We had foreseen how digitization would profoundly change music consumption in Indiaand had been amongst the first in the industry to start digitizing our music collection......we have 16.74 million followers on Facebook and 1.06 million on Twitter. Our YouTubechannel has over 23.64 million subscribers/ followers. This entire digital focus andimpetus has ensured our music business continues to accelerate from year to year.
It is always a pleasure and privilege to present before you the performance of yourCompany as well as share with you a strategic overview for the future.
The Indian Media and Entertainment (M&E) industry is one of the most vibrant anddynamic in the world. It is the largest in terms of number of films produced. The adventof digitzation has led every aspect of the M&E industry has been re-defined andtoday the Indian M&E industry has reinvented itself to be at the forefront of newdigital world.
Nowhere has the impact of digitization been more conspicuous than in the music segmentin India. From delivery to consumption the entire gamut of music has now embraced digitalplatform. Driven by falling data rates - India has the cheapest data rates in the worldgrowing proliferation of smart phone which are getting more and more feature-rich and atthe same time becoming more and more affordable explosion of streaming platforms and anexpanding user user-base the digital music in India is galloping.
At Tips we are quite excited by this!
We had foreseen how digitization would profoundly change music consumption in Indiaand had been amongst the first in the industry to start digitizing our music collection.We have a collection of over 25000 songs spanning both the film and the non-film genres -from ghazals to bhajans to pop and remixes. Our collection appeals to every generationacross major languages and regions - making it truly evergreen. All our songs areavailable in all digital formats across all major global platforms like iTunes andGooglePlay as well as top Indian music streaming platforms like Jio-Saavn Gaana WYNK andothers. Complimenting our digitized music library is our dominant presence across socialmedia. We have 16.74 million followers on Facebook and 1.06 million on Twitter. OurYouTube channel has over 23.64 million subscribers/ followers. This entire digital focusand impetus has ensured our music business continues to accelerate from year to year.
Let me now update you on the Company's film business. This year we also released RACE3- the third franchise of the hit RACE series. The film was produced in association withSalman Khan Ventures P. Ltd. The film was released in June and was well-received byaudiences. There has been an increasing demand for content-rich films particularly in thelast year. This trend is on the rise. At TIPS we have been producing content-rich filmsthat deliver wholesome family entertainment. This places us at an excellent position toleverage this trend. We are evaluating many interesting scripts and have short-listed afew for further consideration. Plans are in place to produce at least two to three filmsevery year that provide wholesome entertainment for the entire family. Similarly we arealso evaluating scripts for Punjabi films where too we have a proven track-record ofproducing some of the biggest hits.
The highlights of this year's financial performance was as under:
Our Total Income for the year was Rs.207.72 crores compared to Rs.49.93 crores lastyear. EBITDA for the year was Rs.10.78 crores against Rs.12.02 crores last year while PATfor the year was Rs.2.85 crores against Rs 3.13 crores last year. This year our revenuesfrom music were Rs.66.74 crores compared to Rs.42.59 crores last year - a clear validationof our digital focus.
The Directors have recommended a final dividend of 10% (Re.1/- per share) subject toapproval of shareholders.
All in all I am quite positive and optimistic about the future. With digital musicpoised to continue with its growth trajectory and with interesting film projects underconsideration the Company is looking at new opportunities and new horizons in the daysand years to come.
I thank you all for your trust and faith in TIPS. A special note of gratitude to allour stakeholders: our employees investors partners bankers and vendors.
Kumar S. Taurani
Chairman & Managing Director