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Saregama India, one of India’s largest music labels, has reported a net profit of Rs 2.6 crore for the quarter ended June 30, 2014 (Q1-FY16), registering 22% decline from Rs 3.36 crore in the same quarter last year. In the previous quarter, the company had reported a net profit of Rs 8.96 crore.

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The total operational income increased to Rs 51.97  crore for the quarter, up 22.8% from Rs 42.31 crore in the same quarter last year. It had posted operational revenues of Rs 59.16 crore in the previous quarter.

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Saregama LogoMusic business down: Revenues from Saregama’s music business increased by  1.9% to Rs 28.41 crore, from Rs 27.88 crore in the same quarter last year. The profit before tax for the segment decreased to Rs 12.05 crore for the quarter, down 6.5% from Rs 12.89 crore in the same quarter last year.

Music revenues now contribute for 55% of Saregama’s operational revenues for the quarter, up from 64% in the same quarter last year and 66% in the previous quarter.

During the quarter, Saregama once again launched its online music store,with 1.1 lakh songs in 14 languages, available for download at Rs 9 per song. It also inked a deal to distribute its music to Hungama.

Films and TV serial revenues down: Revenue from Films and TV serials was up 63% to Rs 23.56 crore for the quarter, from Rs 24.14 crore in the same quarter last year. The company registered a loss before tax of Rs 34 lakh for the segment compared to a loss of  Rs 82 lakh from same quarter last year.

The segment accounted for 45% of Saregama’s total revenues for the quarter, as compared to 34% in the same quarter last year and 36% in the previous quarter.