Decoding The Economics Of War 2: Hrithik Roshan, Jr NTR and Kiara Advani starrer is a losing proposition but YRF mitigates giant losses

War 2, directed by Ayan Mukerji, and starring Hrithik Roshan, Jr NTR and Kiara Advani is a losing proposition, but YRF's goodwill, market standing and relations have mitigated a catastrophe.

By Rishil Jogani

Updated on Aug 21, 2025 | 05:13 PM IST | 24K

War 2 saves itself from a catastrophic loss, thanks to YRF's goodwill (Credit: YRF)

War 2, directed by Ayan Mukerji, and starring Hrithik Roshan, Jr NTR and Kiara Advani is in discussions, but for all the wrong reasons. The movie failed to strike a chord with the audience, and it can be seen in the collections that are tumbling down, faster than anyone thought. The movie sits at just under Rs 300 crore worldwide at the close of its extended week 1, and there's not much we can expect from the movie in its run ahead.

YRF Looks To Book A Loss Of Around Rs 30 Crore From War 2

The film's costs are massive and the movie should have been doing much better than it is, to be in a safe position. The recoveries from War 2 for YRF are going to be to the tune of Rs 420 crore, against costs of Rs 450 crore including interests, print and advertising expenses, and majority remunerations. The recoveries include the outright purchase of the Andhra state rights due to the faith that the distributor had on YRF, while the budget doesn't include the profit-sharing amount that Hrithik Roshan was liable to get if the movie worked. Practically, Hrithik Roshan will settle for an amount that is lower than his market value, while the Andhra distributor will lose heavily. The non-theatrical rights of the movie had been presold for a massive sum, and here's where YRF's reputation has come into play. Despite War 2 not doing well at all at the box office, the production company stands to only lose Rs 30 crore.

Have A Look At The Economics For War 2

Particulars	Amount
Cost Of Production (Includes 60 crore of Jr NTR, 25 crore of Ayan Mukerji, 10 crore of Kiara Advani and 35 crore of Hrithik Roshan)	Rs 420 crore
PnA	Rs 30 crore
Total Costs	Rs 450 crore
Satellite Rights	Rs 50 crore
Digital Rights	Rs 150 crore
Music	Rs 25 crore
Total Non Theatrical Recoveries	Rs 225 crore
India Theatrical Share excluding Andhra states (expected)	Rs 80 crore
Andhra States rights	Rs 85 crore
Overseas share (expected)	Rs 30 crore
Total Theatrical Recoveries	Rs 195 crore
TOTAL RECOVERIES	Rs 420 crore
Expected loss to YRF	Rs 30 crore

The Total Losses From War 2 Are In The Range Of Rs 125 Crore; But YRF Loses Only 30 Crore Unless They Settle; Here's How

There have been rumours that YRF will be settling the losses of the Andhra distributor but there is no confirmation on the same. There practically will be redistribution of losses and nothing else. Instead of Rs 30 crore, YRF may lose 55 crore, so that the losses of the Andhra distributor is in the Rs 25 crore range instead of Rs 50 crore currently. If YRF happens to settle the losses of the Andhra distributor, the biggest loser from the project will be Hrithik Roshan, who will be settling for less than half of his prevailing market value. The market value is a variable element that changes with every movie. It can be assumed that after War 2's theatrical run, Hrithik's ask price will substantially reduce.

2025 Continues To Be A Year To Cherish For YRF, Courtesy Saiyaara

Despite the debacle of War 2, YRF shall cherish 2025 because it has given them, undoubtedly, their biggest hit in terms of net profits. Based on our analysis, YRF's profits from Saiyaara are almost Rs 275 - 300 crore. They can bear a loss of Rs 30 - 55 crore against the profits they've made, and against the two sensations that they've created, who can become their cash cows, atleast till the time that they two are in a position to demand what they want.