Box Office: Understanding the economics of Sultan

The Ali Abbas Zafar directed film Sultan released to packed houses on Eid this year. The film featuring Salman Khan, Anushka Sharma and Randeep Hooda in the lead roles, received outstanding reviews from the masses and critics alike.

 

In this box office report, we take a look at the overall profitability of Sultan to its makers. Now with the film crossing the Rs. 300 crore mark by collecting Rs. 300.06 cr at the domestic box office YRF stands to make Rs. 180.38 cr as profit with a 200.42% rate of Return on Investment.

 

However, the above chart does not feature Salman Khan’s remuneration for film, especially considering that Khan had opted for a percentage based profit sharing module with the film’s producers. Due to the lack of clarity in terms of Salman’s profit share which could vary from 50% to 80% the actor easily stands to make anywhere between Rs. 90 cr to Rs. 144 cr as part of his remuneration.

 

Economics

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Head	Amount (INR cr.)	Comments
Cost Of Production	70.00
Cost of Marketing (P&A)	20.00
TOTAL COST	90.00
India Theatrical Box Office	300.06	At the end of Day 35
Distributor's share (A)	135.03	Approximately
Overseas Theatrical Box Office	163.00	As of 7 Aug 2016
Distributor's share (B)	73.35	Approximately
Home Video, Music, Digital, Movie Association & Ancillary Rights (C)	12.00
Satellite Rights (D)	50.00	Acquired by SONY
TOTAL RECOVERIES (A+B+C+D)	270.38
PROFIT	180.38
RETURN ON INVESTMENT (ROI)	200.42%