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Radio One reports stellar numbers, PBT jumps 236%

From being in the negative with a loss of Rs 3.56 crore, it has come in the black with a PBT of Rs 4.86 crore in FY14

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Radio One Chennai goes 100% Bollywood from today

Radio One reports stellar numbers, PBT jumps 236%

From being in the negative with a loss of Rs 3.56 crore, it has come in the black with a PBT of Rs 4.86 crore in FY14

BestMediaInfo Bureau | Delhi | April 30, 2014

radio-oneThe slowdown may have hit many media sectors but it seems to have spared the radio industry. Radio One, owned by Next Radio Ltd, has reported a massive 236% jump in profit before tax on a year-on-year basis.

The board, after its meeting, has disclosed that the revenue for the year ended March 31, 2014 stands at Rs 58.97 crore, a 17% jump from Rs 50.41 crore in FY13. Earnings before interest, taxes, depreciation, and amortization (EBITDA) was reported at Rs 20.81 crore, against Rs 18.42 crore in the year ending March 31, 2013. But the profit before tax (PBT) is the real winner which has seen a spectacular 236% jump – from being in the negative with a loss of Rs 3.56 crore, it has come in the black with a PBT of Rs 4.86 crore in FY14.

For the quarter ended March 31, 2014, revenue grew 20.24% from Rs 13.04 crore to Rs 15.68 crore in Q4 compared to the same period in the last financial year. EBIDTA margin for Q4 was at 36.2%. Profit before tax grew 174% from a loss of Rs 2.55 crore to a profit of Rs 1.9 crore in Q4 compared to the same period in the last financial year.

Radio One's growth may in parts be ascribed to its first mover advantage in multiple cities. It was the first Hindi radio station in both Pune and Bangalore. It enjoyed the first mover advantage in case of Kolkata and Ahmedabad as well where it launched the first Hindi Retro stations, and in Delhi and Mumbai where it launched the first International stations. In Chennai they decided to innovate and launched the first 100% complete request based music station.

Vineet Singh Hukmani Vineet Singh Hukmani

“It is a fabulous feeling to share many firsts this year. All our seven metro stations are EBIDTA positive for the first time on the back of real local differentiation. We have made significant strides in engaging our audience both on air and digitally on all content innovations. We are PBT positive as a company for the first time, improving our profit before tax by 236% from last year. Our EBIDTA margin at 35.3% is in line with the best in the industry. We have generated 98% more cash from operations than we did last year which keeps us on track on debt payments and significant reduction in interest costs,” said Vineet Singh Hukmani, MD & CEO, Next Radio (Radio One).

Singh added, “We are well poised to move to the next level of growth once Phase 3 commences before March 2015 as recommended by TRAI.”

Sohini.Sen@bestmediainfo.com

Info@BestMediaInfo.com

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