Entertainment Network (India) Limited (ENIL) AI Stock Analysis

• Market Cap: ₹5.03B
• Dividend Yield: 1.77%
• Average Volume (3M): 820.00
• Price to Earnings (P/E): ―
• Beta (1Y): 0.75
• Revenue Growth: 6.85%
• EPS Growth: -48.87%
• Country: IN
• Employees: 916
• Sector: Services
• Sector Strength: N/A
• Industry: Broadcasting
• EPS (TTM): -1.35
• Shares Outstanding: 47,670,418
• 10 Day Avg. Volume: 911
• 30 Day Avg. Volume: 820
• PEG Ratio: -0.80
• Price to Book (P/B): 0.77
• Price to Sales (P/S): 1.02
• P/FCF Ratio: 31.38
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0
• EPS Forecast (FY): 4.5
• Revenue Forecast (FY): ₹5.71B

• Rating: 55 Neutral
• Price Target: ₹108.00 ▼(-8.86% Downside)
• Action: Reiterated Date: 11/01/25
• Date: Action: Reiterated 11/01/25

The overall stock score is primarily influenced by the company's solid financial performance, despite challenges in cash flow generation. Technical analysis indicates bearish momentum, which negatively impacts the score. The high P/E ratio suggests overvaluation, but the dividend yield provides some compensation. The absence of earnings call data and corporate events means these factors do not influence the score.

Positive Factors

Revenue Growth

Consistent top-line growth indicates durable demand for ENIL's radio and brand-led advertising solutions. Steady revenue expansion supports pricing power and network monetization across cities, enabling sustained reinvestment in content, events, and digital extensions over the next several quarters.

Margin Improvement

Substantially improved operating margins point to better cost control and scalable economics in broadcasting and event operations. Higher gross and EBIT margins provide structural cushion for profitability even if ad volumes moderate, supporting longer-term cash generation and funding for strategic initiatives.

Conservative Leverage

Low leverage and a high equity ratio give ENIL financial flexibility to invest in content, expand event activity, or weather ad-revenue cyclicality without severe refinancing risk. A conservative balance sheet supports durable capital allocation and lowers solvency risk over the medium term.

Negative Factors

Low Net Profitability

Very thin net margins constrain retained earnings and limit the firm's ability to self-fund growth or absorb shocks from weaker ad cycles. Persistently low net profitability implies operational or non-operating costs erode shareholder returns, reducing long-term capital formation and strategic optionality.

Deteriorating Cash Flows

Declining operating cash flow and negative FCF growth weaken the company’s internal funding capacity for events, content investment, and digital expansion. Even with a positive FCF-to-net-income ratio, adverse cash trends raise financing reliance and reduce resilience to prolonged ad-market weakness.

Earnings Volatility

Severe negative EPS growth signals earnings volatility or one-off setbacks that impair forecasting reliability and management credibility. Large swings in profitability hinder long-term planning, make sustained dividend or reinvestment policies harder, and raise execution risk for growth strategies.

Entertainment Network (India) Limited Business Overview & Revenue Model

Company Description

Entertainment Network (India) Limited, together with its subsidiary, operates FM radio broadcasting stations in India and internationally. As of March 31, 2021, it operated 73 stations in 63 cities under the brand names of Radio Mirchi, Mirchi Love, Mirchi 95, and Kool FM, as well as online radio stations. The company was incorporated in 1999 and is based in Mumbai, India. Entertainment Network (India) Limited is a subsidiary of Bennett, Coleman & Company Limited.

How the Company Makes Money

ENIL primarily generates revenue from advertising and sponsorship sales on its FM radio network. Brands buy on-air inventory (spots and promotions) and sponsor specific shows, segments, and special programming to reach ENIL’s listener base; pricing and volumes are influenced by audience reach, station presence across cities, and advertising demand conditions. ENIL also earns from brand-led solutions beyond standard spot ads, such as integrated campaigns that combine on-air mentions, RJ-led promotions, and content-based integrations. In addition, ENIL derives income from events and activations linked to its radio brands (e.g., branded concerts, ground events, and promotional activities) where it can earn sponsorship/partner fees and event-related receipts. If applicable in its reported segments, ENIL may also monetize digital/audio extensions of its radio brands through advertising and sponsorship on digital platforms; if ENIL-specific breakdowns for digital revenues are not publicly available in the provided context, null.

Entertainment Network (India) Limited Financial Statement Overview

Summary

Entertainment Network (India) Limited shows a positive revenue growth trajectory and improved operational efficiency, as evidenced by the improved EBIT margin. The balance sheet is stable with low leverage and high equity ratios, although the return on equity is low. Cash flow generation has faced challenges, but the company maintains a healthy cash flow to net income ratio.

Income Statement

The company's revenue has shown a steady growth trajectory over the years, with a significant revenue growth of 6.2% in the most recent year. The gross profit margin is strong at 42.1%, indicating efficient cost management. However, the net profit margin is low at 2.0%, suggesting high expenses or other financial pressures impacting the bottom line. The EBIT margin has improved significantly to 42.1% from previous losses, reflecting operational improvements.

Balance Sheet

The balance sheet appears stable with a debt-to-equity ratio of 0.23, indicating conservative leverage levels. The company has a solid equity ratio of 65.1%, showcasing financial stability and strong asset backing. However, the return on equity is relatively low at 1.5%, suggesting limited efficiency in generating profits from shareholders' equity.

Cash Flow

Operating cash flows have decreased significantly compared to the previous year, indicating potential challenges in cash generation. The free cash flow growth rate is negative, showing a decline in free cash flow generation. However, the free cash flow to net income ratio stands at 1.6, which is positive, suggesting the company is still generating cash flow relative to its net income.

Breakdown	TTM	Mar 2025	Mar 2024	Mar 2023	Mar 2022	Mar 2021
Income Statement
Total Revenue	5.85B	5.82B	5.63B	5.03B	3.18B	2.69B
Gross Profit	1.85B	1.52B	1.83B	2.53B	196.12M	1.73B
EBITDA	1.11B	1.17B	1.35B	-616.25M	618.88M	-365.11M
Net Income	117.17M	115.33M	324.82M	-1.65B	-363.02M	-1.11B
Balance Sheet
Total Assets	11.84B	11.93B	12.56B	12.01B	11.06B	11.12B
Cash, Cash Equivalents and Short-Term Investments	2.53B	3.06B	3.81B	3.02B	2.29B	2.33B
Total Debt	1.76B	1.77B	1.93B	1.97B	2.35B	2.05B
Total Liabilities	4.26B	4.16B	4.84B	6.09B	3.45B	3.10B
Stockholders Equity	7.57B	7.76B	7.71B	7.46B	7.61B	8.02B
Cash Flow
Free Cash Flow	-251.24M	189.68M	1.11B	812.57M	317.81M	213.56M
Operating Cash Flow	-117.54M	255.36M	1.27B	1.14B	404.48M	307.58M
Investing Cash Flow	286.44M	-304.07M	-381.27M	-599.11M	61.63M	126.21M
Financing Cash Flow	-244.46M	-469.69M	-397.14M	-429.94M	-450.74M	-369.14M

Entertainment Network (India) Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 118.50
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:ENIL, the sentiment is Negative. The current price of 118.5 is above the 20-day moving average (MA) of 106.32, above the 50-day MA of 111.17, and below the 200-day MA of 134.96, indicating a bearish trend. The MACD of -1.53 indicates Negative momentum. The RSI at 43.28 is Neutral, neither overbought nor oversold. The STOCH value of 28.47 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:ENIL.

Entertainment Network (India) Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
UFO	70 Outperform	₹2.48B	12.58	―	―	5.07%	409.07%
Sector *	55 Neutral	$13.29B	17.42	10.03%	0.93%	7.13%	-12.93%
ENIL	55 Neutral	₹5.03B	-21.57	―	1.77%	6.85%	-48.87%
ZEELEARN	55 Neutral	₹1.69B	-22.75	―	―	28.91%	-94.80%
RADIOCITY	49 Neutral	₹1.86B	15.77	―	―	-12.75%	-809.36%
STCINDIA	48 Neutral	₹6.06B	11.60	―	―	―	―
NDTV	45 Neutral	₹8.09B	-2.37	―	―	19.53%	-138.48%