FY 2008-09 : Business Review
June 30, 2009
Films Limited
2
Highlights : FY 09
BIG Cinemas screens increased from 147 screens to 429 screens Added 54 screens to reach 201 screens in India Added 165 screens in US Added 63 screens in Malaysia Awarded ‘International Exhibitor of the Year’ at CineAsia, Macau
Launched the state-of-the-art DI lab and achieved market leadership in 9 months
Launched Digital Cinema Mastering and is now India’s leading provider of DCI-grade digital cinema services, including mastering, installation & service
World first of commercial distributing film over fibre
Established and built a leadership position in the broadcast equipment rental and technical support business
Acquired Lowry Digital, a premier and prestigious image enhancement entity, based in Los Angeles
3
Conceptualised a Media BPO business for digital restoration and content processing services facilities
Currently operational with 300 persons and executing a prestigious NFAI assignment
Conceptualised and implementing 200,000 sq ft studio facility, with 8 sound stages, at Film City Studio in Mumbai
Will support a mix of film and TV content First phase operational from October 2009
Employee and associate strength: 3,500 Management depth : 125 professionals with > 10 years experience
Highlights : FY 09
Film Exhibition
Cinemas : India, US & Malaysia
5
Financials
Consolidated turnover of Rs. 345 Crores, which is a 120 % increase over previous year
EBIDTA loss of Rs.10 Crores (against a profit of Rs.18 Crores in previous year)
Loss primarily on account of :
Business scale-up and stabilisation : 282 screens added across 62 locations US refurbishment and re-branding in progress Project expenses written off Weak Q 4 performance of films
Box Office Statistics
India Account for 11-14% of NBOC for Hindi films Amongst the 6 national chains, BIG contributes to 21% of total NBOC & 30% of total
Admissions
Malaysia 3rd largest operator with 10% of total BOC across Malaysia
US Cinema Operations
6
US
Account for 25-35% of Hindi BOC and over 60% of Tamil & Telugu BOC, across US
Q1 strike impact marginal : Hollywood films like Fast & Furious, Terminator - Salvation, X Men - Origins, Star Trek, Angels & Demons and Regional Content like Ayan & Kick have resulted in strong box office collections
Refurbishment exercise kicked off with cinema at Chicago 11 properties to be completed in a phased manner by October
Film services
8Adlabs has built competencies in handling film : being leveraged to cover a range of services
Successfully built a presence across the film and media value chain
TV/DTH/ IPTVMobileAdlabs BPO
Lab & Mechanical effects
Processing Lab
Retained dominant market share in hindi films
219 films processed across Mumbai, Chennai & Kolkata with 28,866 prints
Digital Intermediate
Business commissioned in Jun’08; within 9 months became a market leader with 40% market share
Over 40 films including Singh is Kinng, Sarkaar Raaj and Delhi 6
Equipment Rentals and technical support : Lights, Cameras, Grips
Established presence in TV broadcasting over the last 1 year as a premium service provider
Major shows and events covered : Oye! its Friday, Nach Baliye 4, Jhalak Dikhla Ja, Indian Telly Awards, ITA Awards, Delhi Half Marathon, ET Corporate Awards, Standard Chartered Mumbai Marathon, NDTV Telethon among others
Conceptualized and implementing a 200,000 sq ft studio facility in Mumbai9
Digital Services
Lowry Digital
Lowry Digital, a premier and prestigious image enhancement entity based in Los Angeles, recently completed work on the movie “The Curious Case of Benjamin Button”, which received 13 Oscar nominations and 11 BAFTA nominations
Revenues of FY 09 were up 100% over the previous year
Digital Cinema Mastering
Market leader in digital cinema mastering, installation and distribution
First in the world to commercially distribute digital cinema films over the optic fiber cable (OFC), using Reliance Communications’ FLAG network, from India to US
Conceptualised and implementing one of the largest Media BPOs facility in Mumbai
All new businesses added in services space are already cash positive
10
Big Synergy
Synergy Adlabs is a key player in Television Programming
Revenue for FY 09 were Rs. 40 crores, up 38% over previous year
EBIDTA of Rs. 8.9 crores, up 70% over previous year
Shows completed include : Kya Aap Panchavi Pass Se Tez Hain , Dus Ka Dum, Aap Ki Kachehari, Angrezi Mein Kehte Hain, Jiya Jale , Bollywood Ka Boss & Champ
12
Financials FY 09
Financials FY 09 (Rs. In Crores)
14
Current Year Last Year* % Change
Revenue 662.40 364.51 114.25
EBIDTA from Operations 68.22 43.32 24.90
Depreciation 38.58 18.52 108.32
Interest 63.60 14.83 328.86
Profit before tax (49.61) 44.05 (212.62)
Taxation 5.02 (3.96) (226.77 )
Profit after taxation (54.63) 48.01 (213.79 )
* Nine months