Digital cinema distribution firm and ad platform UFO Moviez has posted a net profit of Rs 15.39 crore for the quarter ended 31 December 2015 (Q3FY16) down by 6.1% year-on-year (YoY). The company had posted a net profit of Rs 16.52 crore in the preceding quarter, a decline of 7.3%.
Revenues at the company increased 16.4% to Rs 144.49 crore from Rs 124.05 crore from the same period last year. On a sequential basis, revenues increased 2.6% from Rs 148.25 crore. In this quarter, the company’s advertisement revenue grew 15% to Rs 40.6 crore from Rs 35.3 crore in the same quarter last year. The average number of advertisement minutes sold per show per screen also increased to 4.36 minutes from 3.97 minutes in the same quarter last year.
– The company soft launched UFO Framez, an extension of UFO Moviez’s in-cinema advertising. enabling local businesses to reach their audience, and retail advertisers to create, personalise and launch campaigns on local movie screens. Sanjay Gaikwad, founder and MD said, “Theatrical revenues sustained healthy momentum led by rate hike in H1FY16 and wider movie releases during the festival season… We launched UFO Framez today by opening registration for DSAs across India.”
– Kapil Agarwal, Joint MD, said that “… We continued to expand our synergistic business Caravan Talkies. We added 67 new vans during the period, expanding our network through 91 districts. This business is expected to cash break even during the second half of fiscal 2017..”
– UFO says that it has created a pan-India, in-cinema advertising platform with long-term advertising rights to 3,726 screens (up from 3,690 the previous quarter), with an average weekly seating capacity of approximately 50 million viewers and a reach of 1,898 (up from 1,882 the previous quarter) locations.
– As of 31 December 2015, UFO has 4,984 digital screens in India, including 108 in Nepal, across 1,912 locations.
UFO operates a satellite-based, digital cinema distribution network using its UFO-M4 platform. The company’s digitization and delivery model allows same day release of movies across India.
It’s subsidiaries include:
– Scrabble Entertainment Limited, where UFO owns 91.32% in the company. Scrabble operates UFO’s digital cinema business in certain states in India and internationally. Scrabble also has 33.33% stake in Scrabble Digital Ltd, which owns digital labs in Mumbai, Chennai and Hyderabad, and Scrabble Digital JLT, which owns digital labs in Dubai, which provide movie encoding, processing and compressing services.
– DCI Solutions Worldwide, which operates the digital cinema business in the US and Mexico through associates.
– Southern Digital Screenz India Private Ltd, which rolled out the company’s UFO-M4 digital cinema solutions in the states of Kerala, Tamil Nadu, Karnataka and Andhra Pradesh.