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UFO Moviez net profit grows by 33.5% to ₹25.9 crore

UFO Moviez, a digital cinema distributor for theaters that doubles up as an ad platform, grew its net profit by 33.5% to ₹25.9 crore. Its advertising revenue grew more than twice as much, at 73.1% to ₹25.9 crore. UFO is the largest digital film distributor in India, and says that its tech allows the films it releases to come out on the same day throughout the country. It also negotiates theatrical advertisements for partner screens, so that theater owners don't have to negotiate ads individually. Other performance highlights Advertising revenue The company's advertising revenue has had a constant CAGR of 25%, and has grown to ₹213.6 crore in FY 2018. The much higher year-on-year growth for the quarter, however, has come on the back of UFO increasing the average duration of ads shown per show from around four minutes to over 7 minutes. The annual average is little over five minutes per show. 57% of UFO's advertising revenue came from the government and PSUs in FY18. Screens UFO Moviez advertises on both multiplex and single screens, with a little over a fourth being multiplexes. Since 2015, the number of overall screens has been mostly stable, while single screens have declined by around 10%. The number of multiplex screens grew to 1,194, with an overall screen network for advertising of 3897. Ever since the (regulatory clearance pending) merger with Qube, UFO's portfolio of screens where it advertises has grown tremendously, and more than doubled in South Indian states. In South India, UFO…

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I cover the digital content ecosystem and telecom for MediaNama.

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