ITV

Category: Financials

  • BCCI reports lower gross media rights income in 2013-14

    BCCI reports lower gross media rights income in 2013-14

    MUMBAI: The annual report of the Board of Control for Cricket in India (BCCI) for the financial year 2013 – 14 shows a decline in gross media rights income as it dipped from Rs 774.24 crore  to Rs 419.38 crore. The honourary treasurer of the board Anirudh Chaudhry blamed lack of international action in India for the dip in media rights income. During the year of consideration, the annual gross receipts from international tours was Rs 193.52 crore as against the Rs 216.02 crore in the previous year.   

     

    BCCI’s million dollar baby Indian Premier League (IPL) did not disappoint the treasurer. Gross receipts from IPL 2013 were Rs 1194 crore as against Rs 892 crore of previous year. 

     

    The treasurer said, “This is because the receipts from IPL media rights income have gone up from Rs 556 crore to Rs 844 crore and the franchisee consideration has gone up marginally from Rs 460 crore to Rs 502 crore.”

     

    The rights income from Champions League has also gone up, as a substantial hike from Rs 278.88 crore to Rs 327.50 crore was registered. 

     

    Receipt from ICC share of distribution remained at Rs 32.26 crore. There is a reasonable increase in interest income from Rs 85 crore last year to Rs 120 crore for the year of consideration. “This is mainly because of better treasury operations in getting better-negotiated interest rates for the short term deposits and efficiency of operations,” said Chaudhry.

     

    In the year under consideration, the expenses on cricketing operations went down marginally from Rs 551.17 crore to Rs 516.83 crore. The provision for gross revenue share payable to the players has gone down from Rs 48.57 crore to Rs 11.02 crore. “This is because of the lesser media rights income. From 2013-14, the Board decided that all the common expenses, which are not allocable to any specific tournament would be apportioned on the basis of revenue generated by IPL, CLT20 and BCCI’s international tours. This will reflect more accurately the income generated from these activities of Board,” said Chaudhry. 

     

    In the year under consideration, the surplus of income over expenditure was Rs 526 crore as against Rs 319 crore in 2012-13, before any appropriation. In the current financial year 2014-15 the budgeted surplus is estimated at Rs 391 crore. 

     

    During the year four finance committee meetings were held. The following decisions were taken during the year: 

     

    · The Board awarded the Team Sponsorship contract for the period from 1 January 2014 till 31 March 2017 to Star India. 

     

    · Star India was awarded the title sponsorship for the limited period from October 2013 to December 2013 in which two series i.e., India versus Australia and India versus West Indies were played. 

     

    · The back office of the honorary treasurer was set up in Chennai from 1 April, 2014 and the coordinating office of honorary treasurer was established in New Delhi. 

     

    · The allowances and fees payable to support staff accompanying the senior team, A team, under 19 team, junior team and women’s team were revised.

     

    · Under the scheme of One Time Benefit to former players, an amount aggregating to Rs 1.55 crore was paid during the year under consideration. 

     

    · Under the infrastructure subsidy scheme, the member units have claimed Rs 764.03 crore till 31 March, 2014, including subsidy for ground equipment. 

     

    · During the year, Board invoked the Bank Guarantee given by Sahara Adventure Sports (Pune Franchisee) to recover the balance franchisee consideration of Rs 133 crore. 

     

    · During the year, as per the order of Supreme Court of India, the three bankers of Nimbus, who had provided the Bank Guarantees of Rs 1600 crore together and who had not honored the invocation of the Bank Guarantees by the Board and had challenged the invocation, paid Rs 400 crore to the Board against an undertaking from the Board that in case the decision goes against BCCI the said amount will be returned along with the applicable fixed deposit interest.

     

    · During the year the team won the ICC Champions Trophy and the Board awarded prize money of Rs 1 crore to every playing member of the team and Rs 30 lakh to every member of support staff. 

     

    · In the last Annual General Meeting, a new Finance Committee was appointed under the chairmanship of Dr. Ganga Raju. The Finance Committee and the Treasurer’s office benefited from the rich experience of Dr. Raju.

  • Q3-2015: Mukta Arts’ PAT Rs 21.21 crore despite drop in y-o-y revenue

    Q3-2015: Mukta Arts’ PAT Rs 21.21 crore despite drop in y-o-y revenue

    BENGALURU: Mukta Arts Limited (MAL) reported a Profit after Tax (PAT) of Rs 21.21 crore for the quarter ended 31 December, 2014 (Q3-2015, current quarter) as compared to the Rs 0.92 crore in Q3-2014 and a loss of Rs 0.03 crore in the immediate trailing quarter Q2-2015. However for the nine month period ended 31 December, 2014 (9M-2015, YTD), MAL reported a loss of Rs 3.45 crore as compared to PAT of Rs 1.83 crore in 9M-2014. The higher profit for the current quarter could be attributed to the lower distributors and producer’s share paid by the company, which in most quarters equals or exceeds 90 per cent of the company’s operating income (TIO)

     

    Notes:  100,00,000 = 100 lakh = 10 million = 1 crore

     

    The company’s TIO for Q3-2015 at Rs 44.40 crore was 42.1 per cent lower than the Rs 76.67 crore in the corresponding year ago quarter, but 85.4 per cent more than the Rs 23.95 crore in the preceding quarter. MAL’s 9M-2015 TIO was a massive 60 per cent lower at Rs 93.33 crore versus the Rs 233.27 crore in the corresponding period of last year. TIO for Q3-2015 includes sale of certain rights by the company for Rs 3.5 crore.

     

    The company’s total expenditure (TE) in the current quarter was 70 per cent lower at Rs 23.05 crore (51.9 per cent of TIO) as compared to the Rs 76.16 crore (99.9 per cent of TIO) in Q3-2014 and 2.9 per cent lower than the Rs 23.74 crore (99.1 per cent of TIO) in the trailing quarter. In 9M-2015, TE at Rs 96.54 crore (103.2 per cent of TIO) was 58.4 per cent lower than the Rs 231.55 crore (99.3 per cent of TIO) in 9M-2014.

     

    A major component of MAL’s TE is distributors and producer’s share (distributors share). For Q3-2015, MAL spent Rs 13.23 crore (29.8 per cent of TIO), less than a fifth (19.2 per cent) of the Rs 69.98 crore (90 per cent of TIO) spent in Q3-2014, but more than double (2.3 times) the Rs 5.74 crore (24 per cent of TIO). For 9M-2015, distributors share at Rs 43.02 crore (45 per cent of TIO) was again a fraction less than a fifth of the Rs 212.13 crore (90.9 per cent of TIO) in 9M-2014.

     

    Other expense in Q3-2015 at Rs 4.92 crore (11.1 per cent of TIO) was 26.4 per cent higher than the Rs 3.89 crore (5.1 per cent of TIO) in Q3-2014, but 5.1 per cent lower than the Rs 5.19 crore (21.7 per cent of TIO) in Q2-2015. During 9M-2015, the company’s other expense at Rs 13.72 crore (14.7 per cent of TIO) was 45.7 per cent higher than the Rs 9.42 crore (4 per cent of TIO) in 9M-2014.

     

    MAL paid 61.9 per cent more towards finance costs in Q3-2015 at Rs 2.43 crore (5.5 per cent of TIO) as compared to the Rs 1.50 crore (2 per cent of TIO) in Q3-2014 and 15.2 per cent more than the Rs 2.11 crore (8.8 per cent of TIO) in Q2-2015. For 9M-2015, finance cost at Rs 6.51 crore (7 per cent of TIO) was 54.4 per cent more than the Rs 4.22 crore (1.8 per cent of TIO) in 9M-2014.

     

    Four divisions contribute to MAL’s numbers – Software division; Equipment Division; Theatrical Exhibition Division; others (Rent). Software and ‘Others’ divisions contributed positive results – operating profits, while the other two reported operating loss. Software division is a major contributor to revenue and results. In Q3-2015, MAL’s Software division reported revenue of Rs 33.56 crore, which was 44.3 per cent lower than the Rs 60.24 crore in Q3-2014, but almost 2.5 times (2.42) the Rs 13.89 crore in Q2-2015. For 9M-2015, Software Division revenue at Rs 64.21 crore was less than a third (1/3.35) the Rs 214.83 crore in 9M-2014.

     

    Software division reported operating profit of Rs 21.35 crore in Q3-2015 as compared to an operating loss of Rs 0.73 crore in Q3-2014 and an operating profit of Rs 0.33 crore in Q2-2015. For 9M-2015, operating loss from this division was Rs 3.35 crore as compared to an operating profit of Rs 0.31 crore in 9M-2014.

     

    Equipment division contributed a very small amount to revenue and operating results of MAL. Theatrical division reported revenue of Rs 8.91 crore, which was 9.8 per cent more than the Rs 8.11 crore in Q3-2014 and 72.6 per cent more than the Rs 5.16 crore in Q2-2015. 9M-201 revenue from this segment at Rs 23.35 crore was 88.8 per cent more than the Rs 12.36 crore in 9M-2014.

     

    Theatrical division reported operating loss of Rs 0.16 crore in Q3-2015 as compared to operating profit of Rs 0.37 crore in Q3-2014 and an operating profit of Rs 0.07 crore in Q2-2015. For 9M-2015, this division reported operating loss of Rs 0.23 crore as compared to an operating profit of Rs 0.21 crore in 9M-2014.

     

    Revenue and operating results from ‘Others’ division was Rs 1.84 crore and an operating profit of Rs 1.49 crore in Q3-2015; revenue of Rs 2.18 crore and operating profit of Rs 1.7 crore in Q3-2014; Revenue of Rs 1.85 crore and operating profit of Rs 1.68 crore in Q2-2015; Revenue of Rs 5.55 crore and operating profit of Rs 4.74 crore in 9M-2015; revenue of Rs 5.67 crore and operating profit of Rs 4.64 crore in 9M-2014. 

  • Q3-2015: Motion Picture segment pulls Sahara One deeper in red; revenue plummets

    Q3-2015: Motion Picture segment pulls Sahara One deeper in red; revenue plummets

    BENGALURU: Sahara One Media and Entertainment Limited (Sahara One) reported less than one ninth (1/9.3 times) Income from operations (TIO) for Q3-2015 at Rs 2.20 crore as compared to the Rs 20.41 crore in the corresponding year ago quarter (Q3-2014) and less than a fourth (1/4.3 times) the Q2-2015 TIO of Rs 9.38 crore. 9M-2015 TIO also fell to 1/3.1 times at Rs 22.76 crore from Rs 70.43 crore in 9M-2014.

     

    Note: 100,00,000 = 100 lakh = 10 million = 1 crore

     

    The company reported higher loss in Q3-2015 at Rs 15.72 crore as compared to a loss of Rs 3.36 crore in Q3-2014 and a loss of Rs 10.36 crore in the previous quarter. Loss in 9M-2015 was Rs 28.39 crore versus a profit of Rs 1.94 crore in 9M-2014.

     

    A major portion of the loss could be attributed to the Sahara One’s Motion Picture segment. This segment reported an operating loss of Rs 14.84 crore against revenue of Rs 0.19 crore in Q3-2015. The company’s Television Broadcasting  segment reported an operating loss of Rs 0.79 crore in the current quarter on revenue of Rs 2.33 crore. However, last quarter, the company’s television segment had reported loss of Rs 9.30 crores and revenue of Rs 9.94 crore.

     

    Sahara One’s Total Expenditure (TE) in in Q3-2015 at Rs 18.99 crore (8.6 times TIO) was 16.3 per cent lower than the Rs 23.54 crore (111.1 per cent of TIO) in Q3-2014 and 6.3 per cent less than the Rs 20.33 crore (216.8 per cent of TIO) in the trailing quarter. TE in 9M-2015 at Rs 54.41 crore (239.1 per cent of TIO) was 25.5 per cent lower than the Rs 75.22 crore (106.8 per cent of TIO) in 9M-2014.

     

    A major portion of the company’s TE is purchase of content cost (POC). The company’s POC cost fell to less than half (46.8 per cent) in Q3-2015 at Rs 13.60 crore (617.8 per cent of TIO) as compared to the Rs 29.06 crore (142.4 per cent of TIO) in Q3-2014, but was 2.6 times higher than the Rs 5.26 crore (56.1 per cent of TIO) in Q2-2015. POC cost in 9M-2015 was 1/2.4 times at Rs 28.76 crore (126.3 per cent of TIO) as compared Rs 68.29 crore (97 per cent of TIO) in 9M-2014.

  • Q3-2015: Cinevista q-o-q income down 28 per cent

    Q3-2015: Cinevista q-o-q income down 28 per cent

    BENGALURU: The makers of the 200 plus episodes drama Ek Hasina Thi (formerly Daag) for Star Plus, Cinevista Limited (Cinevista, formerly known as Cinevista Communications Limited) reported profit of Rs 0.89 lakh (0.06 per cent of Total Income from Operations or TIO) for the quarter ended 31 December, 2014 (Q3-2015, current quarter). This was 30.5 per cent lower than the PAT of Rs 1.28 lakh (0.14 per cent of TIO) in the corresponding quarter of last fiscal and 38.2 per cent lower than the PAT of Rs 1.44 lakh (0.07 per cent of TIO) in Q2-2015. For 9M-2015, Cinevista’s PAT at Rs 138.37 lakh (0.17 per cent of TIO) was 9.2 per cent lower than the RS 152.31 lakh (0.18 per cent of TIO) in 9M-2014.

     

    Note: 100,00,000 = 100 lakh = 10 million = 1 crore

     

    The company’s TIO for Q3-2015 at Rs 1577.73 lakh was 75.1 per cent more than Rs 901.27 lakh in Q3-2014 but 28.1 per cent less than Rs 2193.19 lakh in the immediate trailing quarter.

     

    Let us look at the other Q3-2015 and FY-2015 numbers reported by Cinevista:

     

    Simple EBIDTA for Q3-2015 at Rs 127.73 lakh (8.1 per cent of TIO) was 4.5 per cent less than Rs 133.70 lakh (14.8 per cent of TIO) in the corresponding year ago quarter, but 20.1 per cent less than Rs 159.94 lakh (7.3 per cent of TIO) in Q2-2015. For 9M-2015, EBIDTA at Rs 433.73 lakh (8.9 per cent of TIO) was 7 per cent more than the Rs 405.18 lakh (10.4 per cent of TIO) in 9M-2014.

     

    EBIDTA including other income for Q3-2015 at Rs 150.92 lakh (7.4 per cent of TIO plus other income) was 8.3 per cent more than Rs 139.35 lakh (15.4 per cent of TIO) in Q3-2014, but 6.5 per cent lower than Rs 161.44 lakh (7.4 per cent of TIO) in the immediate trailing quarter. For 9M-2015, EBIDTA including other income at Rs 461.58 lakh (9.4 per cent of TIO) was 10.6 per cent more than Rs 417.51 lakh (10.7 per cent of TIO) in 9M-2014.

     

    Cinevista’s total expenditure (TE) for Q3-2015 at Rs 1496.91 lakh (94.9 per cent of TIO) was 82.8 per cent more than Rs 819.07 lakh (90.9 per cent of TIO) in Q3-2014, but 28.2 per cent less than Rs 2079.28 lakh (94.8 per cent of TIO) in Q2-2015. For 9M-2015, TE at Rs 4572.21 lakh (93.9 per cent of TIO) was 26.1 per cent more than Rs 3627.08 lakh(93.5 per cent of TIO) in 9M-2014.

     

    A major expense head for the company is cost of production (PC).  This cost has been going up in terms of percentage of TIO. In Q3-2015, Cinevista spent Rs 1318.93 lakh (83.6 per cent of TIO) towards PC, which was more than double (2.12 times) the Rs 622.78 lakh (69.1 per cent of TIO) in the year ago quarter, but 29.6 per cent lower than Rs 1874.08 lakh (85.4 per cent of TIO) in Q2-2015. For 9M-2015, the company’s PC was 31.6 per cent more at Rs 3994.30 lakh (82.1 per cent of TIO) as compared to Rs 3035.25 lakh (78.2 per cent of TIO) in 9M-2014.

     

    Finance cost in Q3-2014 was Rs 102.85 lakh (6.5 per cent of TIO), which was 18.8 per cent more than Rs 86.57 lakh (9.6 per cent of TIO) in Q3-2014 but 10 per cent less than Rs 114.28 lakh (5.2 per cent of TIO) in the previous quarter. YTD, in 9M-2015, Cinevista’s finance cost at Rs 315.05 lakh (6.5 per cent of TI) was 22.1 per cent more than Rs 258.07 lakh (6.7 per cent of TI) in 9M-2014.

     

    At present Cinevista has another production on air on the Star Network’s Channel V India – D3 or Dil, Dosti, Dance, a dance-based fiction show that has crossed 500 episodes to date. The show premiered on 11 April 2011. The first season of Crime Patrol on Sony Entertainment Television India was created by Cinevista.

  • DreamWorks Animation posts loss of $248 million as ‘Penguins’ flop

    DreamWorks Animation posts loss of $248 million as ‘Penguins’ flop

    MUMBAI: DreamWorks Animation posted a massive loss of $247.7 million in the fourth quarter due to the company’s recent restructuring plans, the closure of its Northern California studio and changes in its film release strategy.

     

    The company posted sales of $234.2 million for the quarter ended 31 December, 2014, which was up 14.7 per cent over the same period in 2013. The company’s adjusted operating loss came in at $37.6 million, while its net loss was $64.1 million.

     

    The company’s adjusted financial results exclude a $210.1 million pre-tax charge associated with its restructuring plan announced on 22 January, 2015. The company’s results for the quarter ended 31 December, 2014 include impairment charges of $57.1 million, or a loss of approximately $0.63 per share, primarily related to the performance of The Penguins of Madagascar and Mr. Peabody and Sherman, as well as certain other titles and investments.

     

    As part of the reorganisation, which resulted in over 500 layoffs, DreamWorks Animation also said that it is selling its Glendale, Calif., campus for $185 million and will lease back the space.

     

    Including the impact of the restructuring plan, DreamWorks Animation reported net loss of $263.2 million for the quarter ended 31 December, 2014. Of the restructuring-related charges totaling $210.1 million, $54.6 million was related to employee termination costs and other contractual obligations and $155.5 million was primarily related to write-offs of capitalized production costs of unreleased projects, including B.O.O. and Monkeys of Mumbai, as well as other charges associated with changes in the film slate.

     

    “Although 2014 was a challenging year for our company, I am confident that our recent announcement to restructure our feature film business will enable us to deliver great films and better box office results,  while improving the overall financial performance of our business. And while 2015 will be a transitional year for us, I couldn’t be more confident for the future. We have a set of strategic imperatives in place designed to ensure sustainable and profitable growth over the long term,” said DreamWorks Animation CEO Jeffrey Katzenberg

     

    For the full year, DreamWorks Animation’s 2014 revenues decreased 3.2 per cent to $684.6 million, while it posted an operating loss of $300 million. When adjusted, the loss was $90 million.

     

    Fourth Quarter Review:

     

    DreamWorks Animation’s fourth quarter revenues of $234.2 million increased 14.7 per cent due to increases in revenues across each of the company’s primary segments.

     

    Feature Film Segment

     

    Revenues for the quarter ended 31 December, 2014 from the Feature Film Segment increased to $131.3 million, while segment gross profit declined to $152.2 million, primarily due to the impact of film and other inventory write-offs of $153.8 million stemming from the company’s restructuring initiatives, as well as impairment charges of $39.7 million related to The Penguins of Madagascar and Mr. Peabody and Sherman:

     

    The Penguins of Madagascar, which was released theatrically on 26 November, 2014, has reached $358 million at the worldwide box office to date. The film contributed feature film revenue of $6.9 million in the quarter, primarily from distribution outside of Fox territories. Fox did not report any revenue to DreamWorks Animation in the quarter for the film as they had not yet recouped their marketing and distribution costs.

     

    How to Train Your Dragon 2 contributed feature film revenue of $66 million in the quarter, primarily from home entertainment. The film was released into the domestic home entertainment market on 11 November, 2014 and through the end of the fourth quarter reached an estimated 7.5 million home entertainment units sold worldwide, net of actual and estimated future returns.

     

    Mr. Peabody & Sherman was released into the domestic home entertainment market on 14 October, 2014 and through the end of the fourth quarter, reached an estimated 3.4 million home entertainment units sold worldwide, net of actual and estimated future returns. Fox did not report any revenue to DreamWorks Animation in the quarter for Mr. Peabody and Sherman as they had not yet recouped their marketing and distribution costs.

     

    Turbo contributed feature film revenue of $5.8 million in the quarter, primarily from home entertainment. The film was released into the domestic home entertainment market on 12 November, 2013 and through the end of the fourth quarter, reached an estimated 6.3 million home entertainment units sold worldwide, net of actual and estimated future returns. 

     

    The Croods contributed feature film revenue of $6.5 million in the quarter, primarily from home entertainment. The film was released into the domestic home entertainment market on 1 October, 2013 and through the end of the fourth quarter, reached an estimated nine million home entertainment units sold worldwide, net of actual and estimated future returns. 

     

    Library titles contributed feature film revenue of $46.1 million to the quarter.

     

    Television Series and Specials Segment

     

    Revenues for the quarter ended 31 December, 2014 from the Television Series and Specials Segment increased 7.7 per cent to $50.7 million. Segment gross profit declined from $7.3 million to $2.6 million, as the higher revenues were more than offset by write-downs of capitalized film costs totaling $13.3 million in the quarter, primarily due to revisions in estimated future revenues for certain television specials, as well as up front marketing costs related to the various television series that were delivered in the quarter.

     

    Consumer Products Segment

     

    Revenues from the Consumer Products Segment increased 77.5 per cent to $22.1 million, while segment gross profit increased to $6.1 million mostly due to increased sales in the company’s merchandise, location-based entertainment and retail development businesses.

     

    New Media Segment

     

    The company is now presenting a New Media Segment within its financials, which consists of revenues and expenses attributable to Awesomeness TV (ATV) and related businesses. Revenues and segment gross profit for the quarter ended 31 December, 2014 from the company’s New Media Segment increased to $24.9 million and $13.2 million, respectively. The New Media Segment benefitted from the production and delivery of original programming, sponsorships arrangements and content licensing fees.

     

    Also during the quarter, DreamWorks Animation entered into a joint venture agreement with Hearst Corporation under which Hearst purchased a 25 per cent ownership interest in ATV for $81.25 million. The company also entered into an agreement with the former stockholders of ATV under which the Company paid $80 million in lieu of any amounts of earn-out consideration. As a result, DreamWorks Animation recorded a gain in the quarter of $6.8 million to reflect the change in fair value of the contingent consideration liability. 

     

    All Other Segments

     

    Revenues for the quarter ended 31 December, 2014 from the All Other Segment declined to $5.2 million, primarily because the company is no longer self-producing any live performance productions. In the prior year period, the company earned revenues of $11 million attributable to the subscription video-on-demand (SVOD) release of the filmed version of Shrek the Musical. Segment gross profit decreased to $4 million, largely due to lower revenues and the write-off of capitalized costs in the amount of $5.4 million.

     

    For the quarter ended 31 December, 2014, DreamWorks Animation posted an adjusted operating loss of $37.6 million. This was primarily driven by impairment write-downs on certain film assets and investments, as well as the impact of increased investment in support of brand and new business initiatives.

  • FY-2014: Broadcasting & digital segments drive 55% EPS growth for Gannett

    FY-2014: Broadcasting & digital segments drive 55% EPS growth for Gannett

    BENGALURU: Gannett Company Inc., (Gannett) reported a 55 per cent increase in its non-GAAP earnings per share (EPS) and a 57 per cent increase in adjusted EBIDTA for the 13 weeks ended 28 December, 2014 (Q4-2014, current quarter) as compared to the corresponding quarter of the previous year.

     

    Earnings totalled $2.92 per share, and on a non-GAAP basis, EPS for Q4-2014 was $1.02. Gannett’s revenue grew 24.3 per cent driven by strong broadcast and digital segment results, says the company. Gannett reported revenue of $1700.97 million in the current quarter, for Q4-2013, the company had reported revenue of $1368.04 million.

     

    On a pro forma basis (had Gannett owned the Belo and London television stations and Cars.com during the same quarter last year and excluding the impact of the sale of a print business and Apartments.com), total company revenues were 4.2 per cent higher in the quarter due primarily to substantial revenue growth at the expanded television station portfolio and strong growth at Cars.com.

     

    Broadcast Segment

     

    Gannet’s broadcast segment revenue increased 117 per cent (went up 2.17 times) in Q4-2014 to $495.27 million as compared to the $228.21 million in Q4-2013. The increase was fuelled by the expansion of the TV station portfolio, as well as significant increases in politically related advertising and retransmission revenues. On a pro forma basis, Broadcasting segment revenues were up 25.0 per cent compared to the fourth quarter in 2013. Substantially higher retransmission revenue that totalled $94.3 million, a 56.3 per cent increase, as well as $92.4 million of political advertising drove the increase. Pro forma digital revenues in the Broadcasting Segment were 16.5 per cent higher reflecting primarily growth in digital marketing services products.

     

    Digital segment

     

    Digital segment increased 76.6 per cent to $345.35 million in the current quarter as compared to the $195.57 million in Q3-2013. Gannett says that the substantial increase reflects primarily the impact of the Classified Ventures acquisition and strong results at Cars.com. Revenues on a pro forma basis in the Digital Segment were up 9.7 per cent driven in large part by revenue growth of 24.8 per cent at Cars.com and 3.8 per cent at CareerBuilder.

     

    Publishing

     

    Publishing segment revenues on a pro forma basis declined 5.9 per cent reflecting primarily softer display advertising partially offset by an increase in digital marketing solutions revenue and digital advertising.

     

    Publishing advertising segment, publishing circulation segment and all other publishing segment revenues dropped 7.8, 2.2 and 9.9 per cent respectively in Q4-2014 as compared to the year ago quarter.

     

    Publishing Advertisement

     

    Publishing advertising revenues were: $543.80 million in Q4-2014 and 589.56 million in the corresponding year ago quarter. The company says that Pro forma advertising revenues declined 8.3 per cent year-over-year. On the same basis all domestic classified advertising category comparisons in the fourth quarter were better than third quarter comparisons. Employment advertising was up 1.5 per cent in the quarter maintaining its positive trend with growth domestically and at Newsquest in the UK.

     

    Publication Circulation segment

     

    Publishing circulation segment revenues were: $282 million in Q4-2014 and $288.43 million in Q4-2013. An increase in circulation revenue at local domestic publishing sites reflecting the beneficial impact of pricing strategies as well as continued strength of the All Access Content Subscription Model was offset by circulation revenue declines at Newsquest, due to the cycling of cover price increases, and USA Today.

     

    All other publishing

     

    All other publishing segment revenues were: $59.68 million in the current quarter and $66.27 million in the year ago quarter. Pro forma Publishing Segment digital revenues increased 2.9 per cent in the quarter reflecting continued growth in digital marketing solutions and digital advertising. Digital revenues at Newsquest were up 20.4 per cent in local currency while digital revenues at USA Today and its associated businesses increased 8.4 per cent. Pro forma digital advertising revenues at local domestic publishing operations were up 6.6 per cent.

     

    Company Speak

     

    Gannett president and chief executive officer Gracia Martore said, “Our strong fourth quarter results cap a milestone year for Gannett -reflecting our bold strategy and continued focus on reshaping and reinventing the company to accelerate growth in today’s multiplatform media landscape. Based on our strong operating performance and balance sheet strength, we are resuming our share buyback program, well ahead of the timeline we had previously anticipated. Our broader and more diverse footprint drove record revenue in Broadcasting for the fourth consecutive quarter and resulted in our highest political revenues ever in a non-presidential election year. We also posted record-breaking Digital Segment revenues, driven by our full ownership of Cars.com, which had a terrific quarter, as well as continued growth at CareerBuilder. On the Publishing side, we continue to innovate and find ways to deepen our connections with our audiences and advertisers through initiatives like USA Today local content editions, which have delighted customers and substantially exceeded our revenue expectations. Even as we achieved this tremendous revenue growth, we remain committed to operating as efficiently as possible, which has continued to improve profitability, including a 57 per cent increase in Adjusted EBITDA as compared to the fourth quarter last year.”

     

    Martore added, “The terrific progress we’ve made across each of our businesses since the launch of our transformation plan three years ago culminated in our biggest news of 2014 – the announcement of our plan to separate into two highly focused public companies. Each company will be a leader in its respective industry with impressive scale and greater freedom to focus its strategy and resources on the most promising, value-enhancing areas of the business. We are on track with the separation and will share more details of our plans for the Publishing and Broadcasting/Digital companies in the coming months.”

     

    FY-2014 Numbers in Brief 

     

    Total operating revenues for the full year were 16.4 per cent higher compared to 2013 and totalled $6.01 billion. The increase reflects substantially higher revenue growth in the Broadcasting and Digital Segments to record levels partially offset by a decline in the Publishing Segment. Broadcasting Segment revenues were 102.6 per cent higher due to the Belo acquisition and significant increases in Olympic and political spending as well as retransmission revenue. Digital Segment revenues in 2014 were up 22.8 per cent reflecting the acquisition of Classified Ventures including strong growth at Cars.com and solid revenue growth at CareerBuilder. Company-wide digital revenues totalled $2.05 billion, an increase of 7.4 per cent on a pro forma basis compared to 2013. Publishing Segment revenues were 4.4 per cent lower as advertising revenues declined 5.8 per cent and circulation revenues were down 0.9 per cent.

  • FY-2014: Charter Communications reports loss of $183 million

    FY-2014: Charter Communications reports loss of $183 million

    BENGALURU: US cable television, high-speed Internet, and telephone services company Charter Communications, Inc (Charter) reported 5.7 per cent lower loss at $183 million for FY-2014 as compared to the $194 million in FY-2013. For the quarter ended December 31, 2015 (Q4-2014, current quarter) the company reported loss of $48 million versus a net income of $39 million in the corresponding year ago quarter.

     

     For the year ended 31 December, 2014, revenues rose to $9.1 billion, 8.2 per cent higher on a pro forma basis than in 2013, driven by continued growth in Internet, video and commercial revenues. On an actual basis, full year 2014 revenues rose 11.7 per cent year-over-year. 

     

    Fourth quarter 2014 revenues rose to $2.4 billion, 9.9 per cent higher than the year-ago quarter, driven primarily by growth in Internet, video and commercial revenues says the company. 

     

    Video revenues totalled $1.1 billion in the fourth quarter, an increase of 8.1 per cent compared to the prior year period. Video revenue growth was driven by higher expanded basic and digital penetration, annual and promotional rate adjustments, higher advanced services penetration, and revenue allocation from higher bundling, partially offset by a decrease in residential limited basic video customers.

     

    Internet revenues grew 13.5 per cent compared to the year-ago quarter to $670 million, driven by an increase of 383,000 Internet customers during the last year and by promotional rolloff, legacy price adjustments and revenue allocation from higher bundling.

     

    Voice revenues totalled $139 million, a decline of 9.7 per cent versus the fourth quarter of 2013, due to value-based pricing and revenue allocation from higher bundling, partially offset by the addition of 166,000 voice customers in the last twelve months.

     

    Commercial revenues rose to $262 million, an increase of 16.1 per cent over the prior-year  period, and was driven by higher sales to small and medium business customers and to carrier customers. 

     

    Fourth quarter advertising sales revenues of $107 million increased 28.9 per cent compared to the year ago quarter, primarily driven by an increase in political advertising revenue. Excluding the benefit of political advertising revenue generated in the fourth quarter of 2014, and during the corresponding prior-year period, total fourth quarter advertising sales revenues grew by approximately 8.9 per cent year-over-year.

     

    Customer numbers 

     

    During the fourth quarter of 2014, Charter’s residential customer relationships grew by 73,000, with triple play sell-in improving year-over-year, to 62 per cent of total residential video sales. Commercial customer relationships grew by 6,000 in the fourth quarter of 2014. Residential PSUs increased by 157,000, while commercial PSUs increased 14,000 during Q4-2014.

     

    During Q4-2014, Charter says that it continued to introduce its new product suite, Charter Spectrum, in markets that were recently converted to all-digital. Charter customers in these markets now have access to an industry-leading suite of video, data, and voice services that includes over 200 HD channels, in addition to minimum offered Internet speeds of 60 Mbps, and a fully featured voice service, delivered at a highly competitive price. Charter Spectrum is available to new Charter customers, and to existing customers within the Company’s new pricing and packaging structure launched in 2012. As of the end of Q4-2014, the company claims that 86 per cent of residential customers were in Charter’s new pricing and packaging, excluding customers in the former Bresnan properties.

     

    Residential video customers increased by 3,000 in Q4-2014, versus a loss of 2,000 in the year-ago period. For the past two years Charter says that it has significantly increased the competitiveness of its video product, by including more HD channels and video on demand offerings, attractive packaging of advanced services, improved selling methods, and enhanced service quality.

     

    Charter added 104,000 residential Internet customers in Q4-2014, compared to 93,000 a year ago. As of December 31, 2014, 80 percent of Charter’s residential Internet customers subscribed to tiers that provided speeds of 60 Mbps or more informs Charter.

     

    During the Q4-2014, the company added 50,000 residential voice customers, versus a gain of 56,000 during Q4-2013. Fourth quarter residential revenue per customer relationship totalled $111.52, and grew by 3.1 per cent as compared to the prior-year period, driven by rate adjustments, higher product sell-in and promotional rate step-ups, partially offset by continued single play Internet sell-in and bulk digital upgrades. In September 2014, Charter increased its broadcast TV surcharge. Excluding this rate adjustment, residential revenue per customer relationship grew by 2.2 per cent year-over-year.

  • FY-2014: Comcast Corporation’s consolidated revenue up 6.4%

    FY-2014: Comcast Corporation’s consolidated revenue up 6.4%

    BENGALURU: Comcast Corporation’s consolidated revenue increased 6.4 per cent, operating cash flow increased 6.9 per cent, Operating Income increased 9.9 per cent and Free Cash Flow exceeded $ 8 billion in FY2014. 

     

    Earnings per share increased 25.0 per cent to $ 3.20; Excluding Adjustments, EPS increased 18.6 per cent to $ 2.93.

     

    Cable communications revenue increased 5.5 per cent and operating cash flow increased 5.3 per cent.

     

    Customer relationships increased by 358,000, a 67 per cent improvement compared to 2013.

     

    NBCUniversal revenue increased 7.5 per cent and operating cash flow increased 18.1 per cent. 

     

    4th Quarter 2014 Highlights:

     

    Consolidated revenue increased 4.8 per cent, operating cash flow increased 4.1 per cent and operating income increased 3.8 per cent.

     

    Earnings per share increased 2.8 per cent to US$ 0.74; excluding adjustments, EPS increased 16.7 per cent to US$ 0.77.

     

    Cable communications revenue increased 6.1 per cent and operating cash flow increased 6.3 per cent.

     

    Customer relationships increased by 178,000, a 47 per cent increase from the fourth quarter of 2013.

     

    NBCUniversal revenue increased 2.3 per cent and operating cash flow increased 6.6 per cent. 

     

    Comcast chairman and CEO Brian L. Roberts said, “2014 was a great year financially, operationally, and strategically for Comcast NBC Universal. We continued to execute incredibly well as we accelerated our innovation, launched new products, and brought amazing films, shows and theme park attractions to consumers. Cable’s results, driven by High-Speed Internet and Business Services, demonstrate our focus on driving profitable growth and technology innovations, including our transformative X1 platform. This is bearing fruit in our operating performance, as we added 358,000 customer relationships, while video subscriber trends were the best in 7 years and in broadband we added over 1 million subscribers for the ninth year in a row. NBCUniversal also had a standout performance in 2014, with 18 percent growth in operating cash flow, driven by a successful Sochi Olympics, continued momentum at NBC Broadcast, the successful opening of The Wizarding World of Harry Potter – Diagon Alley in Orlando, and strong box office performance from Universal Pictures. We enter 2015 with great momentum and significant opportunities ahead, and we look forward to receiving regulatory approval for the Time Warner Cable merger. Underscoring our confidence in the continued success of our company, we are increasing our dividend to US$ 1.00 per share on an annualized basis, marking the seventh consecutive annual increase, and plan to repurchase at least US$ 4.25 billion of our stock this year.”

     

    Cable Communications

     

    Revenue for Cable Communications increased 6.1 per cent to US$ 11.3 billion in the fourth quarter of 2014 compared to US$ 10.7 billion in the fourth quarter of 2013, driven by increases of 9.9 per cent in high-speed internet and 20.8 per cent in business services. Advertising revenue increased 18.9 per cent, reflecting higher political advertising in the fourth quarter of 2014. The increase in cable revenue reflects increased customer relationships (see below), customers receiving higher levels of service, customers taking additional services, as well as rate adjustments.

     

    For the year ended 31 December, 2014, cable revenue increased 5.5 per cent to US$ 44.1 billion compared to US$ 41.8 billion in 2013, driven by growth in high-speed internet, business services and advertising.

     

    Customer relationships increased by 178,000 to 27.0 million during the fourth quarter of 2014, a 47 per cent improvement compared to an increase of 121,000 in the fourth quarter of 2013. At the end of the fourth quarter, the triple product customers increased to 37 per cent of the company’s total customer relationships compared to 35 per cent in the fourth quarter of 2013. In addition, video, high-speed internet and voice customers increased in the fourth quarter of 2014.

     

    For the year ended 31 December, 2014, customer relationships increased by 358,000, a 67 per cent improvement compared to net additions of 215,000 in 2013. Video customer net losses improved year-over-year and were the best result in seven years.

     

    High-speed internet customer net additions of 1.3 million marked the ninth consecutive year of more than one million net additions. Voice net additions slowed, reflecting X1 availability that was more focused on triple play customers last year, making for a difficult comparison.

     

    NBC Universal

     

    Revenue for NBC Universal increased 2.3 per cent to US$ 6.6 billion in the fourth quarter of 2014 compared to US$ 6.5 billion in the fourth quarter of 2013, as revenue growth in Theme Parks and Broadcast Television was partially offset by lower Filmed Entertainment revenue driven by a year-over-year decline in home entertainment revenue. Operating Cash Flow increased 6.6 per cent to US$ 1.4 billion compared to US$ 1.3 billion in the fourth quarter of 2013, driven by strong results at Theme Parks and Broadcast Television.

     

    For the year ended 31 December, 2014, NBC Universal revenue increased 7.5 per cent to US$ 25.4 billion compared to US$ 23.7 billion in 2013. Excluding US$ 1.1 billion of revenue generated by the Sochi Olympics in the first quarter of 2014, revenue increased 2.9 per cent.

     

    Operating cash flow increased 18.1 per cent to US$ 5.6 billion compared to US$ 4.7 billion in 2013. Excluding US$ 130 million of operating cash flow generated by the Olympics, operating cash flow increased 15.3 per cent, reflecting solid results at each business segment.

     

    Cable Networks

     

    For the fourth quarter of 2014, revenue from the Cable Networks segment was stable at US$ 2.3 billion and operating cash flow decreased 1.8 percent to US$ 912 million compared to the fourth quarter of 2013. These results reflect a 5.6 percent decline in advertising revenue along with a slight increase in operating costs driven by investment in programming, which more than offset a 4.6 percent increase in distribution revenue.

     

    For the year ended December 31, 2014, revenue from the Cable Networks segment increased 3.9 percent to US$ 9.6 billion compared to US$ 9.2 billion in 2013. Excluding US$ 257 million of revenue generated by the 2014 Sochi Olympics, revenue increased 1.1 percent, reflecting a 4.6 percent increase in distribution revenue, partially offset by a 3.5 percent decrease in advertising revenue. Operating cash flow increased 2.5 percent to US$ 3.6 billion compared to US$ 3.5 billion in 2013. Excluding the Olympics, operating cash flow increased

     

    2.2 percent, reflecting higher revenue and flat operating costs, even as we continue to invest in programming.

     

    Broadcast Television

     

    For the fourth quarter of 2014, revenue from the Broadcast Television segment increased 4.8 percent to US$ 2.3 billion compared to US$ 2.2 billion in the fourth quarter of 2013, driven by a 3.1 percent increase in advertising revenue, as well as higher retransmission consent fees. Operating cash flow increased 64.0 percent to US$ 230 million compared to US$ 140 million in the fourth quarter of 2013, reflecting higher revenue, which more than offset a slight increase in operating costs and expenses.

     

    For the year ended December 31, 2014, revenue from the Broadcast Television segment increased 20.0 percent to US$ 8.5 billion compared to US$ 7.1 billion in 2013. Excluding US$ 846 million of revenue generated by the 2014 Sochi Olympics, revenue increased 8.1 percent, reflecting higher advertising revenue and retransmission consent fees. Operating cash flow increased US$ 389 million to US$ 734 million compared to US$ 345 million in 2013. Excluding the Olympics, operating cash flow increased US$ 272 million, or 78.6 percent, reflecting higher revenue and a modest increase in operating costs and expenses.

     

    Filmed Entertainment

     

    For the fourth quarter of 2014, revenue from the Filmed Entertainment segment decreased 10.6 percent to US$ 1.3 billion compared to US$ 1.4 billion in the fourth quarter of 2013, reflecting a decline in home entertainment revenue primarily due to the strong performance of Despicable Me 2 in the fourth quarter of 2013. Operating cash flow decreased US$ 115 million to US$ 77 million compared to US$ 192 million in the fourth quarter of 2013, reflecting lower revenue, partially offset by a decrease in the amortization of film costs.

     

    For the year ended December 31, 2014, revenue from the Filmed Entertainment segment decreased 8.2 percent to US$ 5.0 billion compared to US$ 5.5 billion in 2013, reflecting lower theatrical and home entertainment revenue, primarily due to the strong performances of Despicable Me 2 and Fast and Furious 6 in 2013. Operating cash flow increased US$ 228 million to US$ 711 million compared to US$ 483 million in 2013, as lower revenues were more than offset by a decrease in the amortization of film costs and reduced advertising, marketing and promotion expense due to a reduced film slate.

     

    Theme Parks

     

    For the fourth quarter of 2014, revenue from the Theme Parks segment increased 29.9 percent to US$ 735 million compared to US$ 566 million in the fourth quarter of 2013, reflecting higher guest attendance and per capita spending, driven by the continued success of Orlando’s The Wizarding World of Harry Potter™ – D iagon Alley™, as well aHsa lloween Horror Nights at the Orlando and Hollywood parks. Fourth quarter operating cash flow increased 37.6 percent to US$ 352 million compared to US$ 257 million in the same period last year, reflecting higher revenue, partially offset by an increase in operating costs to support the new attractions.

     

    For the year ended December 31, 2014, revenue from the Theme Parks segment increased 17.3 percent to US$ 2.6 billion compared to US$ 2.2 billion in 2013. Operating cash flow increased 16.4 percent to US$ 1.2 billion compared to US$ 1.0 billion in 2013, driven by The Wizarding World of Harry Potter – Diagon Alley and Despicable Me attractions.

  • Q3-15: Marico marketing spends up 14%, PAT up 18%

    Q3-15: Marico marketing spends up 14%, PAT up 18%

    BENGALURU:  Indian consumer products company in the beauty and wellness space Marico Limited (Marico) spent 14.1 per cent more towards advertisement and sales promotion (ASP, marketing) in the quarter ended December 31, 2014 (Q3-2015, current quarter) at Rs 153.02 crore (10.5 per cent of net Total Income from Operations or TIO) as compared to the Rs 134.08 core (11.2 per cent of TIO) corresponding year ago quarter (Q3-2014), but 8.6 per cent lower than the Rs 167.47 crore (11.7 per cent of TIO) in the immediate trailing quarter (Q2-2015).

    Notes: 100,00,000=100 Lakhs = 1 crore = 10 million

    During the 12 quarter period starting Q4-2014 until the current quarter, the highest amount spent by the company towards ASP was in Q1-2015 at Rs 192.18 crore (11.8 per cent of TIO). The company’s highest ASP spend in terms of percentage of TIO was in Q3-2013 at 14.1 per cent (Rs 152.82 crore). While in absolute rupees, ASP shows a linearly increasing trend during the 12 quarters under consideration, in terms of percentage TIO, the trend declines linearly during the same period. Please refer to Fig A below.

    Marico’s TIO in Q3-2015 at Rs 1452.23 crore was 21 per cent higher than the Rs 1200.69 crore in the year ago quarter and was 1.5 per cent more than the Rs 1431.17 crore in Q2-2015. The highest TIO reported by the company during the 12 quarters under consideration was in Q1-2015 at Rs 1623.13 crore. TIO shows an increasing linear trend during this period. Please refer to Fig B below.


    PAT in Q3-2015 at Rs 159.88 crore (11 percent of TIO) was 18.1 per cent more than the Rs 135.37 crore in Q3-2014 and 35.2 percent more than the Rs 118.26 crore (8.3 percent of TIO) in the previous quarter.  During the 12 quarters under consideration, PAT shows an increasing linear trend both in terms of absolute rupees and in terms of percentage of TIO.

  • Q3-2015: Sterling Holiday Resorts q-o-q sales promo spend up 6.2 per cent

    Q3-2015: Sterling Holiday Resorts q-o-q sales promo spend up 6.2 per cent

    BENGALURU: Sterling Holiday Resorts (India) Limited (Sterling Holidays) reported sales promotion spend (Sales Promo) in Q3-2015 at Rs 4.77 crore (10.4 per cent of net sales), which was 6.2 per cent more than the Rs 4.49 crore in the immediate trailing quarter and 65.1 per cent more than the Rs 2.89 crore (8.4 per cent of net sales) in the corresponding year ago quarter. YTD, (9 month period ended December 31, 2014, 9M-2015) the company’s Sales Promo spends at Rs 11.46 crore (9.1 per cent of net sales) was 12.3 per cent more than the Rs 10.21 crore (10.8 per cent of sales promo) for 9M-2014.

    Note: 100,00,000 = 100 lakh = 10 million = 1 crore

    During the 12 quarter period starting Q4-2012 until the current quarter, sales promo spends show a linear increasing trend in terms of absolute rupees. However, in terms of percentage of net sales, the linear trend is reducing. The company’s highest sales promo spends in terms of absolute rupees as well as in terms of percentage of net sales was in Q2-2013 at Rs 5.10 crore and 21.7 per cent of net sales.

    The company’s net sales in Q3-2015 at Rs 45.67 crore was 32.9 per cent more than the Rs 34.37 crore in Q3-2014 and was 21.9 per cent more than the Rs 37.41 crore in Q2-2015. For 9M-2015, net sales at Rs 125.97 crore was 32.9 per cent more than the Rs 94.78 crore in 9M-2014. The company’s net sales show a linear increasing trend during the period under consideration.

    The company has in general been a loss making company. Please refer to Fig 2 above. However, for Q4-2015, the company has reported a profit of Rs 0.82 crore as compared to a loss of Rs 1.74 crore in Q3-2014 and a loss of Rs 3.73 crore in Q2-2015. For 9M-2015, loss was Rs 1.83 crore as compared to a loss of Rs 11.46 crore in 9M-2013.

    In its earnings release, the company says that Total Operating Income (TOI) increased 29 per cent to Rs 49.71 crore in Q3-2015 from Rs 38.4 crore in Q3-2014. TOI in 9M-2015 increased 30 per cent to Rs 138.03.

    Sterling Holidays says that income from sale of vacation ownership plans grew by 52.5 per cent to Rs 25.2 crore in the current quarter from Rs 15.5 crore in the year ago quarter. YTD, sales income from Vacation Ownership plans rose a whopping 54 per cent to Rs 65.44 crore in 9M-2015 as compared to the Rs 42.54 crore reported for corresponding period of last year.

    Income from Resort operations grew by 12.3 per cent to Rs 16.22 crore in Q3-2015 from 14.44 crore in Q3-2014. YTD, Income from Resort operations increased by 17 per cent to Rs 49.31 crore in 9M-2015 from 42.13 crore in 9M-2014.

    Sterling Holidays managing director Ramesh Ramanathan said, “The sustained growth of all our business verticals reflects a healthy trend that we are progressing in the right direction. With a fast expanding pan India resort network and multiple holiday offerings, Sterling is in a unique position to grow rapidly into India’s leading holiday company.”

    With effect from 3 September, 2014, Sterling Holidays became a wholly owned subsidiary of Thomas Cook Insurances Services (India) Limited – (TCISL). As of 31 December, 2015, Thomas Cook (India) Limited through its subsidiaries hold 55.07 per cent of the equity shareholding of the company.