Ladies and gentlemen, good day and welcome to Tips Music Limited Q1 FY 2026 earnings conference call. As a reminder, all participant lines will be in the listen-only mode, and there will be an opportunity for you to ask questions after the presentation concludes. Should you need assistance during this conference call, please signal an operator by pressing star then zero on your touch-tone phone. Please note that this conference is being recorded. I now hand the conference over to Ms. Ayushi Gupta from MUFG Intime. Thank you and over to you, ma'am.
Thank you. Good evening, ladies and gentlemen. I welcome you to the Q1 and FY 2026 earnings conference call for Tips Music Limited. To discuss this quarter's performance, we have from the management: Mr. Kumar Taurani, Chairman and Managing Director; Mr. Girish Taurani, Executive Director; Mr. Hari Nair, Chief Executive Officer; and Mr. Sushant Dalmia, Chief Financial Officer. Before we proceed with the call, I would like to mention that some of the statements made in today's call may be forward-looking in nature and may involve risks and uncertainties. For more details, kindly refer to the investigation and other findings that can be found on the company's website. Without further ado, I would like to hand over the call to the management for their opening remarks, and then we will open the floor for Q&A. Thank you and over to you, sir.
Thank you, Ayushi. Good evening, everyone, and welcome to the Q1 FY 2026 earnings call of Tips Music Limited. Despite the challenges faced in the music industry, our catalog and new releases continue to demonstrate resilience, with our revenue recording double-digit growth. The Board has declared the first interim dividend of INR 4 per share for FY 2026. With that, I now invite our CEO, Mr. Hari Nair, to share his thoughts. Over to you, Hari.
Thank you, sir. Good evening, everyone. The strong growth in our revenue has been across digital and non-digital segments. However, we observe a slower growth on the YouTube platform in Q1, probably due to the reduced ad spend and changing YouTube policies. The policies now restrict UGC content usage and monetization. This is good for us as a music industry in the longer run, as third-party pirates use our music to monetize from the platform. On the Meta platform, that is, Instagram and Facebook, we see a consistent growth for our content consumption. With respect to Spotify, if we compare the paid subscribers last year, Q1 FY 2025, and this year, we see a healthy growth in premium paid subs. Same is the growth for YouTube paid subs also. Overall, we are moving slowly and steadily into a paid ecosystem model. On the operations side, we did a little automation.
Our teams have built an in-house content management system called Pulse, which now delivers our content to TikTok and other DSPs via our own DDEX feeds. I will now request Girish to share his insights on the content business across platforms. Thank you, everyone.
Thank you, Hari. Good evening, everyone. In Q1, we saw a strong traction. We released 92 songs in FY 2025, including 48 film songs and 42 non-film songs. The song "Main Nachdi " from the film "Saunkan Saunkanay 2" has crossed 75 million views and has charted for 12 weeks on YouTube Top 100. The songs from the films "Maalik" and "Sarbala Ji" have performed well and have crossed 102 million views and 51 million views, respectively, on YouTube. Additionally, we now have 125 million subscribers on YouTube, with a compound aggregate growth rate of 20% over the last two years. Our catalog performance on Meta is very heartening. The songs "Hona Tha Pyar" and "Dil Hai Tumhaara" did 500 million and 700 million views, respectively. The song "Chunnari Chunnari," the classic Salman Khan song, earned 2 billion views on the platform.
Now, I would like to hand over the call to Sushant, who will take you through the company's financial performance.
Thanks, Girish. Welcome to Q1 FY 2026 earnings call. I am pleased to share the financial highlights of this quarter. Our revenue for the quarter amounted to INR 88 crore, resulting in YoY growth of 19%. The content cost increased 85% on a YoY basis as we had new releases, which were expensive during the quarter. Factoring the above, the operating margins came in at 64%, while PAT was at INR 45.10 crore, resulting in a YoY growth of 5%. With this, I conclude my opening remarks and open the floor for the Q&A.
Thank you very much. We will now begin the question-and- answer session. Anyone who wishes to ask a question may press star one on their touch-tone telephone. If you wish to remove yourself from the question queue, you may press star twqo. Participants are requested to use handsets when asking a question. Ladies and gentlemen, we will wait for a moment while the question queue assembles. The first question is from the line of Harssh Shah from Dalal & Broacha. Please go ahead.
Thanks for the opportunity. A few questions from my side. Firstly, how Q1 is kind of panned out, right? Do you still hold on to the 30% kind of revenue aspiration for FY 2026? I ask this question because if the answer is yes, then for the remaining quarters, the growth that the company needs to deliver would be at least 30%. That was my first question.
Yeah. Actually, it seems because of so many changes in the industry, our entire, just these Resso OTT platforms, right, like Resso or Gaana or many other people have actually shut down their business or converted their services into a paid world. We also feel some effect this year. I feel we will achieve, happily, we will achieve 20%. The focus I had said earlier is now our new growth will be coming from new new titles will support us. We have a major release this year. Maybe we're still trying to achieve our 30% this year as well. Let's be hopeful. 20%, I can see even now we can achieve 20%.
Got it. Secondly, on the contribution from Warner Music, you want to give a ballpark % that would be also fine?
Warner percentage, as I said earlier, also between 25%-3 0% will be a Warner money coming from Warner.
Okay. Because why I asked is because in Q4, you had mentioned that for the full year, it was around 20%- 25%. This time around, it has gone up, right?
Yes, it will go up this year.
Okay, got it. Lastly, on an industry-level question, you did mention in the annual report as well as in the press release as well as in our opening commentary that there are challenges within the industry. My question is, is it just because there are music OTT platforms which have kind of closed down, or there could be some other reason, maybe like the ad revenue for YouTube going down, not in terms of, say, the number of streams which is going up, but the rate that is being charged on YouTube is kind of on a declining trend? If you could give some color on it.
YouTube is doing good for us, and because of our repertoire, 90s repertoire, it's really doing well. Day by day, I think it's getting more popularity. Girish just said Chunnari Chunnari has 2 billion views on Instagram. Our old songs like "Dil Hai Tumhaara," "Hona Tha Pyar," 500 million, 700 million. You can see that our catalog still has a lot of strength. I definitely feel the same impact will be for the coming many, many years, at least 20, 25 years. I feel that our repertoire is a new retro. We will do well, and we will see growth also. I'm again mentioning that we are still focusing to achieve 30% even this year.
Got it. No, my question was more from an industry-level perspective, whether the.
Industry, I can't comment much, but everybody has challenges. The way I am seeing with the other players, actually, everybody is facing difficulty. I think the 65, as mentioned earlier, also 65%- 70% of 90s repertoire belongs to us from 1989 till 2020. I think our songs are really doing well. We have aged with other companies, I feel. It's my opinion. I don't know what they are doing, what their strategies are, what are their numbers. Maybe I hope that they will also do good. Actually, the entire industry should do good. It's a good sign for everybody. I think if we talk only about Tips, we are safe and we are very performing well.
Got it. Yeah, that's it from my side. Thank you.
Thank you.
Thank you, sir. The next question is from the line of Kavish Parekh from B& K Securities. Please go ahead.
Hi, team. Thanks for the opportunity. My first question is on the revenue growth side. I think when we last spoke, which was around after the results of the fourth quarter, our aspiration for revenue growth was 30%. Today, while you have mentioned that you still aspire and stand by the same number, minimum guidance has, or rather, minimum growth that we will aim to achieve will be around 20% odd. What is it you think that is needed for you to bridge this gap between 20%- 30%? I just wanted to follow up on the comments that you made on YouTube when you were opening remarks with respect to some policy changes. Could you explain that a bit more?
Policy change, what policy change? YouTube policy changes, you're saying?
Yeah.
UGC, you explain that, and I'll comment. On YouTube, right, there are certain policies that they have implemented where they are trying to reduce the music upload by the pirates. What happens is many, many people who use our catalog make the song without, you know, having the same kind of composition, and they upload it on the platform, which then takes away our money. It will try to curb those activities. That is a little change that we see over there. That should not be a long-term one. It should be a short-term impact only. We are seeing a slight growth again rebounding in the month of July. Hopefully, it should grow. Does that answer your question on the policy side?
On the policy side, yes. On the overall revenue growth aspirations for FY 2026, maybe you can comment around what is needed to bridge this gap between 20%- 30%?
We are seeing growth in our repertoire. As mentioned earlier, also, our repertoire is really doing well, and the numbers they are showing. Also, now, I think whatever is happening on Instagram is helping us on YouTube and Spotify. I think overall numbers can be better. Plus, whatever acquisition we have done and our plan is for new releases this year, we can achieve that number from 20- 30%.
All right. Plus, the 19% that we reported this time, I think part of that was also impacted by the base quarter, which had run-off revenues from, I think, INR 5.0 crore in the first quarter.
Yeah, last year, yeah.
Last year, yeah.
Yeah.
The INR 12 crores is INR 5 crores in the first quarter, INR 7 crores in the second quarter.
Yes, right. Yeah.
Got it. For the full year, what is the number that we're thinking in terms of content cost as a percentage of revenue, somewhere around 26%- 28%?
Yeah, 25%- 28%. Yes, that is the number, yeah.
All right, thank you so much.
Thank you. Thanks.
Thank you, sir. The next question is from the line of Vinay from IGE. Please go ahead.
Yeah, hi. Thank you for the opportunity. Am I audible?
Yeah.
As the last participant asked for, the percentage of expense to be expensed into content acquisition, over the medium term, how is it expected to behave?
Once it's on content?
Yeah.
Our target is to spend around 25%-28%. And if we feel there's opportunity we can have maybe increase our investment by 2%, 3%, 4%, we do that if we have a quality content, which will help us in future. We do that, and we'll explain to you why our content price has gone up. But as far as this year, what I'm seeing, I think we will be in the range of 25%-26%.
Got it. What is the accounting policy for us to write off our content expense?
That is the same. That is the same quarter. If you see this quarter, last year, same quarter, it was around INR 9 crore, INR 9 crore, INR 9.5 crore. This quarter, we have written off INR 20.5 crore. We have three big came in. We have written off everything.
Got it. Thank you. I'll fall back in the queue for further questions.
Thank you.
Thank you, sir. The next question is from the line of Garvit Goyal from nVest Analytics Advisory LLC. Please go ahead.
Hi, am I audible?
Yeah.
Yes, sir.
Good evening, sir. Sir, my question is around the challenges only. I want to understand more about them. Like last quarter, we were very much confident about 30% guidance. Now we are looking a bit cautious about the guidance. Can you put some color on that? What are those challenges? What has happened suddenly like in the last two, three months? With the tailwinds in the sector, has it converted into the headwind? Can you put some color on that?
See, we still think we should try and do 30%. We are very keen to achieve that number. For safety and the way I see the other, what is they are day by day becoming tighter. Like Spotify, they are not allowing people to listen to your releases again and again. They tell you to come on a paywall. That paywall simultaneously is increasing. We don't know how much that growth will be. If there is an excellent growth, 30% will be very easy to achieve. We are keeping our, we are applying caution here. We are telling you upfront, the 20% what we can see, but we are still hoping and trying fully to achieve 30%. That is the only challenge we have.
You also mentioned about some closing down of the OTT platform. What is that, sir?
Yeah. Last year, there were many that came in from Resso. Then there are other apps, Wynk was doing good business. There is Gaana, Hungama, so many apps. They have shut down or they have gone behind the paywall. This year, we are listening to Amazon is now coming. They are launching full-page service like Spotify. Earlier, they used to go only with that subscription, what they charge, bundling, bundling. I think many developments like that are happening, which is good for the industry and gives a new increment revenue for us and the industry.
We say 20% or 30% of the guidance. Our content cost is rising, and we are having a target of 25%- 28% of revenue this year also. Do you think that growth will be 20% in case we are doing the 20% top line or 30% in case we are doing the 30% top line?
I don't know. Sushant, will you explain this? Yeah.
I think when it's 20% growth, that will be the 25% content cost. We'll see a healthy path growth, yeah.
No, I agree, healthy path growth. The thing is, like quarter also, 19% YoY revenue growth is there. That is muted, mainly because of this content cost. That's why I'm asking, like is the guidance equally applicable for the bottom line as well?
Yeah, if it's the bottom line and you look at it on an annual basis, not a quarterly basis.
an annual line basis, meaning 20% PAT growth will be there this year also, right?
Yeah.
Got it.
Thank you very much, sir. That's it for my side. All the best for the future. Thank you.
Thank you.
Thank you.
Thank you, sir. The next question is from the line of Vaibhav Mule from YES Securities. Please go ahead.
Hi, team. Some regression from our strong set of numbers. My first question was around Meta revenue recognition. You mentioned a couple of songs doing very well on the Meta platform. Is the revenue recognized from the streaming that will be generated on Meta? What is the incremental revenue that we are generating from the addition of Meta specifically?
We can't tell you specifically how much we are doing with Meta or any other app. In totality, what we give you is like 20% or 30%, whatever we do. Please do keep that in mind because it's a competitive world. We can't reveal the numbers. We are doing well. I can tell you this.
Understood, sir. Sir, just on the YouTube views, our YouTube views were sequentially flat and 9% down year-on- year. I understand there was some impact on overall revenue because of shutdown and shift to premium model by different streaming platforms. For YouTube, why is there a 9% year-on-year decline?
No, we are not decreasing. Our growth has not happened. Again, even in YouTube, we are seeing the growth. We are positive, very positive about that. Our TV releases and our catalog, our repertoire is doing well on YouTube.
Okay, sir. Got it. Just last question on the short format videos or reels. What is the status of monetization of that particular format on YouTube as well as other platforms?
Other platforms, we are doing well. YouTube, we have a fixed deal. This fixed deal is one more year. After that, we'll see what happens.
Understood. Thank you, sir. That's it from my side.
Thank you.
Thank you, sir. The next question is from the line of Jyoti Singh from Arihant Capital Markets Limited. Please go ahead.
Thank you for the opportunity. Sir, just wanted to understand on the video side. Like you mentioned, a lot of copyright and people are changing some laws and all that thing. Because of that, we are impacting. Just wanted to understand, is Tips exploring on the AI-driven music recommendation side and also how to track down the music which is made by, which is of Tips and using by other composers or musicians?
Yeah. You know, Madam, YouTube has a great fingerprinting system called Content ID that actually automatically scans whenever you upload any piece of content. It scans with this library and tells us or the respective copyright owner that there has been an upload done, or it matches and it gives us a clue. That part is taken care of very well by YouTube. There are certain people who try to change the composition a little bit, try to tweak the lyrics a little bit, and then also upload the song in a different way. They are trying to kind of restrict that kind of monetization, which is kind of piracy. That is being restricted, nothing else. Did I answer your questions?
Okay. Sir, on the subscription versus ad revenue, like global data on the basis of the presentation that shows a subscription, it's seen generate free ad revenue versus ad supported. What's our current mess and strategy to grow subscriptions?
That is a question for the platform, Madam. We are not probably in the right space to answer that. It's a platform-related question. Spotify and YouTube can answer that.
Okay. Sir, on the digital ad spends side, if you can explain how is Tips aligned its monetization strategy with this trend?
This is a platform-driven one. YouTube, you know, if you see every month, there are fluctuations on the ad monies that are spent on the platform. It can be sometimes higher on YouTube, sometimes higher on Insta. It just fluctuates. Overall, the Indian market is growing on the ad spend side.
Okay, thanks, sir. Thank you, sir.
Thank you.
Thank you, ma'am. The next question is from the line of Swapnil Potdukhe from JM Financial. Please go ahead.
Hi. Thanks for the opportunity. I have just one question. It's with respect to your digital revenues. I think there has been a dip from 76% to 75%, which we used to refer to earlier. That number has come down to 72%. Any particular reason for that?
We are doing well on the other side, non-digital. Maybe that's the thing. Ultimately, it will be between 70%- 75%, and then other businesses will be in the range of 25%- 30%. Here and there, it will keep on happening.
Has there been any dip in the Warner Music revenue or any pressures on that side also?
Nothing, nothing.
This cautious approach when it comes to the guidance of.
Maybe the difference is because of Sony Music Publishing. We have a big deal with them, and they are really showing us very good revenue. Maybe because of that, this has happened.
Got it. Got it. When it comes to a cautious approach, when it comes to FY 2026 guidance on the revenue side especially, that is entirely linked to this disruption which is happening on the freemium streaming side, especially on the music OTT platforms, or that also has some part of YouTube views not growing the same way that they were growing earlier.,
You can say 70% to the music OTT platforms because the OTTs have taken a different kind of view on the entire business. Maybe 15%- 20% on YouTube as well.
Do you think that YouTube growth views is kind of a structural challenge because?
Yeah. Earlier, we used to estimate that YouTube will grow back 25%- 30%. Now we can estimate that YouTube will grow back at least 15%- 18%.
Does that mean that your growth assumptions for, you know, beyond FY 2026 also will factor in lower YouTube growth and slow?
No, I don't think so because, as I mentioned earlier, our catalog is doing well. Plus, we have very quality new songs coming in this year as well as next year. I feel we will achieve some of the targets.
Okay. Got it. Got it. Cool. Thank you.
Thank you.
Thank you, sir. The next question is from the line of Deepak Ajimera from IGE India. Please go ahead.
Yeah. Hi. Thanks for the question. You mentioned YouTube contracts will be renewed next year. What should we expect from that renewal? Is it like some sort of increase, or are we moving to different methodologies? How should we look at it?
Next year, YouTube Shorts, that service, that contract is getting over. It is very early to say anything about that. We have not started talking to them. We will formalize in the next six to eight months. We will talk to them and we'll come to some conclusion. I feel it will be a raise. Our main target is to be this also should be a per view or per stream basis. We should get money like that. At present, they are giving us a lump sum kind of a deal. Let's see what other industry players are doing, what is our requirement. We'll talk to them. We'll negotiate harder. You know we negotiate very hard.
Got it. One more point on the YouTube viewers. I mean, other music OTT platforms are charging fees and their views may impact it. Why is the viewership going down in YouTube? Any specific reason which you can highlight?
Yeah, that's mainly due to Shorts. It keeps on fluctuating. YouTube Shorts views keep going up and down. That's very sad too.
Thank you. Thanks for the.
Thank you.
Thank you, sir. The next question is from the line of Karan from Keynote Capitals. Please go ahead.
Hi. Thank you for the opportunity. I have one question, which is, what proportion of your content consumption is currently coming from the shorts format platforms like Reels or Shorts? Because they are not fully monetized like other audio music OTT platforms, is that impacting revenue growth? Is the shorts format growing faster than the traditional audio music OTT formats for Tips?
Yeah, it's growing very, very well. We can't actually tell you the number, the total number, but it's really way ahead than normal other songs or other views.
Okay. Understood. Thank you.
This doesn't impact our business.
It's not impacting the traditional consumptions. That's also going in parallel because somewhere the shorts content is also promoting our long-form content. That's growing in parallel. It's not like it's eating away into anything. If anything, it's helping and reach out to a better number overall.
Okay. Since we are not getting paid on a per view basis, it's not impacting our revenue growth despite it growing really fast?
Shorts are done on a lump sum basis, so that remains unaffected regardless of how many views it does. Because the views on short content are growing, that's helping our long-form content, and from there, we are then generating more revenue. In some ways, it's helping us. Once the industry-wide model is set out to have this short views in one, whatever, per reel, per creation, or per consumption basis, that will also amplify further. It's just a matter of that one switchover happening.
All right. Understood. Thank you.
Thank you, sir. Ladies and gentlemen, to ask a question, please press star and one now. Participants who wish to ask questions may please press star and one at this time. The next question is from the line of Dinesh Kulkarni from Finsight. Please go ahead.
Hello, sir. Am I audible?
Yes, sir.
Yes. Okay. Thank you. Thanks for the opportunity. Sir, my question is more on capital allocation. Our content cost has almost doubled. You know that's a good sign. At the same time, we are saying that we will give out a good portion in terms of dividends as well. How do we see the capital allocation strategy or policy for this year and in the medium term?
Yeah. Our CFO, Mr. Sushant Dalmia, will tell you. Yeah, Sushant.
Dinesh, listen. We write out our content cost in the P&L immediately at the time of release. Whatever the path remains, we distribute it in the form of dividends. Our allocation to our content is in that range, what we have guided, between that 25%- 28%. Post that, we pay the dividends.
Last year's revenue.
As a policy, what we have formed is whatever is the last year's PAT, we will distribute as dividend in this fiscal year. Last year we earned around INR 166 crore in PAT. That will get distributed this year in the form of dividends.
Okay. This is not from the current quarter earnings, right? It is predominantly from the last year earnings. Oh, okay. That sounds great, sir. I just want to also understand, sir, how does the, I know it may not be the right metric to ask, but say if we are adding almost 100 songs per quarter, and at the same time, our content cost is almost increasing, how do we see this trend per song? Is there any metric which you follow? Like, okay, this is my target for a song, and this much max I can, we can offer per cost, per content, per cost. Is there any metric which you look at? Any KPI sort of a thing?
In terms of per song, you won't get the right metrics because slim songs and non-slim songs cost vary on a high degree. Primarily, let's say we have a fixed budget. Let's say for this year, we are targeting 25%- 28% of our revenue to be spent on new content. We go by that budget.
We just try to fit in an X number of songs in that, right? I mean, just like that.
It's based on the content quality. It's based on the quality content we are targeting, not in terms of the number of songs.
Okay, that sounds great, sir. Thank you very much, sir, and all the best. to
Thank you, sir. Participants who wish to ask questions may please press star and one at this time. The next question is from the line of Vineet Lambu from HSBC Asset Management. Please go ahead.
Can you hear me?
Mr. Vineet, your line has been unmuted.
Can you hear me?
Yes, sir. Your sound is very low, sir.
I wanted to ask, like the slowdown majorly is due to the increased nature of the payment wall on the content by all the platforms, or is it because of the takedown of imitating accounts which are trying to imitate your content?
We can't hear you, Vineet.
Sorry, I'll forward.
Can you please repeat your question?
Can you join me?
I'm not sure that we can move to the next question. In the meantime, Vineet is joining.
Okay, sir. The next question is from the line of Yashowardhan Agarwal from IIFL Capital Services AMC. Please go ahead.
Yeah. Hi, sir. Am I audible?
Yes, sir.
Thank you, sir. Thanks for this opportunity. Congratulations on the good set of numbers . My question is that currently, we are witnessing that many of the platforms are going behind the paywall today. Since they are going behind the paywall and if the content is getting consumed on their platform, the realization of that content would significantly be higher as it was earlier. Isn't it true that the gain that we are looking over there is probably more than compensated than what the volume that we have lost over there?
I think over a period of time, it will happen. You know what you're saying? Right now, the paid subscribers are there, but the volume is not so high that it will negate the consumption streams that happen on the free side. As it's steady, I think what you're saying will happen over a period of time.
Got it, sir. At this stage, if I look at the consumer behavior and if I want to consume the content of Tips Music and I'm unable to hear it on the platform which has gone behind the paywall, I will probably go to some other streaming or the music OTT that I can consume it for free, probably on YouTube. The consumption should happen over there, which should result in a significant increase in volume of that particular streaming. At the end of the day, our content is getting consumed. Growth should come over there. Isn't that happening?
Yeah, that is happening already. If you see Spotify, they do give away free usage to the consumers. If you search for any Tips content on Spotify, Gaana, anywhere, you will get the content. It's just that some platforms have opened up only paid ecosystems, like Gaana moved to a completely paid ecosystem. You can do a trial for 30 days, but after that, you have to pay. In Spotify, they have free usage for a limited period of time. They try to do new obstructions, but eventually, you are able to search the content. Either Spotify or YouTube, Gaana, Amazon, Apple, all platforms, you are able to search the content.
Got it, sir. Do we track the growth in terms of volume, that is, how much of the content is getting consumed in terms of streams or views? Views will be disclosed on LVPPT. In terms of streams, do we track that, and how is the growth over there?
We track that, but we will not be able to disclose the absolute numbers. We are seeing a growth in our catalog consumption across all these audio streaming and video streaming platforms.
Got it, sir. The growth over there is meaningful. Is that right, Girish?
Yes, it is. It is growing, and it is steadily growing. It is meaningful.
Got it, sir. My last question is that earlier, we had disclosed that payback period for the content that we acquire is five years. Does that still hold true, or do you think competition has increased?
Sorry, could you repeat that?
Yes, my question is on the payback period of the content that we acquire. Is that five years, or has that increased or decreased?
We always say internally, we want our payback should be within three years. For people like you, we say, please keep it for four to five years. There is a big, big catch here. We write off entire content in the same quarter, so we don't have any burden on our head if five years later, we have a huge write-off to make happen. We don't do that. We believe in this policy we are doing from the beginning.
Very cool, sir. The reason I was asking that question is that the payback period would be dependent upon the quality of the content. If the quality is good, more people are listening to it, and thus the payback period would be less. That is why I was asking the question, is there a change in that or not? You have answered it. That's it from my point of view.
It's the same thing. We want three years, but people like you, we are saying five years. Please keep that in mind.
Got it, sir. Got it. Thank you so much, and good luck.
Yes, I'd like to just add, yeah, that's why we are a little careful about our expenses also because we want to invest in content which will give us this result. There's no point in investing in content that we don't see a future in. We are working with the correct makers, trying to work with the correct talents, and trying to involve ourselves creatively to get the best and extract the best out of our content acquisition and reward all shareholders, basically.
Got it, sir. Thank you.
Thank you, sir. The next question is from the line of Shreya Garg from Yashvi Securities. Please go ahead.
Hello.
Yes, ma'am. Please go ahead.
Yes, hi. Am I audible?
Yes, hi. Thank you for taking my question. I wanted you to elaborate on those in-house content management teams that you had mentioned in your opening remarks. From the operational angle, how will it be different than, how will basically the content acquisition process going to be different than what was being done earlier? Also, can we expect a hike in the employee cost as a result of this addition in team?
Yeah, content acquisition is completely different. This is content operations. The way we used to work earlier, now it is completely automated on a system called Pulse, which is in-house developed by our teams. We have a capability increased that we can deliver content using our own direct feeds to players like TikTok or Spotify or YouTube in the future. It's like going direct instead of going via others.
All right. This team is an addition to your current employee base. Will we see an addition in the employee cost?
No, this actually, the team is in-house only. There's no addition in the employees. The existing teams are only helping to build this. We also have an analytics layer on top of this operations that helps us in our business management.
Okay, thank you and all the best.
Thank you.
Thank you, ma'am. That was the last question for today. On behalf of Tips Music Limited, that concludes this conference. Thank you for joining us, and you may now disconnect your lines.
Thank you.
Thank you.
Thank you.
Thank you, sir.