💰 Financial Performance

Revenue Growth by Segment

H1 FY26 revenue reached INR 77.88 Cr, up 22.4% YoY. Segment performance: Outdoor Media INR 37 Cr (47.5% of revenue), Transit Media INR 34.9 Cr (44.8% of revenue), Print Media INR 3.4 Cr (4.4% of revenue), and Digital Marketing INR 2.5 Cr (3.2% of revenue).

Geographic Revenue Split

H1 FY26 revenue split: Uttar Pradesh 46.52%, Maharashtra 22.66%, Haryana 12.31%, Delhi 11.76%, and Others 6.25%. UP and Maharashtra together contribute ~69% of total revenue.

Profitability Margins

H1 FY26 Gross Profit Margin stood at 26.8% (up from 26.6% YoY). PAT Margin improved to 14.0% in H1 FY26 from 13.0% in H1 FY25, driven by higher utilization of exclusive media assets.

EBITDA Margin

EBITDA Margin for H1 FY26 was 17.4%, reflecting a YoY improvement of 120 basis points from 16.2% in H1 FY25. EBITDA grew 31.3% YoY to INR 13.55 Cr.

Capital Expenditure

Planned CAPEX includes setting up an in-house printing and production facility and AI-driven technology for media planning, funded by IPO proceeds. Historical PPE as of Sept 2025 is INR 0.83 Cr.

Credit Rating & Borrowing

The company is debt-free with long-term borrowings at INR 0.00 Cr as of September 30, 2025. Debt-equity ratio is 0.00.

⚙️ Operational Drivers

Raw Materials

Key operational inputs include vinyl for printing, inks, and digital display panels. Cost of services (including these materials) was INR 57.03 Cr in H1 FY26, representing 73.2% of revenue.

Capacity Expansion

Current inventory includes 1,500+ buses and cycle shelters in Chandigarh and Delhi. Expansion plans include entering new geographies like Pune and Punjab and increasing the density of exclusive media assets.

Raw Material Costs

Cost of services grew in line with revenue to INR 57.03 Cr. Procurement strategy involves moving to in-house printing to reduce lead times and costs.

Manufacturing Efficiency

Manufacturing efficiency is measured by the utilization rate of exclusive media assets, which has improved and driven the 22.4% revenue growth.

📈 Strategic Growth

Expected Growth Rate

40%

Growth Strategy

Growth will be achieved by increasing the share of exclusive media assets from 30% to 60-70% of revenue, which doubles margins compared to trading media. The company is also expanding geographically (Pune, Punjab) and leveraging AI technology for ROI-based media planning.

Products & Services

Transit media branding (cabs, buses, metro), outdoor media (billboards, shelters), digital marketing services, and EV-linked advertising (charging stations).

Brand Portfolio

CASHurDRIVE, Charjkaro (EV advertising platform).

New Products/Services

EV charging station advertising and battery swapping station media formats, currently contributing to the 30% sustainable media revenue share.

Market Expansion

Recent entry into Pune and planned expansion in Punjab to increase inventory size and geographical footprint.

Strategic Alliances

Exclusive partnerships with Uber, Greencell Mobility, Olectra Greentech, Everest Fleet, and ETO Motors for transit media rights.

🌍 External Factors

Industry Trends

The OOH industry is shifting toward digital (DOOH) and green transit media. EV charging infrastructure is expected to grow at a 30.87% CAGR through 2030, creating a new frontier for sustainable advertising.

Competitive Landscape

Competes with large OOH players like Bright Outdoor Media, but differentiates through technology-led planning and exclusive EV/transit inventory.

Competitive Moat

Moat is built on 5-year exclusive contracts for transit assets. This creates a localized monopoly where competitors must go through CUDML to access specific inventory, ensuring sustainable high margins.

Macro Economic Sensitivity

Highly sensitive to advertising spend cycles; H1 is typically slower for the industry, while H2 is stronger due to festive demand.

Consumer Behavior

Brands are increasingly shifting budgets toward ESG-compliant and sustainable media formats to align with corporate responsibility goals.

⚖️ Regulatory & Governance

Industry Regulations

Operations are subject to local municipal advertising norms and pollution standards for printing materials.

Environmental Compliance

Focus on ESG media (EV charging stations) aligns with India's sustainability goals, though specific compliance costs are not disclosed.

Taxation Policy Impact

Effective tax rate is approximately 25.1% based on H1 FY26 PBT of INR 14.53 Cr and Tax Expense of INR 3.65 Cr.

⚠️ Risk Analysis

Key Uncertainties

The 120-day working capital cycle requires significant capital; scaling revenue by INR 300 Cr would require an incremental INR 100 Cr in working capital.

Geographic Concentration Risk

High concentration in Uttar Pradesh (46.52% of revenue), making the company sensitive to regional economic or regulatory shifts in that state.

Third Party Dependencies

30-35% of revenue depends on partnerships with infrastructure companies like Uber and Olectra.

Technology Obsolescence Risk

Risk of traditional static media losing share to digital; mitigated by investing in AI and digital outdoor formats.

Credit & Counterparty Risk

Trade receivables of INR 56.31 Cr represent a significant portion of current assets, requiring efficient collection to maintain the 120-day cycle.