CRISIL has enhanced the rated amount while retaining 'A+/Positive' ratings on the long-term bank facilities and non-convertible debentures (NCD) programme of PVR.

The rated amount enhanced to Rs 3.48 billion from Rs 2.85 billion for total bank loan facilities.The rating continues to reflect PVRL's strong market position and established brand in the film exhibition business, healthy operating efficiencies, and moderate financial risk profile marked by modest gearing and debt protection metrics. These rating strengths are partially offset by PVRL's exposure to risks inherent in the film-exhibition business. 

On Feb. 14, 2014, CRISIL had revised its rating outlook on PVRL's long-term bank facilities and NCD programme to 'Positive' from 'Stable', while reaffirming the rating at 'CRISIL A+'. The outlook revision reflected CRISIL's belief that PVRL will sustain improvement in its business risk profile over the medium term post integration of the multiplex business of Cinemax India (Cinemax) acquired in 2012-13 (refers to financial year, April 1 to March 31). Consistent content pipeline will continue to complement PVRL's strong market position, supporting growth and margins over the medium term.

CRISIL believes that while PVRL will sustain improvement in its business risk profile, its financial risk profile will improve only gradually as it continues to expand. The rating may be upgraded in case of higher-than-expected decline in PVRL's debt leading to improvement in its capital structure while it sustains its business risk profile. Conversely, the outlook may be revised to 'Stable' in case of low growth in revenue and profitability or larger-than-expected debt-funded capex, adversely impacting its financial risk profile, particularly its debt protection metrics.

Shares of the company gained Rs 3.8, or 0.66%, to settle  at  Rs 581.95.  The total volume of shares traded  was  14,606 at  the BSE (Monday).