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Cineline India
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Cinemax India Ltd, a part of the Kanakia Group is one of the most prominent entertainment companies in India. The company is currently operating in the film exhibition and gaming businesses. They run one of the largest film exhibition chains in the country with 25 properties having 74 screens, out of which 32 screens are in tax-free locations. They also operate in the gaming business under the brand name 'Giggles'. There are four Giggles outlets in the country Eternity Mall, Thane; Eternity Mall, Nagpur; Iscon Mall, Rajkot and Dev Arc Mall, Ahmedabad.
The company has four subsidiaries, namely Vista Entertainment Pvt Ltd, Growel Entertainment Pvt Ltd, Nikmo Finance Pvt Ltd and Cinemax Motion Pictures Ltd. Nikmo Finance is a subsidiary of Growel Entertainment Pvt Ltd. The multiplex at Versova, Mumbai is operating under Vista Entertainment Pvt Ltd and the multiplex at Kandivali-East, Mumbai is operating under Nikmo Finance Pvt Ltd.
Cinemax India Ltd was incorporated in the year 2002 as Cineline Entertainment (India) Pvt Ltd to carry on the business of building owning and operating Multiplexes Theatres and entertainment centres. The name of our company was changed to Cinemax Cinemas (India) Pvt Ltd on December 23 2005. In June 12, 2006, the company was converted into a public limited company and the name was changed to Cinemax India Ltd.
In December 1997, the first theatre commenced its operations at Goregaon-West, Mumbai that was owned and operated collectively by the merged entities Kanakia Creators Private Ltd and Kanakia Shelters Pvt Ltd. In February 1998, the second theatre commenced its operation at Kandivali-West, Mumbai, which was owned and operated by the merged entity Hariyash Theatres Pvt Ltd.
In August 1998, theatre at Andheri-East, Mumbai, commenced its operation that was owned and operated by the merged entity Vrushti Theatres Pvt Ltd. In October 2000, the first theatre with multiple screens at Sion, Mumbai under the brand name 'Cine Planet' commenced its operations, which was owned and operated by the merged entity Rupam Pvt Ltd.
In December 2003, the company commenced operation in the first Multiplex at Wonder Mall, Thane under the brand name 'Cine Wonder'. In May 2004, they commenced operation in the multiplexes at Mira Road, Mumbai under the brand name 'Cine Prime' and at Nasik under the brand name of 'Cine Zone'. In December 2004, Vista Entertainment Pvt Ltd became a subsidiary of the company.
In April 2005, all the Theatres/ Multiplexes renamed to 'Cinemax' to create a chain of Theatres/ Multiplexes, centered on the brand Cinemax. In September 2005, the company operated a Multiplex at Versova under a conducting arrangement through their subsidiary Vista Entertainment Pvt Ltd.
In April 2006, the company carried out a restructuring exercise, wherein seven of their group companies, namely Rupam Pvt Ltd, Hariyash Theatres Pvt Ltd, Kanakia Shelters Pvt Ltd, Kanakia Creators Pvt Ltd, Vrushti Theatres Pvt Ltd, Cineline Cinemas (India) Pvt Ltd, and Cineline Multiplex Theatres (India) Pvt Ltd were merged with the company with effect from April 1, 2006.
In April 2006, Growel Entertainment Pvt Ltd became the subsidiary of the company. In May 2006, the company opened the Eternity Mall with Multiplex and the first Giggles-The Gaming Zone at Cinemax-Eternity Mall in Thane.
During the year 2006-07, the company made an initial public offer of 89.20 lakh equity shares having face value of Rs 10 each, comprising of fresh issue of 70 lakh equity shares and 19.20 lakh equity shares by way of offer of sale by promoters. The equity shares of the company were listed on the National Stock Exchange and Bombay Stock Exchange on February 14, 2007.
During the year 2007-08, the company opened 19 new screens taking the total number of screens across the country to 52. In April 22, 2008, they incorporated Cinemax Motion Pictures Ltd for movie distribution and production business.
During the year 2008-09, the company opened 22 new screens in 7 new properties, adding 6,301 seats and this, taking the total seat capacity to 20,305 across 25 properties in 6 states. They commenced three Giggles outlets in the Eternity Mall, Nagpur; Iscon Mall, Rajkot and Dev Arc Mall, Ahmedabad.
In 2009-10, the company plans to open around 40 new screens across 12 new properties. Around 30 of these screens are in advanced fit-out stage. They plan to launch five more outlets by 2010. In addition, they plan to open four 'Giggles' outlets in Sion and Mira Road in Mumbai, Nasik in Maharashtra and Baroda in Gujarat in the coming years.
Cineline India share price reflects investor sentiment toward the company and is impacted by various factors such as financial performance, market trends, and economic conditions. Share price is an indicator which shows the current value of the company's shares at which buyers or sellers can transact.
Market capitalization of Cineline India indicates the total value of its outstanding shares. Marketcap is calculated by multiplying share price and outstanding shares of the company. It is a helpful metric for assessing the company's size and market Valuation. It also helps investors understand how Cineline India is valued compared to its competitors.
Cineline India PE ratio helps investors understand what is the market value of each stock compared to Cineline India 's earnings. A PE ratio higher than the average industry PE could indicate an overvaluation of the stock, whereas a lower PE compared to the average industry PE could indicate an undervaluation.
The PEG ratio of Cineline India evaluates its PE ratio in relation to its growth rate. A PEG ratio of 1 indicates a fair value, a PEG ratio of less than 1 indicates undervaluation, and a PEG ratio of more than 1 indicates overvaluation.
Return on Equity (ROE) measures how effectively Cineline India generates profit from shareholders' equity. A higher ROE of more than 20% indicates better financial performance in terms of profitability.
Return on Capital Employed (ROCE) evaluates the profitability of Cineline India in relation to its capital employed. In simple terms, ROCE provides insight to investors as to how well the company is utilizing the capital deployed. A high ROCE of more than 20% shows that the business is making profitable use of its capital.
Total debt of Cineline India shows how much the company owes to either banks or individual creditors. In simple terms, this is the amount the company has to repay. Total debt can be a very useful metric to show the financial health of the company. Total debt more than equity is considered to be a bad sign.
The Debt-to-Equity (DE) ratio of Cineline India compares its total debt to shareholders' equity. A higher Debt to Equity ratio could indicate higher financial risk, while a lower ratio suggests that the company is managing its debt efficiently.
CAGR shows the consistent growth rate of Cineline India over a specific period, whether it is over a month, a year, or 10 years. It is a key metric to evaluate the company’s long-term growth potential. Main metrics for which CAGR is calculated are net sales, net profit, operating profit, and stock returns.
Technical analysis of Cineline India helps investors get an insight into when they can enter or exit the stock. Key components of Cineline India Technical Analysis include:
There are usually multiple support levels, but the main support levels for a stock are S1, S2, S3. Support levels indicate price points where stock might get support from buyers, helping the stock stop falling and rise.
There are usually multiple resistance levels, but the main resistance levels for a stock are R1, R2, R3. Resistance levels represent price points where Cineline India shares often struggle to rise above due to selling pressure.
Dividends refer to the portion of the company’s profits distributed to its shareholders. Dividends are typically paid out in cash and reflect Cineline India ’s financial health and profitability.
Bonus shares are usually given by companies to make the stock more affordable, increase liquidity, boost investor confidence, and more.
Stock split increases the number of its outstanding shares by dividing each existing share into multiple shares. When the company offers a stock split, the face value of the stock reduces in the same proportion as the split ratio.
The financials of Cineline India provide a complete view to investors about its net sales, net profit, operating profits, expenses, and overall financial health. Investors can analyze financial data to assess the company’s stability and also understand how the company has been growing financially.
The profit and loss statement of Cineline India highlights its net sales, net profit, total expenditure, and operating profits in the current financial year. This Profit and Loss statement is crucial for evaluating the profitability and financial stability of Cineline India .
The balance sheet presents a snapshot of Cineline India ’s assets, liabilities, and equity of shareholders, providing insights into the financials of the company.
Cashflow statements track the company's cash inflows and outflows over a period. It is an essential tool for understanding how well the company manages its liquidity and finances.