Gold box-office analysis and economics breakup

Bollywood Box-Office

With Gold having completed a week in theaters, it’s as good a time as any to analyze its box-office performance and how the collections stack up to its landing costs. The Akshay Kumar starrer stands at Rs. 94.05 crore nett so far, which is a decent number no doubt buoyed by the big Independence Day holiday on day one. However, given that the production and distribution costs are on the higher side, it would have better had the film added another 8-10 crore by now, especially considering the massive boost it had received on day (biggest opening ever for an Akshay Kumar film).

The producers, Farhan Akhtar and Ritesh Sidhwani (Excel Entertainment), were already in the profit zone prior to the film’s release from the revenue earned through satellite, digital, music, distribution, overseas, and ancillary rights. However, since the film’s domestic rights have been collectively sold to two distributors (Anil Thadani’s AA Films and Zee Studios) at a lump sum, the other facts hardly matter when calculating box-office success. It’s here that Gold still has quite some ground to cover before it can be considered a clean hit.

Source: Excel
CostAmount
Production Cost (including Marketing)85 crore
Distribution Rights (including Print)60 crore
Satellite Rights20 crore
Digital Rights15 crore
Music Rights5 crore
Ancillary Rights8 crore
Producers’ Profit23 crore

The all-India distribution rights of the Reema Kagti directorial have been sold for a flat figure of Rs. 60 crore (including print costs), which means that the film would break even only at 120 crore and emerge a hit not before it touches 140 crore. The jump in collections on its first Wednesday (national holiday for Bakri-Eid) have again helped, but like we said earlier, the film has a fair distance to go before it churns profits for its distributors.

ParameterAmount
Distribution Rights (including Print)60 crore
FlopBelow 100 crore
Below Average100-119 crore
Average120-139 crore
Hit140-164 crore
Superhit165-199 crore
Blockbuster200 crore and above
Lifetime Domestic Nett Box-Office94.05 crore*
Distributor’s Profit-*

Let’s wait and watch if Gold emerges as another commercial success for its leading man, superstar Akshay Kumar, and makes it back-to-back hits for Excel Entertainment (after Fukrey Returns), or ends up falling agonizingly short of the profit zone for its distributors, who’ll no doubt be an anxious lot in the coming days.

Image Source: Excel
Disclaimer: Our box-office figures have been compiled from reliable sources and our own extensive research, and are indicative of the film’s performance in the trade. However, Movified doesn’t claim any legitimacy over the accuracy of the data, and cannot be held responsible for any discrepancy in the same.

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