Century Business Media Limited, a Patna-based out-of-home (OOH) advertising services provider, has filed its Draft Red Herring Prospectus (DRHP) for an initial public offering. The company, established in 1999, operates across airport, railway, and metro segments with exclusive advertising rights at five airports and 714 railway stations under the East Central Railway zone.

About the Company

Century Business Media specializes in OOH media, offering both digital (LED screens, digital displays) and non-digital (hoardings, unipoles, static boards) formats. Its operations span Bihar, Jharkhand, West Bengal, Delhi, Maharashtra, Uttar Pradesh, Karnataka, and North Eastern states. The company is promoted by Shashi Kumar Chaudhary, who serves as Managing Director and brings approximately 26 years of experience, including 16 years in the outdoor advertising industry.

Financial Performance

The company demonstrated consistent growth over the last three financial years. Revenue from operations increased by 14.42% in FY2025 and accelerated to 26.69% in FY2026. Total profit (PAT) rose from ₹3.69 crore in FY2024 to ₹5.56 crore in FY2026.

Operating cash flows improved significantly from ₹0.16 crore in FY2024 to ₹6.05 crore in FY2026. Total assets grew by 39.83% in FY2026, primarily due to an increase in non-current assets reflecting capital expenditure in media assets.

Why the Company Is Raising Funds

The IPO proceeds are intended to support business expansion and balance sheet optimization. The identified uses of proceeds include:

• Capital Expenditure: ₹4.21 crore for purchasing media assets such as hoardings, unipoles, and LED screens.
• Security Deposit: ₹3.77 crore for securing advertising rights at Patna Airport.
• Working Capital: ₹3.25 crore to meet operational requirements.
• Debt Repayment: ₹1.45 crore for repaying term loans from UCO Bank.
• General Corporate Purposes: Amount not specified, subject to SEBI guidelines.

Business Strengths

The company holds exclusive government-granted concession agreements with the Airports Authority of India (AAI) and Indian Railways, creating high entry barriers. It maintains a diversified portfolio across multiple geographies and formats, reducing reliance on single locations or mediums. The management team possesses deep industry expertise, facilitating strong client retention and repeat business.

Key Risks

A significant portion of revenue depends on government concession agreements that are subject to competitive bidding and fixed terms of 3–10 years; renewal is not automatic. The company faces geographic concentration risk, with 35.56% of FY2026 revenue from Bihar and 21.19% from Jharkhand. Certain agreements require payment of Minimum Monthly Guarantees (MMG) regardless of actual revenue generated, which could pressure profitability during downturns. Additionally, the company holds substantial trade receivables of ₹1,415.80 lakh as of March 2026, exposing it to collection risks.

Important IPO Dates

• IPO Opening Date: 11-Sep-2026
• IPO Closing Date: 16-Sep-2026
• Allotment Date: 17-Sep-2026
• Listing Date: 21-Sep-2026

Offer Details

The issue consists entirely of a fresh issue with no Offer for Sale (OFS) component. Price band, total issue size, lot size, and reservation details are not disclosed in the current filing.

Bottom Line

Century Business Media presents a growth story backed by exclusive government concessions and accelerating revenue trends. While the company benefits from strong operating cash flows and a clear use of proceeds for asset expansion, investors must consider the risks associated with concession renewals, geographic concentration, and receivables management.