Music Broadcast, the parent company of Radio City, has posted revenue growth of 43% at Rs 20.5 crore for the quarter ended 30th June as against Rs 14.4 crore in the same quarter of the previous fiscal.
Expenses stood at Rs 33.8 crore compared to Rs 29.6 crore in the previous fiscal. EBITDA loss narrowed to Rs 9.3 crore from Rs 10.5 crore. Net loss dropped to Rs 12.9 crore from Rs 13.9 crore.
Radio City claimed that it had a market-leading share of 21% in Q1FY22. The FM radio company registered 71% YoY growth in volumes during the quarter. It further stated that 43% of the total Radio clients advertised on Radio City. Further, 37% of new clients on Radio advertised on Radio City.
Categories like Food/Soft Drinks, Pharma, Government, Real Estate, and Auto upped their spending on radio while the finance saw a 10% decline.
Music Broadcast said that the new revenue opportunities contributed Rs 11 crore of revenue for Q1 FY22. The company's collection during the quarter was Rs 35 crore of which Rs 5 crore came from the government.
The radio industry saw 67% YoY growth in ad volumes for Q1 FY22. There was a 26% growth in client count for Q1 FY22 as compared to Q1 FY21. 2400 clients advertised on Radio in Q1 of which 1100 clients used the radio platform for the first time.
Commenting on the results, Music Broadcast Director Shailesh Gupta said, “Entering the new financial year, reeling with the 2nd wave of Covid-19 presented a new set of challenges, owing to the localized lockdowns and mixed indicators from the different sectors that form a substantial part of our clientele and move the industry overall. While it did not dent the operations as severely as last year, it certainly halted the momentum of recovery towards normalcy or even the possible capitalization of the growth prospects on offer in the industry.
"Radio City’s multiple initiatives have helped us outperform the industry and maintain our leading market share of 21% in ad volumes. Continuing with various initiatives in Q1 that were planned and implemented throughout the last year have helped us strengthen this leadership position. Keeping up with the times and ramping up our digital solutions, providing our customers end-to-end, omni-channel solutions for their products and services, the company has certainly raised the bar in terms of number and quality of service offerings.
A strong balance sheet with ample reserves for testing times as the ones we have just witnessed, have always been the focus of the company, hence, conscious efforts aimed at a good liquidity position have led to our cash reserves being Rs. 242 crore as on 30th June as compared to Rs. 236 crores as on 31st March 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 and are awaiting final approval from them.”
The radio industry saw 67% YoY growth in ad volumes for Q1 FY22. There was a 26% growth in client count for Q1 FY22 as compared to Q1 FY21. 2400 clients advertised on Radio in Q1 of which 1100 clients used the radio platform for the first time.
Commenting on the results, Music Broadcast Director Shailesh Gupta said, “Entering the new financial year, reeling with the 2nd wave of Covid-19 presented a new set of challenges, owing to the localized lockdowns and mixed indicators from the different sectors that form a substantial part of our clientele and move the industry overall. While it did not dent the operations as severely as last year, it certainly halted the momentum of recovery towards normalcy or even the possible capitalization of the growth prospects on offer in the industry.
"Radio City’s multiple initiatives have helped us outperform the industry and maintain our leading market share of 21% in ad volumes. Continuing with various initiatives in Q1 that were planned and implemented throughout the last year have helped us strengthen this leadership position. Keeping up with the times and ramping up our digital solutions, providing our customers end-to-end, omni-channel solutions for their products and services, the company has certainly raised the bar in terms of number and quality of service offerings.
A strong balance sheet with ample reserves for testing times as the ones we have just witnessed, have always been the focus of the company, hence, conscious efforts aimed at a good liquidity position have led to our cash reserves being Rs. 242 crore as on 30th June as compared to Rs. 236 crores as on 31st March 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 and are awaiting final approval from them.”