Entertainment Network India Limited (ENIL), the operator of Radio Mirchi, has reported a robust performance for the second quarter of fiscal year 2026, with significant growth in its digital and non-FCT segments offsetting challenges in the radio advertising market.

Financial Highlights

Digital Business Surge

ENIL's digital business has shown exceptional growth, with revenues reaching Rs. 31.50 crores, marking a 149.5% year-on-year increase. This segment now contributes 33% of the company's existing traditional business, up from 15.9% in the same quarter last year. The Gaana platform, a key component of ENIL's digital strategy, generated Rs. 20.54 crores in revenue, nearly doubling from the previous year.

Non-FCT and Events Business Growth

The non-FCT (Non-Free Commercial Time) segment grew by 42.2% to Rs. 34.50 crores. Within this, the events and IP business expanded by an impressive 101.1%, showcasing the company's successful diversification strategy.

Radio Advertising Challenges

While other segments thrived, the radio advertising segment faced headwinds due to muted advertiser sentiment and campaign deferrals. These challenges were attributed to anticipated GST benefits and overall market conditions.

Operational Efficiency

ENIL has demonstrated improved operational efficiency in its digital business. The investment in the digital segment reduced to Rs. 9.80 crores from Rs. 12.90 crores in Q2FY25, indicating better cost management while maintaining growth.

International Business

The company's international business showed strong growth, increasing by 35% to reach Rs. 5.90 crores, contributing to the overall positive performance.

Future Outlook

Management expects the Gaana platform to reach breakeven by June-September next year, signaling confidence in the sustainability of its digital growth strategy. For the radio business, the company anticipates single-digit growth in the coming quarters, reflecting a cautious but optimistic outlook in the face of current market challenges.

Investor Conference Call Insights

During the Q2FY26 earnings conference call held on November 6, 2025, ENIL's management provided additional context to the company's performance and strategy:

• The company maintains a strong market position with a 25% volume share in the radio market.
• ENIL's diversified portfolio, particularly in digital, events, and solutions, has helped offset softness in the radio advertising business.
• The events business has seen significant tailwinds post-COVID, with the company organizing about 300 events annually across 63 markets.
• Management remains cautiously optimistic about radio business growth, expecting single-digit increases in the coming quarters.
• The company is exploring opportunities in digital radio, pending government policies and industry-wide adoption.

ENIL's Q2FY26 results demonstrate the company's ability to navigate a challenging media landscape by leveraging its diversified business model and focusing on high-growth segments like digital and events. While traditional radio advertising faces headwinds, the company's strategic investments in digital platforms and non-FCT businesses are driving overall growth and positioning ENIL for future success in the evolving media industry.

Entertainment Network (India) Limited , the operator of India's #1 FM radio channel Radio Mirchi and premier Audio Streaming Platform Gaana, has reported its financial results for the second quarter ended September 30, 2025. The company's Board of Directors approved the unaudited financial results in a meeting held on November 4, 2025.

Board Meeting and Financial Results Approval

The Board of Directors convened at the company's registered office in Mumbai from 2:30 p.m. to 7:50 p.m. on November 4, 2025. During this meeting, they approved both standalone and consolidated financial results for the quarter and six months ended September 30, 2025. The Board also took on record the Limited Review Report for these results.

Revenue and EBITDA Performance

Entertainment Network witnessed a significant increase in its top line, with consolidated revenues reaching ₹1,411.00 million in Q2, up from ₹1,135.00 million year-over-year. This 24.3% growth demonstrates the company's ability to expand its market presence and diversify its revenue streams.

The company reported Q2 EBITDA of ₹114.00 million compared to ₹112.00 million in the same period last year, representing a year-over-year increase of 1.8%. However, the EBITDA margin decreased to 8.06% from 9.82% in the previous year's corresponding quarter.

Performance Breakdown

The company's financial performance shows a mixed picture:

Digital Segment Growth

A standout feature of Entertainment Network's Q2 performance was the growth in its digital business. The digital segment's revenues climbed to ₹315.00 million, now accounting for 52.5% of ENIL's core radio advertising revenue, up from 21.4% in the same quarter last year. This growth was driven by an expanding user base and deeper engagement on the Gaana platform.

Operational Efficiency

The company has shown improvements in operational efficiency, particularly in its digital business. Investments in the digital segment were reduced to ₹98.00 million from ₹129.00 million in the previous year's Q2, indicating better cost management while achieving growth.

Challenges in Radio Advertising

While the company saw overall revenue growth, it noted that radio advertising continued to face pressure due to industry-wide softness and weak advertiser sentiment. However, growth in Digital, Events, and Branded Solutions more than offset this shortfall, validating the company's platform-agnostic strategy and diversified revenue mix.

Management Commentary

Yatish Mehrishi, CEO of ENIL, commented on the results: "Our performance this quarter highlights the success of ENIL's transformation journey and the strength of our diversified business model. The significant growth in our Digital, Events, and Solutions businesses demonstrates that we are well on our way to becoming a full-spectrum audio entertainment and audience engagement company."

Availability of Financial Results

The company has announced that the detailed financial results will be made available on its website and on stock exchange platforms. Following the disclosure of these results, the trading window for the company's securities will reopen after 48 hours.

Future Outlook

Entertainment Network's focus going forward will be to continue its transformation journey—building a more balanced portfolio while enhancing monetization across its ecosystem. The company's ability to grow its digital segment and diversify revenue streams may be key to improving profitability in future quarters.

As the media landscape continues to evolve, Entertainment Network's strategic shift towards a more diversified business model and its focus on digital growth could position it well for future challenges and opportunities in the audio entertainment industry.