ENIL Q1 net drops 47.6% to Rs 4.83 cr

MUMBAI: FM radio operator Entertainment Network India Ltd (ENIL) has seen a 47.6% drop in net profit for the quarter ended 30th June at Rs 4.83 crore compared to Rs 9.22 crore in the corresponding quarter of the previous fiscal.

The company reported an operating EBITDA of Rs. 24.4 crore, a drop of 13.8%. Reported EBITDA after factoring the impact of IND AS 116 was Rs 33 crore.

The company posted operating revenue of Rs. 129.7 crore during the quarter, a growth of 10%. Operating expenditure was up 5.7% at Rs 98.52 crore from Rs 93.25 crore.

Commenting on the results, ENIL MD & CEO Prashant Panday said, “The consumer economy was sluggish in the first quarter, adversely affecting advertising spends. Despite strong revenues from political parties during the general elections, radio revenues were under pressure. Mirchi’s core radio revenues grew only 1%, but our solutions business reported strong revenue growth of 42% and with higher margins. We have confidence our solutions business will provide momentum through turbulent times expected this year.”

In its Q3 investor presentation, the company noted that the non-FCT streams witnessed a strong revenue growth. Non-FCT gross margins were more than 39%.

The 35 migrated stations recorded revenue growth of 4.7% during the quarter. Batch 1 revenues during the quarter Rs 19.13 crore up 5.7%. EBITDA stood at Rs 2.51 crore compared to Rs 74 lakh in Q1 FY19.

Revenues from Batch 2 stations was Rs 4.5 crore while EBITDA in Batch 2 stations was Rs 47 lakh compared to a loss of Rs 92 lakh in the previous fiscal.

The company generated an operating cash flow Rs 5.21 crore during the quarter. Net cash as on 30th June was Rs 154.26 crore.

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