Tollywood Shock: 93% For Producer, 7% For Single Screens?

The exhibitors in Telangana are unhappy with how producers are offering a share of a film’s profits. While the exhibitors demand a percentage system, the producers are unwilling to accept it and are pushing the rental system instead.

Interestingly, the Sudarshan theatre owner Balgovind Raj shared some insights into this, explaining the profit that remains with theatre owners.

On average, a revenue of one crore rupees, the following will be the breakdown.

Single screens rent for ₹7 LAKHS, while the Producers receive ₹93 LAKHS.

When it comes to the percentage system the multiplexes follow, multiplexes take ₹45 LAKHS, while producers receive ₹55 LAKHS.

Balgovind also revealed that they ended up taking profits during the release of Dhurandhar. With the film performing well at the box office, they pocketed good revenue, and all this is because of the percentage system. At the moment, irrespective of the hype, all Bollywood films will be released on a percentage share system.

With Peddi releasing on June 4th, we have to see what the final decision would be.

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