Mumbai: Prime Focus Limited (PFL), a global leader in media and entertainment industry services, today announced its financial results for the quarter and nine months ended December 31, 2016.
The Company delivered stellar results ahead of set targets with consolidated revenues up 8% YoY at Rs. 5.1bn, operating EBITDA up 71% YoY at Rs.1.2bn and a positive PAT of Rs.227mn. The strong performance was driven by robust growth and high profitability across all three businesses.
Key financial highlights:
Quarter ending December’16 (Consolidated)
- Total Revenue for the quarter up 8% YoY at Rs. 5.1bn from Rs.4.7bn in the quarter ending Dec’15, powered by robust growth of 13% in Creative Services and 6% in Tech/Tech Enabled Services
- Creative and Tech/Tech Enabled services contributed 75% and 17% to total segmental revenues, respectively
- Operating EBITDA up 71% YoY at Rs.1.2bn compared to Rs.716mn in the same period of the previous year driven by improved margin profile in Creative Services (23%) and India FMS (33%) along with sustained high margins in PFT (28%)
- Operating EBITDA Margin at 24% compared to 15% in the quarter ending Dec’15, much above the targeted margin of 20%
- PAT at Rs.227mn compared to Rs.(184)mn in quarter ending Dec’15
- Cash Profit (i.e. PAT + Depreciation) at Rs.880mn, Cash Profit Margin at 17%
Nine months ending December’16* (Consolidated)
- Total Revenue for the nine months ending Dec’16 is at Rs. 15.0bn
- Creative and Tech/Tech Enabled services contributed 75% and 17% of total segmental revenues, respectively
- Operating EBITDA for the period at Rs. 3.1bn; EBITDA Margin at 21%
- PAT for the period at Rs. 854mn; Includes exceptional gain of Rs. 977mn
- Cash Profit (i.e. PAT + Depreciation) at Rs. 2.9bn, Cash Margin at 20% (Note: 9MFY17 financials are Ind AS complaint, hence the YoY financials are not comparable)
Key operational highlights for the quarter:
Prime Focus World (PFW)
- Key projects delivered during the quarter include blockbuster movies like Fantastic Beasts and Where to Find Them and Assassin’s Creed
- Robust Order book of over $250mn with movies like Pacific Rim: Uprising, Dunkirk, The Mummy, Wonder Woman, Fast 8, Geostorm, Justice League: Part 1, The Great Wall, amongst others
Prime Focus Technologies (PFT)
- Continues to Invest in Marketing and Product Development, hired head of business development for Canada
- Signed a deal with existing client Tata Sky, to create exclusive subscriber communications for their Value Added Services
- Order book at $200mn to be executed over next 3 to 5 years
Commenting on the results, Mr. Namit Malhotra, Founder, Executive Chairman and Global CEO, Prime Focus Ltd said “We are very happy to report strong financial performance this quarter as we move well ahead of set targets. We are today positioned as a leader in all three of our businesses i.e. Creative Services, Technology Services and India FMS and are witnessing accelerating growth along with increasing industry recognition and acclaim”.
“We are pleased to share that our Creative Services delivered VFX on the recent Hollywood blockbuster “Fantastic Beasts and Where to find them” which is amongst the top 10 movies of 2016 and has grossed over $800 mn at the box office. Our Creative order book is robust $250 mn with many upcoming prestigious projects. Our Tech/Tech Enabled business grew steadily adding new clients and orders while the India FMS business continues to do well, growing robustly with high margins, a testimony of our superior quality” said Malhotra.
“We have established a global track record in delivering top-end, innovative and commercially successful projects. We are beginning to clearly see the benefits of working on a larger canvas.” he added.