Shemaroo Entertainment witnesses 35.7% operational revenue growth in Q2 FY 2024

Shemaroo Entertainment, a prominent player in the media industry, has reported a remarkable surge in revenue from operations, marking a growth of 35.7% in the second quarter of FY 2024 in comparison to the same period last year. According to the financial statement for Q2 FY24, the company’s revenue from operations soared to Rs 198.9 crore, a substantial increase from Rs 146.6 crore recorded in Q2 FY23.

Notably, digital media contributed significantly, accounting for Rs 62.5 crore, while traditional media generated Rs 136.4 crore in revenue. The company’s financial performance displayed robust growth, with revenue from operations escalating by 45% from H1 FY23 to H1 FY24. However, this growth was accompanied by an increase in total expenses, which rose from Rs 133.7 crore in Q2 FY23 to Rs 181.7 crore in Q2 FY24.

Further analysis reveals a noteworthy uptick in EBITDA, experiencing a year-on-year growth of 34%, reaching Rs 17.2 crore in Q2 FY24 from Rs 12.8 crore in Q2 FY23. Shemaroo Entertainment attributed this growth to the strong performance of its traditional businesses, enabling the company to maintain a positive margin despite challenging market conditions.

In Q2 FY2024, the company reported a total income of Rs. 199.9875 crores, reflecting a substantial increase from Rs. 154.2659 crores in the previous quarter (June 30, 2023). Notably, the company achieved a net profit of Rs. 4.8813 crores in Q2 FY2024, a significant improvement compared to the net loss of Rs. -1.3213 crores in the preceding quarter. This positive financial trend is highlighted by the earnings per share (EPS), which surged to Rs. 1.80 in Q2 FY2024, up from Rs. -0.49 in Q1 FY2024.

While the company acknowledged subdued overall advertising demand due to sluggish consumer sentiment and reduced funding for new-age advertisers, Shemaroo Entertainment anticipates a slight upswing in advertising spending during the upcoming festive season. However, it cautioned that significant portions of advertising budgets are likely to be absorbed by major cricket events taking place in the quarter.

Comparing year-on-year figures, Shemaroo Entertainment reported a total income of Rs. 199.9875 crores for Q2 FY2024, a notable increase from Rs. 147.1590 crores in Q2 FY2023. The company’s net profit also demonstrated growth, reaching Rs. 4.8813 crores in Q2 FY2024, compared to Rs. 3.3845 crores in Q2 FY2023. The earnings per share for this period rose to Rs. 1.80, reflecting an improvement from Rs. 1.25 in Q2 FY2023.

Moreover, the half-yearly financial results (ended September 30, 2023) demonstrated Shemaroo Entertainment’s strong performance. The company reported a total income of Rs. 354.2534 crores during this period, a substantial increase from Rs. 244.8159 crores recorded in the same period last year. The net profit for the half-year ended September 30, 2023, was Rs. 3.56 crores, showing resilience compared to Rs. 3.6326 crores in the corresponding period of the previous fiscal year. The earnings per share for this half-year period stood at Rs. 1.31, up from Rs. 1.34 in H1 FY2023, underscoring the company’s consistent growth and financial stability.