UFO - UFO Moviez
📢 Recent Corporate Announcements
UFO Moviez reported a mixed Q3 FY26 with PAT declining to ₹64 million from ₹153 million YoY, impacted by a softer festive season and lower government ad spending. Despite the quarterly dip, the 9M FY26 performance shows a significant turnaround with a net profit of ₹204 million compared to a ₹103 million loss in the prior year. The company maintains a strong balance sheet with ₹1,271 million in gross cash and is actively considering shareholder rewards like buybacks once accumulated losses are cleared. Management remains optimistic about Q4 FY26, citing a robust movie lineup including 'Border 2' and 'Toxic'.
- 9M FY26 PAT turned positive at ₹204 million versus a loss of ₹103 million in 9M FY25.
- Consolidated revenue for Q3 FY26 stood at ₹1,319 million, down from ₹1,387 million YoY.
- Net cash position remains healthy at ₹491 million after accounting for outstanding debt.
- Advertising screen network reached 3,783 screens, including 2,304 multiplex and 1,479 single screens.
- Management indicated a preference for buybacks over dividends to improve EPS and ROE given current valuations.
UFO Moviez India Limited has formally submitted applications to BSE and NSE on January 30, 2026, for the reclassification of specific promoter entities. The request seeks to move Apollo Green Energy Limited and Mr. Raaja Kanwar from the 'Promoter' and 'Promoter Group' categories to the 'Public' category. This action follows the Board of Directors' approval granted on January 29, 2026. The reclassification is pending final No Objection/approval from the stock exchanges.
- Application filed with BSE and NSE on January 30, 2026, for shareholding reclassification.
- Apollo Green Energy Limited seeks transition from 'Promoter' to 'Public' category.
- Mr. Raaja Kanwar seeks transition from 'Promoter Group' to 'Public' category.
- The move follows the prior Board approval dated January 29, 2026.
UFO Moviez India Limited has officially released the audio recording of its earnings conference call held on January 30, 2026. The call focused on the company's financial performance for the third quarter and the nine-month period ending December 31, 2025. This disclosure is part of the company's regulatory compliance under SEBI Listing Obligations. Investors can access the recording on the company's website to hear management's detailed commentary on the business outlook.
- Earnings conference call conducted on January 30, 2026, at 12:00 noon IST
- Discussion covered financial results for Q3 and 9M FY26
- Audio recording link made available on the company's official website under the investor section
- Filing submitted in compliance with Regulation 30 of SEBI (LODR) Regulations, 2015
UFO Moviez reported a weak Q3FY26 with consolidated PAT declining 58% YoY to ₹64 Mn and revenue falling 5% to ₹1,319 Mn. The downturn was primarily led by a 30% YoY slump in advertisement revenue, as ad minutes per show dropped from 5.67 to 4.41. Despite the quarterly setback, the 9-month (9MFY26) performance remains strong, with PAT growing 99% YoY to ₹204 Mn on the back of a 7% revenue increase. The company continues to operate a massive network of 3,783 screens across India.
- Q3FY26 PAT fell 58% YoY to ₹64 Mn, while EBITDA declined 31% to ₹210 Mn.
- Advertisement revenue for Q3FY26 dropped 30% YoY to ₹323 Mn compared to ₹460 Mn in Q3FY25.
- 9MFY26 PAT nearly doubled to ₹204 Mn from ₹103 Mn in the previous year's corresponding period.
- Average advertisement minutes sold per show decreased to 4.41 in Q3FY26 from 5.67 in Q3FY25.
- The company maintains a strong pan-India presence with 3,783 screens and a reach of 1,347 cities.
UFO Moviez reported a challenging Q3FY26 with consolidated revenue declining 4.9% YoY to ₹1,319 mn and PAT falling 58.2% to ₹64 mn. The decline was largely attributed to a 29.8% drop in advertisement revenue, which fell to ₹323 mn due to the absence of major star-led blockbusters during the Diwali and Christmas windows. Despite the quarterly setback, the nine-month (9MFY26) performance remains strong, with PAT growing 99% YoY to ₹204 mn. Management remains optimistic about the upcoming content pipeline and operational efficiencies.
- Q3FY26 Consolidated Revenue decreased by 4.9% YoY to ₹1,319 mn.
- Advertisement Revenue for the quarter fell significantly by 29.8% YoY to ₹323 mn.
- Quarterly EBITDA stood at ₹210 mn, a 31.1% decline compared to ₹305 mn in Q3FY25.
- 9MFY26 PAT showed robust growth of 99% YoY, reaching ₹204 mn versus ₹103 mn in the previous year.
- The company maintains a large network of 3,783 screens across 1,347 cities as of December 31, 2025.
The Board of UFO Moviez India Limited has approved the reclassification of Apollo Green Energy Limited and Mr. Raaja Kanwar from the 'Promoter' and 'Promoter Group' categories to the 'Public' category. This decision follows a formal request received on January 19, 2026, which the Board found compliant with SEBI Regulation 31A. The reclassification is now subject to further approvals from the Stock Exchanges (BSE and NSE) and the company's shareholders. Such moves usually occur when specific entities no longer hold management control or significant influence over the company.
- Board approved the reclassification request in a meeting held on January 29, 2026.
- Entities seeking reclassification include Apollo Green Energy Limited and Mr. Raaja Kanwar.
- The request was initially filed under Regulation 31A of SEBI (LODR) Regulations on January 19, 2026.
- Final implementation is pending No Objection from Stock Exchanges and subsequent shareholder approval.
UFO Moviez reported a weak performance for the quarter ended December 31, 2025, with consolidated revenue declining 19.8% YoY to ₹111.28 crore. Net profit for the quarter saw a sharp decline of 50.8% to ₹7.52 crore compared to ₹15.29 crore in the year-ago period. Despite the quarterly slump, the nine-month (9M FY26) performance remains positive with a net profit of ₹20.43 crore, nearly doubling from ₹10.27 crore in 9M FY25. The company also completed the amalgamation of two subsidiaries, Scrabble Digital and UFO Software Technologies, during the current fiscal year.
- Consolidated Total Income for Q3 FY26 fell to ₹111.28 crore from ₹138.71 crore in Q3 FY25.
- Quarterly Consolidated Net Profit dropped significantly to ₹7.52 crore from ₹15.29 crore YoY.
- EBITDA for the quarter decreased to ₹21.78 crore compared to ₹30.51 crore in the previous year's corresponding quarter.
- 9M FY26 Net Profit stands at ₹20.43 crore, showing a strong growth over 9M FY25's ₹10.27 crore.
- Basic EPS for the quarter declined to ₹1.94 from ₹3.96 in the same period last year.
UFO Moviez India Limited has scheduled a conference call for investors and analysts on January 30, 2026, at 12:00 PM IST. This call is intended to discuss the financial results for the quarter and nine months ended December 31, 2025. The company will officially announce these financial results on January 29, 2026. Senior management, including the Group CEO and CFO, will be present to address queries regarding the company's performance and its network of 3,750+ screens.
- Conference call scheduled for January 30, 2026, following Q3 results on January 29.
- Management representation includes Group CEO Rajesh Mishra and CFO Ashish Malushte.
- Company operates India's largest in-cinema advertising platform with 3,750+ screens.
- Network reach extends to 1,300+ cities with an annual impact on 1.8 billion viewers.
UFO Moviez has responded to a clarification sought by the National Stock Exchange regarding discrepancies in Total Income figures for the quarter ended September 30, 2025. The company explained that the difference between its PDF and XBRL filings arose because it presents Finance Income separately in its PDF reports to provide a clearer view of EBITDA. In contrast, the XBRL taxonomy requires Finance Income to be grouped under Other Income. The company confirmed that the underlying financial data is consistent and accurate across both formats, and the discrepancy is purely a matter of presentation format.
- NSE sought clarification on January 12, 2026, regarding Total Income mismatches in XBRL vs PDF filings.
- Company attributes the mismatch to the separate disclosure of Finance Income to assist in EBITDA calculation.
- XBRL format limitations forced Finance Income into the broader 'Other Income' category.
- UFO Moviez confirms that the underlying financial data remains accurate and consistent across all platforms.
Apollo Green Energy Limited and Mr. Raaja Kanwar have formally requested reclassification from the 'Promoter' to 'Public' category in UFO Moviez India Limited. Apollo Green Energy holds 22,66,417 shares (5.84%), while Mr. Raaja Kanwar holds 12,500 shares (0.03%), totaling a 5.87% stake. The entities were early-stage angel investors and currently do not exercise any control, hold board seats, or possess special rights in the company. This request will be reviewed by the Board of Directors in their next meeting and remains subject to regulatory approvals.
- Apollo Green Energy Limited (formerly Apollo International) holds a 5.84% stake in the company.
- Mr. Raaja Kanwar holds a 0.03% stake, bringing the total reclassification request to 5.87%.
- The applicants have confirmed they meet all SEBI Regulation 31A criteria, including holding less than 10% voting rights.
- The entities have no board representation and do not act as Key Managerial Personnel (KMP).
- The Board of Directors will consider the application in its next meeting for further processing.
UFO Moviez India Limited has filed the mandatory compliance certificate under Regulation 74(5) of SEBI (Depositories and Participants) Regulations, 2018. The filing confirms that all securities dematerialized or rematerialized during the quarter ended December 31, 2025, have been processed and reported. This certification was provided by the company's Registrar and Share Transfer Agent, KFin Technologies Limited. Such filings are standard procedural requirements for listed companies to maintain transparency in shareholding records.
- Compliance certificate submitted for the quarter ended December 31, 2025
- Confirms processing of dematerialized and rematerialized securities
- Issued by Registrar and Share Transfer Agent, KFin Technologies Limited
- Standard filing under SEBI (Depositories and Participants) Regulations, 2018
UFO Moviez India Limited has announced the closure of its trading window for designated persons starting January 01, 2026. This mandatory regulatory step is taken in anticipation of the upcoming announcement of the unaudited financial results for the quarter and nine months ending December 31, 2025. The window will remain closed until 48 hours after the results are formally disclosed to the stock exchanges. This is a standard compliance procedure under SEBI's Prohibition of Insider Trading Regulations.
- Trading window closure effective from January 01, 2026.
- Closure pertains to the financial results for the quarter and nine months ended December 31, 2025.
- Restriction applies to all Designated Persons and their immediate relatives.
- Trading window will reopen 48 hours after the public announcement of financial results.
UFO Moviez India Limited's wholly-owned subsidiary, Scrabble Entertainment DMCC, has entered into a strategic tie-up with Shenzhen Timewaying Technology Co. Ltd. Scrabble will exclusively promote, distribute, and deploy HeyLED cinema solutions in the Middle East, India, and other SAARC countries. This collaboration aims to accelerate the adoption of premium LED cinema screens in the specified territory. The partnership leverages Timewaying’s HDR-capable direct view LED technology and Scrabble’s industry presence.
- Scrabble Entertainment DMCC, a wholly-owned subsidiary of UFO Moviez, partners with Shenzhen Timewaying Technology Co. Ltd.
- Scrabble will promote and distribute HeyLED cinema solutions in the Middle East, India, and other SAARC countries.
- Timewaying's HeyLED screen is DCI-certified LED display for cinemas with HDR capability.
- Scrabble was the first Digital Cinema Deployment Entity and DCI Content Service provider to Indian and Hollywood Studios since 2011.
Financial Performance
Revenue Growth by Segment
Consolidated revenue for Q2 FY26 grew 15% YoY to INR 111.3 Cr. In-cinema advertisement revenue grew 33.5% YoY to INR 32.3 Cr in Q2 FY26. Theatrical net revenue from distributors increased 40% YoY to INR 1.4 Cr. Content Delivery Charges (CDC) and VPF service revenue grew 13.9% YoY to INR 24.6 Cr.
Geographic Revenue Split
The company operates across 1,346 cities and towns in India, with a network of 3,466 screens. While specific regional percentage splits are not provided, the network includes 2,279 multiplex screens and 1,516 single screens distributed nationwide.
Profitability Margins
Gross margins improved from 51.5% to 55% in Q2 FY26 due to a better advertisement revenue mix. Net Profit Margin for FY25 stood at 2.27%, down from 3.99% in FY24, reflecting a consolidated profit of INR 9.56 Cr compared to INR 16.36 Cr in the previous year.
EBITDA Margin
EBITDA margin for Q2 FY26 was 19.6% (INR 21.8 Cr), a significant improvement of 113.7% YoY compared to INR 10.2 Cr in Q2 FY25. However, the full-year FY25 EBITDA margin was 13.99%, down from 16.48% in FY24.
Capital Expenditure
The company is currently executing a pilot project for screen expansion in small towns (population <50,000), with 3 screens operational in Northern India and 3 under progress in Maharashtra. Specific INR Cr guidance for total planned Capex was not disclosed.
Credit Rating & Borrowing
ICRA reaffirmed a rating of [ICRA]A (Stable) for long-term fund-based term loans of INR 68.34 Cr and [ICRA]A2+ for unallocated limits. The company maintains a low Debt-Equity ratio of 0.23x as of March 31, 2025.
Operational Drivers
Raw Materials
The primary operational cost is 'Revenue shared with Exhibitors', which accounts for 36.41% of in-cinema advertising revenue. Other costs include content delivery expenses and digital cinema equipment consumables.
Import Sources
Digital cinema equipment and consumables are sourced for the single operating segment of digital cinema services, though specific country sources like China or the US are not explicitly detailed in the documents.
Key Suppliers
The company partners with various film distributors and exhibitors (cinema owners) to secure content and screen inventory, though specific vendor names for hardware are not listed.
Capacity Expansion
Current capacity stands at 3,466 total screens (3,039 CDC category and 427 VPF category). The company is testing a 'proof of concept' for expansion into towns with populations under 50,000, though results have been described as 'not very encouraging' due to content flow timing.
Raw Material Costs
Ad sharing with exhibitors increased to 36.41% in FY25 from 32.44% in FY19. Total operational costs are managed through a single operating segment approach for digital cinema services.
Manufacturing Efficiency
The company delivered 918 movies digitally in H1 FY26. Efficiency is measured by the ability to impact 1.8 billion viewers annually through its 3,795 high-impact ad screens.
Logistics & Distribution
Content is delivered via satellite technology, providing a cost and time arbitrage advantage over physical delivery methods for distributors.
Strategic Growth
Expected Growth Rate
15%
Growth Strategy
Growth is targeted through increasing the mix of corporate and hyperlocal advertising (currently 82% of ad revenue) and expanding the screen network into under-penetrated small towns. The company also focuses on improving gross margins by optimizing the ad-sharing ratio with exhibitors.
Products & Services
Digital cinema services, Virtual Print Fee (VPF) services, Content Delivery Charges (CDC), in-cinema advertising slots, and sale/rental of digital cinema equipment.
Brand Portfolio
UFO, UFO Cine Media Network, Scrabble Entertainment, Scrabble Digital.
New Products/Services
Pilot project for cinema centers in towns with populations less than 50,000 to establish a new 'proof of concept' for profitable rural exhibition.
Market Expansion
Expansion into Maharashtra and Northern India for new screen additions, targeting towns with low cinema density.
Market Share & Ranking
UFO is the largest in-cinema advertising platform in India, reaching 1,346 cities.
Strategic Alliances
The company operates through subsidiaries like Scrabble Entertainment DMCC and Scrabble Digital Inc for international and technical service extensions.
External Factors
Industry Trends
The industry is seeing a shift toward simultaneous OTT and theatrical releases. While the content pipeline remains healthy, the industry experienced a 'muted' Diwali in 2025, highlighting the volatility of seasonal demand.
Competitive Landscape
The market is competitive with 4-5 major players, preventing any single entity from exercising monopoly pricing on digital content delivery.
Competitive Moat
Moat is built on a first-mover advantage in satellite-based cinema digitization and a massive network of 3,795 screens. This network effect makes it the primary choice for advertisers seeking national reach.
Macro Economic Sensitivity
Sensitive to global economic growth (projected at 3.3%) and domestic inflation (projected at 4.2% in 2025), which affects consumer discretionary spending on cinema tickets.
Consumer Behavior
Increased consumption of new movies on OTT platforms is a significant threat, potentially leading to permanently lower cinema footfalls.
Geopolitical Risks
Trade tensions and U.S. tariffs are noted as factors introducing uncertainty into international financial markets, potentially affecting the company's global subsidiaries.
Regulatory & Governance
Industry Regulations
Operations are governed by SEBI (Listing Obligations and Disclosure Requirements) Regulations 2015, particularly Regulation 33 for financial reporting and Regulation 30 for material disclosures.
Taxation Policy Impact
The company complies with Indian GST (27AABCV8900E1ZF) and income tax regulations. Effective tax rates are applied to PBT of INR 10.6 Cr in Q2 FY26.
Legal Contingencies
No reportable material weaknesses in internal controls were observed during the assessment year. Specific values for pending litigation were not disclosed.
Risk Analysis
Key Uncertainties
The primary uncertainty is the 'one-off' nature of blockbuster-driven quarters (e.g., Pushpa 2), which makes revenue consistency difficult to predict. Potential impact on quarterly EBITDA could exceed 20% if major releases fail.
Geographic Concentration Risk
While nationwide, the company is currently focusing expansion efforts on Maharashtra and Northern India, indicating a strategic push in these specific regions.
Third Party Dependencies
High dependency on film producers for content flow and exhibitors for screen inventory. Ad revenue sharing (36.41%) is a critical third-party cost.
Technology Obsolescence Risk
The shift from satellite to other digital delivery methods or high-speed internet streaming to theaters represents a long-term technology risk.
Credit & Counterparty Risk
Debtors turnover of 91.4 days suggests moderate credit risk from advertisers and exhibitors, requiring robust provision for doubtful debts as noted in the cash flow adjustments.