PVR INOX targets 150 to 175 annual screen additions from FY28 via asset-light models

PVR INOX plans to launch 150 to 175 new screens every year starting from FY28, accelerating from the targeted 90 to 100 screen additions slated for the current year. Chief Financial Officer Gaurav Sharma revealed in an exclusive interview with ETCFO that the majority of this upcoming expansion will rely on franchise and developer-funded frameworks. In business expansion, asset-light models allow companies to grow their footprint and increase market reach without committing massive capital expenditures to real estate acquisition and direct construction.

Traditionally, cinema operators bore the full upfront cost of building out multiplexes inside retail malls. Under franchise and developer-funded models, property owners or partners shoulder the infrastructure and real estate expenses, while the operator contributes its brand, ticketing systems, and operational expertise. This shifts the financial burden away from the corporate balance sheet, improving return on capital employed (ROCE) and protecting cash flows during cyclical downturns in discretionary spending. Investors and tax professionals should monitor the company's annual financial reports, capital expenditure guidance, and segmental earnings disclosures to verify the execution pace of these franchise agreements.

Corporate finance teams evaluating retail expansion can analyze this strategy as a benchmark for scaling physical operations while minimizing debt exposure. Bottom line: PVR INOX is pivoting toward a low-capital expansion path to accelerate screen growth while safeguarding its financial health.