Tips Industries, a leading music record label and film production company, aims for a 30 per cent year-on-year growth in its topline and bottomline over the next three years. The growth target comes amid the spike in consumption of its cataloged songs across platforms and its growing focus on regional content launches.
Kumar Taurani, Chairman and MD, Tips Industries Ltd., said the company is expecting to close FY23 with revenue of about ₹180 crore, as against ₹135 crore in FY22. “The jump in revenue is due to the release of a couple of big film music and our vast repertoire of 1990s songs,” he added.
Started in 1988 by Kumar and his brother Ramesh Taurani, Tips Industries initially focussed on Hindi film music before foraying into the film production and distribution business. The company has over 30,000 titles across Hindi, Punjabi, Gujarati, Bhojpuri, and other languages.
Tips Industries made its foray into Tamil music with director Mani Ratnam’s 2002 film “Kannathil Muthamittal.” Most recently, it got the music rights for Ratnam’s magnum opus Ponniyin Selvan parts 1 and 2.
“Earlier, our focus was only Hindi music, but now we are focussing on Tamil, Telugu, and very soon, we are starting Kannanda and Malayalam also,” Taurani said. He added that regional music will contribute 7–10 per cent of the company’s topline.
Tips Industries released a total of 243 songs in Q3FY23, including film and non-film songs, as against 215 songs in FY21 and 276 songs in FY22. Taurani said the plan is to release 10–12 big films every year across all languages in FY24.
Tips Industries’ revenue comes from licensing its catalogue of contents to OTT platforms, content aggregators, TV channels, telecom companies, radio stations, and hotels and restaurants.
In 2021, Tips Industries spun off its film production business into a separate entity, Tips Films Limited, to exclusively focus on the film production and distribution business.
The company released the Arjun Kapoor and Saif Ali Khan starrer Bhoot Police on Hotstar in 2021, and its other film, ‘Gas Light, will release on Hotstar on Friday. Tips Films has also bankrolled Vijay Sethupathi and Katrina Kaif starrer Merry Christmas. The Tamil-Hindi bilingual movie, directed by Andhadhun fame director Sriram Raghavan, is expected to have a theatrical release in July.
“We will produce around 4–5 movies per year, including in Hindi and regional languages. The target is to do 10 to 12 movies per year in three years,” Taurani said.
Shares of Tips Industries on Thursday closed at ₹1,472.15 apiece on the NSE, 2.22 per cent higher than the previous day’s close.