PVR Cinemas has signed a deal with IMAX for five additional screens. Installing these five additional IMAX screens will cost the company close to about Rs 10-10.5 crore per screen. So the total cost will be about Rs 50-55 crore.
Out of the five, two screens are being planned to be fitted into cinemas, which are ready. So the revenue should start trickling-in in about four months' time, he said.
Remaining three screens are planned for new sites of the company in Chennai, Hyderabad and Delhi. He believes, the revenue for these three screens will be garnered by the year end.
Speaking about ad revenues, he said, the company has a huge headroom to grow as it will be utilising 9 minutes per screen per show.
"Ad revenues have always been between 10 percent and 11 percent of the total revenues. We are hoping that we will be able to keep the same track record". He further added.
He expects 8-10 percent growth year-on-year (Y-o-Y) in ad revenues.
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