Eros International has established itself as a leading global company in the Indian entertainment industry. The remarkable lead that the company has achieved in the sector is primarily on account of the company’s involvement in co-productions, acquisitions and distribution of Hindi and other Indian language films across multiple platforms such as theatres, television, digital new media and in-flight entertainment.
Indian cinema commenced the year on a positive note, delivering hits, super hits and blockbuster movies. In a nation dominated by this popular medium of recreation, where ticket sale volumes are the highest compared to the rest of the world, the company has well leveraged on this sector of emerging prospects to contrive a distinct business model, which is highly co-production centric.
Around 70 per cent to 80 per cent of the movies released by Eros International so far have been co-produced. A host of releases such as Love Aaj Kal, Housefull etc and highly anticipated releases such as RA.One and Rana is proof of our growing inclination towards co-produced movies. In fact, the movie Rana is Rajnikanth’s first-ever co-produced movie that he has starred in so far.
I believe that Eros International’s distinct co-production-centric business model, backed by the unique approach of de-risking revenues, has facilitated improved revenue predictability and greater sustainability in the business going forward.
Eros International is the first company within the Indian media and film entertainment industry, which has been the front-runner in pioneeringw the co-production model.
We believe that co-productions provide means to pool financial, creative and technical know-how from participating production houses for the creation of our films. The co-production model stands as a key enabler in acquiring a larger production scale, well-known talent, special effects and a broader bandwidth for providing content to a diversified gamut of audience.
Such benefits enable Eros International in targeting international audience as well, rather than being bound to national limits only. Today, co-productions are not about culturally relevant materials alone, but also focus on simulating international productions that represent a variety of genres. Co-productions enhance collaboration between producers who coherently gather resources to streamline costs, which further enable studios like Eros International to compete well in this dynamic ecosystem of the Indian film and entertainment industry.
Given our motivated business routine and strategic capabilities of the company, we are confident that prospects in the near future seem to be equally exciting, as we anticipate strong traction across all our businesses segments. This will be largely driven by our diversified future movie slate comprising Shah Rukh Khan’s RA.One, which is scheduled to be released during the festive season of Diwali; Shahid Kapoor’s Mausam, Saif Ali Khan’s Agent Vinod, Akshay Kumar’s Desi Boyz, Ranbir Kapoor’s Rockstar and our most-awaited Tamil release, Rana, as mentioned earlier.
I believe that we are on the forefront of many unfolding opportunities and are extremely pleased with the way our business has progressed over the past few years which is testament to our progress over the long term. Factors that have augmented Indian cinema are the growing middle class with a greater spending capacity and the increased influence of international trends and developments, that have primarily driven us in enhancing our foothold in the sector to bring solidity to our growth.
With the implementation of several initiatives within the company, united with our well diversified business approach, we are moving towards a very promising horizon.
Sunil Lulla, MD, Eros International Media Ltd