Single Screens Toughen Stance; ‘No Screenings’ Warning from May 1
Nearly 250 exhibitors across the state have decided to screen films only on a percentage-sharing basis
Hyderabad: Around 250 single-screen theatre owners in Telangana will screen films only on a revenue-sharing basis from May 1 amid a dispute with producers and distributors over rental-based revenue models.
Speaking to Deccan Chronicle, Vijayender Reddy, president of the Telangana Controllers and Exhibitors Association, said exhibitors will work only with distributors who agree to the percentage system. However, he ruled out a formal strike by exhibitors. He said single-screen theatres are struggling under the existing rental model and need a fair share of collections.
The move follows a meeting of about 40 exhibitors, including those linked to D. Suresh Babu, Sunil Narang and Sirish Reddy, who supported the shift. Under the proposed model, distributors and producers would receive 60 per cent of revenue in the first week, 50 per cent in the second, and 40 per cent in the third, with exhibitors retaining the rest.
Telangana Film Chamber of Commerce president Sunil Narang said the model was finalised after discussions among stakeholders. For big-budget films, distributors may get an additional 2.5 to 5 per cent if ticket prices are increased.
In Hyderabad, about 23 theatres, including Hitech, Sreedevi, Sri Ramulu, Gokul, Mallikarjuna, and Sai Ranga, are expected to adopt the system from April 30.
The proposal has faced opposition from members of the Active Producers Guild, who favour the rental model. With films such as Peddi, Maa Inti Bangaram, The Paradise, Vishwambhara and Goodachari 2 slated for release this summer, producers and distributors are reluctant to shift away from the existing system.
Exhibitors are considering removing the “or rental” clause from agreements to enforce the percentage model across the state. Theatre owners in Andhra Pradesh, including those in Krishna, Guntur and East Godavari districts, are also exploring similar arrangements.
Exhibitor Madala Ramakrishna said multiplexes already follow a 50-50 revenue-sharing model, and single screens are seeking similar terms. Exhibitors said the current system is financially unsustainable, citing rising operational costs and low collections. Last year, nearly 400 theatres in Telangana shut for 10 days from May 17 over mounting losses.
“Running a theatre costs ₹12,000 to ₹18,000 a day for four shows. But they can collect only ₹3,000 to Rs 4,000,” said an exhibitor. “We lose ₹4,000 daily when closed and up to ₹6,000 when open. This is why we urgently need a revenue-sharing model,” Vijayender Reddy said.
