Analyst Research Report Snapshot

Title:

PVR Ltd. (PVRL) - Qtr. Update - Dated - July 31, 2013

Price:

$46.00

Provider:

Axis Capital Limited

Date:

31 Jul 2013

Pages:

5

Type:

AcrobatPDF

Companies referenced:

PVRL.NS

Available for Immediate Download
Summary:

PVR reported strong performance in Q1FY14 (in line with expectations). Synergies from Cinemax acquisition benefited PVR through higher F&B spend and steep rise in advertisement/ sponsorship revenue in the quarter. We believe such benefits coupled with higher footfalls (led by screen expansion) will drive revenue going ahead. We remain excited about PVR’s ability to monetize footfalls, given PVR’s dominant market share and geographic presence. Maintain BUY with TP of Rs 410 (16x FY15E EPS of Rs 25.6), implying 17% upside from CMP of Rs 351. The stock trades at PE of 22.7x FY14E EPS of Rs 15.5 and 13.8x FY15E EPS of Rs 25.5. Strong operational performance  The company reported revenue of Rs ~3.4 bn, EBITDA of Rs 594 mn (EBITDA margin of 17.7%), and PAT of Rs 140 mn. Note consolidated numbers are not comparable YoY due to the Cinemax acquisition in Q4FY13  Gaining from synergies, the company’s F&B spend per head (SPH) increased to Rs 54 in Q1FY14; Cinemax' SPH increased to Rs 50 (vs. Rs 44 in Q4FY13), while PVR's SPH increased to Rs 56.5 (vs. Rs 50.4 in Q4FY13) in the quarter  PVR added 22 screens (382 screens in Q1FY14) and is on track to add 80-90 screens in FY14. Footfalls increased across PVR and Cinemax screens to 15.2 mn, while Average Ticket Price inched up to Rs 169 (Rs 164 in Q4FY13) Regards, Chirag Negandhi (ED & Deputy Head of Research) Institutional Equity Research Axis Capital Ltd Tel.: + 91 22 4325 1106 Ankur Periwal (VP - Media) Institutional Equity Research Axis Capital Ltd Tel.: + 91 22 4325 1118

Why buy analyst research?

  • Institutional quality research
  • Available for Immediate Download
  • Detailed company or industry insight
  • Print or save
  • 24 hour customer support
Return to previous page without adding this item to your cart.
Email Customer Support.

About Analyst Research

Analyst research reports are available for immediate download after purchase. You will have unlimited access to the report for 24 hours after purchase, to download, print or save it as many times as you wish. Analyst Research provided by Reuters does not constitute investment advice, and is not endorsed by Reuters Research. This information is protected by copyright and intellectual property laws. More information on Analyst Research.