Mumbai: Eros International Media Limited has announced its consolidated financial results for the quarter and six months ended September 30, 2017.
Total Income was lower due to 7 films (no high budget films) released in Q2 FY2018 as compared to 17 films (2 high budget films) released in Q2 FY2017. However, EBIT margins in Q2FY2018 expanded to 31.7% as compared to 19.9% in Q2FY2017 and PAT margins expanded to 20.2% in Q2FY2018 as compared to 12.9% in Q2FY2017 due to the film performances and strong library monetization.
Eros released 2 medium budget and 5 small budget films in Q2 FY18. Major releases were India’s official entry to Oscars 2018 – ‘Newton’, hit comedy ‘Shubh Mangal Savadhan’, ‘Munna Michael’, Trinity Pictures ‘Sniff’ amongst others.
Commenting on the performance of Q2 FY18, Mr. Sunil Lulla, Executive Vice Chairman & MD of Eros International Media Ltd. said,“We have reported a healthy performance during the quarter on the back of strong releases, satellite sales and higher contribution from library monetization. During Q2 FY18, we released a total of 7 films, including films such as the hit comedy ‘Shubh Mangal Savdhan’, the celebrated film ‘Newton’ starring Rajkumar Rao, the Tiger Shroff-starrer ‘Munna Michael’, Trinity’s first release – ‘Sniff’, Projapati Biskut (Bengali) and Baap Janma (Marathi) amongst others.
It is a matter of pride for us that ‘Newton’, was chosen as India’s official entry for the Best Foreign Language Film category at the Oscars 2018. This underscores our strategy of focusing on content-driven films rather than high budget, big star cast formula films. During the period, the Company also continued to focus towards investing in a Hindi and regional film language slate and Trinity Pictures, India’s first franchise-driven Studio.
Looking forward, we have a host of highly‐anticipated releases coming up which include ‘Mukkabaaz’ in January, ‘Happy Bhaag Jayegi Returns’, ‘Chandamama Door Ke’, the India-China co-productions, ‘Panda’ by Kabir Khan, Trinity Pictures’ ‘Elephant Man’ directed by national award winning director Prabhu Solomon, Colour Yellow Productions film starring Shah Rukh Khan amongst others. Overall, the focus is more on content-driven films that are green-lit at an appropriate budget with attractive ROI possibilities and leveraging our strong library of films to generate margin-enhancing performance.”
Highlights of Q2FY18 v/s Q2FY17
Total Income at Rs. 2, 739 mn v/s Rs. 4,887 mn, down 44%
PAT at Rs. 552 mn v/s Rs. 630 mn, down 12.4%
EBIT Margin at 31.7% v/s 19.9%
PAT Margin at 20.2% v/s 12.9%
Highlights of Q2FY18 v/s Q2FY17
Total Income at Rs. 5, 473 mn v/s Rs. 8,991 mn, down 44%
PAT at Rs. 1,035 mn v/s Rs. 1,219 mn, down 12.4%
EBIT Margin at 29.4% v/s 19.8%
PAT Margin at 18.9% v/s 13.6%
