Category: Financials

PVR enters the Rs 1000 crore revenue club; FY-2014 PAT up 26 per cent

BENGALURU: Indian motion picture exhibition, production and distribution house PVR Limited (PVR) reported a 26 per cent jump in PAT in FY-2014 to Rs 56.05 crore (4.15 per cent of net total income from operations or Op Inc) in FY-2014 as compared to the Rs 44.50 crore (5.5 per cent of Op Inc) in FY-2013. The company’s Op Inc in FY-2014 increased 66.67 per cent to Rs 1351.23 crore, hence becoming another media and entertainment company to cross the Rs 1000 crore (Rs 10 billion) mark. PVR had reported revenues of Rs 810.70 crore in FY-2013.

PVR’s consolidated revenue for Q4-2014 was Rs 316 crore as compared to Rs 240 crore during the corresponding period of last year, up by 32 per cent. Consolidated EBITDA for the quarter was Rs 35 crore as against Rs 18 crore in the same period last year, up by 92 per cent.

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

PVR Limited has three main revenue streams – Movie Exhibition; Movie Production and Distribution and ‘Others’ which includes bowling, gaming and restaurant services.

Let us look at the other Q4-2014 and FY-2014 numbers reported by PVR

PVR reported more than double (2.01 times) operating profit in Q4-2014 at Rs 33.06 crore in Q4-2014 as compared the Rs16.44 crore in Q4-2013. EBIDTA in Q4-2014 was 92 per cent more at Rs 35.18 crore as compared to the Rs 18.36 crore in Q4-2013. However, in Q4-2014, the company has reported a loss of Rs 5.14 crore as compared to a profit of Rs 11.46 crore in Q4-2013.

PVR’s exhibition business revenue grew by 74 per cent in FY-2014 to Rs 1271.43 crore from Rs 730.05 crore in FY-2013. PAT from this business grew 32 per cent in FY-2014 to Rs 57.87 from Rs 43.84 crore in FY-2013.

In Q4-2014, PVR’s exhibition business revenue grew by 29 per cent to Rs 288.96 crore from Rs 223.68 crore in the year ago quarter. PAT during the quarter was 19 per cent down to Rs 7.11 crore from Rs 8.75 crore in Q4-2013.

PVR’s net box office collection including Cinemax numbers went up 13 per cent to Rs 795.16 crore in FY-2014 as compared to the Rs701.26 crore in FY-2013. Net box collection during Q4-2014 was 20 per cent more at Rs 174.23 crore as compared to the Rs 144.28 crore in Q4-2013.

Net Food and Beverage (F&B) revenue in FY-2014 at Rs 298.08 crore was 29 per cent more than the Rs 231.48 crore in FY-2013. IN Q4-2014, F&B income at Rs 71.28 crore was 46 per cent more than the Rs 48.84 crore in Q4-2013.

Sponsorship revenue went up by 44 per cent from Rs 98.61 crore in FY-2013 to Rs 141.86 crore in FY-2014. In Q4-2014, sponsorship revenue went up 48 per cent to Rs 32.85 crore from Rs 22.14 crore in Q4-2013.

Expenditure

Total Expenditure (Tot Exp) in FY-2014 at Rs 1230.22 crore (91.04 per cent of Op Inc) was 65.02 per cent more than the Rs 745.52 crore (91.96 per cent of Op Inc) in FY-2013. Tot Exp in 4-2014 at Rs 315.58 crore (100.43 per cent of Op Inc) was 2.38 per cent more than the Rs 308.24 crore (91.82 per cent of Op Inc) in Q3-2014 and 32 per cent more than the Rs 239.15 crore (101.24 per cent of Op Inc) in Q4-2013.

PVR’s film exhibition cost in FY-2014 at Rs 329.49 crore (24.38 per cent of Op Inc) was 64.4 per cent more than the Rs 200.43 crore (24.72 per cent of Op Inc) in FY-2013. Film exhibition cost in Q4-2014 at Rs 68.6 crore (21.83 per cent of Op Inc) was 17.7 per cent less than the Rs 83.34 crore in Q3-2014 and 14.5 per cent more than the Rs 59.91 crore (25.4 per cent of Op Inc) in Q4-2013.

PVR Ltd chairman and managing director Ajay Bijli said, “FY 2014-15 has started well with strong performance of films like 2 States, Bhootnath Returns, Captain America and the strength of the film line up for the remaining part of the year underpins our confidence that we are on track with our plans for the full year. Our differentiated strategy, heightened brand awareness, and guest engagement tactics will further enhance the customer experience in 2014 and beyond. During the year the company also surpassed an important milestone of 400 screens in India further consolidating its leadership position in multiplex space in India. The merger of Cinemax with PVR also got completed and the management will continue to focus on driving synergies from the combined scale of operations which is reflecting in the market share and the reported results.”

PVR operates multiplex theatres under two mother brands – PVR and Cinemax. In January 2013 the Company acquired 93.19 per cent of controlling stake in Cinemax India, a Cinema Exhibition Company having 135 screens spread across 38 locations in India, through its wholly owned subsidiary Cine Hospitality Private Limited to become the undisputed leader in the cinema exhibition business in India. Post aforesaid acquisition PVR together with Cinemax currently operates a cinema circuit consisting of 421 screens spread across 97 cinemas covering 41 cities in India. The company claims to be the dominant leader with 30-35 per cent share of box office collections for Hollywood movies in India and 20-25 per cent share of Bollywood movies.

PVR claims to commands a phenomenal 70 per cent of the advertising revenue in the cinema medium space and delivers 360 degree exposure & innovative opportunities to brands, both on-screen and off-screen. The Company says that it is associated with the top 100 brands in the country. PVR is expected to add 70-80 screens every year.

PVR has informed BSE that the Board of Directors of the Company at its meeting held on 29 May 2014, inter alia, has recommended payment of Final Dividend @ Rs 2.50 each share subject to the approval by the members of the Company in the forthcoming Annual General Meeting.

May 29, 2014
Siti Cable reports 45 per cent jump in EBIDTA for FY-2014

BENGALURU: The Essel group’s Subhash Chandra-led Siti Cable Network Ltd (Siti Cable) has reported a 44.7 per cent jump in operating profit (EBIDTA) in FY-2014 to Rs 125.9 crore as compared to the Rs 87 crore in the previous fiscal. The company reported a 46.8 per cent jump in total revenue to Rs 710.3 crore in FY-2014 from the Rs 483.7 crore in FY-2013. Some of the digital dividend – courtesy the government mandated digitisation – seem to be accruing to its top line in terms of higher subsription revenues.

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

Siti Cable’s operating revenue in FY-2014 at Rs 697.24 crore was 48.46 per cent more than the Rs 469.64 crore in FY-2014. Operating revenue in Q4-2014 at Rs 233.34 crore was 41.26 per cent more than the Rs 165.18 crore in the immediate trailing quarter and 65.15 per cent more than the Rs141.29 crore in the year ago quarter Q4-2013. Operating revenue in its case is derived mainly from subscriber related income, income from bandwidth charges, advertisements, and other operating revenues.

Siti Cable chairman Subhash Chandra said, “The cable television industry in India is rapidly changing with the visible signs of progression towards the complete digitalization. Television viewers are getting familiar with inherent advantages of digitization through cable, digital cable is playing an instrumental role in digitization. Digital cable television is a major engine of growth for Siti Cable across all geographies. Our sustained investment in this segment will further enhance the customer television viewing experience.”

Let us look at the other FY-2014 and Q4-2014 numbers reported by Siti Cable:

The company’s total expense (Tot Exp) in FY-2014 was 47.5 per cent more at Rs 668.20 crore (95.83 per cent of operating revenue or Op Inc) as compared to the Rs 453.01 crore (96.46 per cent of Op Inc) in FY-2013. Tot Exp in Q4-2014 at Rs 233.07 crore (99.88 per cent of Op Inc) was 41.04 per cent more than the Rs165.25 crore (100.04 per cent of Op Inc) in Q3-2014 and 59.99 per cent more than the Rs145.68 crore (103.11 per cent of Op Inc) in Q4-2013.

A major component of the Tot Exp are channel carriage, pay channel and related costs (CPRC). Siti Cable paid 42.5 per cent more towards CPRC in FY-2014 at Rs 333.95 crore (47.9 per cent of Op Inc) as compared to the Rs 234.35 crore (49.9 per cent of Op Inc) in FY-2013. In Q4-2014, CPRC cost at Rs 124.16 crore (53.21 per cent of Op Inc) was 44.96 per cent more than the Rs 85.65 crore (51.85 per cent of Op Inc) in Q3-2014 and 42.39 per cent more than the Rs 87.20 crore (61.72 per cent of Op Inc) in Q4-2013.

Siti Cable’s finance cost in FY-2014 at Rs119.11 crore (17.08 per cent of Op Inc) was 37.88 per cent more than the Rs 86.39 crore (18.39 per cent of Op Inc) in FY-2013. Finance cost in Q4-2014 at Rs 31.24 crore (13.39 per cent of Op Inc) was a mere 0.06 per cent more than the Rs 31.22 crore (18.9 per cent of Op Inc) in Q3-2013 and 21.2 per cent more than the Rs 25.77 crore (18.24 per cent of Op Inc) in Q4-2013.

Clearly, the MSO -which has 56 analogue and 14 digital headend, a network of 12,000 km of coaxial and fibre optic cable, in 80 cities and reaching 10 million viewers – has more or less completed its investment in phase I and phase II towns and has hence gone easy on borrowings in the last quarter, leading to lower interest costs. With the mandate to complete phase III and phase IV of digitisation, it’s possible that its finance costs may rise again. Unless, of course, the fruits of digitisation in phase I and phase II in terms of higher subscriber revenue negate that need in the coming quarters.

Other Expense in FY-2014 at Rs 202.64 crore (29.06 per cent of Op Inc) was 60.35 per cent more than the Rs126.37 crore (26.91 per cent of Op Inc)) in FY-2013. This expense head in Q4-2014 at Rs 75.39 crore (32.31 per cent of Op Inc) was 68.93 per cent more than the Rs 44.63 crore (27.02 per cent of Op Inc) in Q3-2014 and more than double (2.22 times) the Rs 33.92 crores (24.01 per cent of Op Inc) in Q4-2013.

The company’s loss in FY-2014 at Rs 94.06 crore was 46.8 per cent more than the Rs 64.07 crore in FY-2013. Siti Cable’s Q4-2014 loss at Rs 22.81 crore widened by 26.97 per cent as compared to the Rs 17.97 crore in Q3-2014, but was 17.98 per cent lower than the Rs 27.81 crore in Q4-2013.

Here are some Q4-2014 highlights from the Siti Cable press release.

Total revenue for the fourth quarter ended 31 March 2014 was Rs 243.4 crore as compared to Rs 147.4 crore during corresponding quarter of the last fiscal.

The consolidated operating profit (EBITDA) for the fourth quarter ended 31 March 2014 was Rs 27.9 crores as compared to operating profit (EBITDA) of Rs 26 crore during corresponding quarter of the last fiscal. Gross Billing started in Delhi , Kolkata (DAS Ph-1 cities).

Siti Cable CEO V D Wadhwa said, “Our continuous efforts towards expanding the subscriber base, faster implementation of gross billing in Delhi and Kolkata , high focus on adherence to regulatory compliances and cost controls measure has helped us in delivering the healthy performance on a quarter on quarter basis. During the year, we have set the benchmark in being the pioneer company to monetize the business by collecting higher subscription on per subscriber basis, best backend infrastructure, fair and transparent commercial policies in dealing with all our associates”.

He further added, “We are well placed to benefit from the ongoing digitization implementation and fully geared up to grow revenue and profitability at a faster pace.”

May 28, 2014
Q4-2014: Jagran Prakashan reports 17 per cent increase in consolidated ad revenues

BENGALURU: Jagran Prakashan Limited (JPL) has reported a16.83 per cent jump in its advertisement revenue in Q4-2014 to Rs 291.66 crore from Rs 249.63 crore in Q4-2013. The company reported a 14.27 per cent hike in operating revenue to Rs 420.75 crore in Q4-2014 from Rs 368.20 crore in Q4-2013. PAT however in Q4-2014 dipped (-30.6) per cent to Rs 55.18 crore from Rs79.94 crore in Q4-2013.

Overall in FY-2014, JPL has reported consolidated operating revenue of Rs 1702.73 crore up by 11.89 per cent from Rs 1521.80 crore. Operating Profit of Rs 382.61 crore up by 29.60 per cent from Rs 295.22 crore, Profit Before Tax (PBT) of Rs 305.72 crore up by 19.82 per cent from Rs 255.16 crore, and PAT of Rs 226.26 crore for FY-2014 as against Rs 254.70 crore in FY-2013.

JPL chairman and managing director said, “In continuation of Q3FY14, Q4FY14 once again witnessed a steep growth of 17 per cent in advertisement revenue with further improvement in per copy realisation. On cost front, we continued to keep check. However, increase in newsprint prices partially due to depreciating rupee was unexpected and it lowered the operating margins by 3 per cent. I expect the prices to remain stable at current level. As a result of overall growth in revenues and control over cost, the Company recorded a robust growth in operating profit as well as profit before tax.”

“In FY14, almost all the businesses under investment phase have given improved performance which will improve further. In particular, Naidunia and Digital performed incredibly and strengthened their respective market positions. Digital Advertising recorded growth of 150 per cent and Naidunia recorded growth of 27 per cent in circulation and 30 per cent in advertising revenue. Similarly, Punjabi Jagran grew in acceptability and reduced its loss by more than half and I-Next too had a good year cutting down its loss by 67 per cent. With the new government at centre, my optimism increases manifold and I am seeing fiscal 2014-15 a far more awarding for all the stake holders.”

The Board of Directors of the Company has recommended Final Dividend of Rs 2 per equity share of Rs 2 each (100 per cent) on the paid up equity share capital of the Company.

May 28, 2014
TV18 reports PAT of Rs 104 crore in FY-2014

BENGALURU: TV18 Broadcast Limited (TV18) has reported a PAT of Rs 103.63 crore (5.27 per cent of net total income from operations or Op Inc) in FY-2014 as compared to a loss of Rs (-25.45) crore in the previous fiscal. The company reported a (-30.51) per cent drop in Q4-2014 PAT to Rs 35.91 crore (6.37 per cent of Op Inc) from Rs 51.68 crore (9.83 per cent of Op Inc) in the immediate trailing quarter, but more than double (2.08 times) the PAT of Rs 17.30 crore (3.44 per cent of Op Inc) of the year ago quarter Q4-2013.

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

TV18 reported Op Inc of Rs1968.13 crore in FY-2014, which was 15.83 per cent more than the Rs 1699.13 crore in FY-2013. Op Inc in Q4-2014 at Rs 563.29 crore was 7.2 per cent more than the Rs 525.47 crore in Q3-2014 and 18.67 per cent more than the Rs 474.68 crore in Q4-2013.

Two segments – Media Operations and Film production and distribution contribute to TV18’s revenues.

TV18’s Media operations segment reported operating revenue of Rs 1895.46 crore in FY-2014, 20.85 per cent more than the Rs 1568.45 crore in FY-2013. The segment reported an operating profit of Rs 185.05 crore which was more than double (2.22 times) the Rs 83.23 crore in FY-2013. For Q4-2014, the segment reported operating revenue of Rs 579.41 crore which was 15.05 per cent more than the Rs 503.59 crore in Q3-2014 and 33.2 per cent more than the Rs 434.98 crore in Q4-2013. Media operations segment reported an operating profit of Rs 54.33 crore which was (-33.12) per cent lower than the Rs 81.24 crore in Q3-2014, but 2.55 times the Rs 21.30 crore in Q4-2013.

Let us look at the other Q4-2014 and FY-2014 numbers reported by TV18

The company’s film production and distribution (film) segment reported an operating loss of Rs (-24.20) crore in FY-2014 as compared to a loss of Rs (-0.42) crore in FY-2013. Revenue reported by this segment in FY-2013 at Rs 101.77 crore was (-41.32) per cent lower than the Rs 173.43 crore in FY-2013. Loss reported by TV18’s film segment in Q4-2014 was Rs (-4.59) crore against a negative operating revenue of Rs (-14.61) crore. The segment had reported operating revenue of Rs 35.53 crore and a loss of Rs (-14.28) crore in Q3-2014, while in Q4-2013, it had reported operating revenue of Rs 54.20 crore and an operating profit of Rs 6.16 crore.

TV18’s Total Expense (Tot Exp) in FY-2014 at Rs 1813.19 crore (92.13 per cent of Op Inc) was 11.30 per cent more than the Rs 1629.04 crore (95.87 per cent of Op Inc) in FY-2013. Tot Exp in Q4-2014 at Rs 513.76 crore (91.21 per cent of Op Inc) was 11.66 per cent more than the Rs 460.12 crore (87.56 per cent of Op Inc) in Q3-2014 and 11.66 per cent more than the Rs 450.97 crore (95.01 per cent of Op Inc) in Q4-2013.

TV18’s programming cost in FY-2014 at Rs 508.64 crore (24.84 per cent of Op Inc) was 7.74 per cent more than the Rs 472.10 crore (27.78 per cent of Op Inc) in FY-2013. In Q4-2014, the company spent Rs 155.28 crore (27.57 per cent of Op Inc) towards programming cost, which was 8.9 per cent more than the Rs 142.58 crore (27.13 per cent of Op Inc) in Q3-2014 and 47.34 per cent more than the Rs 105.39 crore (22.20 per cent of Op Inc) in Q4-2013.

The company paid Rs 60.53 crore (3.08 per cent of Op Inc) towards finance cost in FY-2014 which was less than half (42.15 per cent) of the Rs 143.61 crore (8.45 per cent of Op Inc). Finance cost in Q4-2014 at Rs 13.16 crore (2.34 per cent of Op Inc) was (-23.09) per cent lower than the Rs 17.10 crore (3.26 per cent of Op Inc) it paid in Q3-2014 and (-42.66) per cent lower than the Rs 24.46 crore (5.15 per cent of Op Inc) in Q4-2013.

Network18’s marketing expense in FY-2014 at Rs 597.44 crore (30.36 per cent of Op Inc) was 5.18 per cent more than the Rs 568.03 crore (33.43 per cent of Op Inc) in FY-2013. Marketing expense in Q4-2014 at Rs 150.48 crore (26.71 per cent of Op Inc) was 6.89 per cent more than the Rs 140.78 crore (26.79 per cent of Op Inc) in Q3-2014 and (-16.87) per cent lower than the Rs 181 crore (38.13 per cent of Op Inc) in Q4-2013.

Other expense in FY-2014 at Rs 366.61 crore (18.63 per cent of Op Inc) was 25.67 per cent more than the Rs 291.73 crore (17.17 per cent of Op Inc) in FY-2013. TV18’s other expense in Q4-2014 was 11.55 per cent more at Rs 108.36 crore (19.24 per cent of Op Inc) as compared to the Rs 97.14 crore (18.49 per cent of Op Inc) in Q3-2014 and 34.1 per cent more than the Rs 80.81 crore (17.02 per cent of Op Inc) in Q4-2013.

TV18’s take on its results:

Note: Reported results are inclusive of the financial consolidation of ETV News (100 per cent) and ETV Entertainment (50 per cent) from 22 Jan 2014 till 31 March 2014. On 22 Jan 2014, post receipt of required regulatory approvals, TV18 completed the acquisition of the ETV channels – 100 per cent of ETV News, 50 per cent of ETV Entertainment and 24.5 per cent of ETV Telugu. In accordance with the accounting policies, ETV News and ETV Entertainment have been consolidated at 100 per cent on a line by line basis.

FY-2014

Reported annual revenues on a consolidated basis are up 15.8 per cent to Rs 1,968.1 crore and operating profits (EBITDA) have nearly doubled to Rs 210.5 crore.

On a consolidated basis, advertising revenues grew 11 per cent year on year. Net Distribution Income (NDI) continued its steady climb to close at Rs 178 crore, up from Rs 15.7 crore in FY13.

Operating profits from television operations doubled from Rs 114.2 crore to Rs 233.6 crore. General News delivered a 6.9x growth in annual operating profits and grew to Rs 22 crore. Business News remained stable despite a downturn in the markets and the absence of the Union Budget.

Infotainment broke into positive territory and entertainment television business registered a 2.9x growth in operating profits (EBITDA) which stood at Rs 108.4 crore.

Q4-2014

Reported revenues on a consolidated basis are up 18.7 per cent YOY. Advertising revenues stood at Rs 357.8 crore. The Entertainment and General News businesses witnessed encouraging advertising revenue growth. Net Distribution Income (NDI) continued its strong financial performance through the quarter.

The company successfully launched MTV Indies and Rishtey in the entertainment segment and ETV Bangla, ETV Kannada and ETV Haryana in the regional news segment.

On a consolidated basis, operating profits (EBITDA) grew 2x to Rs 69.7 crore, with television operations delivering a 2.4x growth from Rs 31.6 crore to Rs 74.4 crore.

TV18 Head Honcho Speak:

Network18 managing director Raghav Bahls said, “We are enthused by the outstanding performance of TV18 for this financial year. All our businesses contributed positively to achieve our highest ever post-tax profits of Rs 103.6 crore, despite the continued uncertainty in the macro-economic environment. We are confident of sustaining our growth trajectory, as we continue to extract value from our existing operations as well as profitably grow our newer initiatives.”

Network18Group former CEO B. Saikumar said, “We are extremely pleased that all our broadcast operations continued to deliver their margins despite softness in the advertising environment. IndiaCast has delivered a stellar swing in net distribution income. While our Business news operations remained stable, our General news operations, led by CNN IBN, have turned around this year, due to a strong focus on operational synergies, further aided by the elections. Infotainment operations at A+E Networks I TV18 broke into positive territory. Our broadcast entertainment business at Viacom18, led by Colors, profitably grew operations along with the successful launch of Rishtey and MTV Indies. We are focused on delivering a strong performance in the coming year, as we look forward to an improving media landscape.”

Viacom18

Viacom 18 Media is a 50/50 joint venture operation in India between Viacom Inc and the Network18 Group, (with interests in television, internet, filmed entertainment, mobile content & allied businesses, comprising brands like CNBC TV18, CNBC Awaaz, Newswire18, moneycontrol.com, CNN-IBN, IBN 7, Homeshop18 and E18 amongst others).

Viacom 18 Media Pvt. Ltd. operates six general entertainment channels – MTV, Nickelodeon, Vh1, Colors, Sonic, Comedy Central and film business through Viacom18 Motion Pictures, that produces, acquires and distributes Hindi films, This apart, Viacom18 also runs Viacom’s consumer products division in India.

May 28, 2014
FY-2014: Network18 Media operations segment reports operating profit of Rs 56 crore

BENGALURU: Network18 Media and Investments Limited (Network18) Media Operations segment reported an operating profit of Rs 55.77 crore in FY-2014 as compared to a loss of Rs 151.09 crore in FY-2013. The segment reported a revenue of Rs 2,562.49 crore in FY-2014, 17.35 per cent more than the Rs 2,183.66 crore in FY-2013.

Overall, in FY-2014, Network18 has reported a loss of Rs 36.77 crore, much lower than the loss of Rs 105.46 crore in FY-2013. Consolidated revenue in FY-2014 at Rs 2,682.39 crore was 13 per cent more than the Rs 2,382.69 crore in FY-2013.

Note : 100,00,000=100 Lakh = 1 crore = 10 million.

Network18 managing director Raghav Bahal said, “We are enthused by the turnaround performance of Network18 for this financial year. All our businesses have delivered strong operating performances and contributed positively to achieve a new milestone in operating profits this year, despite the continued uncertainty in the macro-economic environment. We are confident of sustaining our growth trajectory, as we continue to extract value from our existing operations as well as profitably grow our newer initiatives.”

Let us look at the FY-2014 and Q4-2014 numbers reported by Network18

The company reported a 1.47 per cent growth in Total Income from Operations at Rs 738.32 crore in Q4-2014 as compared to the Rs 727.59 crore in the immediate trailing quarter and 8.66 per cent more than the Rs 679.49 crore in the year ago quarter Q4-2013.

Network18 reported a consolidated loss of Rs 4.12 crore in Q4-2014, much lower than the loss of Rs 11.72 crore in Q3-2014 and as against a profit of Rs 0.47 crore in Q4-2013.

The company’s Total Expense (Tot Exp) for FY-2014 at Rs 2695.58 crore (100.12 per cent of Total Income from operations) was 7.14 per cent more than the Rs 2515.98 crores (105.59 per cent of Total Income from operations) in FY-2014. Total Expenditure for Q4-2014 at Rs 726.07 crore (98.34 per cent of Total Income from operations) was 5.6 per cent more than the Rs 687.59 crore (94.5 per cent of Total Income from operations) in Q3-2014 and 6.25 per cent more than the Rs 683.35 crore in Q4-2013.

Network18’s programming cost in FY-2014 at Rs 522.47 crore (19.41 per cent of Total Income from operations) was 7.81 per cent more than the Rs 484.63 crore (20.34 per cent of Total Income from operations) in FY-2013. Programming cost in Q4-2014 at Rs133.82 crore (18.13 per cent of Total Income from operations) was 14.18 per cent lower than the Rs 155.94 crore (21.43 per cent of Total Income from operations) in Q3-2014 and 25.08 per cent more than the Rs 106.99 crore (15.75 per cent of Total Income from operations) in Q4-2013.

The company has brought down its finance costs to less than half (by 54.97 per cent) in FY-2014 at Rs122.47 crore (4.55 per cent of Total Income from operations) as compared to the Rs 271.98 crore (11.41 per cent of Total Income from operations) in FY-2013. Finance cost in Q4-2014 at Rs 32.08 crore (4.35 per cent of Total Income from operations) was 3.94 per cent more than the Rs 30.87 crore (4.24 per cent of Total Income from operations) in Q3-014 and 17.6 per cent lower than the Rs 38.93 crore (5.73 per cent of Total Income from operations) in Q4-2013.

The company’s Film Production and Distribution (Film) segment reported a fall in revenue of 41.32 per cent to Rs101.77 crore in FY-2014 from Rs 173.43 crore in FY-2013. Network18’s film segment reported a negative revenue of Rs 14.61 crore in Q4-2014 as compared to Rs 35.53 crore in Q3-2014 and Rs 38.93 crore in Q4-2013.

Film segment reported an operating loss of Rs 24.30 crore in FY-2014 as compared to a minor loss of Rs 0.42 crore in FY-2013. The loss in Q4-2014 at Rs 4.59 crore was much lower than the loss of Rs 14.28 crore in Q3-2014. Film segment had reported an operating profit of Rs 6.16 crore in Q4-2013.

Here is what the company has to say:

Note: Reported results are inclusive of the financial consolidation of ETV News (100 per cent) and ETV Entertainment (50 per cent) from 22 Jan 2014 till 31 March 2014. On 22 Jan 2014, post receipt of required regulatory approvals, TV18 completed the acquisition of the ETV channels – 100 per cent of ETV News, 50 per cent of ETV Entertainment and 24.5 per cent of ETV Telugu. In accordance with the accounting policies, ETV News and ETV Entertainment have been consolidated at 100 per cent on a line by line basis (Refer Note No. 7 in the Notes section).

Operating profits (EBITDA) turned around from a loss of Rs 39.3 crore in FY-2013 to a profit of Rs 87.2 crore in FY-2014, led by a consistent increase in profits generated by the television operations and reduction in operating losses of the digital businesses.

PBT for the year turned around from a loss of Rs 136.9 crore last year to Rs 16 crore this year led by a strong operating performance and a sharp reduction in interest cost from Rs 272 crore last year to Rs 122.5 crore this year.

Reported operating revenue in Q4-2014 was Rs 738.3 crore, up 8.7 per cent YOY. Reported operating profit (EBITDA) in Q4FY14 was Rs 42.3 crores, up from Rs 12.7 crores last year.

Television and Motion Pictures

Reported annual revenues on a consolidated basis are up 15.8 per cent to Rs 1,968.1 crore and operating profits (EBITDA) have nearly doubled to Rs 210.5 crore.

On a consolidated basis, annual advertising revenues grew 11 per cent year on year. Net Distribution Income (NDI) continued its steady climb to close at Rs 178 crores, up from Rs 15.7 crores in FY-2013.

In this financial year, operating profits from our television operations doubled from Rs 114.2 crore to Rs 233.6 crore. General News delivered a 6.9x growth in annual operating profits and grew to Rs 22 crore.

Business News remained stable despite a downturn in the markets and the absence of the Union Budget.

Infotainment broke into positive territory and our Entertainment television business registered a 2.9x growth in operating profits (EBITDA) which stood at Rs108.4 crore.

In Q4-2014, the company successfully launched MTV Indies and Rishtey in the entertainment segment and ETV Bangla, ETV Kannada and ETV Haryana in the regional news segment.

Reported revenues for Q4-2014 stood at Rs 563.3 crore, up 18.7 per cent and operating profits (EBITDA) in Q4-2014 stood at Rs 69.7 crore, up 101 per cent YOY.

Digital content and eCommerce

FY-2014 revenues from the digital content and eCommerce business grew by 32 per cent from Rs 400.9 crore last year to Rs 530.8 crore this year. Operating losses (EBITDA) of our digital business were steadily reduced in this financial year from Rs 125.4 crore to Rs 80.6 crore.

In Q4-2014, the company successfully launched ‘FirstBiz’, a business news portal under the ‘FirstPost’ stable and ‘News18.com’, a web, mobile and tablet service which focuses on local news at the state and city level.

Q4-2014 revenues from the digital businesses stood at Rs 149.4 crore and grew by 35 per cent over the last year.

Network18 CEO B Saikumar said, “All our broadcast operations continued to show improvement in margins. IndiaCast has delivered a stellar swing in net distribution income. Our General news operations have turned around this year, due to a strong focus on operational efficiency. Infotainment operations at A+E Networks I TV18 broke into positive territory. Our broadcast entertainment business at Viacom18 grew profitably. Our digital businesses displayed encouraging revenue growth, successfully launched FirstBiz and News18.com and narrowed operating losses. We are focused on sustaining our strong performance in the coming year.”

May 27, 2014
Dish TV adds 8.1 lakh subscribers in FY-2014; ARPU up from Rs 158 to Rs 170

BENGALURU: Dish TV Limited (Dish TV) in its earnings release for FY-2014 says that it has added about 8.1 lakh net subscribers in FY-2014 and 2.26 lakh subscribers in Q4-2014 to take its total subscriber base to 1.14 crore net subscribers during the period.

The company also claims that it has increased ARPU (Average Revenue Per User) from Rs 158 during the previous year to Rs 170 in FY-2014. It says that it has managed to contain the subscriber churn to 0.6 per cent per month.

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

(2) Standalone figures in this report

FY-2014 standalone revenues stood at Rs 2508.98 crore recording 15.79 per cent growth over the Rs 2166.80 crore in FY-2014. Dish TV reported standalone operating revenue of Rs 636.91 crore, recording 14.68 per cent growth over the Rs 555.40 crore in corresponding period last fiscal and 2.10 per cent more than the Rs 623.81 crore in immediate trailing quarter.

Dish TV’s net loss for FY-2014, impacted by a prior period adjustment of Rs 116.4 crore, was Rs (-154.2) crore as compared to a loss of Rs (-66.75) crore in FY-2013. Net loss for Q4-2014, impacted by the above mentioned prior period adjustment of Rs 116.4 crore, increased to Rs (-149.05) crore compared to Rs (- 43.62) crore in Q4-2013 and a loss of Rs (-28.36) crore in Q3-2014, says the company.

Let us look at the other numbers reported by Dish TV for FY-2014 and Q4-2014

Dish TV’s Total Expense (Tot Exp) in FY-2014 at Rs 2482.30 crore (98.94 per cent of Total standalone revenue) was 12.07 per cent more than the Rs 2214.96 crore (102.22 per cent of Total standalone revenue) in FY-2013. Q4-2014 Tot Exp at Rs 657.05 crore (103.16 per cent of Total standalone revenue) was 4 per cent more than the Rs 631.78 crore (101.28 per cent of Total standalone operating income) in Q3-2014 and 13.21 per cent more than the Rs 580.36 crore (104.49 per cent of Total standalone operating income) in Q4-2013.

The company’s finance cost increased 3.37 per cent in FY-2014 to Rs 132.68 crore (5.29 per cent of Total standalone operating income) from Rs 128.36 crore (5.92 per cent of Total standalone operating income) in FY-2013. Dish TV’s Q4-2014 finance cost at Rs 32.63 crore (5.12 per cent of Total standalone operating income) was 8.41 per cent more than the Rs 30.10 crore (4.83 per cent of Total standalone operating income) in Q3-2014 and (-5.01) per cent lower than the Rs 35.85 crore (6.18 per cent of Total standalone operating income) in Q4-2013.

Dish TV’s Programming/content and other cost (Content cost) in FY-2014 at Rs 261.38 crore (10.42 per cent of Total standalone operating income) was 15.81 per cent higher than the Rs 225.70 crore (10.42 per cent of Total standalone operating income). Q4-2014 content cost was 2.29 per cent more at Rs 66.98 crore (10.52 per cent of Total standalone operating income) as compared to the Rs 65.48 crore (10.5 per cent of Total standalone operating income) in the immediate trailing quarter and 15.3 per cent more than the Rs 58.09 crore (10.46 per cent of Total standalone operating income) in the year ago quarter Q4-2013.

The company paid Rs 288.48 crore (11.5 per cent of Total standalone operating income) as licence fees in FY-2014 which was 25.49 per cent more than the Rs 229.89 crore (10.61 per cent of Total standalone operating income) in FY-2013. Dish TV paid Rs 82.38 crore (12.93 per cent of Total standalone operating income) towards licence fees in Q4-2014 which was 10.96 per cent more than the Rs 74.24 crore (11.90 per cent of Total standalone operating income) in Q3-2014 and 34.34 per cent higher than the Rs 61.32 crore (11.04 per cent of Total standalone operating income) in Q4-2013.

Dish TV’s selling and distribution expense is made up of two parts – ‘commission’ and ‘other selling and distribution expense’ (distribution exp).

Commission expense in FY-2014 at Rs 183.67 crore (7.32 per cent of Total standalone operating income) was 17.84 per cent more than the Rs 155.87 crore (7.19 per cent of Total standalone operating income) in FY-2013. Q4-2014 commission expense at Rs 50.65 crores (7.95 per cent of Total standalone operating income) was 0.56 per cent more than the Rs 50.37 crore (8.07 per cent of Total standalone operating income) in Q3-2014 and 31.94 per cent more than the Rs 38.39 crore (6.91 per cent of Total standalone operating income) in Q4-2013.

Distribution Exp in FY-2014 at Rs148.42 crore (5.92 per cent of Total standalone operating income) was 0.44 per cent more than the Rs 147.77 crore (6.82 per cent of Total standalone operating income) in FY-2013. In Q4-2014, Dish TV paid (-5.85) per cent lower towards distribution exp at Rs 32.66 crore (5.13 per cent of Total standalone operating income) as compared to the Rs 34.69 crore (5.56 per cent of Total standalone operating income) in Q3-2014 and (-8.9) per cent lower than the Rs 35.85 crore (6.45 per cent of Total standalone operating income) in Q4-2013.

Dish TV’s take

Dish TV chairman Subhash Chandra said, “The Media industry had its share of opportunities and challenges all through the year. Digitisation kept the industry on its toes. In an uncertain macro environment, Dish TV pursued its strategy of self-funded growth; deleveraging the business while being selective about its subscriber additions notwithstanding the noise around digitisation. The result, a healthier Balance Sheet coupled with the largest subscriber base in the industry and a free cash positive business which is much better equipped to capitalize on the opportunities ahead.”

Dish TV managing director Jawahar Goel added, “Unlike fiscal 2013, fiscal 2014 was a disruptive period where we had to choose between immediate benefits and long term sustainability in the hyper competitive DTH industry. Choosing the later, we continued to deleverage while maintaining our subscriber acquisition price point. With a much manageable and scalable debt profile now, we have started 2014 with a significant positive overhaul to our macro parameters.”

“With a new government at the Centre, the DTH industry is optimistic about rationalisation in the tax regime. As notification of the Goods and Services Tax (GST) is taking time, we look forward to allowance of abatement in Service Tax along with moderation in Entertainment Tax in line with the prevailing structure in Gujarat and other forward looking states. We are also hopeful of an early resolution of the DTH license renewal and payment of license fees matter in the industry’s favour. We also expect a firm push to digitisation and are confident that encryption, packaging, billing and other critical requirements will be implemented at the last mile,” he added.

“Dish TV’s fourth quarter subscriber adds are a result of some serious strategic initiatives taken earlier. The ‘Zing’ sub-brand launched as part of a differentiated strategy to cater to the Phase III & IV markets got a tremendous response and even bolstered the flagship brand’s sales. We exited the fourth quarter bagging the highest incremental market share while keeping a check on our churn, which remained at 0.6 per cent per month. Making further headway on our Sri Lanka Project, we launched test signals as per plan,” said Goel.

May 27, 2014
FY-2014: BAG Films reports Rs 6.09 crore PAT: Radio segment operating loss widens by 68 per cent

BENGALURU: B.A.G. Films & Media Limited (Bag Films) reported consolidated PAT of Rs 6.09 crore (4.14 per cent of Total Income) in FY-2014 as compared to a loss of Rs (-82.16) crore in FY-2013. Overall, even for FY-2014, the company has reported a loss of Rs (-9.13) crore, however, contribution from minority interest of Rs 15.22 crore has resulted in the positive PAT for the year mentioned above.

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

For Q4-2014, Bag Films reported a (-90.91) per cent drop in PAT to Rs 0.67 crore (1.61 per cent of Total Income) as compared to the Rs 7.02 crore (17.85 per cent of Total Income) in Q3-2014 and a loss of Rs (-7.29) crore in Q4-2013.

Bag Films reported 24.34 per cent higher total income in FY-2014 at Rs 147.15 crore as compared to the Rs 118.35 crore in FY-2013. Total Income for Q4-2014 at Rs 41.87 crore was 6.45 per cent more than the Rs 39.35 crore in the immediate trailing quarter and 27.21 per cent more than the Rs 32.92 crore in the year ago quarter –Q4-2013.

Despite a much lower operating q-o-q loss in Q4-2014, the company’s radio segment reported a loss of Rs (-2.18) crore in FY-2014 as compared to an operating loss of Rs (-1.3) crore in FY-2013. The segment reported an operating loss of Rs (-0.10) crore which was about one ninth the loss of Rs (-88.43) crore in Q3-2014 and about one twelfth the loss of Rs (-117.46) crore in Q4-2013.

Bag Films radio segment reported (-1.22) per cent drop in operating revenue in FY-2014 to Rs 5.09 crore from Rs 5.15 crore in FY-2013. In Q4-2014, the segment’s operating revenue jumped 84.24 per cent to Rs 1.63 crore from Rs 0.89 crore in Q3-2014 and was 30.1 per cent more than the Rs 1.25 crore in Q4-2013.

Bag Films FM Radio segment operates under the brand name ‘Radio dhamaal’ and is available at the frequency of 106.4 and is present in seven states and 10 towns of India.

Bag Films has informed the stock exchanges that the Board of Directors of the Company at its meeting held on 26 May 2014, inter alia, has not proposed any dividend for the Financial Year ended 31 March 2014.

Let us look at the other FY-2014 and Q4-2014 numbers reported by Bag Films

Bag Films Total Expense in FY-2014 at Rs 137.23 crore (93.26 per cent of Total Income) was (-6.13) per cent lower than the Rs 146.19 crore (123.53 per cent of Total Income) in FY-2013. Total Expense in Q4-2014 at Rs 33.63 crore (80.32 per cent of Total Income) was (-6.99) per cent lower than the Rs 36.16 crore (91.93 per cent of Total Incoms) and (-8.20) per cent lower than the Rs.36.64 crore (111.3 per cent of Total Income) in Q4-2013.

The company’s finance cost in FY-2014 was 73.55 per cent more at Rs 19.48 crore (13.25 per cent of Total Income) as compared to the Rs 11.23 crore (9.49 per cent of Total Income) in FY-2013. In Q4-2014 finance cost at Rs 7.65 crore (18.27 per cent of Total Income) was 60.01 per cent more than the Rs 4.53 crore (11.51 per cent of Total Income) in Q3-2014 and more than double (2.08 times) the Rs 3.68 crore (11.19 per cent of Total Income) in Q4-2013.

Bag Films reported lower depreciation numbers for FY-2014 at Rs 18.66 crore (-10.39) per cent lower than the Rs 20.82 crore in FY-2013. Depreciation for Q4-2014 at Rs 4.61 crore was (-2.06) per cent lower than the Rs 4.71 crore in Q3-2014 and (-18.23) per cent lower than the Rs 5.64 crore in Q4-2013.

During FY-2014, the company has pared its employee cost to Rs 17.95 crore from Rs 19.72 crore in FY-2013.

Segments Results

The following segments contribute to Bag Films revenue: Audio-visual production, movies, leasing, FM radio and television broadcasting. FM radio results have been mentioned above. The company has mentioned revenue and result from movies as NIL. We shall look at two other segments – Audio-visual production and television broadcasting in this report.

Bag Films Audio-visual production segment reported revenue of Rs 48.59 crore in FY-2014 which was 76.51 per cent more than the Rs 27.53 crore in FY-2013. Revenue from this segment in Q4-2014 at Rs 11.17 crore was (-23.66) per cent lower than the Rs 14.64 crore in Q3-2014 but more than double (2.16 times) the revenue of Rs 5.17 crore in Q4-2013.

Audio-visual production segment reported operating profit of Rs 9.31 crore in FY-2014, as compared to a loss of Rs (-2.78) crores in FY-2013. In Q4-2014, Audio-visual production segment reported 50.08 per cent growth in operating results to Rs 4.92 crore as compared to the Rs 3.28 crore in Q3-2014 and a loss of Rs (-1.89) crore in Q4-2013.

Bag Films runs News 24 and E24 television channels. Its Television broadcasting (TV) segment reported operating revenue of Rs 89.44 crore in FY-2014, which was 6.57 per cent more than the Rs 83.93 crore in FY-2013. The company’s TV segment reported revenue of Rs 26.47 crore in Q4-2014, which was 12.16 per cent more than the Rs 23.60 crore in Q3-2014 and 2.2 per cent more than the Rs 25.90 crore in Q4-2013.

Bag Films TV segment reported more than triple (3.17 times) operating profit at Rs 31.09 crore in FY-2013 as compared to the Rs 9.80 crore in FY-2013. Operating profit by this segment in Q4-2014 at Rs 9.43 crore was 10.12 per cent more than the Rs 8.56 crore in Q3-2014 and 3.04 per cent more than the Rs 9.15 crore in Q4-2013.

Bag Films has informed BSE that the Board of Directors of the Company at its meeting held on 26 May 2014, has approved the preferential issue of 80,000,000 (Eight crore only) warrants convertible into equity shares at a later date, on a preferential basis, to Promoters/Promoter Group and Non Promoters subject to approval of the shareholders in the forthcoming Annual General Meeting and such regulatory or statutory approvals as may be necessary/required.

May 27, 2014
Sun TV FY-2014 PAT up 5.4 per cent: Board recommends final dividend of 45 per cent

BENGALURU: Sun TV Network Limited (Sun TV) has declared a repeat of sunny results once again for FY-2014. The company’s consolidated PAT at Rs 748.01 crore (33.64 per cent of income from operations or revenue) was up 5.42 per cent as compared to the Rs 709.56 crore (36.9 per cent of revenue) in FY-2013.

The company’s consolidated income from operations (revenue) at Rs 2223.62 crore was 15.63 per cent more than the Rs 1923 crore in FY-2013.

The company’s income from operations figures include income of Rs 105.53 crore (4.72 per cent of revenue) and costs of Rs 142.06 crore (6.39 per cent of revenue) from its IPL franchisee cricket team Sun Risers Hyderabad in FY-2014.The company has paid Rs 85.5 crore (3.85 per cent of revenue) IPL franchisee fees that Sun TV has paid for its IPL in FY-2014.

The company’s press release says that its subscription revenues have maintained a robust y-o-y and q-o-q growth of 25 per cent and that its radio broadcasting operations have maintained a y-o-y growth of 18 per cent and have reported 18 per cent PAT margins.

Sun TV Network Ltd has informed BSE that the board of directors of the company at its meeting held on 23 May 2014, inter alia, have recommended a final dividend of Rs 2.25 per share (45 per cent). This is in addition to the interim dividend of Rs 2.25 per share (45 per cent), Rs 2.50 per share (50 per cent) and Rs 2.50 per share (50 per cent) declared at the board meeting held on 2 August 2013, 8 November 2013 and 7 February 2014 respectively. This takes the total dividend payout by the company to 190 per cent per equity share of Rs 5 in FY-2014.

Let us look at the other numbers reported by Sun TV for FY-2014 and Q4-2014

Consolidated Numbers

Consolidated Total Expense in FY-2014 at Rs 1192.19 crore (53.61 per cent of revenue) was 24.76 per cent more than the Rs 955.59 crore (49.69 per cent of revenue) in FY-2013.

The company’s consolidated cost of revenue (COR) in FY-2014 at Rs 215.81 crore (9.71 per cent of revenue) was 17.01 per cent more than the Rs 184.43 crore in FY-2013.

Sun TV’s consolidated depreciation and amortisation (DAA) in FY-2014 at Rs 478.28 crore (21.51 per cent of revenue) was 8.27 per cent more than the Rs 441.73 crore (22.97 per cent of revenue) in FY-2013.

Consolidated other expenditure at Rs 194.06 crore (8.71 per cent of revenue) was 49.21 per cent more than the Rs 130.06 crore (6.76 per cent of revenue) in FY-2013.

The company had other income on a consolidated basis in FY-2014 at Rs 86.61 crore which was 19.94 per cent more than the Rs 72.21 crore in FY-2013.

Standalone numbers

During the last quarter (Q3-2014) Sun TV had passed the Rs 500 crore per quarter mark for the first time by clocking standalone revenue of Rs 503.84 crore. In Q4-2014, the company has improved upon this by another 2.33 per cent to register standalone revenue of Rs 520.18 crore, the figure betters the year ago quarter Q4-2013 revenue of Rs 472.67 crore by 10.05 per cent.

Standalone income from operations for FY-2014 at Rs 2096.78 crore was 15.36 per cent more than the Rs 1817.62 crore in FY-2013.

Standalone PAT for the FY-2014 at Rs 716.96 crore (34.19 per cent of revenue) was 4.92 per cent more than the Rs 683.34 crore (37.60 per cent of revenue) in FY-2013.

Standalone PAT for Q4-2014 at Rs 197.57 crore (38.98 per cent of revenue) was 6.34 per cent more than the Rs 185.79 crore (36.55 per cent of revenue) in the immediate trailing quarter and 11.31 per cent more than the Rs 177.50 crore (37.55 per cent of revenue) in Q4-2014.

The company’s standalone cost of revenue (COR) in FY-2014 at Rs 185.14 crore (8.83 per cent of revenue) was 19.32 per cent more than the Rs 155.16 crore (8.54 per cent of revenue) in FY-2013. Standalone COR in Q4-2014 at Rs 43.51 crore (8.36 per cent of revenue) was (-18.95) per cent lower than the Rs 53.68 crore (8.54 per cent of revenue) in Q3-2014 and (-8.34) per cent lower than the Rs 47.47 crore in Q4-2013.

Sun TV’s standalone depreciation and amortisation (DAA) in FY-2014 at Rs 453.34 crore (21.62 per cent of revenue) was 9.72 per cent more than the Rs 413.18 crore (22.73 per cent of revenue) in FY-2013. Q4-2014 DAA at Rs 112.33 crore (21.59 per cent of revenue) was 5.91 per cent more than the Rs 106.06 crore (20.86 per cent of revenue) in Q3-2014 and 10.46 per cent more than the Rs 101.69 crore (21.51 per cent of revenue) in Q4-2013.

Standalone other expenditure (OE) in FY-2014 at Rs 170.68 crore (8.14 per cent of revenue) was 57.37 per cent more than the Rs 108.46 crore (5.97 per cent of revenue) in FY-2013. OE in Q4-2014 at Rs 26.01 crore (5 per cent of revenue) was (-23.99) per cent lower than the Rs 32.44 crore (6.73 per cent of revenue) in Q3-2014 and (-19.17) per cent lower than the Rs 32.18 crore (6.18 per cent of revenue) in Q4-2014.

The company had other standalone income of Rs 72.91 crore in FY-2014 which was 19.94 per cent more than the Rs 72.21 crore in FY-2013. Standalone other income in Q4-2014 at Rs 13.17 crore was (-11.31) per cent lower than the Rs 14.85 crore in Q3-2014 and (-39.11) per cent lower than the Rs 21.63 crore in Q4-2013.

Sun TV is one of the largest television broadcasters in India that operates satellite television channels across four languages of Tamil, Telugu, Kannada and Malayalam and has the largest private FM radio network in India under brand 93.5 Red FM. As mentioned above, it also owns the IPL franchisee Sun Risers Hyderabad.

May 23, 2014
Jyothy Labs FY-2014 ad spends up 65 per cent, PAT up 141 per cent

BENGALURU: Indian FMCG company Jyothy Laboratories Limited (Jyothy Labs) announced 140.97 per cent higher PAT in FY-2014 at Rs 106.11 crore (8.42 per cent of total income or Op Inc) as compared to the Rs 44.04 crore in FY-2013 (4.32 per cent of Op Inc).

The company spent Rs 135.36 crore (10.74 per cent of Op Inc) towards advertising and sales promotion (Ad & SP), 64.46 per cent more than the Rs 81.81 crore (8.03 per cent of Op Inc) in FY-2013.

Jyothy Labs portfolio includes household brands led by its flagship fabric whitening brand Ujala, Henko, Mr. White, Chek, Exo, Pril, Margo, Fa, Neem and Maxo.

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

Over a nine quarter period starting Q4-2014 until Q4-2014, Jyothy Labs Op Inc has shown an upward linear trend. Q4-2014 Op Inc at Rs 333.41 crore was 12.1 per cent higher quarter on quarter (qoq) as compared to the Rs 297.43 crore and 22.14 per cent more than the Rs 272.97 crore in Q4-2013.

The company’s Ad & SP spend over the nine quarter period and also over a three year period staring FY-2012 until FY-2014 show an upward linear trend, both in terms of absolute value and in terms of percentage of Op Inc. Ad & SP spend in Q4-2014 at Rs 39.60 crore (11.88 per cent of Op Inc) was 44.12 per cent more than the Rs 27.48 crore (9.24 per cent of Op Inc) and 95.82 per cent (almost double) the Rs 202.22 crore (7.41 per cent of Op Inc) in the year ago quarter Q4-2013.

Please refer to Fig 1A and Fig 1B below for Op Inc and Ad & SP trends.

The company’s PAT too has shown an upward trend over the nine quarters under consideration as is evident from Fig 2A below.

However, over a three year financial period starting FY-2012 until FY-2014, PAT has shown a downward linear trend in terms of percentage of Op Inc. In absolute value terms, PAT has shown an upward trend. Please refer to figure 2B below.

Jyothy Labs chairman and managing director M P Ramchandran said, “We have sustained our growth momentum despite inflationary pressures, rising input costs and moderation in demand. Our sustained focus on visibility of our brands through marketing exercise and advertising spends has helped us to deliver above industry growth. Our portfolio will get a further boost with the launch of innovative products in FY-2015.”

“Going forward we expect growth rate to sustain on the sales and margin front. We continue to enhance our market share in the urban market without losing our focus on the rural market,” he added.

May 22, 2014
ZMCL reports growth in ad, subscription revenue by 9, 18 per cent in FY-2014

BENGALURU: Zee Media Corporation Limited (ZMCL), the erstwhile Zee News Limited, reported advertising (ad) revenue of Rs 220.51 crore in FY-2014, 9.2 per cent more than FY-2013. The company also reported an 18.5 per cent growth in subscription revenue to Rs 99.9 crore in FY-2014.

ZMCL total income from operations in FY-2014 at Rs 335.16 crore was 10.32 per cent more than the Rs 303.82 crore in FY-2013. The company’s total income from operations in Q4-2014 at Rs 82.78 crore was (-9.72) per cent lower than the Rs 91.69 crore in Q3-2014 and 4.69 per cent more than the Rs 79.07 crore in Q4-2013.

Let us look at the other numbers reported by ZMCL for FY-2014 and Q4-2014

ZMCL PAT for FY-2014 at Rs 18.93 crore (5.65 per cent of income from operations) was (-21.67) per cent lower than the Rs 24.17 crore (7.95 per cent of income from operations) in the previous fiscal. The company reported PAT of Rs 4.11 crore (4.97 per cent of income from operations) in Q4-2014, which was (-30.52) per cent lower than the Rs 5.92 crore (6.45 per cent of income from operations) in the immediate trailing quarter and (-40.16) per cent lower than the Rs 6.87 crore (8.69 per cent of income from operations) during the year ago quarter Q4-2013.

Other income during FY-2014 at Rs 20.81 crore was (-11.7) per cent lower than the Rs 23.58 crore in FY-2013.

The company has suffered operational loss in Q4-2014. Other income of Rs 9.70 crore which includes dividends of Rs 3.60 crore and Rs 4.80 crore from ZMCL’s subsidiary companies as well as exceptional item of Rs 5.98 crore and a negative tax expense of Rs 2.01 crore has resulted in a PAT of Rs 4.11 crore mentioned above in Q4-2014.

The company’s total expense for FY-2014 at Rs 325.76 crore (97.19 per cent of income from operations) was 17.08 per cent more than the Rs 278.23 crore (91.58 per cent of income from operations) in FY-2013. In Q4-2014, total expense at Rs 93.09 crore (112.47 per cent of income from operations) was 12.67 per cent more than the Rs 81.30 crore (88.67 per cent of income from operations) in the immediate trailing quarter and 19.28 per cent more than the Rs78.05 crore in Q4-2013.

ZMCL’s operational cost at Rs 66.13 crore (19.73 per cent of income from operations) in FY-2014 was 24.86 per cent more than the Rs 52.96 crore (17.43 per cent of income from operations) in FY-2013. The company’s operational costs in Q4-2014 at Rs 20.28 crore (24.5 per cent of income from operations) in Q4-2014 was 23.8 per cent more than the Rs16.38 crore (17.86 per cent of income from operations) in Q3-2014 and 43.34 per cent more than the Rs14.15 crore (17.89 per cent of Income from Operations) in Q4-2013.

ZMCL reported a 11.49 per cent increase in Employee Benefit Expense (EBE) in FY-2014 at Rs 99.1 crore (29.57 per cent of Income from Operations) as compared to the Rs 87.71 crore (28.87 per cent of Income from Operations) in FY-2013. The company’s EBE dropped (-3.56) per cent in Q4-2014 to Rs 25.13 crore (30.36 per cent of Income from Operations) from Rs 26.06 crore (28.42 per cent of Income from Operations) in Q3-2014 and was 8.31 per cent more than the Rs 23.2 crore (29.35 per cent of Income from Operations) in Q4-2013.

Other expense in FY-2014 at Rs82.82 crore (24.71 per cent of Income from Operations) was 38.17 per cent more than the Rs 59.94 crore (19.73 per cent of Income from Operations) in FY-2013. The company’s Q4-2014 other expense at Rs27.83 crore (33.62 per cent of Income from Operations) was 44.97 per cent higher than the Rs19.2 crore (20.94 per cent of Income from Operations) in Q3-2014 and 30.64 per cent more than the Rs 21.31 crore (26.95 per cent of Income from Operations) in Q4-2013.

May 21, 2014