Thanks to licensing deals with Amazon for it’s soon to launch Prime Music service and Apple Music, video and music content company Saregama is looking at a revenue jump beginning Q4 FY18. Yje two services were launched in the Indian market in 2015.
Amazon has partnered with Saregama to stream the label’s catalogue of 117,000 tracks on Amazon Prime Music when the ad-free music streaming service launches in India. Interestingly, Amazon had inked licensing deal with Zee Music Company.
“Licensing arrangements with Amazon and Apple will result in additional revenues from Q4 onwards,” Saregama said in its investor presentation.
Saregama’s net profit for the quarter ended 31 December up 5% at Rs 13 crore compared to Rs 12.4 crore in the year-ago period.
Total revenue jumped 73% to 93.7 crore from Rs 54.23 crore. Music revenue zoomed 114% to Rs 82.34 crore from Rs 38.42 crore. TV & films revenue declined 28% to Rs 11.4 crore compared to Rs 15.8 crore.
Saregama said that the music b2b business will be driven by double digital growth in the over the top (OTT) and YouTube segment as revenue from telecom will continue to decline.
The company is also hoping that the acquisition of new music content will also help publishing business to grow further.
The company also said that Apple Music India will start streaming its songs in Q4.