Mumbai: Saregama, India’s oldest music label, and the youngest movie studio, announced its financial results for the 2nd Quarter of the financial year 20-21. The company registered 49% growth in PAT yoy during this quarter. With the consolidated turnover of the Company being Rs. 1081 Mn and PBT of Rs 382 Mn, the company enjoyed a 35% PBT margin for the quarter. On a PAT basis, the Company registered a 27% PAT margin for Q2 FY 21 against 12% in the same quarter last year.
H1 FY21 PAT is Rs 447 Mn against Full-year FY20 PAT of 435 Mn.
The key driver for the growth continues to be the increasing Digitisation in India. With more and more people consuming content on their smartphones, Saregama is constantly able to increase monetization of its IP (music, films, series). This phenomenon has become even more accelerated due to the stay-at-home phenomenon caused by Covid-19. Company re-started shoot of its Movies and TV serials from July’20. It’s Tamil serial Roja regained its no.1 position (by TRPs) across Tamil channels immediately.
With lots of elderly people stuck at home, the latent need for Carvaan has been rising since lockdown. As the retail network starts opening up, we expect Caravan sales to also start growing. From a paltry 15k units in Q1, Carvaan sales went up to 81k in Q2 and are expected to improve further in Q3.
- New Music Licensing deals with ShareChat and Moj
- 285 Podcasts stations are now available on Carvaan 2.0, with daily average consumption being 37 mins /day/ user during the quarter.
The company is expecting this digitisation-of-India driven content consumption trend to continue and is aligning its strategy to provide more-n-more relevant content to the audiences.