Eros Q2 net jumps 39.5% on the back of strong content slate
MUMBAI: Eros International Media’s net profit has seen a 39.5% jump in the second quarter ended 30 September on the back a stronger content slate. The company’s net profit has jumped to Rs 77 crore from Rs 55.2 crore in the year ago period. The PAT margin stood at 24% compared to 20.2%.
Adjusted EBITDA soared 61.9% to Rs 129.5 crore from Rs 80 crore. EBITDA margin for the quarter was 40.4% compared to 29.2%. Total income jumped 17.1% to Rs 320.6 crore compared to Rs 273.9 crore.
The company said that the margin expansion was driven by content – driven films, strong pre-sales strategy and catalogue monetisation.
It further stated that the revenue growth was driven by a stronger release slate. Eros released 17 films (4 medium budget, 13 small budget) & 1 Digital Series in Q2 FY2019 as compared to 7 films (2 medium budget, 5 small budget) in Q2 FY2018
The company’s performance during the period was driven by the theatrical releases of Happy Phirr Bhag Jayegi, the critically acclaimed Manmarziyan, Patakhaa, Saakshyam (Telugu), Tc.Gn – Take Care Good Night (Marathi) amongst others. Healthy overseas releases of Batti Gul Meter Chalu and Nawabzaade also contributed to the overall performance, reinforcing the portfolio and film mix strategy.
Contribution from the television and others segment stood healthy at 48.2%, including satellite sales of Saakshyam (Telugu).
Eros International Media vice chairman and MD Sunil Lulla said, “We continue to be a pioneer in industry innovations in catering to the changing tastes and preferences of the audiences and are happy to report a strong performance during the Q2 and H1 FY2019 which has been a result of our continuous focus on building a portfolio of deeply researched, content driven films that appeal to a wide cross-section of audiences, produced at optimum costs and marketed around the world across diverse entertainment platforms.
“During Q2 FY2019, we had a tremendous response from the audience for our releases – a total of 17 films & 1 Digital series comprising of the hit franchise ‘Happy Phirr Bhag Jayegi’, the critically acclaimed ‘Manmarziyan,’ Vishal Bharadwaj directed ‘Patakhaa’, Saakshyam (Telugu), Tc.Gn – Take Care Good Night (Marathi) amongst others. Overseas releases of Batti Gul Meter Chalu (Hindi) and Nawabzaade (Hindi) supported to deliver margin enhancing performance again in this quarter.”
During the quarter, Eros and V. Vijayendra Prasad agreed to partner and jointly develop scripts, greenlight projects, produce & distribute films and web-series across Hindi, Telugu and Tamil languages; 10 stories already in pipeline
Eros has also teamed up with producers Dheeraj Wadhawan, Ajay Kapoor, Ishant Saxena, Vishal and Rekha Bhardwaj and released Pataakha in India, a Rajasthan-set drama about two warring sisters and the yet untitled Hindi remake of Kannada blockbuster Kirik Party, worldwide starring Kartik Aaryan and Jacqueline Fernandez.