Signpost India Limited has secured a significant ₹450 crore contract from the Kolkata Municipal Corporation under the 'Kolkata Streetscape Renaissance' project through public-private partnership mode. According to reports from CNBC TV18, the company will hold exclusive outdoor advertising rights for prominent stretches including Park Street (Mother Teresa Sarani) from Jawaharlal Nehru Road to Mullick Bazar Crossing, Camac Street (Abanindranath Sarani), Theatre Road (Shakespeare Sarani), and Park-o-Mat. The contract spans 10 years with an option to extend by two years, marking a major business expansion for Signpost India into the lucrative Kolkata market. The company has clarified that no promoter or promoter group interest exists in the awarding authority, ensuring transparency in the contract award process.
The contract structure involves Signpost India paying ₹16.38 crore annually to KMC, with a 5% increase every three years. As reported by CNBC TV18, the total projected revenue for KMC is ₹250 crore including state GST. The company's gross advertising revenue from this contract is projected at approximately ₹450 crore. This substantial gross advertising revenue projection indicates a strong potential for profitability and market share expansion, positioning Signpost India to compete directly for premium urban advertising assets in Kolkata. The long-term concession is expected to significantly strengthen revenue visibility over the next decade, providing stable income streams for the company's growth plans.
In the quarter ended December, Signpost India reported revenue of ₹142.34 crore, marking a quarter-on-quarter increase of 6.21% from ₹134.02 crore. According to CNBC TV18, on a year-on-year basis, revenue grew by 26.85%. The company's net profit for the quarter stood at ₹18.13 crore, up 15.77% QoQ from ₹15.66 crore. Recently on February 9, the company approved the appointment of Kinjal Mistry as company secretary and compliance officer based on Nomination and Remuneration Committee recommendations.
This Kolkata contract positions Signpost India to compete directly with major OOH players like JCDecaux India, Laqshya Media, and Times OOH in the premium urban advertising space. While peers like JCDecaux focus on airports and metros, and Laqshya Media has diverse offerings, this Kolkata deal represents a substantial contract comparable to major OOH deals secured by competitors across other cities. The deal is structured as a PPP, highlighting a model Signpost India is leveraging for growth, and demonstrates the company's capability in securing large public-private partnership projects. Recently in September 2023, the company secured exclusive media rights for the Bengaluru Airport Metro Line for five years, projected to generate ₹100 crore, showing a consistent strategy of winning substantial transit and urban infrastructure advertising contracts.
