Hyderabad: The Telugu film industry is facing a serious discussion over the survival of single screen theatres. On Tuesday, May 12, 2026, exhibitors from Telangana and Andhra Pradesh held an emergency meeting to discuss the future of theatres and the current revenue system.
The main demand from the exhibitors is simple. They want the old rental system to be removed and a percentage sharing model to be introduced for single screen theatres, just like multiplexes.
Why Single Screen Theatres Are In Trouble
Single screen theatre owners say they are struggling with heavy maintenance costs, electricity bills, staff salaries and fixed rents. Under the present rental system, theatres have to pay a fixed amount to producers or distributors, whether the film performs well or not.
Because of this, many exhibitors say they are falling into debt. They also said that some theatre buildings can earn more money if they are rented out as godowns, but they are still running cinemas only because of their love for films.
No Ticket Price Hike In Single Screens
One of the major decisions taken in the meeting is about ticket prices. Exhibitors said that ticket prices in single screen theatres should not be increased, even if the government gives permission for hikes during big film releases.
They said this decision is mainly for poor and middle class audiences who cannot always afford multiplex tickets. The aim is to keep cinema entertainment accessible to common people.
Big Films And Theatre Business
The exhibitors said small films are usually released on percentage basis for most of the year. But during the few weeks when big star films release, the rental system comes back. According to them, this is unfair because those are the only weeks where theatres have a real chance to recover losses.
They also raised concerns about films having shorter theatrical runs. Earlier, movies used to run for many weeks, but now many big films leave theatres within two or three weeks due to fast audience consumption and early OTT releases.
Exhibitors Ask For Multiplex Style Percentage System
The exhibitors questioned why multiplexes are getting the benefit of percentage sharing, while single screens are still forced to follow the rental model. They said that if multiplexes and theatres are part of the same film business, both should get equal respect and similar rules.
They also pointed out that in other states, even big pan India films are released on percentage sharing terms. But in Telugu states, single screens are often asked to pay heavy rents, especially during star hero releases.
The exhibitors have now made it clear that without percentage sharing, running single screen theatres will become almost impossible. They want producers, distributors and star heroes to respond positively.
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