Shemaroo Entertainment

Average set of numbers, digital revenues doing well but traditional revenues again hit. Here are my notes from their concall.

  • Expenditure on new ventures was ~20cr. in this quarter (up from earlier levels of 16cr.). Expenditure will depend on cash being generated from core business rather than borrowings
  • Digital revenue breakup (47.6 cr.):
    o Youtube: ~66% (~31 cr.)
    o Telco <10% (~4 cr.)
    o Syndication & ShemarooMe: remainder
    o Got into a strategic tieup with spotify for Bhagvad Gita podcast
  • Confident of breaking even in the two TV channels in FY23
  • Debt is 248 cr., inventory has come down to 700 cr.
  • Ranking and ratings of MarathiBana has remained stagnant due to launch of new peer (Sun Marathi). 4 marathi channels in the free domain
  • Shemaroo TV has got more traction
  • 9MFY22: Advertising led business has grown faster than industry (35%+) but subscription based business has degrown significantly. Syndication business has shown minor growth
  • ESOP approval has been taken to attract new talent
  • Continuously invests into new initiatives, like launched dubbed Korean content on TV

Disclosure: Invested (position size here)

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