‘Dhurandhar’ Quarter for PVR Inox: Should You Buy the Stock Now?

Mumbai | February 6

PVR Inox posted a strong set of numbers for the December quarter, led by blockbuster releases such as Dhurandhar and improved operating efficiency.

The multiplex chain reported a 167% year-on-year jump in consolidated net profit to ₹95.7 crore in Q3 FY26, compared with ₹35.9 crore a year ago, according to a regulatory filing. On a sequential basis, profit declined 9.4% from ₹105.7 crore in the September quarter.

Revenue from operations rose 9.5% year-on-year to ₹1,879.8 crore, supported by higher footfalls and improved realisations. Sequentially, revenue was up about 3%.

At an operating level, EBITDA stood at ₹662.1 crore, up 16.3% year-on-year, while margins improved to 34.5% from 32.4% in the year-ago period.

Footfalls and pricing improve

PVR’s footfalls increased 8.6% year-on-year to 4.05 crore during the quarter, while occupancy stood at 28.5%.

Average ticket price rose 4.1% to ₹293, and food-and-beverage spend per head increased 4.2% to ₹146.

Performance was driven by a healthier genre mix and a more consistent release slate, led by Dhurandhar, which crossed ₹1,000 crore at the box office.

Debt reduction strengthens balance sheet

A key positive of December quarter was improvement in balance sheet. Net debt declined to ₹365 crore, the lowest level since the PVR–Inox merger, supported by strong operating cash flows.

The recent divestment of the 4700BC gourmet popcorn brand to Marico for ₹226.8 crore is expected to further strengthen the balance sheet, with limited impact on margins.

PL Capital view

Following the results, PL Capital reiterated a BUY rating on PVR Inox with a target price of ₹1,274, implying an upside of about 29% from current levels.

Sustained margin delivery despite sub-30% occupancy, falling leverage and the company’s shift towards a capital-light expansion model as key positives.
Capex is also pegged at Rs350 -400 Crore for FY27E.

PVR Inox plans to add around 150 gross screens in FY27, largely under FOCO and asset-light formats, helping preserve capital while expanding its footprint.

PVR Inox is trading at 7–9 times its est EBITDA over FY27–FY28, which leaves room for re-rating as earnings improve. Based on rolling valuations to FY28, the target price stands at ₹1,274, keeping the buy view intact.

For detailed Report on PVR click here.

Stock reaction

The shares of PVR inox closed 1.4% higher at ₹1,000.90.

The stock experienced an intraday high of ₹1,013.00 and a low of ₹959.00.

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