Music label Saregama India Ltd on Wednesday reported 151% increase in consolidated net profit to Rs 37.18 crore for the quarter ended on March 31, 2021, helped by increased consumption of digital media during stay-at-home after the pandemic. The company had posted a net profit of Rs 14.84 crore in the corresponding period of the previous fiscal.
Revenue from operations increased by 13.6% to Rs 123.45 crore during the period under review as against Rs 108.66 crore in the same period a year ago, Saregama said in a regulatory filing. As per the company, there has been a consistent rise in the monetisation of its IP (music, films, TV serials) over the last 13 quarters. “Digitisation and low cost of data in India remain the primary growth drivers of content consumption. This is further fuelled by the increase in smartphones, the rising popularity of OTT and social media apps,” the company said.
The company further saw 20% increase in Music Licensing revenue in FY21. Saregama had launched many Hindi and regional language non-film “original” songs, from the likes of B Praak, Mohit Chauhan, Sanam, Kaka, Goldie Sohel and Ramji Gulati. Many of these songs trended on YouTube and OTT platforms. Meanwhile, Carvaan Mini Kids continued to trend as the company overall sold 110 thousand units in Q4 FY21.
Saregama said the fast-growing digitisation of India, buoyed by the present Covid situation, is the key driver of change in content consumption habits. “This trend is expected to continue for a long time, and Saregama has aligned its content strategy to ride on this digital wave.” the company added.
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