Radio One reports 340% increase in profit before tax in H1 FY14

The radio station also turned in a strong Q2 performance with 110 per cent increase in profit

BestMediaInfo Bureau | Delhi | November 1, 2013

94.3 Radio One, owned by Next Radio Ltd in a joint venture with BBC Worldwide, has reported its H1 and Q2 results for FY14 at a board meeting held on October 31, 2013.

Revenue in H1 (April to September 2013) grew 20.63 per cent from Rs 23.27 crore to Rs 28.07 crore compared to the same period last year. EBIDTA profit grew 37 per cent from Rs 6.78 crore to Rs 9.3 crore compared to the same period last year. Profit (before interest and tax) grew exponentially to Rs 3.17 crore from Rs 0.72 crore in the corresponding period last year, a jump of 340 per cent.

Revenue in Q2 (June to September 2013) grew 12.58 per cent from Rs 12.56 crore to Rs 14.14 crore compared to the same period last year. EBIDTA grew 27 per cent from Rs 3.97 crore to Rs 5.04 crore. Profit (before interest and tax) grew 110 per cent from Rs 0.94 crore to Rs 1.97 crore in the same period, a jump of 110 per cent.

Vineet Singh Hukmani

Vineet Singh Hukmani, MD & CEO, Next Radio, said, “It feels wonderful to be part of a team that has met huge challenges and come out on top. Despite a slowdown in the economy, we continue to outgrow the market in profit margins due to our consistent differentiation strategy across all our seven markets. We have doubled the cash generated by the business this H1 compared to last year, and with our debt retirement being on track, this opens doors for us to continue investing into our largest assets, our people, our product and future digital engagement strategies.”

Hukmani added, “Radio One like the rest of the radio industry looks forward to industry buoyancy that will arise as a result of Phase 3 licensing but prior to that, it eagerly awaits clarity on extension of existing licenses from the Ministry of Information & Broadcast.”

Radio One operates differentiated formats in each of its markets. It was the first to launch international formats in Mumbai and Delhi simultaneously 19 months ago. It was the first radio station to launch Bollywood formats in the regional markets of Bangalore and Pune four years ago. It was also the first to launch Hindi Retro formats in Ahmedabad and Kolkata 15 months ago and the first English talk 100 per cent Tamil music request station in Chennai.

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