Key Highlights

As per the management, all the 4 top advertising categories have de-grown in June 17 quarter. Lingering effect of demonetisation, implementation of RERA, GST all had a combined effect on the advertising categories which resulted in a de-growth in volumes in June 17 quarter.

Be it real estate, healthcare, IT and Telecommunication, FMCG and retail, all the segments were dealing with their own internal problems and even their new launches got delayed, which affected the overall performance. Things were better in July 17 as compared to June 16, but still lower than July 16 month.

Expects business should return to normalcy from Sep 17 onwards.

Central Government has cut its spending by 35% in advertisements on YoY basis.

Amortization was up by 90% in June 17 quarter due to the new stations being operational from Sep 17 onwards due to Phase 3 expansion and were not there in June 16 quarter. As per the management, the performance was satisfactory. Revenues from these stations stood at Rs 10.6 crore with loss at Ebidta of Rs 4.3 crore in June 17 quarter.

Expects the new stations to break even in next 12 months. Overall, cautiously optimistic from here on for FY 18.

Capacity utilisation stood at around 61% as compared to a normalcy of around 75-80%.

Other operating income includes a write back of Rs 4.2 crore which was a onetime income.

Net debt as on June 17 stands at Rs 18 crore.

Expects margin growth from existing radio stations and to grow in leadership in new stations. Both will add to the volumes and margins.