The core radio business recorded a strong 50% growth rate, while the solutions business witnessed a 51% jump. With a bounceback in revenues and a cost-control initiative in place, the company also turned Ebitda positive and posted an operating profit of ₹8.9 crore for the quarter ended September.
“Thanks to more pragmatic lockdowns during the second Covid-19 wave, and rapid vaccination across the country, the economic recovery has been faster this time. This has shown up in the strong results of the company,” said Prashant Panday, managing director and chief executive, ENIL.
“We expect results to remain strong in the second half of the year as well,” he said. “Our solutions and digital products are providing us with a strong competitive advantage. We see ourselves morphing from Radio Mirchi to Mirchi Platforms rapidly.”
ENIL’s net loss narrowed to ₹7.9 crore, compared to ₹23.71 crore in the year-ago period and ₹27.7 crore in the first quarter of the current fiscal. The company’s balance sheet remained strong, with cash reserves of ₹205.7 crore as on September 30. ENIL, which is part of The Times Group that also publishes The Economic Times, operates across 63 cities in India. ENIL shares closed at ₹194.80 on the BSE, up 9.38%, on Tuesday.
Advertisers have increased ad spending in the last few months on the back of a strong economic recovery, low infection rates and a successful vaccination programme.
Experts say the ad revival has been broadbased, as categories such as gaming, crypto, FMCG, ecommerce and fintech have come back to the radio with a vengeance.
