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PVR Ltd Stock Analysis

Mid Cap
Evaluated by 1959 users | BSE: 532689 | NSE: PVR |
Film Production, Distribution & Entertainment

PVR Ltd is the market leader in terms of screen count in India. Since 1997, the brand has redefined the cinema industry and the way people watch movies in the country. The company has, over the years, consistently added screens, both organically and...

1. Right Stock
Very Good
2. Right Price
3. Right Time

Analysis of Financial Track Record

Data adjusted to bonus, split, extra-ordinary income, rights issue and change in financial year end
Financial track record gives insight into the company's performance on key parameters over the past ten years. MoneyWorks4me’s proprietary colour codes make it easy for retail investors to gauge the company’s past performance.
PVR Ltd has performed well in some of the past ten years indicating its past ten year financial track record is somewhat good
Value Creation
Value Creation Index Colour Code Guide
 Mar'11Mar'12Mar'13Mar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20TTM
Return on Capital Employed 6.95%8.08%9.6%10.57%6.63%12.27%9.5%9.86%12.09%13.22%-
Value Creation Index -0.43-0.33-0.21-0.13-0.450.01-0.22-0.190.000.09-
Growth Parameters
Growth Parameters Colour Code Guide
Net Sales (Rs. Cr.) 3514766701,2711,3841,7202,0022,2463,0393,284263
Y-o-Y Gr. Rt.-35.7%40.8%89.7%8.9%24.3%16.4%12.2%35.3%8.1%-
Adjusted EPS (Rs.) 6.078.4312.8712.424.1722.2721.1425.6440.175.47-118.13
Y-o-Y Gr. Rt.-38.9%52.7%-3.5%-66.4%434.1%-5.1%21.3%56.7%-86.4%-
Book Value per Share (Rs.) 104.08103.64159.2792.8393.83169.32200.21221.25308.75278.79267.42
Adjusted Net Profit 16.822.251.95217.610610112219128.6-718
Net Op. Cash Flow (Rs. Cr.) 39.231.3112209145334332401839819-
Debt to Cash Flow from Ops 3.375.393.292.875.191.972.472.071.531.58-
Standalone financials take only the parent company into account while consolidated financials take into account financials of the parent company as well as of all its subsidiaries. In most companies consolidated financials should be used for analysis.
PVR Ltd. should be analysed on a Standalone basis
CAGR
CAGR Colour Code Guide
  9 yrs 5 yrs 3 yrs 1 yr
Net Sales 28.2%18.9%17.9%8.1%
Adjusted EPS -1.2%5.6%-36.3%-86.4%
Book Value per Share 11.624.311.7-9.7
Share Price 25.5% 4.9% 8.6% 29.2%
Key Financial Parameter
Performance Ratio Colour Code Guide
 Mar'11Mar'12Mar'13Mar'14Mar'15Mar'16Mar'17Mar'18Mar'19Mar'20TTM
Return on Equity (%) 6.277.9311.3310.054.4616.7511.0612.1515.11.95-43.25
Operating Profit Margin (%) 13.214.3714.9715.4513.415.7714.5817.0618.9532.37-117.21
Net Profit Margin (%) 4.784.677.754.091.276.155.035.436.290.87-273.42
Debt to Equity 0.560.720.571.541.90.820.860.790.870.89-
Working Capital Days 152137109811038880838090-
Cash Conversion Cycle -24-19-26-33-39-31-29-30-34-25-
Corporate Governance What do we look at?
Corporate Governance
Board Credentials
Promoter's holding
Transparency
Integrity
Entity Percentage Holding
Promoters 17.06%
Institutions 64.58%
Non-Institutions 18.36%
Pledged *0.000.000.000.000.000.000.000.000.000.00
* Pledged shares as % of Promoter's holding (%)

MoneyWorks4Me analysed the past 10-year performance of PVR Ltd and arrived at the following conclusion:

Past 10 year's financial track record indicates that PVR Ltd is a average quality company. However, for specific investment actions please connect with your investment advisor.

The 5-year analysis of PVR Ltd's performance infers:

PVR Ltd earnings have grown by 5.6%, whereas share price has appreciated 4.9% CAGR over the past five years, indicating the company's share price is likely undervalued. However, for specific investment actions please connect with your investment advisor.

We analysed the performance of PVR Ltd share prices over the last 10 years. Here is what we found out:

PVR Ltd share price has appreciated 27.3% annually over the past ten years.

PVR Ltd is the market leader in terms of screen count in India. Since 1997, the brand has redefined the cinema industry and the way people watch movies in the country. The company has, over the years, consistently added screens, both organically and inorganically, through strategic investments and acquisitions which includes ‘Cinemax Cinemas’ in November 2012, ‘DT Cinemas’ in May 2016 and ‘SPI Cinemas’ in August

PVR Ltd is the market leader in terms of screen count in India. Since 1997, the brand has redefined the cinema industry and the way people watch movies in the country. The company has, over the years, consistently added screens, both organically and inorganically, through strategic investments and acquisitions which includes ‘Cinemax Cinemas’ in November 2012, ‘DT Cinemas’ in May 2016 and ‘SPI Cinemas’ in August 2018.

The company offer a diversified cinema viewing experience through our formats, including ‘PVR Director’s Cut’, ‘PVR Gold Class’, ‘PVR IMAX’, ‘PVR Superplex’, ‘PVR P(XL)’, ‘PVR Playhouse’, ‘PVR ECX’, ‘PVR Premiere’, ‘PVR ICON’, ‘PVR LUXE’, ‘PVR Cinemas’ and ‘PVR Utsav’, and pursuant to acquisition and amalgamation of SPI Cinemas, ‘Escape’, ‘Sathyam’ and ‘Palazzo’. The Company exhibits diversified content to serve different regional customer segments across India.

The company has a diversified revenue stream and generates revenues primarily from box office and non-box office which primarily includes revenue from Sale of Food and Beverages, advertisement income, convenience fees, and income from movie production/ distribution among others.

Business area of the company

PVR is in the business of movie exhibition and production and operates largest cinema circuit across India.

Awards and Recognitions

  • 2004 Teacher’s Achievement Award FICCI Frames’ Newsmaker of the Year
  • 2005: Delhi Ratna Award -PHD Chambers of Commerce and Industry Indian Retail Forum’s Entrepreneur of the Year
  • 2012: CNBC’s Emerging India Award: Media and Entertainment
  • 2013: EY Entrepreneur of the Year Award for Business Transformation World Economic Forum’s Fastest Growing Global Growth Company
  • 2014: IMAGES Most Admired Retailer of the Year: Entertainment (5 years in a row)
  • 2015: India’s Most Trusted Cinema-Display Brand-The Brand Trust Report Businessworld Best Cinema Chain: National
  • 2016: CNBC Asia’sIndia Innovator of the Year Fortune India’s Next 500 Big Cine Expo’s Top Multiplex Chain of the Year IMAGES Most Admired Retailer of the Year
  • 2017: CineAsia’s Asian Exhibitor of the Year PVR was presented Asia’s Best Employer Brand Awards 2017
  • 2018-19: Best CFO (Excellence in Mergers & Acquisitions) to Mr. Nitin Sood by ET Now
  • 2018-19: Most Innovative Mid-Sized Company by ET Now 
  • 2018-19: The Kotler Award of Excellence for Digital Transformation, World Marketing Summit
  • 2018-19: Best Tech Award Supporting Energy Efficiency at the Future of Energy Management Summit & Awards 2018
  • 2018-19: ‘4700BC Popcorn’ received the ‘Food & Grocery Brand of the year (Snacks)’ award by the Global Awards for Retail Excellence
  • 2018-19: ‘4700BC Popcorn’ received the ‘Most Talented Food Industry Leaders’ award by the Asia Food Congress and Awards
  • 2018-19: National Best Employer Brand 2018 by Employer Branding Institute - India
  • 2018-19: Best Leadership Development Programme for Middle Management by the World Training and Development Congress
  • 2019-20: Indian Digital Awards for Best Use of Real-Time Streaming and Best Messaging Campaign in Digital Marketing.
  • 2019-20: NIPMAN Foundation Microsoft Equal Opportunity Award for Physical Accessibility at PVR.
  • 2019-20: Most Innovative Mid-Sized Company at ET Innovation Awards.
  • 2019-20: PVR’s Annual Report for FY 2018-19 has been Ranked 17th Globally (2nd in India), by the League of American Communications Professionals (LACP) in the 2018/19 Vision Awards Annual Report Competition
  • 2019-20: Top Multiplex chain of the year at Big cine Expo
  • 2019-20: Most Admired Retail Tech Implementation of the Year - PVR’s Accessible Cinema Program at the IMAGES Retail Forum.
  • 2019-20: Indian Content Leadership Awards for Content Enterprise of the Year; Best Content in an Experiential Marketing Campaign; Best Content in a Digital Media Campaign by a Retail Enterprise; Best Content in a Digital Media Campaign by a Media/Entertainment Enterprise and Best Content in a Performance-Driven Mobile Campaign.
  • 2019-20: Masters of Modern Marketing Awards and Conference (mCube Awards) for Multi-Channel Campaign; Content in Email Marketing Campaign; Best Experiential Marketing Campaign; digital Campaign by a
  • 2019-20: Media/Entertainment Enterprise; and Best Content in a Mobile Marketing Campaign
  • 2019-20: PVR - Investor Relations won Most Outstanding Company in India - Media Sector, in the 2019 Asiamoney Asia’s Outstanding Companies Poll.

Milestones

  • 1997: Opened first cinema in Delhi.
  • 2003: Received first private equity investment.
  • 2006: Listed on the stock exchanges.
  • 2012: Acquired Cinemax Cinemas.
  • 2016: Acquired DT Cinemas.
  • 2016: Crossed over 500 screens.
  • 2018: Acquired SPI Cinemas.
  • 2018: Crossed over 700 screens.
  • 2019: Crossed over 800 screens.
  • 2019: Raised Rs 500 crore through qualified institutional placement.
  • 2019: Expanded footprints in Sri Lanka.
  • 2020: Raised Rs 300 crore through Right issue (Subscribed more than 2 times).
Puchho Befikar
SEBI Registered: Investment Adviser - INA000013323

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