PVR Inds, reacted positively in the opening bell session, going up almost 3% to Rs.1607.25 but after that, it lost its fizz and is now in the red, down over 1%. Inox Leisure rose over 4.5% to Rs.249.90 and since then, it has come off the day’s high but remains in the green.
Over the weekend, the Govt reduced GST on movie tickets. GST on movie tickets costing more than Rs 100 has been reduced to 18% from 28%, while tickets lower than Rs 100 has been reduced to 12% from 18%.
The reduced rates come into effect from January 1, 2019.
Though this will bring down the cost of the tickets, with movies actually flopping left, right and center, at this point one does not know if this will really help get people into theaters. Also the view is that this small drop in the prices, would not be tempting enough to increase sale of movie tickets.