Multiplexes occupancy to pick up in FY25 – OTT no threat

Multiplexes occupancy to pick up in FY25 – OTT no threat

It comes as a good news that occupancy in multiplexes
dawdling behind pre-Covid levels, is expected to pick up in FY25.

The last two-three years has shown the growth in both revenue and profitability wise.Thanks goes to a steady increase in the number of film releases and a notable rise in the average ticket price (ATP) and spend per head (SPH).

Nevertheless occupancy levels still fall short of pre-pandemic figures. India Ratings predicts that occupancy will amplify in FY25, supporting further revenue and profitability growth for multiplexes.

Regardless the rise of over-the-top (OTT) platforms, they are expected to coexist with multiplexes without posing any immediate threat.

Broadcasters and newsprint companies are also likely to see continued improvement in advertisement revenue, even as cable companies diversify into broadband services.

Cable TV companies are combining their TV services with broadband internet to rake in more moolah and reduce financial stress from their TV business. This means they use their existing equipment better to offer customers packages with both TV and internet, which are more profitable.

In the interim, companies that offer both cable TV and broadband are spreading out to new areas. This helps them avoid losing customers to other companies that are also trying hard to get customers.

By doing this, these companies hope to keep making money steadily even in tough competition.

News Edit K.V.Raman