Why Did Saregama India’s Q4 Revenue Drop Over 50%?
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Synopsis
Saregama India Limited has reported a staggering decline in revenue and net profit for Q4 FY25. The company's financial struggles are evident, yet they reflect resilience in the face of tough market conditions. This article delves into the numbers, strategies, and future outlook for Saregama amidst these challenges.
Key Takeaways
- Revenue decline of 50.16% in Q4 FY25.
- Profit after tax decreased by 3.98% from Q3.
- Year-on-year profit growth of 11.06%.
- Expanded music catalog with over 2,800 new songs.
- Strategic focus on IP monetization and investments.
Mumbai, May 15 (NationPress) Saregama India Limited, a member of the RPSG Group and led by Sanjiv Goenka, announced a significant drop in both revenue and net profit for the fourth quarter (Q4) of FY25 compared to the previous quarter (Q3 FY25). The company's revenue from operations decreased by 50.16 percent sequentially, reaching Rs 240.82 crore in Q4, down from Rs 483.43 crore in Q3, as revealed in its stock exchange filing.
In addition, Saregama's profit after tax (PAT) for Q4 was reported at Rs 59.86 crore, reflecting a 3.98 percent decline from Rs 62.34 crore in Q3.
The profit attributable to the company's owner also saw a decrease of 3.50 percent, falling from Rs 62.31 crore in Q3 to Rs 60.13 crore in Q4.
Total income was impacted as well, dropping by 48.21 percent to Rs 258.47 crore in the March quarter (Q4), compared to Rs 499.14 crore in the December quarter (Q3).
Nevertheless, compared to the same quarter last year, Saregama's PAT showed positive momentum, increasing by 11.06 percent from Rs 53.9 crore in the previous fiscal year's Q4, showcasing underlying resilience.
Saregama’s shares traded up by 2 percent at Rs 559.10 on the National Stock Exchange (NSE), gaining Rs 10.95 during the intra-day session.
Avarna Jain, Vice Chairperson of Saregama India Ltd, stated, “This has been another path-breaking year for Saregama, achieving our highest-ever revenue from operations.”
She added, “Our strategy of aggressive investments and IP monetization across music, video, and live events is yielding strong results. We are on the brink of an exciting growth phase in this rapidly expanding sector.”
The company has been actively expanding its content portfolio, releasing over 700 film and non-film tracks across various Indian languages, including Hindi, Tamil, Telugu, Bengali, Punjabi, Marathi, Gujarati, Bhojpuri, and Malayalam during FY25.
Furthermore, it acquired 22 music labels in seven languages, enriching its catalog by more than 2,800 songs.
Point of View
It's crucial to present an unbiased perspective on Saregama India's recent financial downturn. Despite the significant drop in revenue and profit in Q4 FY25, the company's overall growth strategy and expansion efforts in content creation suggest resilience. It remains to be seen how Saregama navigates these challenges in the competitive landscape of the entertainment industry.
NationPress
22/09/2025
Frequently Asked Questions
What caused Saregama India's Q4 revenue drop?
The company's revenue fell by over 50% due to various market pressures and strategic shifts in its operations.
How did Saregama's profit change in Q4?
Saregama's profit after tax decreased by 3.98% compared to the previous quarter.
What is Saregama's strategy moving forward?
Saregama is focusing on aggressive investments and IP monetization across various media to drive growth.
Did Saregama show any year-on-year growth?
Yes, Saregama's profit after tax increased by 11.06% compared to the same quarter last year.
What languages does Saregama release music in?
Saregama releases music in multiple languages, including Hindi, Tamil, Telugu, Bengali, Punjabi, Marathi, Gujarati, Bhojpuri, and Malayalam.
