Entertainment Network (India) Ltd — Call Transcript 2026

Feb 17, 2026

entertainment network (India) limited

17 February 2026

BSE Limited, Rotunda Building, P. J. Towers, Dalal Street, Fort, Mumbai- 400001	National Stock Exchange of India Limited, Exchange Plaza, Bandra Kurla Complex, Bandra(East),Mumbai – 400051

BSE Scrip Code: 532700/ Symbol: ENIL Sub: Transcript of the Investors’ call Q3FY26

Dear Sir/ Madam,

Please find enclosed herewith the transcript of the Investors’ Call / Earnings Conference Call– Q3FY26, held on 11 February 2026.

The same has been uploaded at:

• • • https://www.enil.co.in/stock exchange filings fy2026.php

and

• • https://www.enil.co.in/financials investorp fy2026.php

For Entertainment Network (India) Limited

Digitally signed by Mehul Mehul Rasiklal Shah Rasiklal Shah Date: 2026.02.17 11:33:37 +05'30'

Mehul Shah EVP– Compliance & Company Secretary (FCS no- F5839)

Encl: a/a

Registered Office : The Times Group, Sunteck Icon, CTS 6956 VLG, Kolekalyan Vimantal, CST Link Road, Kalina, Near Mercedes Show Room, BKC Junction, Santacruz East, Mumbai - 400098, Maharashtra, India. Tel: 022 68896222. E-mail: mehul.shah@timesgroup.com www.enil.co.in Corporate Identity Number: L92140MH1999PLC120516

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“Entertainment Network (India) Limited

Q3 FY '26 Earnings Conference Call” February 11, 2026

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– MANAGEMENT: MR. YATISH MEHRISHI CHIEF EXECUTIVE OFFICER – ENTERTAINMENT NETWORK (INDIA) LIMITED – – MR. SANJAY BALLABH CHIEF FINANCIAL OFFICER ENTERTAINMENT NETWORK (INDIA) LIMITED

– MODERATOR: MS. SNEHA SALIAN EY, INVESTOR RELATIONS

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Moderator:

Ladies and gentlemen, good day, and welcome to Entertainment Network (India) Limited Q3 FY '26 Earnings Conference Call. As a reminder, all participants' lines will be in the listen-only mode and there will be an opportunity for you to ask questions after the presentation concludes. Should you need assistance during the conference call, please signal an operator by pressing star then zero on your touchtone phone. Please note that this conference is being recorded.

I now hand the conference over to Ms. Sneha Salian. Thank you, and over to you.

Sneha Salian: Thank you, Heena. A warm welcome to all the participants to the Entertainment Network (India) Limited Q3 FY '26 Earnings Call. The investor presentation and the financial results are available on the company's website and on the stock exchanges. Please note, anything said on this call, which reflects our outlook for the future, or which can be construed as a forwardlooking statement must be viewed in conjunction with the risks that the company faces.

This conference call is being recorded and the transcript, along with the audio of the same will be made available on the website of the company as well as on the exchanges. Please also note that the audio of the conference call is the copyright material of Entertainment Network (India) Limited, and it cannot be copied, rebroadcasted or attributed in press or media without specific and written consent of the company.

To give you a brief business update and to take you through the results, from the management team, we have Mr. Yatish Mehrishi, Chief Executive Officer; and Mr. Sanjay Ballabh, Chief Financial Officer.

I would now request Mr. Yatish to provide you with a brief update on the quarter. Over to you, sir.

Yatish Mehrishi: Thank you, Sneha. Good evening, everyone. On behalf of ENIL, I extend a very warm welcome to all participants joining us for our Q3 FY '26 Earnings Call. I hope you had a chance to review the results. Let me briefly walk you through the quarter key highlights and provide context around our performance.

During the quarter, we recorded a domestic revenue of INR160 crores, reflecting a year-on-year growth of 4% and a sequential growth of 18% for the year. This performance was led by the continued momentum in our non-FCT business and the digital business.

Our EBITDA excluding digital stood at INR23 crores, translating into an EBITDA margin of 18%. The company continues to maintain a robust balance sheet with a cash balance of INR372.5 crores as on 31st December 2025.

Let me turn your attention to segment-wise performance. To start with our non-FCT segment. Even with the festive shift, the demand was spread across Q2 and Q3, whereas in the previous year, the entire festive season was in the Q3. Even with that, our event and IP business continued its strong trajectory growth of 10.5%, building on the level of recent quarters.

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On to our digital business. Digital remains a central pillar of our long-term growth strategy and continued to scale meaningfully during the quarter. Revenues from digital business reached INR30.8 crores, contributing close to 50% of our radio revenues, up sharply from 27% in the same quarter last year, underscoring the rapid expansion of this vertical.

This performance was driven by an expanding user base and deeper engagement on the Gaana platform, supported by continued investments in content and user experience. Total investment in digital business during the current year at YTD level stood at INR29 crores, reflecting a significant 22% decline compared to the same period last year.

As part of our long-term strategy, we have increased our marketing investment to accelerate platform adoption, enhancing brand visibility and driving sustained user engagement. This reflects a calibrated approach to growth, balancing scale with cost discipline. Overall, the quarter reinforces our confidence in the digital strategy.

Coming to the radio segment, the radio industry continues to face a tough advertising environment like all other mediums. Advertising actively remained weak, partly due to a strong base in the same period last year and the festive shift.

While the demand has now started to show early signs of stabilizing, advertisers remain cautious, which has kept pressure on all traditional mediums, including radio. We continue to outperform our peers, retaining our position as a market leader in the industry with a strong 25% volume share.

In summary, the strength of our diversified portfolio, the rapid scale-up of digital and our disciplined approach to investment reinforces our confidence in the growth trajectory of the business. We remain focused on the execution and long-term value creation.

With that, I would like to hand over the call to the moderator for the Q&A session. Thank you.

Moderator:

Thank you very much. We will now begin the question-and-answer session. The first question comes from the line of Meghna, an Individual Investor.

Meghna:

I wanted to know what is the Gaana revenue for this quarter?

Yatish Mehrishi:

Yes, and the other question?

Meghna: And I wanted to know how our inventory utilization is like and the FCT and NFCT split for this quarter?

Yatish Mehrishi:

Okay. Gaana revenue for this quarter, almost about INR20.8 crores and our capacity utilization is around 75% for radio.

Meghna:

Okay. And what is your volume growth for this quarter?

Yatish Mehrishi:

It's remained almost flattish this year.

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Meghna:	Okay. And have your rates increased this quarter?
Yatish Mehrishi:	More or less remained in the same bag. But as I said, there is a festive shift. So, there was some
	bit of drop in the inventory levels, and that could have put pressure on the pricing, but more or
	less in the flattish range ma'am.
Meghna:	Okay. And if we compare it to pre-COVID levels?
Yatish Mehrishi:	It's still a drop. As I said, in the last previous meetings also, it's almost about down 25% to 30%.
Meghna:	Okay. And this time, your FCT and NFCT split, how is it like?
Yatish Mehrishi:	So, our overall business, radio now contributes to about 51%. The non-radio business is 49%.
Meghna:	And non-radio includes digital, what all does it include?
Yatish Mehrishi:	Digital and our solutions business, ma'am.
Moderator:	The next question comes from the line of Ronak Shah from Equirus Securities.
Ronak Shah:	Can you first of all highlights what are the gross margin and EBITDA margin for the non-FCT
	business, which we earlier used to highlight in the presentation?
Yatish Mehrishi:	So, the gross margins this quarter has been around 27.2%.
Ronak Shah:	And for the EBITDA margin, sir?
Yatish Mehrishi:	EBITDA margins are about 18.5%.
Ronak Shah:	From the marketing spend perspective, if we see last few odd quarters, it has ramped up
	drastically. So, how we see it tend to pan out over the next 2 to 3-odd years?
Yatish Mehrishi:	See the way we look at it, this quarter, there has been a sudden shift in the marketing because
	when you look at a balanced growth in our subscriber numbers. So, to balance out, we went with
	a little higher marketing spend compared to the quarter. But we remain in, as per our plan of
	overall marketing spend, what we want to do as a disciplined approach, so we balance growth
	and the spend simultaneously. We remain committed to get Gaana breakeven in the few quarters
	going forward.
Ronak Shah:	Okay. And from the Gaana's perspective, earlier, we were highlighting that around 60-odd
	percent of the users are now into the new pricing. So, how much it has improved from the current
	quarter's perspective?
Yatish Mehrishi:	Last quarter, I had said about 54%. This now it's about 66%.
Moderator:	The next question comes from the line of Prashant, an Individual Investor.

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Prashant: Sir, do we have any plan to spin off the company's digital business from the rest of the business due to the profitability of the business? Is there any plan for spinoff of the digital business? Yatish Mehrishi: Good question, Prashant, but it's too early to say about this. We want to build the business first, make it profitable. So, one milestone at a time. In future, nobody knows right now. But as of now, as I say, we remain committed to delivering profitable growth and to get the digital business profitable first. Moderator: The next question comes from the line of Rahul Goankar, an Individual Investor. Rahul Goankar: Just wanted to ask you a few questions regarding your performance. You have mentioned that the market share has increased in the last quarter compared to the previous quarter in your radio business. So, earlier, it was around 25%. So, has it gone up from there? Yatish Mehrishi: So, on radio volumes, it remains at 25%. That's what I said that we remain leaders in the industry, and our market share is robust 25% on the volume basis. Value-wise, it would be higher. But on volume basis, it remains at 25%.

Rahul Goankar: And because of the traditional radio business, are other competitors of yours, kind of shutting shop? Or how are they going about, because the revenues of other companies are dwindling in this business?

Yatish Mehrishi: Yes, I agree. That's largely in the media landscape this year and particularly because of the festive shift and overall economy remains muted, lot of media companies have seen a very muted quarter this year. On the radio front, yes, a couple of companies have not had a very good quarter, really, really poor numbers on that. I would not want to comment on the performance.

On closures, yes, there has been one radio station, which has not closed on, but sold to another player. So, in that regard, it still remains robust, because somebody is still buying the radio company. So, it's not doomsday or people are closing down. But yes, somebody wanted to start a new business, so they have taken over. The Ishq FM from TV Today got sold to another radio player.

Rahul Goankar: Okay. And in this quarter results, your other expenses have increased to INR39 crores from basically INR31 crores quarter-on-quarter and year-on-year. So why is there such a sharp increase in the other expenses as well as production expenses?

Yatish Mehrishi: So, 2 things. One is on the marketing front on Gaana, we spent a little more on this quarter compared to the last year quarter because we were in a building phase and there were market requirements and competitive performances also which were happening. So, it pushed us to increase our marketing spend on Gaana to drive our subscriber growth and also fight out competition.

Rahul Goankar: Okay. So, you can look at it as an investment rather than an expense?

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Yatish Mehrishi: Yes. So, we balance and we look at our investment on Gaana very carefully. So, on a quarteron-quarter basis, we keep reviewing and where we feel we do it, we remain disciplined on that because our aim is very clear, to get a profitable path and a journey very, very soon on that. Rahul Goankar: Okay. Regarding the subscription charges, what I believe I'm hearing and understanding is that the annual plan has been reduced from INR600 to INR300 by JioSaavn as well as Gaana or the subscription levels are at INR600? Yatish Mehrishi: So, in any industry, there will always be a competitive tactical offer going on. In fact, it started with Spotify, which reduced its price for a couple of months to INR399, which led to another competition driving to INR499. But I think it's more a tactical offer. I don't think price plays a role of going straight to growth. We have seen that. And I don't think at that price, business model works. So, we are very clear that we don't reduce the price. We came under a little pressure. Our marketing spends went up, but we remain focused of getting at the right price. And we believe there are enough subscribers available at the right price and not to undercut on the price. It might be a little patience game. It may not be a very fast growth in the music industry. But having said that, I think there is lot of price elasticity available and the price headroom available to increase price. I think it could be a short-term competitive pressure, which came if they dropped price, which led to this change. But I think everybody will be back to the original pricing. I don't think at that pricing, the business is sustainable.

Rahul Goankar: The thing is that probably if the prices have been reduced, then the breakeven time, which you had previously mentioned that you would break even in the next 1 or 2 quarters, would that be delayed? Yatish Mehrishi: I don't think we have reduced price. We are going to be back on the same price soon. It's not that we reduced the price a lot. It's just that our Q3, generally, our subscriber growth remains muted because of the business time we started off. So, if you look at our last year performance also, the Q3 numbers on growth on subscribers remain little muted compared to other quarters. Yes, a month or 2 months here and there can happen because that may be competitive pressure or the marketing budgets taking a toll because the marketing budgets on digital spends is not just about your music competitors. It's about the overall ecosystem. If everybody starts spending more, then the price of performance marketing can go up. Like we were thinking with real money gaming stopped, with the ban coming in, the price will subside.

But I guess all other platforms like short-form dramas and other things also coming up, that also put a pressure. So, the entire ecosystem on the subscription economy puts pressure on the marketing monies also. So, but having said that, we remain committed. We believe next 2, 3 quarters, we have a path to profitability on that, 1 or month here and there, but we should be there. We are not in a price drop game.

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Rahul Goankar:

So basically, would you like to talk more about your competition? I think so you are just directly facing competition from JioSaavn, this Spotify as well as Apple Music and YouTube Music. So, do these people have an edge over ENIL or you, as a company, because of your radio services and your radio business and your events business and the Times of India Group, you all have an edge over these, say, JioSaavn, who has a mobile app and stuff like that?

Yatish Mehrishi:

So, the way I look at this industry, Rahul, is everybody has its own advantages. We have a massive advantage of being present in 63 markets for us to advertise that. Our radio jockeys, who are about 150 are like your first case influencers. So, we have a massive strength on the media might. And also, for last 2 decades, people in India have been listening to music, which has been curated by Mirchi.

So, from that perspective, yes, we have a massive strength compared to a Spotify or a JioSaavn, where JioSaavn has a massive funnel of Jio Mobile. So, everybody has its own advantage. But the way I look at this industry, it's not like a Pepsi-Coke fight that you have to gain from your competition.

There are enough subscribers available in India. If I was to look at video subscription, the numbers are about 100 million; while in audio, the number still stand at 50 million, 20 million. So, there is enough room available. I think all players together can increase the size of the cake and have enough share.

Generally, with the content being same on Spotify, us and Saavn, people may not have multiple subscriptions. It's not like a Netflix and Amazon Prime that you would want both. In this case, you have one. So, chances of gaining from competition are less. It's about finding your own subscribers. And in that case, we are better placed with our strength in Tier 2, Tier 3 markets, with our radio network, and our sister concerns, it just helps us to be in a better place to market it.

So, I would look at competition as increasing the category and get people to spend on music. I think people in the past have also spent on music a lot, even though it was pirated music. Overall people have tendency, you've bought CDs, you've bought cassettes.

So, it’s just that in between for 10 years, people were offering free, so the behaviour has changed. I think over a period of time, people will value that music and will pay for it. So, I think all players are looking at increasing the category rather than fighting against each other.

Rahul Goankar:

Okay. And see, if you talk of Spotify, they are, I think, so in more than 60 countries, and they have a market cap in billions of dollars. So, would you also foray into overseas markets where the NRI population is there or you'll just kind of seemingly want to focus on India because you'll have such reserves of INR300 crores, INR350 crores in your bank. So, you guys should go all out to try and promote yourself and try to create a spot for yourself?

Yatish Mehrishi:

Good one, Rahul. So, the thing is as Mirchi, we are present in radio market in Gulf and New Jersey also. Our radio stations are there. So, it's not that we are not present. Even Gaana is present in more than 100, 120 countries. So, it's not that we are not present.

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To give you a perspective for us, wherever the South Asian population is there, we target them. So, it's not just Indian population, the South Asian population because of Hindi, Telugu music being very, very famous in the Telugu, Tamil, the Indian music industry being very famous across South Asian countries.

So, wherever there is a South Asian diaspora, we focus on that. Just that compare our journey, we took over Gaana 2.5 years back where the product was not so great, the experience was not so great. So, it took us time to build that. But Spotify has been in the business for more than a decade. So, for us, to get the product right was critical.

You are absolutely right, the biggest subscription market globally is U.S. We intend to start focusing on that market soon. It's a very, very profitable subscription market, which is U.S. and North America. So that is the immediate need for us. But as I said, for us, it's a step. You can't just expand across the board and lose the discipline while your product was still not ready.

Rahul Goankar:

Correct. So, now you think your product is ready?

Yatish Mehrishi:

Yes, the product is ready, the content is at par with Spotify. So, then you can start looking, you are looking at the Indian market, get the Indian diaspora first, get a basic number up there. So now, as I said, the international market is a given. It's the most profitable. U.S. is the biggest subscription market for any industry. So, for us also, it remains the same. So, our focus on international will start going forward and which will give us more benefits also.

Rahul Goankar:

Okay. What about, just a few thoughts that say, because you are also in the events business, when you all sell tickets, you all can give Gaana coupons to the subscribers who attend the events in your business and people who probably advertise on your radio, you can give them Gaana coupons or vouchers to them also. So, are you all doing such practices or it's more kind of blatant, in the sense that not too aggressive?

Yatish Mehrishi:

Rahul, maybe next time I'll get you on our marketing room also. Thanks for all the advice. We do that. We love doing it. It's just that, as I said, the first 2 years have been on the basic hygiene side. You are absolutely right; we do a lot of concerts. We started doing that for super fans. We can get them to meet the stars.

So, all these marketing strategies are in place, as I said, for the last 2 years, 2.5 years, the important part was to get the product hygiene and the Catalog ready, the app experience more ready because to get a customer once and having a bad experience, you never get the customer back.

So, the whole idea was to get the basic hygiene ready. All these marketing strategies are in place, some work, some don't work. You can work marketwise, language-wise, region-wise, you can work it out. But you're absolutely right, there are enough and more opportunities for us to drive subscriber growth.

But as I said, for people to spend money, you don't want to give a habit of free product. Because that's where the industry is, because if it's available for free, why will people pay?

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So, the whole idea is to make them see value. If they see value in the product and they have a better experience, they will tend to pay for it. So, that's what our belief is. Yes, we give trial offers during concert, during other events, but you are up to the point that marketing strategies will surely help. So, thanks Rahul for that.

Moderator: The next question comes from the line of Chetan Thacker from M3 Investment Private Limited. Chetan Thacker: Sir, I just wanted to understand, we've seen a spike in production cost this quarter. So, any particular thing there due to which that has gone up? Yatish Mehrishi: No. So, it's largely our Events and Solutions business, which has shown growth. For that, the production cost has gone up. So, it's the production on those lines. So, it's in line with our EBITDA margins and all that. So, nothing to worry on that part. Chetan Thacker: Understood. And some early trends on the ad revenue growth for this quarter, given we are seeing some amount of recovery in the economy? Yatish Mehrishi: Yes. So, there is some bit of recovery. We're seeing that not major. I would not say we are very bullish on that. There is some bit of recovery, some base effect coming in, some sentiments improving. So, it's a little bit there. I haven't seen great on the sports side also. I'm not looking at this radio, but when I look at the overall media scene, I'm not seeing much growth on the Cricket tournament, Cricket World Cup also. So, I would still remain cautious. There is a base effect of last year because even last year, Q4 was not so great. So, it could be a little bit of base effect and some bit of sentiment improving, but definitely better than the previous quarters. Chetan Thacker: Understood. And sir, last bit on 9 months, what would we have spent for Gaana? Yatish Mehrishi: So, about INR29 crores Chetan. Chetan Thacker: And next year, fair to assume that nature of this spend will change a bit because we are through with the investment phase of getting the UI/UX in place, the platform in place. So, the nature of the spend should change in FY '27?

Yatish Mehrishi: Yes. So, it will be more on marketing to drive subscriber growth. As we breakeven in 2.5, 3 quarters, the nature of spend will be largely towards marketing, which will be on the CM3 level and not on the CM1 levels. The gross margin, we believe, as I said, 66% of our subscribers are gross margin positive. So, hoping that number also goes up. So, it will be more marketing spend.

Moderator: Ladies and gentlemen, that was the last question for today. I now would like to hand the conference over to management for closing remarks. Yatish Mehrishi: Thank you, Heena. Thank you, ladies and gentlemen. It's a pleasure to have you all. We remain committed to driving our profitable growth and creating long-term value for our shareholders. Thank you, once again, for joining this call. Have a great day. Thank you.

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Moderator:

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On behalf of Entertainment Network (India) Limited, that concludes this conference. Thank you for joining us, and you may now disconnect your lines.

(This document has been edited for readability purpose)

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