OnMobile Global, a provider of mobile services and ring back tones (RBT), returned to profitability for the quarter ended September 30,2015 and reported a net profit of Rs 1.26 crore. The company reported a net loss of Rs 0.16 crore in the preceding quarter and Rs 1.21 crore in the same quarter last year. Here are some takeaways from OnMobile’s conference call with analysts:
1) OnMobile has 70 million paid customers
The company now has 70 million paying subscribers on its platform. Chief executive officer Rajiv Pancholy said the number of paid subscribers exceeded the company’s internal targets for the year, adding that the company is looking at both new and existing clients to increase the growth of subscribers.
2) New products launch
Pancholy also revealed that the new products and offerings from Onmobile will be rolled out between March and June 2016. “Other details on this will be communicated, as we get closer to these timeframes. ” he added. Readers will remember that Onmobile had spent 2% of its revenues on developing its new products strategy and brands in the quarter ended June 30, 2015. The company continued to spend 2% of the revenue in the September quarter too.
3) New products will be launched in selected geographies
Pancholy said that the new products will be launched only in selected geographies.”It would be in multiple geographies, but it will not be across all geographies, so very selected introductions. I think it’s safe to say that India would be one of the geographies,” he added.
4) Glimpse of new product in Spain
OnMobile had launched a smartphone application in Spain in June this year. The app allows users to buy a subscription for ring back tones rather than buying individual tracks and allows them choose any number of tracks from a large selection of music.
Onmobile said that the app in Spain is called Yaoi (we’re pretty sure it doesn’t refer to the manga and anime genre) and could be a stepping stone for the new products OnMobile will launch later. “One of the things we are trying to make sure is that the user reaction in Spain would be the same in India and other markets we are, so it’s very important to do the proper market analysis to give us that confidence that when we launch,” OnMobile chairman Francois-Charles Sirois, said in the call.