| MUMBAI:
Radio Mirchi, Entertainment Network India Ltd's radio business, is back in the
black as it curtailed its expenses in a “still recovering” advertising
market. The
second-quarter net profit stood at Rs 38.17 million despite a 9.15 per cent fall
in revenue. For the earlier-year period, Radio Mirchi had a net loss of Rs 32.78
million. An
aggressive cost management kept total expenses down by 19.39 per cent to Rs 509.36
million for the quarter under review. ENIL's
standalone revenue for the quarter ended 30 September stood at Rs 559.30 million,
down from Rs 615.64 million a year ago. Total expenses, however, fell by 19.39
per cent to Rs 509.36 million in the quarter under review. Operating
margin also improved drastically from 13.8 per cent in the second quarter of the
previous fiscal to 25.9 per cent during the current quarter. Says
ENIL CEO Prashant Panday, “In spite of declining revenues, we are happy to
report a much improved EBITDA and PAT margins." Panday,
however, expects revenues to pick up from the third quarter as the market recovers
and ENIL enjoys a higher listenership share. "While
revenues are down from last year, our market share has risen to 42 per cent, largely
on account of better listenership performance. From this point on, we expect an
upturn in revenues, which should give us substantially better margins,” Panday
says. On
a consolidated basis, ENIL has posted a net loss of Rs 138.29 million for the
quarter, as against a loss of Rs 181.12 million a year ago. Revenue
stood at Rs 984.42 million, compared to Rs 1.10 billion in the second quarter
of FY'09. ENIL's
consolidated results combine the financial performances of the OOH business under
Times Innovative Media and the experimental marketing unit under Alternate Brand
Solutions. For
Times OOH, the company has posted a revenue of Rs 366 million, recording a sequential
growth of 18.2 per cent. Says
Times OOH MD Sunder Hemrajani, “The OOH Media market continues to be on the
path to recovery. The efforts of the company are beginning to yield positive results.
Both airport and street furniture format participated in the revival process.
The cost productivity initiatives to improve profitability are on track. The full
impact of these initiatives should be visible in the ensuing quarters.” | 
