MUMBAI: Shringar Cinemas Limited has reported a net profit of Rs 26.6 million (Rs 2.66 crores) as against a net loss of Rs 0.39 crores during the same period last year. The revenues rose by 67.38 per cent year-on-year at Rs 153.3 million (Rs 15.33 crores) against Rs 91.6 million (Rs 9.16 crores).

The company’s operating profit grew by 234.30 per cent year-on-year to Rs 46.6 million (Rs 4.66 crores) up from Rs 13.9 million (Rs 1.39 crores).

The excellent growth in the profits was driven by adequate flow of content, the entertainment tax exemption for the Kandivali property and the classification of the Kolkata property as a multiplex, thereby being eligible for entertainment tax benefit. The recent additions of Pune and Surat multiplexes, which have had a full quarter of operations also contributed to revenues and profits. On a half yearly basis, the operating margins (excluding interest income from other income) have grown from nine per cent to 20 per cent year-on-year.

The company is also upbeat on its next few film releases. Shringar Cinemas’ focus on expanding its reach to key cities would sustain the growth momentum. The company will also get the full benefit of the entertainment tax exemption for Fame Raghuleela at Kandivali in the forthcoming quarter. 

Shringar Cinemas managing director Shravan Shroff said, “We continue to focus on growth through expanding to newer destinations even as our strategy to expand our reach in the key cities continues to pay dividend. Aside from strengthening the brand, the focus will be on offering state of the art multiplexes and effective cost optimisation to boost our bottomline.”