Hyderabad – Movie theatre owners in Telangana and Andhra Pradesh have issued a strong warning. They plan to shut down their theatres starting June 1 if film producers do not agree to a new revenue-sharing model.
At present, most theatres operate under a rental system, where exhibitors pay a fixed fee to screen films. But this model is no longer working, say theatre owners. Bharat Bhushan, President of the Telugu Film Chamber of Commerce, explained that cinema halls are struggling with shrinking audiences and rising costs.
In the last six months, foot traffic to theatres has dropped significantly. Some shows have had to be cancelled due to having fewer than seven viewers. Meanwhile, electricity bills and maintenance expenses continue to rise, making it hard for theatre owners to stay afloat.
To survive, exhibitors are demanding a shift to a revenue-sharing system, where ticket earnings are split between producers and theatre owners. This model, they believe, would be fairer and help them stay in business.
On Sunday, around 60 exhibitors, including big names like Suresh Productions, gathered to discuss the crisis. They all agreed that revenue sharing is the only viable path forward.
Some exhibitors in East Godavari have already announced plans to close their theatres from June 1. Bharat Bhushan warned that if the demands are ignored, hundreds more across both states will join the shutdown.
The theatre owners are urging producers to act quickly to avoid a large-scale closure that could impact the regional film industry.
