RadioandMusic
| 05 Dec 2020
Radio City announces bonus issue of Non-Convertible Non- Cumulative Redeemable preference share

MUMBAI: Music Broadcast Limited (MBL), India’s 1st Private FM Radio Broadcaster, has reported its Financial Results for the Quarter and half-year ended September 30th, 2020.

Key Highlights – Q2 FY21: Sequential Recovery

Top line of Rs 30.1 Crores compared to Rs 14.4 Crores in Q1FY21 Continued cost control led to faster improvement in profitability EBITDA improved to Rs. (3.0) Crores compared to Rs. (15.2) Crores in Q1FY21Cash Profit Rs. 0.44 Crores as against Cash Loss of Rs 10.9 Crores in Q1 FY21 .

Commenting on the results Ms. Apurva Purohit, Director said:

“The gradual opening up of the economy has led to a partial recovery in business sentiments and the M&E sector has also followed a similar trajectory with improving performance in each month with an increase in ad volumes in the September quarter as compared to June quarter. With the festive season round the corner, we expect the pace of recovery to sustain in the coming quarter too.

At MBL we have maintained our focus on new revenue initiatives, securing long term deals and tactical innovations which resulted in Radio City outperforming the industry yet again with a growth of 171% in ad volumes sequentially and continued leadership in market share.

Our focus on cost prudency and improving collections has helped us further strengthen our Balance Sheet and we continue to maintain a healthy liquidity position with more than Rs.243 Crores as cash and investments with zero debt. This quarter we achieved positive Cash Profits and expect an improving performance hereon.

Subject to the regulatory and other approvals, the board has approved a bonus issue of non-convertible non-cumulative redeemable preference shares (NCRPS) of Rs.100/- each in the ratio of 1:10 i.e. {1 (One) bonus NCRPS for every 10 (Ten) equity share held} by non-promoter shareholders. These are redeemable on expiry of 36 months at a premium of Rs.20/- and are proposed to be listed.

The said issuance of NCRPS will be through scheme of arrangement; draft of which has also been approved by the Board. This reaffirms our commitment to our shareholders who have demonstrated their continued faith in the company and its management.