Music Broadcast jumps after robust Q3 results

25 Jan 2022 , 10:26 AM

Net sales jumped 47.26% to Rs 59.89 crore in Q3 December 2021 over Q3 December 2020. Profit before tax (PBT) stood at Rs 12.80 crore in Q3 December 2021, steeply higher than PBT of Rs 0.11 crore in Q3 December 2020. EBITDA stood at Rs 21.6 crore in Q3 December 2021 and EBIDTA margin stood at 36.1%.

The company said it maintained leadership position with 22% volume market share.

Commenting on the results Shailesh Gupta, director said: The festive season brings with it cheer and positivity and that is exactly what was observed in the companys performance, with the revenue growing 47% YoY and 42% QoQ, while maintaining a lions share of the volume and extending the lead in market share. The groundwork laid over the past few quarters and return of ad spends led to a significant rise in profitability, with EBIDTA margins standing at 36.1% and PAT margins at 15.0% for the quarter.

Ad spends across most sectors saw a bounce back, amidst the opening up of malls, multiple international sporting events, product launches, and resumption of movie screenings, which provided the much-needed boost for the sector. While the traditional lines of business held strongly and recovered lost ground, multiple digital initiatives, complemented the same and witnessed a sharp growth of 219% YoY and 43% QoQ, which is in line with the multi-channel approach the company has embarked upon.

New revenue opportunities have contributed substantially to our overall performance, accounting for 38% of the revenue this quarter, and are expected to drive steady growth going forward as well leveraging the talent pool and infrastructure in the organization. The company has further cemented its strong liquidity position by increasing its cash reserves, which now stand at Rs. 248 crores, as on 31% December 2021.

Regarding the bonus issue of the non-convertible non-cumulative preference shares, SEBI has accorded its approval and we have filed the scheme with NCLT in February 2021 and are awaiting approval from them.

Music Broadcast owns and operates Radio City 91.1 FM. The company currently has 39 stations across 12 states, comprising 62% of the countrys FM population.

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