Gaana parent co Gamma Gaana posts total income of Rs 77 cr for FY23
The audio streaming platform has seen a decline of 39% in total income when compared to the last fiscal
Gaana’s parent company, Gamma Ganna Ltd, has posted a decline of 38.75% in total income to Rs 77.35 crore for the year ended March 31, 2023, as compared to last fiscal’s Rs 126.29 crore.
According to the Ministry of Corporate Affairs filings, accessed by exchange4media, the audio streaming platform’s losses decreased by 38.51% to Rs 194.32 crore in FY23 compared to Rs 316.04 crore in FY22.
GGL’s total expenses for the fiscal year 2022-2023 also saw a decline of 38.58% to Rs 271.67 crore against Rs 442.33 crore in FY22. In FY21, its losses amounted to Rs 335 crore.
As earlier reported by exchange4media, Times Internet Ltd (TIL), the digital arm of India’s leading media conglomerate Bennett Coleman & Company Limited, which also operates Gaana had reported a decline in online advertising revenue as its losses widened to Rs 490 crore from Rs 341 crore a year before.
The company’s online advertising revenue, which includes classifieds, and web maintenance, contributed Rs 762 crore to the overall revenue in 2023, about 4.5 per cent less compared to Rs 798 crore in the previous year.
According to the financial statement, Gamma Gaana Ltd (GGL), a step-down subsidiary, approved the sale of the Gaana business undertaking, during its board meeting held on 4 July, 2022, as a going concern on slump sale debt-free and cash-free basis. This constituted the specific assets to business undertaking and specific liabilities.
The company has entered a binding term sheet with an identified buyer to sell the Gaana business undertaking at a transaction value of Rs 100 crore, subject to such adjustments as may be agreed between the parties later. The consummation of the transaction, as contemplated under the binding term sheet, is subject to the satisfactory completion of due diligence by the buyer and finalisation of business transfer agreements relating to the transaction to the mutual satisfaction of the parties which, the parties are endeavouring to execute on or prior to August 1, 2022.
The management expects to complete the sale of the Gaana business undertaking in the period after the current financial year. The management has classified this as a non-adjusting event as per the applicable accounting standards and accordingly, no adjustments are required to be made in these financial statements.
Meanwhile, Bennett Coleman and Company Limited (BCCL), of which Times Internet is a subsidiary, has posted an increase of 25.22% in revenue from operations for the year ended March 31, 2023.
This September, Times Internet expanded its cricket distribution positions in North America, the Middle East, and Southeast Asia regions, by acquiring the exclusive rights to broadcast India’s home bilateral series from September 2023 through March 2028.
