Music Broadcast reports 5% net profit growth in Q2

MUMBAI: FM radio station Radio City’s parent company Music Broadcast Limited (MBL) has posted 5% growth in net profit at Rs 13.4 crore in Q2 FY19 compared to Rs 12.7 crore in Q2 FY18. The PAT margin stands 16.7% compared to 16.8% a year ago.

EBITDA was up 10% at Rs 26.6 crore compared to Rs 24.2 crore. EBITDA margin improved by 121 Bps at 33.2% compared to 31.9%.

The company’s revenue has jumped 6% to Rs 80.1 crore from Rs 75.8 crore in the previous fiscal.

MBL Director Apurva Purohit said, “In this challenging economy which has uncertain economic growth and an increasing liquidity crunch, I’m pleased to inform that our performance was encouraging and we were able to show a topline growth of 7% which is equally contributed by volumes and realisations.

“Key Sectors like government, real estate and durables performed better than last year. Our operating margins saw healthy improvement of 202 bps in H1FY19 whereas PBT Margin grew at high pace at 309 bps indicating better operating leverage. We have been able to maintain a healthy liquidity position which in the current economic scenario will help us to sustain our growth. We look forward to a healthy H2 as festive season picks up and the consumption improves in rural and urban areas.”

The company informed that it has bought back 11.88 lakh shares worth Rs 38.58 crore till 24 October. The company had proposed to buy back of 14.80 lakh shares for Rs 57 crore. MBL has generated cumulative operating cash of Rs 79 crore in the past three years. As on 30 September, the company had cash, cash equivalents & investments worth Rs 230 crore.