Release Date: October 25, 2024
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
- Revenue increased by 5% year on year to INR 55 Crores, indicating growth despite a challenging media environment.
- The finance sector experienced remarkable growth of 45%, contributing 9% to the total volume.
- The digital segment achieved an impressive 33% year on year growth, contributing 11% to total revenue.
- Radio City remains the top choice for advertisers, with 38% of the industry's client base selecting their platforms.
- The launch of India's first 24/7 video channel RC Studio on JIO TV has significantly expanded reach and audience engagement.
Negative Points
- EBITDA declined by 21% year on year, with margins at 17.4% for the quarter.
- The real estate sector, accounting for 17% of the industry, experienced a year on year decline of 20%.
- The Pharma sector saw a decrease of 4%, contributing 11% to the industry.
- Volume growth declined by 3% for both the industry and the company.
- Employee costs and other expenses surged by 16% and 12% respectively, impacting profitability.
Q & A Highlights
Q: Can you share insights on the industry slowdown and recovery expectations?
A: The slowdown was primarily in July and August, with a slight recovery starting in September. The outlook for the third quarter appears positive, and we hope the recovery continues into the latter half of the year. - Ashit Kukian, CEO
Q: What guidance can you provide for the full year margins?
A: We have achieved 8% growth in the first half of the year. We expect our digital initiatives to start showing results by the fourth quarter, aiming for double-digit growth if market conditions improve. - Ashit Kukian, CEO
Q: What is the current inventory utilization rate?
A: Our inventory utilization for this quarter stands at 71%. - Ashit Kukian, CEO
Q: Can you elaborate on the digital business focus and goals for the next 2-3 years?
A: We aim to enhance listener experiences and provide integrated advertising solutions. Our digital strategy involves creating and distributing content across platforms where consumers are active, ensuring a larger share of digital revenues. - Ashit Kukian, CEO
Q: What are the reasons for the increase in employee costs and other expenses?
A: The increase is due to hiring for digital initiatives and investments in specialist roles for projects like our 24/7 streaming channel on JIO TV. These are long-term investments in our digital strategy. - Ashit Kukian, CEO
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
