Shemaroo Entertainment Limited has reported its earnings for the second quarter of fiscal year 2026, revealing a decline in revenue to INR 1,434 million, down 11.52% from INR 1,621 million in the same quarter last year. The company's financial performance has been affected by a decrease in both digital and traditional media revenues, with digital media bringing in INR 602 million, a 10.29% decline, and traditional media recording INR 831 million, down 12.40% year-over-year. The figures indicate a continuing trend of challenges within the entertainment sector as the company navigates new initiatives that have added significant expenses.

The overall income from operations for the first half of FY26 also reflected a downturn, totaling INR 2,829 million, a decline of 10.61% compared to INR 3,165 million in H1 FY25. During Q2 FY26, the company reported a net loss of INR 453 million, alongside an EBITDA of INR (548) million, resulting in a net profit margin of -31.56%. The performance was notably impacted by expenses related to new initiatives, which amounted to INR 331 million for the quarter, highlighting the financial strain as Shemaroo invests in future growth strategies.

Despite the downturn, there was a slight positive note in the digital segment, which saw a 2.57% growth in revenue for the first half of the fiscal year, indicating some resilience in digital media. However, the overall outlook remains challenging, as the company has experienced a significant net loss of INR 911 million for H1 FY26. Shemaroo's future performance will depend on how effectively it can manage operational costs and capitalize on emerging digital opportunities, while also addressing the challenges posed by a changing media landscape. The earnings presentation has been made available on the company's website for further insights into their strategic direction.