Entertainment Network (India) (ENIL) Q4 18/19 earnings summary

Executive summary

• FY19 returned to strong growth: revenue from operations rose 15.5% to ₹620.5 crore, EBITDA increased 19.9% to ₹139.8 crore and PAT grew 53.4% to ₹53.9 crore.

• The strategy expanded beyond FM radio through digital publishing, original content, events and international licensing; radio generated 67% of revenue.

Financial highlights

• Standalone total income rose to ₹635.4 crore from ₹545.9 crore; PAT increased to ₹53.9 crore from ₹35.2 crore YoY.

• Consolidated total income was ₹636.5 crore versus ₹546.5 crore; PAT reached ₹53.9 crore versus ₹35.6 crore YoY.

• Standalone revenue from operations was ₹613.4 crore, including ₹412.5 crore of radio advertising and ₹201.0 crore of solutions revenue.

Outlook and guidance

• Digital revenue was ₹10.3 crore in FY19; management sees it exceeding ₹75 crore in the next few years, with further investment in original content, podcasts and YouTube.

• Solutions could reach ~45% of revenue within five years; Batch-2 stations are expected to turn around in 4–6 quarters across FY20/FY21.

• Management expects FY20 EBITDA to exceed the prior peak of ₹158.5 crore achieved in FY16.