BookMyShow turns profitable; FY23 operating revenue nears Rs 1,000 crore

BookMyShow, India's leading online entertainment ticketing platform, has made a remarkable turnaround, swinging to a net profit of Rs 85.72 crore in FY23 from a year-earlier loss of Rs 92.2 crore. This impressive feat marks the company's resilience and adaptability in the face of unprecedented challenges posed by the COVID-19 pandemic.

A Resurgence from Pandemic-Induced Setbacks:

The pandemic's impact on the entertainment industry was severe, forcing cinemas and event venues to shut down for extended periods. BookMyShow, heavily reliant on ticket sales for these outlets, bore the brunt of these disruptions. In FY21, the company's revenue plummeted to Rs 74 crore, and it was forced to lay off employees to cope with the standstill.

A Revenue Trifecta: Tickets, Live Events, and Diversification:

The easing of pandemic restrictions in FY23 brought a welcome resurgence in entertainment activities, and BookMyShow capitalized on this opportunity. Online ticket bookings, the company's core business, played a pivotal role in the turnaround, generating Rs 613 crore in FY23, a significant increase from Rs 218 crore in FY22.

Live events, another key revenue stream, witnessed a phenomenal surge, with income jumping to Rs 237 crore from a mere Rs 25 crore in the previous year. This growth reflects the pent-up demand for live performances and the company's ability to secure partnerships with major event organizers.

Diversification of revenue streams further bolstered BookMyShow's financial performance. Advertising, streaming, food and beverage sales, and other non-operating income contributed to the overall revenue, which soared to Rs 1,026 crore in FY23 from Rs 302 crore in FY22.

Expenditure Management: A Balancing Act:

Despite the revenue surge, BookMyShow's total expenditure also increased to Rs 945 crore in FY23 from Rs 395 crore in FY22. This rise is primarily attributed to revenue share payments to cinema owners for movie tickets and artist fees for live events. Additionally, expenses related to payment gateways, production, employee benefits, and food and beverage contributed to the overall increase.

The Road Ahead: Navigating a Competitive Landscape:

BookMyShow's return to profitability is a testament to its ability to adapt and innovate amidst challenging times. However, the company faces stiff competition from Paytm Insider, a key rival in the movie and events ticketing space. Additionally, the entry of Zomato's going-out business into the live events segment adds another layer of competition.

To maintain its growth trajectory, BookMyShow will need to continue innovating, expanding its reach, and diversifying its offerings. Capitalizing on the rising demand for online entertainment and personalized experiences will be crucial for its continued success.

Data Points for Further Analysis:

• BookMyShow's operating revenue surged 3.5X from Rs 277 crore in FY22 to Rs 976 crore in FY23.

• Income from online ticket bookings grew 2.85X, reaching Rs 613 crore in FY23.

• Income from live events witnessed a 9.5X jump, reaching Rs 237 crore in FY23.

• Total expenditure increased 2.38X, reaching Rs 945 crore in FY23.

• BookMyShow's net profit of Rs 85.72 crore marks a significant turnaround from the Rs 92.2 crore loss in FY22