Online ticketing platform BookMyShow turned profitable and posted a consolidated net profit of INR 85.1 Cr in the financial year 2022-23 as income from live events saw a massive jump, leading to over a three-fold rise in its total sales revenue.
Marking a complete recovery from the adverse impact of the Covid-19 pandemic, BookMyShow’s sales revenue neared the INR 1,000 Cr mark and stood at INR 975.5 Cr in FY23.
The company had reported a loss of INR 92.2 Cr in FY22 on sales revenue of INR 277.1 Cr.
It is pertinent to note that the pandemic and the subsequent lockdowns had delivered a hard blow to the art and entertainment industry. With live events not allowed and cinemas and theatres closed, BookMyShow’s revenue had crashed to INR 74 Cr in FY21.
However, the company rebounded strongly in FY23 and crossed the INR 563 Cr total revenue of FY20.
Founded in 1999 by Ashish Hemrajani, Parikshit Dhar and Rajesh Balpande, BookMyShow’s online ticketing platform for events, movies, sports and plays was launched in 2007. The company, which competes with the likes of Paytm Insider, counts Accel Partners and TPG Growth among its investors.
BookMyShow earns a majority of its revenue from online ticket booking services, which grew over 180% year-on-year (YoY) to INR 613.8 Cr in FY23.
On the other hand, its income from live events, the second-biggest revenue source, surged to INR 237.5 Cr in the reported period from INR 24.6 Cr in FY22.
BookMyShow’s income from advertising and marketing jumped over 5X YoY to almost INR 40 Cr in FY23, while income from turnkey ticketing solutions more than tripled to INR 33.5 Cr.
The company’s other sources of sales revenue include sale and maintenance of software, streaming services, and sale of food and beverages, among others.
India continued to be the biggest market for BookMyShow, contributing a revenue of INR 942.5 Cr in FY23. Its income from other regions stood at INR 33 Cr in the year.
Including interest income and other non-operating income, BookMyShow’s total revenue surpassed the INR 1,000 Cr mark in FY23.
During FY23, the company also acquired a majority stake in TribeVibe, an engagement platform for college festivals that helps institutions manage events.
Where Did BookMyShow Spend?
In line with its growing business, BookMyShow’s total expenses also jumped 138% to INR 940.9 Cr in FY23 from INR 395.2 Cr in the previous financial year, with revenue share with cinema owners being the largest contributing factor.
Revenue Share: The platform earns revenue in the form of convenience fees that it charges from users booking online tickets. The company shares a portion of this convenience fee with cinema owners, which is recognised as an expense.
BookMyShow’s revenue share expense surged 146% to INR 294.9 Cr in FY23 from INR 119.8 Cr in the year before.
Employee Benefit Expenses: The company’s employee costs increased 23% to INR 137.6 Cr in the reported period from INR 111.9 Cr in FY22.
Of this, it spent the biggest amount of INR 122.8 Cr on salaries and wages. On the other hand, employee stock appreciation rights rose over 168% YoY to INR 6.4 Cr in FY23.
Artist Fees: The company’s spending on artist fees grew to INR 103.9 Cr in the reported year from INR 9.8 Cr in FY22.
Advertising Promotional Expenses: BookMyShow’s advertising expenses saw the steepest rise, surging over 457% YoY to INR 53.6 Cr in FY23.
While FY23 turned out to be a bumper year for BookMyShow, it has been entangled in a few political and legal controversies recently.
In September, BookMyShow had to cancel the India tour of Punjabi-Canadian singer Shubhneet Singh, well known as Shubh, after facing backlash from netizens over some of the past social media posts of the rapper which showed a distorted map of India. Many users on social media platforms also called for a boycott of the ticket-booking platform over the issue.
Besides, the Kolkata Police recently summoned officials from the Cricket Association of Bengal (CAB) and BookMyShow regarding a complaint about ticket black marketing for the ICC World Cup match between India and South Africa.
The company also had to issue an apology to stand-up performer Trevor Noah’s fans as a major technical glitch led to the cancellation of his shows in Bengaluru.
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