Jawan, starring Shah Rukh Khan, became the second Hindi film this year and the third overall to gross over $1 billion on Monday. The first celebrity to join the group was Aamir Khan, who did so in 2016 with the biographical sports drama Dangal. This achievement was also accomplished by Shah Rukh’s Pathaan earlier this year.
Here is a look at what the figures signify and who will receive what share of the enormous sum as the third Hindi film to gross $1 billion hits theatres.
Producers
The producer receives around 45–50% of the net box office revenue. Red Chillies Entertainment will receive the lion’s cut of the sales for Jawan.
Exhibitors
Following the producers in the hierarchy of profit sharing, the exhibitors get 30–40% of the entire box office revenue (gross revenue), which has been reduced by the entertainment tax (net revenue).
Distributors
A film’s distributors receive between 15 and 20% of the total box office receipts.
Lead actors
Shah Rukh Khan and Aamir Khan, two prominent Bollywood actors, are the leads in every movie that has made over one billion dollars. For a while now, these performers have been receiving a cut of the movie’s revenue. About 5% of the film’s overall box office revenue goes to the principal actor.
Analysis of box office collection
Producer and film analyst Girish Johar elucidated, “If the ticket is for ₹100, roughly ₹25 is for the entertainment tax. ₹75 is shared between distributor and exhibitor, broadly divided into two halves. From the 37.5% of the ticket price, the distributor takes broadly 10% and the rest goes to the producer.”
He further added, “If the producer takes ₹30 of the ₹100. Of the producer’s share, the lead actor takes around five percent of the producer’s share of the box office collection. The lead actors also take a profit percentage of all revenues normally – that includes the satellite, digital, and music rights as well.”
