1. Opening Hook
Just when everyone thought cinema screens were destined to become oversized LED walls for wedding videos, UFO Moviez returned with Q2 results that whispered,“Intermission khatam, picture abhi baaki hai.”
A decent movie slate, ad volumes picking up, and rural vans (Caravan Talkies) finally showing signs of life — the company behaved like Bollywood in the 90s: overdramatic recovery, but entertaining.
And yes, content still decides their fate more than strategy ever will. But hey — the interval popcorn is smelling good again. Stick around… because the second half of this concall story gets juicer than a multiplex cola.
2. At a Glance
- Revenue ₹1,113M –Q2 collections better than last year; movies didn’t ghost this quarter.
- EBITDA ₹218M –Profitability walked in like a superstar cameo.
- Net Profit ₹75M –From losses last year to “main laut aaya hoon.”
- Network: 3,795 screens –Big footprint, bigger aspirations, bigger MG obligations.
- Ad minutes rising –Slowly crawling back to FY19 glory days.
- Cash ₹1,348M; Net cash ₹606M –Balance sheet says, “No more COVID trauma, please.”
3. Management’s Key Commentary (Quotes + Sarcastic Translation)
Quote:“Q2 delivered steady theatrical performance across languages and genres.”(Translation: A few films bombed, but thankfully others saved the day. Bollywood being Bollywood.)
Quote:“Advertising revenue saw robust growth.”(Translation: Corporate finally returned, and government ads didn’t ghost us completely.)
Quote:“Caravan Talkies is not a steady-state business.”(Translation: Yeh kabhi bhi chal sakta hai… ya kabhi bhi band. Don’t plan on it.) 😏
Quote:“Merger synergies are mostly already realized.”(Translation: Most cost cutting is done; don’t look for magical savings ahead.)
Quote:“Digital cinema adoption in smaller towns has huge upside.”(Translation: Yes, opportunity hai… bas paisa aana aur theatres banana baaki hai.)
Quote:“Government advertising has shrunk dramatically.”(Translation: Sarkar ne purse strings band kar diye. Corporate, please save us.)
Quote:“We are selling 4.5 minutes; can go to 10 minutes.”(Translation: Volume potential is massive — content gods permitting.)
Quote:“Not increasing digital delivery charges; it’s a competitive market.”(Translation: Raise prices? And let competitors snatch our screens? No thanks.)
Quote:“Nova Cinema pilot in small towns hasn’t worked well.”(Translation: Tier-3 India said ‘no thanks’ to theatres… for now 🙃.)
4. Numbers Decoded
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Metric Q2 FY26 Q2 FY25 Q1 FY26
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Revenue (₹ Mn) 1,113 968 1,090
EBITDA (₹ Mn) 218 102 193
PAT (₹ Mn) 75 -9 65
Screens (Ad Network) 3,795 ~3,700 3,780
Movies Released 462 470 456
Cash (₹ Mn) 1,348 — 1,300+
Net Cash (₹ Mn) 606 — ~580
----------------------------------------------------------------------One-liners:
- Ad revenue is the hero; content performance is the villain-turned-antihero.
- Product sales helped, Nova didn’t.
- Gross margin expansion = high operating leverage magic.
- Government ads missing in action (like half of Bollywood scripts).
5. Analyst Questions (Summaries + Comic Translations)
1. Caravan Talkies sustainability?Mgmt: Not predictable; depends on weather, gov projects.(Translation: Rural India & monsoon decide this business, not us.)
2. Scrabble merger synergies?Mgmt: 90–95% already realized.(Translation: Don’t expect more fireworks.)
3. Digital cinema expansion in small towns?Mgmt: Huge potential… but needs industry revival first.(Translation: Pehle industry recover ho jaaye, phir dekhte hain.)
4. Ad minutes returning to FY19 levels?Mgmt: By Q3/Q4, likely yes.(Translation: Bada blockbuster aa gaya toh ho jaayega.)
5. Why not charge more for digital content delivery?Mgmt: Competitive market; sweet spot reached.(Translation: Price badhaya toh distributor bhaag jayega.)
6. Nova Cinema profitability?Mgmt: Poor results; too small towns.(Translation: Tier-3 didn’t watch movies; humne try kar
