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News |  31 May 2010 17:18 |  By RnMTeam

Reliance Media World posts net loss of Rs 761.3 mn for FY'10

MUMBAI: Reliance Media World has reported a total income of Rs 1.8 billion for FY 2010, with radio EBIDTA at Rs 18.8 million, crediting its performance to higher inventory utilisation and continued focus on cost reduction. The company reported a loss of Rs 761.3 million at the net level, attributed mainly to debt servicing cost, depreciation and amortisation.

According to a company release, Big now commands a 21 per cent market share making the radio network one of the largest media / radio players in the country. Big FM has clocked a healthy growth of 28 per cent on retail revenues, while there has been
quarter on quarter growth of 40 per cent in new business development revenues.
Inventory utilization in tier II and III cities experienced over 70 per cent growth during the year, says the company, while government advertising contributed to the top line growth of radio revenues.

Key Stations like Bangalore, Kolkata and Chandigarh rated No. 1 in audience ranking, the release states, and audience ranking showed growth by 7.56 per cent in listenership.

For Q4FY10, Big FM launched BIG Impact – Classified Ads on Radio, which introduced first-time radio advertisers to a �virtual' radio classified section, allowing them to communicate concise advertising messages to their target audience, through a cost-effective format. Continued emphasis on new business development led to increased revenues from new clients on BIG FM, in categories like new mobile handsets, education, beverages, durables, auto and pharma, the release says.

The BIG 30 Countdown, evening drive time show, launched nationally across 36 HSM Stations of the 92.7 BIG FM network
The Mumbai Station launched its breakfast show campaign �Morning ki Laughter Local' with comedy king Raju Srivastav and Vrajesh Hirjee
BIG FM, pioneers also in the devotional band on radio, brought on board spiritual guru Vikram Hazra as the new soul jock for its program �Seher' across 36 Hindi speaking markets.

Commenting on the performance, RMWL CEO Tarun Katial said, The radio business has turned EBITDA positive for full year operations, which is very encouraging. In addition, the out of home and experiential marketing divisions too are showing a steady and healthy growth in revenue which is commendable. The volume growth experienced in the Tier II and III cities coupled with growth in retail revenues, paints a very optimistic picture, with phase III poised to open shortly, which will result in boosting revenues for radio industry. With media boundaries evaporating and with the consumer consuming media across multiple platforms, we are confident that our integrated approach will significantly increase the share of value for stakeholders....