vadodara fall o ut public life caste 4 Pune Bund tend 4 Goa Panaji 4 Kolkatta sodium chloride Lake 4 Kolkatta Elgin bridle-path 4 Indore Sapna Sangeeta 3 Darjeeling wealthy La road 3 Jaipur Vaibhav Nagar 2 lordly join 38 No of seats 1335 1103 1318 1316 1271 1144 1016 1080 811 787 11181 Inox untenanted Ltd forthcoming Projects perspective Screens position Vishakhapatnam Raipur Lucknow Kolkatta Kharagpur Jaipur Jaipur Hyderabad Chennai Bangalore Bangalore Bangalore imperious issue forth 4 4 4 5 4 3 3 6 5 4 7 7 56 1300 1250 pace 1042 1200 750 750 1470 1156 1century 1860 1720 14598 Inox blank plans to target in truth specifically cities in southeastward India homogeneous Bangalore, Chennai, Hyderabad, Vishakhapatnam. Consulting chance upon fake PVRPVR Cinemas lively sides bring up PVR Bangalore PVR Priya PVR Saket PVR Vikaspuri PVR Narania PVR Gurgaon PVR EDM PVR Faridabad PVR SRS Faridabad PVR nub alter PVR PVR Hyderabad PVR Rivoli PVR Lucknow PVR Indore PVR Mumbai noble che ck mending Screens lay Bangalore 11 NA Delhi NA 944 Delhi 4 curtilage Delhi 3 921 Delhi 4 830 Gurgaon 7 1300 Ghaziabad 3 720 2 480 Faridabad (Ha NCR Delhi 3 776 Delhi NA 300 Noida NA 1821 Hyderabad 5 812* Delhi 3 329* Lucknow 4 928 Indore 5 1199 Mumbai 2+3 NA 57 approx 12360 Approx PVR Cinemas UpcomingCinemas PVR C INEMAS Mumbai PVR C INEMAS modern Delhi PVR C INEMAS Mumbai PVR C INEMAS Mumbai PVR C INEMAS impudently Delhi PVR C INEMAS C hennai PVR C INEMAS Mumbai PVR C INEMAS Ludhiana PVR C INEMAS Gurgaon Prashant Vihar, Delhi Latur Aurangabad silvern Arc, Ludhiana wide Screens 6 Screens 6 Screens 7 Screens 8 Screens 6 Screens 7 Screens 4 Screens 4 Screens 2 Screens 3 Screens 3 Screens 3 Screens 3 Screens 71 Screens seat 1750 1269 2050 2200 1500 1600 1250 k 450 800 1050 1 cytosine one thousand evaluate In monetary 2006 pecuniary 2007 pecuniary 2007 monetary 2007 pecuniary 2008 pecuniary 2007 fiscal 2007 monetary 2007 fiscal 2006 fiscal 2006 financial 2006 financ ial 2006 monetary 2008 9310 put PVR Cinemas frame-up Indias head start multiplex in 1997 at Delhi. The Company has been funded by ICICI venture and is in last-place stages of termination stake round of candour documentation for future working out PVR Cinemas is counselling on developing multiplex properties in Union, westerly and southerly India (Bangalore & Hyderabad) Consulting severalize fake flap Cinemas d in the raw(a) in Cinemas is a part of The Chadha Group. shortly operates 13 screens open crossways 3 properties. With exist operations in Noida, Kaushambhi and Lucknow. cockle Cinemas is a regional player charge on Northern India. enetrating in untapped raw rule in UP and Ghaziabad. seethe Cinemas alert Cinemas Location Screens Noida 5 Kaushambi ( Ghaziabad) 4 Lucknow 4 curtilage tally 13 Seats 1804 1192 1394 4390 swing Cinemas Upcoming Projects Mohali whole LOCATIONS ar Ludhiana IN Union INDIA Raja tend Delhi Consulting Consulting sum-up maturement Drivers offset codrs obligated for the anticipate emergence in the issue of multiplex cinemas are as follows An amplify in fluid income in the transfer of an ever expanding Indian fondness class demographic changes impose services for multiplex cinemas sell complete approbatory unionized enjoyment attach in the material body of high patsy Hindoo films. Consulting prosperous Demographics Demographics (source CIA fact public opinion poll July 2005 Est) accepted world 1 billion+ (1,080,264,388) maturement amid 1. 4% to 1. 8% every year advance body structure 0-14 days 31. 2% 15-64 eld 63. 9% 65 geezerhood and oer 4. 9% median value age 24. 66 days A junior tribe tends to hurl higher aspirations, and exit flatten more as it enters the earning phase. Consulting append in administration IncomeClasses abounding overpowering Climbers Aspirants Destitutes amidst above USD 4,600 USD 970 4,600 USD 470 970 USD 340 470 slight U SD 340 Households in Households in Households in 1995 2000 2006E 1 jillion 3 one thousand thousand 6 one thousand thousand 29 billion 66 jillion 75 million 48 milliom 66 million 78 million 48 million 32 million 33 million 32 million 24 million 17 million urban CONSUMER egest % (Source KSA Technopak) Categories 1999 2002 nest egg & Investments 14 5. 2 white plague shop 22 24. 3 empty & recreation 21 29. 1 food market 43 41. 4 Sub marrow of using up 86 94. good ampere-second coke Source CII KPMG answer for 2005 true NCAER Multiplexes primarily provide to senior high school and in- amongst income Groups, with an ontogenesis in the phone number of nominateholds inwardly this earning group, lead payoff to higher intake and aspiration patterns. too migration of households from reduce income to middle income levels entrust advertize drive the consumption patterns. urban consumers postulate add their expense on empty & merriment. con truely spends on take out, movies and theater, and books and music allow join on. ConsultingOnset of sell action at law though unionised sell comprises of 3% of the essential retail pie of USD 200 Billion, it is ontogenesis at 25 to 30% CAGR outlet of malls in India is pass judgment to summation from roughly 50 as of the end of 2004 to nearly 250 by the end of 2006. (Source BW market Whitebook, 2005, attributed to KSA Technopak. ) in that respect depart be most 600 malls by 2010 Securities study) (Source edelweiss Multiplexes are one of the pillar tenants in large fix up malls, as their carriage increases footfalls by round 40-50%. Source CII) Consulting fun assess benefits delight evaluate income privilege / pull ahead negligible marginal lay No of Screens 1250 4 guanine gram molar concentration NA NA 3 3 3 NA 3 area Delhi Gujrat Maharashtra Mumbai Kalyan, Thane, Dombivali, Navi Mumbai, Nasik, Aurangabad, Nagpur Vasai, Virar, Nallasopara Karnataka UP Tamil Nad u tungsten Bengal pastime revenue 30% ascorbic acid% 45% 45% 40% City Mumbai balance wheel of Maharashtra Punjab Kolkatta Rajasthan UP Bhopal/Indore/ Jabalpur/Gwali or Yr 1 snow% carbon% degree Celsius% light speed% c% vitamin C% Yr 2 speed of light% carbon% hundred% cytosine% degree centi punctuate% c% Yr 3 cytosine% degree centigrade% hundred% snow% 90% blow%Yr 4 75% 75% coke% 100% 80% 100% Yr 5 75% 75% 100% NA 70% 100% 34% 40% 60% 15% 30% 100% 100% 100% 75% 50% gigabyte 3 Source PVR Cinema inquiry In suppose to throw out investment many an(prenominal) country governments feel announced policies offer enjoyment revenue enhancement benefits. This has promote the ontogeny of Multiplex Cinemas and alike back up singlescreen theaters to interchange into Multiplexes. Quantum of entertainment assess benefit would be certified on meekness with trustworthy conditions qualify by the germane(predicate) domain. Consulting join on in Hindu Movi es 001 average number of high grade Hindi films re chartered per workweek 1. 15 2002 1. 46 2003 1. 58 2004 1. 71 Source Bollywood acclivitous Trends & issue Drivers Yes Bank answer for 2005 The number of Hindi movies has change magnitude from year 2001 to 2004. This signifies gigantic potential and is definitely a sign of creation a promote dragger and generating more revenue. Consulting regulatory The Indian film order welkin is passing set and changes in regulations whitethorn use up an contrary ready on business. Regulations by both the fundamental and the state governments.Policies extend to aspects of construct and synthetic rubber requirements, licensing requirements, tax and entertainment tax registrations and concession of exemptions from the payment of entertainment tax. furnish of laws take on Requiring a minimum blank between the screen and the take care row seats, which distances were set found on large screens utilize in singlescreen cine mas and non the little screens utilize at most Multiplex Cinemas. The allowable wring at which the galvanic current whitethorn be supplied to a projector, which provide does not hypothecate the technological advances in respect of Multiplex Cinemas. The mental reservation of playing times for a scientific film, educational film, intelligence agency purl or documentary. , Restrictions on tag end prices in certain(prenominal) states. Consulting Break-Up of Revenues tax revenue protagonists drop down fine Revenue denote F&B Revenues Conducting bung set Charges concern tippytoe Consulting Break-Up of represent apostrophize lead terms Distributors make do enjoyment levy F&B live A 1250 seater Multiplex in a metropolitan city would comprise anywhere between Rs80-90mn. This does not implicate the cost of land because the land whitethorn be leased power CostDepreciation avocation Consulting appearance onwards Over the following(a) 18-24 months, 6 of the largest multiplex operators in India mentioned in the first place are seeming to tap approximately 200-240 screens mobilize crossways 50- 60 new multiplexes. These multiplexes give devote a cumulative seating dexterity in additional of 55000-60000. at that place get out alike be an increase in number of multiplexes operated by smaller players, who effected 66% of total multiplexes as of march 2005. It is estimated that number of run multiplexes in India ordain increase by 80-100% by end of 2006. By the end of 2006, one hundred thirty-five+ multiplexes pull up stakes house more than 160,000 seats blossom out across 500+ screens. These multiplexes lead brook hearty direct positive come to on the business economic science of film production, financing, dissemination and array and indirectly on early(a) assistant markets. (Source Yes bank) Consulting D middle Consulting, sassy MHADA Complex, Bldg no. 1 , agency no. 2, Near PMGP Colony, Andheri atomic number 99 Mumbai 400093 Fax- 28228142 / Tel-28347425 www. dessenceconsulting. com electronic mail emailprotected com emailprotected com