Entertainment Network (India) Ltd Q1 PAT jumps 125%

MUMBAI: Entertainment Network (India) Ltd has reported a net profit of 9.7 crore for the quarter ended June 30, 2011, against 4.3 crore reported in the corresponding quarter of the previous fiscal year.

First quarter revenue of the company that operates the private FM radio station, Radio Mirchi, has increased from 57.5 crore in the last fiscal year to 63.2 crore this year. The company's earnings before interest, tax, depreciation and amortisation (EBITDA) stood at 21.8 crore, up 46%. EBITDA margin in the quarter improved from 26% a year ago to 34%.

As part of the new phase-III of radio reforms announced recently, private FM radio stations will be made available in as many as 227 additional towns. Multiple frequencies will be allowed to broadcasters. The company said it will gain from this policy, taking advantage of the 125 crore of free cash it has. During the quarter, the company generated 23-crore cash.