Varanasi AP/TG Business: Too Massive a Deal for Mahesh?

Varanasi Targets Historic Box Office

Mahesh Babu’s Varanasi, directed by SS Rajamouli, is already one of the biggest films in Indian cinema. The film is carrying massive hype and enormous expectations not just in India but on a global level, and that excitement is now reflecting in the business expectations as well.

The latest industry buzz suggests that the Telugu theatrical rights are being valued at around Rs. 320-325 crores. If true, this would be a huge number.

The bigger question is whether Varanasi can recover such a massive investment in Andhra Pradesh and Telangana. According to trade, RRR is currently around Rs. 422 crores gross in the Telugu states, while Pushpa 2 is around Rs. 325 crores. Baahubali 2 is close to Rs. 305 crores, and Kalki 2898 AD is around Rs. 285 crores.

If Varanasi needs around Rs. 325 crores share to break even, it could require roughly Rs. 600-700 crores gross in the Telugu states. That is an extremely difficult target.

Mahesh Babu’s previous films have rarely crossed even the Rs. 150 crore gross mark in the Telugu states. So, based only on his past numbers, the Rs. 325 crore business valuation looks extremely aggressive.

But Varanasi has one major difference. It is an SS Rajamouli film.

Rajamouli has repeatedly taken his lead actors beyond their existing markets. Baahubali and RRR created new box-office benchmarks and proved that his films can attract audiences far beyond a hero’s regular market. Varanasi is also being made as a massive global spectacle.

Ticket prices are expected to explode in both Telugu states. If the film gets the kind of response expected from the Rajamouli-Mahesh Babu combination, the huge business could be justified.

But the target is still massive. Varanasi will not just need a big opening. It will need to create box-office history to recover those Rs. 325 crores.