Incorporated in 2019, VELS Film International is a movie production house promoted by Dr. Ishari K Ganesh to produce and promote movies in different Indian languages. Some of the popular movies produced by the company are Mookuthi Amman, Kutty Story, Sumo, Joshua Imai Pol Kaakha, and Vendhu Thanindhathu Kaadu.
It is a member of the South Indian Film Chamber of Commerce.
South Indian movies are consistently grossing more than Bollywood movies and expanding to the global audience. Presently, South Indian movies contribute 30% of the country’s overall media and entertainment revenue, with more than 50% of films produced yearly.
VELS Film International Ltd. IPO Objective
The company is trying to raise money to finance its upcoming projects, meet general corporate purposes, and issue expenses.
Why should you invest in VELS Film International Ltd. IPO?
Here are your top three reasons to consider investing in the IPO:
- The company belongs to the expanding media and entertainment industry. The south Indian movie industry contributes 30% of the country’s media and entertainment revenue.
- Regional movies, especially south Indian films have established a global presence with distribution to an increasing number of overseas theaters.
- Online streaming and the digital media section have recorded a massive boom with wider internet penetration. The segment is expected to register 25% growth in the future.
VELS Film International Ltd. Noteworthy highlights
- VELS films earned revenue of ₹2601.37 lakhs in FY21 and ₹2644.25 lakhs in FY22.
- They have produced five films and will release five more in the next two fiscal years.
VELS Film International Company Financials
| Parameters | Year ending on 31st March, 2022 (₹ lakhs) | Year ending on 31st March, 2021 (₹ lakhs) |
|---|---|---|
| Revenue from operation | 2,644.25 | 2,601.37 |
| Profit After Tax | 338.23 | NA |
| EBITDA | 930.12 | 792.20 |
| EPS | 3.56 | 85.58 |
Know before investing
Strengths
3They have a solid network to distribute movies in theaters and OTT platforms.
The company’s promoter Dr. Ishari K. Ganesh is a renowned educationist, recognized for his work. His goodwill is a strength of the brand.
The growing middle-class section with a growth in disposable income will increase the audience base for the entertainment and media industry.
Risks
3The whole sector of Indian entertainment is highly fragmented and competitive.
Changes in government policies, norms, and regulations can impact the company’s future profit.
VELS Films continues to face competition from established production houses.
