Mumbai-headquartered entertainment company Tips Industries Limited has reported a 27% YoY increase in revenue in its latest quarterly earnings statement.
Tips, a record label (Tips Music) and film production, promotion and distribution company, reported revenues from operations of INR ₹648 million in Q3 of its fiscal 2024 (calendar Q4, 2023), which ended on December 31, 2023.
That translates to approximately USD $7.78 million at the average exchange rate in calendar Q4, 2023. The number is up from INR ₹510 million ($6.2 million) in the same quarter a year earlier.
Revenue for the first nine months of the company’s fiscal 2024 (ended December 31, 2023) came in at INR ₹1.783 billion ($21.41 million), up 32% YoY.
Operational EBITDA came in at INR ₹434 million (USD $5.21m) in the quarter, representing a 67% margin. That’s up from INR ₹259 million ($3.15 million) in operational EBITDA in the same period a year earlier (50.9% margin).
Content costs fell significantly, coming in at INR ₹147 million, down 21.4% YoY.
The company announced a dividend of INR ₹3 per share for the quarter, bringing dividends for the first nine months of its fiscal year to INR ₹6 per share, “as part of our ongoing efforts to reward our shareholders,” the company said in its earnings statement.
Tips’ rising numbers come amid surging growth in the Indian music market. According to IFPI data, in 2022, the latest year for which full-year data is available, India’s record business was worth $319 million, up 48% YoY.
Luminate, meanwhile, reported recently in its Year-End Music report that Hindi-language music’s market share of the world’s Top 10,000 streaming tracks (on-demand streams, inclusive of audio + video) more than doubled between 2021 (3.8%) and 2023 (7.8%).
According to Luminate, India saw 1.037 trillion total on-demand music streams (video + audio) in 2023. That was the world’s second-biggest annual streaming volume by market, behind the USA (1.454 trillion plays). It was also nearly three times larger than the No.3 country, Brazil (373.5 billion streams).
Tips reported that its own YouTube viewership jumped 52% YoY in calendar Q4 2023, reaching 47 billion views and 93 million subscribers.
The company released 165 new songs during the quarter, of which 82 were film songs, and 83 non-film songs.
Tips is known for its catalog of music from Bollywood blockbusters from the 1990s and 2000s. It’s home to many popular Bollywood artists including Alka Yagnik, Udit Narayan, Kumar Sanu, and Sonu Nigam.
The company’s music catalog covers Bollywood films including Race, Taal, Pardes, Raja Hindustani, Dil Hai Tumhara, Genius, Entertainment, Phata Poster Nikla Hero, Ramaiya Vastaviaya, Prince, Khalnayak, Kismat Konnection, and many others.
Tips’ earnings are “showcasing how embracing the power of Bollywood can yield impressive financial rewards,” the company said in a statement.
As of 2023, Tips boasted a catalog of 30,000 songs “across genres, languages and decades”.
“Our commitment to excellence and strategic initiatives has resulted in yet another quarter of notable achievements,” Tips Chairman, Managing Director and co-founder Kumar Taurani said in a statement.
“These achievements reflect the dedication and hard work of every member at Tips. Going ahead, we remain focused on our strategic goals and continue to drive innovation and excellence in all our endeavors.”
“These achievements reflect the dedication and hard work of every member at Tips. Going ahead, we remain focused on our strategic goals and continue to drive innovation and excellence in all our endeavors.”
Kumar Taurani, Tips Industries
Founded in 1988 by Kumar Taurani and Ramesh Taurani, as Tips Cassettes & Records Co, the company today produces content Hindi, Punjabi, Telugu, Tamil, Marathi, Gujarati, Bhojpuri and other languages, straddling all genres of popular Indian music.
The company signed a distribution deal with Warner Music in 2020, which saw Warner distribute Tips’ repertoire through Warner Music India locally and through ADA internationally.
In 2023, Tips signed a global publishing agreement with Sony Music Publishing.
Also last year, the company tapped Sony Music India and ByteDance veteran Hari Nair to be its CEO.Music Business Worldwide
