Radio Mirchi operator ENIL sees revenue dip amid weak advertising demand

Entertainment Network (India) Ltd (ENIL), which operates Radio Mirchi and audio streaming platform Gaana, reported a 9.5% year-on-year growth in consolidated EBITDA at Rs 11.3 crore for the second quarter of FY27, against the backdrop of subdued advertising demand and a shift in festive season spending.

Consolidated revenue from operations stood at Rs 116.7 crore for the quarter ended September 30, 2026, down from Rs 141.1 crore in the corresponding quarter last year. Domestic revenue contributed Rs 114 crore, while international operations accounted for Rs 3.2 crore.

The company’s consolidated net loss widened to Rs 4.85 crore during the quarter, compared with Rs 4.09 crore in Q2 FY26.

Commenting on the performance, Yatish Mehrishi, CEO of ENIL, said subdued advertising demand and the later timing of the festive season had impacted quarterly revenue. However, changes in the company’s cost structure helped support EBITDA growth.

“We are reshaping ENIL to strengthen core profitability and build new avenues for growth,” Mehrishi said.

ENIL’s digital business continued to gain a larger share of its domestic revenue mix. The segment recorded revenue of Rs 33 crore in Q2 FY27, registering a 4.6% year-on-year increase. Its contribution to domestic revenue rose to 29%, compared with 23.3% in the year-ago quarter.

The segment also reported a narrowing of EBITDA losses, which declined 23.3% to Rs 7.5 crore from Rs 9.8 crore in Q2 FY26.

The company is looking to expand its presence beyond conventional radio advertising through Gaana and its Digital Solutions business, tapping into a wider pool of advertiser budgets and strengthening relationships with existing clients.

Mehrishi said ENIL’s brands, audience relationships and advertiser reach offered a foundation for building growth opportunities beyond its traditional radio operations.

Through Digital Solutions, the company is working to extend its offerings to advertisers and participate in a broader range of digital marketing spends.

Gaana is looking to strengthen subscriber acquisition through distribution partnerships, alongside investments in music discovery and personalisation to improve user engagement and retention.

Its partnership with wearable technology brand Noise is among the initiatives aimed at expanding consumer reach through wider distribution and a co-branded product offering.

ENIL plans to explore further partnerships that complement its subscription growth strategy and strengthen engagement with consumers.

Radio continued to be ENIL’s largest domestic revenue contributor, accounting for 53% of the company’s domestic revenue in the September quarter. The company operates FM radio stations across 63 cities in India.

Alongside its radio operations, ENIL has been building its presence across events and Digital Solutions as part of its efforts to diversify its business and revenue streams.

The company’s consolidated cash balance stood at Rs 371.5 crore as of September 30, 2026.

Separately, ENIL is undertaking the transfer of assets relating to four FM radio stations in Kanpur, Lucknow, Nagpur and Hyderabad through its wholly owned subsidiary, Alternate Brand Solutions. The proposed transaction is valued at Rs 19.6 crore, plus applicable taxes, and is subject to the execution of definitive documentation and completion of the remaining statutory and regulatory requirements.