India’s Music Broadcast Limited (MBL), which runs Radio City FM network, has reported higher than expected EBITDA margin in its unaudited financial results for the quarter ended June 30, 2017.

According to the results, its revenue grew by 12 percent from Rs 628 million in Q1 FY17 to Rs 703 million in Q1 FY18.

EBITDA grew by 16 percent from Rs 191 million to Rs 222 million and Cash PAT was up by 42 percent from Rs 121 million to Rs 172 million.

It has operationalised 11 new stations acquired in Phase III, with utilisation levels of 25-35%  and increased its market share by about 2% in Q1FY18 in terms of volume compared to Q1FY17.

In a release, MBL said that according to AZ Research, Radio City had 52.5 million listeners in 23 cities.

Commenting on the results Apurva Purohit, Director, said: “The performance of the company for the quarter has been better than expectation. We have been able to deliver margins of 32% and show growth of 16%; despite additional operating cost of the new stations. This is because of rate hike in the legacy stations as well as better than expected utilization in the new markets. Our strategy of profitable growth and not bidding high costs for acquisition in Phase III along with maintaining lowest cost per million is delivering results. Going ahead in the future I see better utilization in our new stations supported by increased utilization and price hike in our legacy stations. We are confident on maintaining our current level of EBITDA Margins and achieve our long-term goal of profitable leadership.”