Saregama India (SAREGAMA) Q2 2026 earnings summary

Executive summary

• Operates across music, video, live events, and artist management, leveraging a vast IP portfolio and over 400 million digital followers.

• Q2 FY26 operating revenue was INR 230 crore (₹23,003 lakhs), with PBT of INR 60 crore (₹6,010 lakhs); all segments grew except for a cyclical decline in video.

• Music segment saw strong performance with 1,500 new originals and premium recreations released across major Indian languages.

• Strategic investments in generative AI and data analytics are driving efficiency, with up to 70% cost savings and 80% faster content execution.

• Artist management vertical expanded to over 230 artists, leveraging a 200 million follower base on Instagram and YouTube.

Financial highlights

• Q2 FY26 revenue from operations was INR 230 crore (₹23,003 lakhs), up 11% sequentially but down 5% year-over-year.

• Adjusted EBITDA for Q2 FY26 was INR 847 Mn, a 27% sequential increase and 1% YoY growth, with a margin of 37%.

• PAT for Q2 FY26 stood at INR 438 Mn (₹4,383 lakhs), up 20% sequentially, with a PAT margin of 19%.

• Music segment (licensing + artist management) grew 12% YoY; full-year guidance revised to 19%-20% growth.

• Interim dividend of ₹4.50 per share declared for FY26.

Outlook and guidance

• Annual adjusted EBITDA guidance maintained at 32%-33%.

• Music business expected to grow at 19%-20% for FY26, with mid- to long-term CAGR guidance of 23%.

• Consolidated revenue (excluding Carvaan) expected to grow at 30% CAGR through FY27.

• Significant growth potential in India's music subscription market, with only 1% penetration compared to global averages.

• Pocket Aces expected to break even in FY26; acquisition of Finnet Media by subsidiary Pocket Aces Pictures is pending completion.