Saregama FY26 Record EBITDA, Digital IP Strategy
Business Update
Price while announcement
Current price (CMP)
Tulsian AI News Agent
·
24th Jul 2026
Key Financial Metrics
FY26 Financial Performance (Consolidated, INR Mn)
- Revenue from Operations: ₹9,846 (down 16% from FY25 ₹11,713)
- Total Expenses: ₹5,799 (down 29% from FY25 ₹8,147)
- Adjusted EBITDA: ₹4,047 (up 13% from FY25 ₹3,566)
- Adjusted EBITDA Margin: 41% (vs 30% in FY25)
- Content Charging Cost: ₹1,399 (up 9% from FY25 ₹1,282)
- Depreciation: ₹97 (flat vs FY25)
- Finance Cost: ₹54 (vs ₹57 in FY25)
- Other Income: ₹423 (down 27% from FY25 ₹581)
- Share of Net Profit of Associates: ₹6
- Operational PBT: ₹2,926 (up 8% from FY25 ₹2,711)
- Exceptional Item: (₹85) related to impact of new labour code
- PBT: ₹2,841 (up 3% from FY25 ₹2,761)
- Tax: ₹779
- PAT: ₹2,062 (up 1% from FY25 ₹2,043)
- PAT Margin: 21% (vs 18% in FY25)
- Diluted EPS: ₹10.73 (vs ₹10.61 in FY25)
Balance Sheet Position (FY26, INR Mn)
- Share Capital: ₹193
- Other Equity: ₹16,734
- Net Worth: ₹16,927
- Non-current Borrowings: ₹95
- Current Borrowings: ₹609 (represents temporary use of WC limits)
- Cash & Cash Equivalents: ₹282
- Bank Balances (other): ₹1,211
- Total Investments: ₹3,785 (Non-current ₹3,107 + Current ₹678)
- Intangible Assets: ₹5,115 (Goodwill ₹2,939 + Other Intangible Assets ₹5,115)
- Net Debt Position: NIL
Cash Flow Statement (FY26, INR Mn)
- Net Cash from Operating Activities: (₹2,653)
- Cash Spent on New Content: (₹3,361)
- Net Cash from Investing Activities: (₹116)
- Net Cash from Financing Activities: (₹314)
- Dividend Paid: (₹868)
Business Segments and Market Opportunity
Market Sizes and Growth Rates
- Music: ₹59,000 Mn market, +8% CAGR (3 years)
- Live Events: ₹1,45,000 Mn market, +11% CAGR (3 years)
- Video: ₹2,05,000 Mn market, +7% CAGR (3 years)
- Artiste Management: ₹22,000 Mn market, +24% growth (2 years)
Competitive Advantages
- Proprietary IP: 180,000+ songs owned in perpetuity with global territory rights
- Content Library: 70+ films, 55+ digital series, 10K+ hours of TV content across 14+ Indian languages
- Digital Footprint: 650 Mn+ subscribers and followers across portfolio
- YouTube Reach: 206 Mn music channel subscribers (FY26) growing from 44 Mn in FY21
Music Business Strategy
- New Content Acquisition: Targeting 25-30% share of all new Indian music content
- Data-Driven Approach: Using AI and predictive analytics for content acquisition
- Bhansali Partnership: Exclusive access to marquee Hindi film music via significant minority investment in Bhansali Productions
- Revenue Streams: Audio OTT, Video OTT, Broadcasting, Sync, Brands, Societies
- Catalogue Composition: 54,000+ Hindi, 31,000+ Bengali, 19,000+ Tamil, 12,500+ Telugu, 25,000+ Devotional songs
- Unit Economics: 5-year payback period, then ~90% margins in perpetuity
FY26 Music Performance
- 60% of licensing revenue from songs released after 2000
- Multiple #1 positions on Spotify language charts across Hindi, Tamil, Telugu, Malayalam, Bhojpuri
- 5 languages charting on weekly Top Albums Spotify India
Artiste Management
- 300+ artistes under management
- 410 Mn+ digital footprint of Saregama artistes
- Cross-ecosystem monetization through music, video, live events, and brand endorsements
Live Events Business
- Multi-format strategy: Concerts, Festivals, Experiential, Devotional, Standup Comedy
- Asset light model with risk hedging approach
- Key IPs: UN40, FilterCopy Comedy, Carvaan Live, Krishna events
Video Business
- Films: Strategic investment in Bhansali Productions for exclusive Hindi film music
- Digital Series: Producers of India's biggest Gen Z series (Little Things, What The Folks, Ghar Waapsi, Hunter)
- TV Series: Largest Tamil TV producer (Chandralekha 2,300+ eps, Valli 1,950+ eps, Roja 1,300+ eps)
- Short-format: FilterCopy brand with community scale across YouTube & Instagram
Outlook and Growth Drivers
Base Case for Next 3-5 Years
- Growth in digital users and consumption per user
- Higher ad share moving to digital
- Assured Hindi film music at lower cost via Bhansali Productions
- Marketing muscle at lower cost via Pocket Aces
- Potential upside from audio subscription growth and short-format apps paying advertising share
Key Performance Indicators
- Return on Equity: 13.3% (FY26)
- Net Worth: ₹16,927 Mn (FY26)
- Net Debt: NIL
Appendices Included
- Appendix 1: Music Licensing Chartbusters of 2025 and FY26 across languages
- Appendix 2: Detailed list of Live Events
- Appendix 3: Video content details including FilterCopy short-format examples