Mirchi revenues grow 80% sequentially on digital push, festive season. EBITDA, PAT turns positive

Entertainment Network (India) Ltd, the operator of India's #1 FM radio channel Radio Mirchi, today announced results for the quarter ended December 31, 2020.

The Company reported 80% sequential revenue growth to Rs. 84.5 crores in Q3, led by a strong growth in volume due to festive season. The Company's digital products grew handsomely, marking a significant increase in its digital orientation. Recently, the Company had dropped "Radio" from its brand name to become just "Mirchi" in line with its strategic shift towards digital and solutions.

The Company achieved positive EBITDA after two quarter of losses. PAT for the quarter was Rs.16.7 crores, rising 57% mainly on account of reassessment of royalty provisions and reduction of total costs by 37%.

Balance sheet remains strong with Cash reserves of Rs.197 crores as on December 31, 2020 Commenting on the results, Mr. Prashant Panday, MD & CEO, ENIL, said: "The quarter marked a strong ad volume growth of 11.5% over last year, positive EBITDA of Rs 20.9 crores, and strong demand for our solutions, especially digital solutions, products. Solutions margins expanded to 48% from 35% last year on the back of a higher share of digital products. Share of digital solutions in quarterly revenues stood at 10%, marking a strong pivot towards digital. It is clear that the worst is behind us. The future holds the promise of strong growth".

Shares of ENTERTAINMENT NETWORK (INDIA) LTD. was last trading in BSE at Rs.160.25 as compared to the previous close of Rs. 162.6. The total number of shares traded during the day was 2486 in over 125 trades.

The stock hit an intraday high of Rs. 164.5 and intraday low of 156. The net turnover during the day was Rs. 400509.

Source : Equity Bulls

Keywords