Pooja Entertainment, led by Vashu Bhagnani and Jackky Bhagnani, is currently facing significant financial challenges. According to a recent report, the company's profit for the fiscal year 2023-24 stands at Rs 8 crore. Despite this profit, Pooja Entertainment's stocks have hit the day's lowest trading limit, dropping by approximately 36% over the last six trading sessions.
The Economic Times reported that Pooja Entertainment had revenues of Rs 58.07 crore and a profit of Rs 8 crore in the 2023-24 financial year. This is an improvement from the previous year, where the company reported Rs 46.6 crore in revenue and Rs 2.86 crore in profit. However, despite the increase in revenue and profit, the company's stocks have suffered a significant decline. On Monday, the stocks closed at Rs 298.85, marking a 5% decline and hitting the day's lowest trading limit.
Reports indicate that Pooja Entertainment is grappling with substantial financial losses, primarily due to a series of flops. Bollywood Hungama reported that the company is facing Rs 250 crore in losses. To manage this debt, Vashu Bhagnani sold the seven-story office of Pooja Entertainment. The proceeds from this sale were used to pay off debts, but the financial strain has led to severe measures, including laying off 80% of the production house's staff.
Amid these financial woes, Jackky Bhagnani revealed that Bollywood actor Akshay Kumar reached out to offer his support. "Akshay was the first person to call me and say not to worry, and let him know if there was anything to do. He lent his unconditional support. I also got calls from Sunny Deol, Suniel Shetty, and also my old friend David Dhawan. I am really moved by everyone, they are people who stick by you," Vashu Bhagnani told ANI.
In a statement, Jackky Bhagnani emphasized the support received from Akshay Kumar. "Akshay sir met me recently to discuss this matter. Upon learning about this situation, Akshay sir didn’t hesitate to step forward and show his support for the crew. He has insisted that his payments be placed on hold until every single crew member working on our projects receives their full and final payment. We are incredibly grateful for Akshay sir’s understanding and his willingness to stand with us during this time. The movie business hinges on strong relationships and that is the spirit we strive to foster in the industry," Jackky Bhagnani said.
The support from industry peers highlights the close-knit nature of the Bollywood community, especially during times of crisis. Despite the challenging financial landscape, Pooja Entertainment continues to push forward, relying on the strength of these relationships.
The financial instability at Pooja Entertainment underscores the volatility of the film industry, where success and failure can significantly impact a production house's fortunes. The recent flops have had a cascading effect on the company’s financial health, leading to the need for drastic measures such as the sale of assets and significant layoffs.
As Pooja Entertainment navigates these turbulent waters, the support from industry stalwarts like Akshay Kumar and others provides a beacon of hope.
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