Dear Fellow Shareholders
First of all I wish you and your families a safe and healthy 2021 and beyond. Thewell-being of Sea TVs extended family of employees stakeholders vendors and clients;well-wishers and the citizens of the world is at the top of my mind. I pray and hope youare all well.
Starting in February 2020 the outbreak of the COVID-19 pandemic adversely impactedpeoples' lives and business across the globe. And this year the second wave of COVID-19in India has impacted our people and their socio-economic condition. Our hearts go to themillions who were impacted by this pandemic.
In the fiscal year 2021 the global economy saw once-in-a-century shifts due to theCovid-19 pandemic and lockdowns implemented in many larger economies. However anaggressive vaccination rollouts has raised the hopes of a strong turnaround in the secondhalf of the fiscal year 2022.
As a result the first half of FY-2021 saw the Indian economy fall into a steeppandemic-induced recession. For the year ended March 2021 the gross domestic product(GDP) witnessed a record decline of 7.3 per cent in growth the worst in 40 years.
The economic impact of Covid-19 has been widespread and all-pervasive. It is estimatedthat the pandemic pushed 32 million people out of the middle class. The social impact ofthe economic recession has been devastating as well. Supply chains were disrupted withinIndia and globally leading to increased input costs and delayed delivery schedules inseveral sectors. Widespread job losses and falling incomes impacted consumer demand.
The Indian Media and Entertainment (M&E) industry is a sunrise sector for theeconomy and is making significant strides. Proving its resilience to the world IndianM&E industry is on the cusp of a strong phase of growth backed by rising consumerdemand and improving advertising revenue. According to a FICCI-EY report the advertisingto GDP ratio is expected to reach 0.4% by 2025 from 0.38% in 2019.
According to an EY report the Indian media and entertainment (M&E) sector stood atRs. 1.38 trillion (~ US$ 18 billion) in 2020 and is estimated at Rs. 1.79 trillion (~ US$24 billion) in 2021. Further it is projected to grow to Rs. 2.23 trillion (~ US$ 29billion) by 2023 due to acceleration of digital adoption among users across geographies.The market is projected to increase at a CAGR of 17% between 2020 and 2023.
The Telecom Regulatory Authority of India (TRAI) is set to approach the Ministry ofInformation and Broadcasting Government of India with a request to Fastrack therecommendations on broadcasting in an attempt to boost reforms in the broadcastingsector.
In June 2021 the Union Ministry of Information and Broadcasting notified the CableTelevision Network (Amendment) Rules 2021 which aims to establish a three-layerstatutory mechanism for citizens to raise grievances with respect to broadcasted content.
Indian M&E industry is on an impressive growth path. The industry is expected togrow at a much faster rate than the global average rate.
I thank all our clients customers my fellow shareholders and our Sea TV's colleaguesfor their support.
Finally I want all of you to be safe. This year the AGM is once again virtual; but Ido hope to meet you all in person at the 2022 AGM or earlier.
|Neeraj Jain |
|Chairman and Managing Director |