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Tag: Adil Zainulbhai

  • Entertainment drives Network18, TV18 numbers up

    Entertainment drives Network18, TV18 numbers up

    BENGALURU: Mukesh Ambani’s Network18 Media & Investments Limited (Network18) reported 4.7 per cent growth in consolidated operating revenue for the year ended 31 March 2020 (FY 2020, year under review) as compared to the previous fiscal (FY 2019). Consolidated operating revenue for the quarter ended 31 March 2020 (Q4 2020, quarter under review) grew 19 per cent as compared to the corresponding year ago quarter (Y-o-Y).  Consolidated operating EBIDTA for the year and the quarter grew 191.2 per cent and almost twentyfold (up 1,888.1 per cent) as compared to the corresponding periods of the last year. The company reported profit after tax for FY 2020 and Q4 2020 as compared to losses reported in the previous year and the corresponding year-ago quarter. 

    Network18’s reported consolidated operating revenue in FY 2020 and FY 2019 was Rs 5,375.15 crore and Rs 5,116.18 crore, respectively. For Q4 2020 and Q4 2019 it was Rs 1,464.51 crore and Rs 1,230.93 crore. Consolidated operating EBIDTA for FY 2020, FY 2019, Q4 2020 and Q4 2019 was Rs 616.92 crore, Rs 211.88 crore, Rs 225.11 crore and 11.34 crore, respectively. 

    Network18 reports revenue from two streams – (1) TV18 Broadcast Limited or TV18 which comprises News (TV18 standalone) and Entertainment (Viacom18+AETN+Indiacast) and digital, print and others. It must be noted that Viacom18 and AETN18 are 51 percent Entertainment subsidiaries of TV18, while distribution-arm Indiacast is a 50:50 JV of TV18 and Viacom18. TV18's 24.5 percent minority stake in Telugu entertainment associate Eenadu TV (Ramoji Rao group) is not included in the TV18’s numbers.

    Network18 reported profit after tax (PAT) of Rs 56.14 crore for FY 2020 as compared to a loss of Rs 177.60 crore in the previous year. For Q4 2020, PAT was Rs 60.19 crore as compared to a loss of Rs 75.57 crore in Q4 2019. 

    TV18 Broadcast Limited numbers 

    TV18 Broadcast Limited (TV18) consolidated revenue grew five percent in FY 2020 to Rs 5,175 crore from Rs 4,943 crore. TV18 consolidated revenue for Q4 2020 grew 21 per cent to Rs 1,425 crore from Rs 1,182 crore in Q4 2019. 

    TV18 consolidated EBIDTA grew 124 per cent in FY 2020 to Rs 703 crore from Rs 314 crore in FY 2019. Consolidated EBIDTA for Q4 2020 grew 365 percent to Rs 240 crore from Rs 52 crore in Q4 2019. 

    Though News (TV18 standalone) reported seven per cent growth in FY 2020 as compared to FY 2019, it contributes about 22 per cent to the revenues of TV18 consolidated revenues. The larger revenue stream for TV18 is entertainment, which had revenue growth of four per cent during the same period. TV18 standalone or news revenue grew seven per cent in FY 2020 to Rs 1,150 crore from Rs 1,079 crore in FY 2019. 

    Entertainment revenue grew four percent as mentioned above to Rs 4,025 crore from Rs 3,863 crore. Entertainment revenue also includes subscription revenue – the company reported 43 per cent growth in subscription revenue for FY 2020 to Rs 1,811 crore from Rs 1,269 crore in FY 2019. This implies that without subscription, revenue from other streams of entertainment declined in FY 2020 as compared to FY 2019. 

    News (TV18 standalone) operating EBIDTA grew five per cent in the year under review to Rs 97 crore from Rs 93 crore in FY 2019. Entertainment operating EBIDTA grew 174 per cent in FY 2020 to Rs 606 crore as compared to the Rs 221 crore in the previous year. 

    News (TV18 standalone) revenue for Q4 2020 grew 4 per cent to Rs 301 crore from Rs 288 crore in Q4 2019. Entertainment revenue for the same period grew 26 per cent to Rs 1,124 crore from Rs 893 crore. Subscription revenue for Q4 2020 grew 41 percent to Rs 468 crore from Rs 332 crore. 

    Operating EBIDTA for News (TV18 standalone) grew 11 percent in Q4 2020 to Rs 35 crore from Rs 31 crore in Q4 2019. Operating EBIDTA for Entertainment grew 901 percent during the quarter under review to Rs 206 crore as compared to Rs 21 crore in Q4 2019. 

    Print, digital and others and intercompany eliminations (others) numbers 

    Print, digital and others and intercompany eliminations (others) operating revenue in FY 2020 increased five per cent to Rs 182 crore from Rs 173 crore in FY 2019. Others operating EBIDTA in FY 2020 was a lower operating loss of Rs 86 crore as compared to an operating loss of Rs 102 crore in FY 2019. 

    Others operating revenue for Q4 2020 reduced 20 per cent to Rs 40 crore from Rs 49 crore in Q4 2019. Operating EBIDTA for Q4 2020 was a lower operating loss at Rs 15 crore as compared to an operating loss in Q4 2019. 

    Company speak: 

    Network18 chairman Adil Zainulbhai said: “The COVID-19 pandemic is a major blackswan event, which has dragged the economy and the advertising environment as a result. The

    immediate impact on the ad-driven media industry will be significant; however an increasing proportion of subscription revenues will help us pull through. Amid uncertain times, the strength of our brands and our class-leading content creation capabilities continues to shine through. We are proud of the coverage being provided by the News18 Network despite trying circumstances. The growth in media consumption witnessed augurs well for the future, as some of the increased engagement will be sticky even once the pandemic tapers off. We have stayed the course on our digital impetus and sharp focus on profitability.”

  • Network18 topline almost doubles in Q3 2020

    Network18 topline almost doubles in Q3 2020

    BENGALURU: Mukesh Ambani’s Network18 Media and Investments Ltd (Network18) consolidated profit after tax (PAT) for the quarter ended 31 December 2019 (Q3 2020, quarter or period under review) was up 92.2 percent at Rs  148.29 crore from Rs 77.16 crore in the corresponding year-ago quarter Q3 2020. The company had reported a consolidated loss after tax of Rs 24.68 in the immediate trailing quarter (Q2 2020).

    The company reported consolidated total comprehensive income of Rs  134.74 crore for the quarter under review which was 189.5 percent more than the Rs 46.55 crore in Q3 2019. Network18 had reported a consolidated total comprehensive loss of Rs 18.78 crore in Q2 2020. Consolidated operating EBITDA for the period at Rs 268.25 crore was 204.3 percent more than the Rs 88.14 crore in Q3 2019 and was 247.4 percent more than the Rs 77.21 crore in Q2 2020.

    Network18 consolidated revenue from operations in Q3 2020 at Rs 1,473.70 crore was 3.3 percent lower than the Rs 1,524.01 crore in the corresponding year ago quarter and was 25.5 percent more than the Rs 1,58.87 crore in the trailing quarter. Consolidated total income for the period at Rs 1,490.52 crore was 3.1 percent lower than the Rs 1,538.04 crore in Q3 2019 but was 25 percent more than the Rs 1,192.09 crore in Q2 2020.

    Let us look at the other numbers reported by Network18 for Q3 2020

    Consolidated total expenses in Q3 2020 at Rs 1,304.38 crore was 14.6 percent lower than the Rs 1,525.88 crore in Q3 2019, but was 8.2 percent more than the Rs 1,205.05 crore in Q2 2020. Consolidated operating costs during the quarter under review declined 18.3 percent year-on-year (y-o-y) to Rs 636.56 crore in Q3 2019 from Rs 779 crore and increased 29.7 percent quarter-over-quarter (q-o-q) from Rs 490.67 crore in Q2 2020.

    Marketing, distribution and promotional expenses in Q3 2020 declined 4.6 percent y-o-y to Rs 230.12 crore from Rs 241.12 crore and declined 6 percent q-o-q from Rs 244.88 crore in Q2 2020. Employee benefits expense in Q3 2020 at Rs 243.65 crore declined 13.3 percent y-o-y from Rs 280.88 crore and declined 9.2 percent q-o-q from Rs 268.45 crore.

    Finance costs in the period under review increased 1 percent y-o-y in Q3 2020 to Rs 56.78 crore from Rs 56.20 crore, but declined 8.1 percent q-o-q from Rs 61.77 crore. Other expenses in Q3 2020 declined 30.5 percent y-o-y to Rs 93.42 crore from Rs 134.36 crore, but increased 1.3 percent q-o-q from Rs 92.20 crore.

    Company speak

    Network18 chairman Adil Zainulbhai said: “Across broadcasting and digital, our emphasis has been on delivering value to the consumer, expanding the partner ecosystem and raising profitability. We are constantly adjusting our programming and business model for the continual technology, consumer and regulatory changes in the business. We continue to invest in key areas of growth, expand our reach, and explore new avenues of monetization.”

    The company says in its investor release that linear TV subscription benefits (B2C) continued to accrue; 40 percent y-o-y revenue growth in Q3 2020. It says that implementation of the NTO (New Tariff Order) has created a transparent and non-discriminatory B2C regime, which continues to boost Network18’s TV subscription revenue. Improved distribution tie-ups across cable and telcos have brought the consumer closer to its content bouquet at an affordable optimum price.

    It says further that monetisation of content through digital partnerships (B2B) was driving step-up in profitability: In line with its strategy of being platform agnostic, the Network 18 group stitched multiple partnerships with notable digital platforms for serving their users a discerning selection of its content.

    The company says that though advertising recovered around the festive season, but it continued to remain under pressure: The prevalent weakness in macro-environment and sluggish spending appetite by advertisers continued to drag ad-revenue down y-o-y for both News and Entertainment. Shift of channels from DD Freedish to the Pay ecosystem continued to impact Hindi GEC ad-revenues for all the top broadcasters. The company feels that government initiatives to boost growth and a natural refresh-and-recalibration of ad-budgets should revive ad-growth as we head towards the new fiscal.

    Network18 claims that its digital-only subscription (B2C) was being incubated as a growth driver for the future. Further, Voot’s freemium version with offerings like digital- exclusive and digital-first broadcast content, as well as original content behind a pay-wall, is slated to be launched soon.

  • TV18 net profit up by 40% in Q3 FY 20

    TV18 net profit up by 40% in Q3 FY 20

    MUMBAI: TV18 Broadcast has reported a 40 percent year-on-year (YoY) growth in its consolidated net profit at Rs 205.16 crore for Q3 FY19 from Rs 146.96 crore in the previous year.

    Its consolidated operating revenue stood at Rs 1,425 crore in Q3 FY20 against Rs 1,275 in Q3 FY19. TV18 chairman Adil Zainulbhai said, “Our emphasis on delivering value to the consumer, expanding the partner ecosystem and raising profitability were the primary milestones during the past quarter.”

    He further said, “Amidst a difficult ad-environment and continued regulatory flux, the rise in rankings for flagship channels is a positive indicator for the future. We are constantly adjusting our programming and business model for the continual technology, consumer and regulatory changes in the business.”

    The company continues to benefit from linear TV subscription benefits by witnessing 40 per cent YoY revenue growth in Q3. “Implementation of the NTO (New Tariff Order) has created a transparent and non-discriminatory B2C regime, which continues to boost our TV subscription revenue. Improved distribution tie-ups across cable and telcos have brought the consumer closer to our class-leading content bouquet at an affordable optimum price,” it said in its financial release.

    In line with its strategy of being platform agnostic, the group stitched multiple partnerships with notable digital platforms for serving their users a discerning selection of our content.

    “The prevalent weakness in macro-environment and sluggish spending appetite by advertisers continued to drag ad-revenue down YoY for both news and entertainment. Shift of channels from DD Freedish to pay ecosystem continues to impact Hindi GEC ad-revenues for all the top broadcasters. Government initiatives to boost growth and a natural refresh-and-recalibration of ad-budgets should revive ad-growth as we head towards the new fiscal,” the company said.

    It further informed, “Kids edutainment product Voot Kids progressed to a commercial launch with promotional plans. Voot’s freemium version with offerings like digital-exclusive and digital-first broadcast content as well as original content behind a pay-wall is slated to be launched soon.”

    TV18’s Q3 average viewership share in news was 10.2 per cent, down from 10.9 per cent in Q2.

  • Election ads, growth in subscriber revenue propel TV18 growth in Q1 FY20

    Election ads, growth in subscriber revenue propel TV18 growth in Q1 FY20

    MUMBAI: Election advertising and a strong growth in subscription revenue post the implementation of the new tariff order (NTO) has propelled the revenue growth of TV18 in Q1 FY20. The company has witnessed around 10 per cent Y-o-Y revenue growth in the first quarter of FY20.

    TV18 Chairman Adil Zainulbhai said, “Our channel brands have witnessed a strong uptake in the new tariff regime which places the consumer even more at the center of the broadcasting business model. Class-leading value, genre-defining content and a pipe-agnostic approach are the tenets which we believe will continue to propel our portfolio forward.”

    TV18’s Q1 viewership share in news was 10.1 per cent, up from 9.3 per cent post NTO implementation. The company’s subscription income has received a boost with NTO implementation as well. It is still facing some flux in distribution and viewership, which the company expects to taper away in the near term. General news revenues were buoyed by election-related advertising, especially in Hindi but business news revenue growth has continued to face genre pressures due to weak markets.

    The ad-environment has been tepid, led by advertisers paring spends amidst weak markets/macro/regulatory flux, and concentration of advertising around sports. However, news broadcasting benefitted from election-related advertising during the quarter. TV18 expects the environment to pivot as it heads into the festive season.

    The company has seen a sharp turnaround in EBITDA. From an EBITDA loss last year, Q1FY20 has seen a major leap in profitability. This has been driven by election-advertising as well as continued reduction in regional news gestation losses, on operating leverage as well as cost controls.

    TV18’s entertainment Q1 viewership share declined due to major events driving sports viewership but the entertainment revenue rose 5 per cent amidst weakness in overall ad-spends and a sharp reduction in ad-revenue of channels shifted from FTA to Pay.

    In the same quarter, the company launched Colors Gujarati Cinema. It also informed that its regional entertainment channels in Marathi, Gujarati and Kannada movies gained strength in Q1 FY20.

  • Subscription drives Network18; TV18 revenues, EBITDA up

    Subscription drives Network18; TV18 revenues, EBITDA up

    BENGALURU: Network18 Media & Investments (Network18, N18) reported 10.8 pe rcent increase in consolidated operating revenue for the quarter ended 30 June 2019 (Q1 2020, quarter or period under review) as compared to the corresponding year ago quarter (y-o-y). TV18 Broadcast (TV18), a publically listed subsidiary of N18, is a major contributor to Network18’s numbers. TV18 reported 9.7 percent y-o-y increase in consolidated operating revenue for Q1 2020 as compared to Q1 2019. Subscription revenue increased 48.3 percent for the quarter under review to Rs 424 crore from Rs 286 crore.

    Company speak

    Network18 says in an earnings release that New Tariff Order (NTO) implementation pains have smoothened as the value-chain adjusts to the new regime, and its subscription income has received a boost. Nevertheless, some flux in distribution and viewership is lingering, which N18 expects to taper away in the near term. As consumers make their pack/channel choices, the company believes that strong content propositions and distinctive brands will continue to gain traction. The company says that its bouquet is well-placed to benefit, through leading channels and improved distribution tie-ups.

    Network18 chairman Adil Zainulbhai said: “Amidst a challenging advertising environment and the implementation of a new tariff regime, we have continued to focus on creating great content for all media. Our regional portfolio continues to grow across both broadcasting and digital, and we believe that the connect our growing brands enjoy with the diverse Indian populace shall stand us in good stead.”

    Speaking as chairman of TV18, Zainulbhai said “Our channel brands have witnessed a strong uptake in the new tariff regime which places the consumer even more at the center of the broadcasting business model. Class-leading value, genre-defining content and a pipe-agnostic approach are the tenets which we believe will continue to propel our portfolio forward.”

    Let us look at the numbers reported by the company

    Network18 operating revenue grew to Rs 1,245 crore in Q1 2020 from Rs 1,124 crore in Q1 2019. Consolidated operating EBIDTA for the quarter under review more than doubled (grew 137 percent) to Rs 46 crore from Rs 19 crore.

    The company says that operating revenues from its News business (TV18 standalone) grew 29 percent y-o-y to Rs 298 crore in Q1 2020 from Rs 232 crore in Q1 2019. The company reported a positive EBIDTA from its News business of Rs 20 crore in Q1 2020 as compared to a loss of Rs 1 crore in the corresponding year ago quarter.

    Revenue from its Entertainment business (Viacom18, AETN and Indiacast) grew 5 percent y-o-y in Q1 2020 to Rs 899 crore from Rs 857 crore in Q1 2019.

    TV18 consolidated revenue for Q1 2020 grew 10 percent to Rs 1,198 crore from Rs 1,088 crore in Q1 2019. Consolidated EBIDTA for Q1 2020 grew 96 percent y-o-y to Rs 77 crore from Rs 39 crore in Q1 2019.

    Network18’s Digital, Print, Others Business and intercompany eliminations (Digital) grew 32 percent to Rs 48 crore from Rs 32 crore. EBIDTA increased to a loss of Rs 128 crore in Q1 2020 from a loss of Rs 112 crore in Q1 2019.

    Network18’s total expenditure increased 10.8 percent y-o-y to Rs 1,308 crore from Rs  1,308 crore from Rs 1,181 crore. The company reported 11 percent higher operating costs for Q1 2020 at Rs 574 crore as compared to Rs 517 crore in Q1 2019. Marketing and distribution expenses during the quarter under review increased 33.3 percent y-o-y to Rs 252 crore from Rs 189 crore. Finance costs in Q1 2020 increased 53.7 percent y-o-y to Rs 63 crore from Rs 41 crore. Other expenses for the quarter under review declined 21.3 percent to Rs 100 crore from Rs 127 crore.

  • Network18 reports improved numbers for Q2 FY19

    Network18 reports improved numbers for Q2 FY19

    BENGALURU: Mukesh Dhirubhai Ambani’s media arm, Network18, reported improved numbers for the quarter ended 30 September 2018 (Q2 2019, quarter under review) as compared to the corresponding year ago quarter Q2 2018). The company reported 9 per cent y-o-y growth in consolidated revenue for Q2 2019 at Rs 1,237 crore as compared to Rs 1,138 crore in Q2 2018. Network18 reported a lower loss of Rs 68 crore in the quarter under review as compared to Rs 71 crore in the corresponding year ago quarter. Consolidated operating EBITDA increased 59 per cent y-o-y to Rs 92 crore in Q 2019 from Rs 58 crore in Q2 2018.

    Network18’s numbers comprise numbers from its publically listed subsidiary TV18 Broadcast Ltd and from NW18 digital, print and others.

    TV18 Broadcast numbers

    TV18 consolidated revenue of Rs 1,118 crore in Q2 2019 was 11 per cent higher y-o-y than Rs 1,084 crore in Q 2018. TV18 consolidated operating EBITDA for Q2 2019 increased 42 per cent y-o-y to Rs 108 crore from Rs 76 crore in Q 2018

    Revenue growth in Q2 2019 was across all revenue streams. The company’s operating revenue from business and general news (TV18 standalone) increased 26 per cent y-o-y to Rs 200 crore from Rs 159 crore. The segment’s operating EBITDA increased 10 per cent y-o-y in Q2 2019 to Rs 31 crore from Rs 28 crore. Regional news ex-Lokmat including entertainment operating revenue during the quarter under review increased 36 per cent y-o-y to Rs 95 crore from Rs 70 crore. The segment reported a substantially lower loss of Rs 8 crore for Q2 2019 as compared to Rs 28 crore for Q2 2018.The entertainment segment (Viacom18 and Indiacast) saw a 6 per cent y-o-y increase in revenue to Rs 903 crore in Q2 2019 from Rs 855 crore. Operating profit of the entertainment segment increased 12 per cent y-o-y to Rs 85 core from Rs 76 core.

    NW18 digital, print and others numbers

    NW18 digital, print and others (NW18) revenue declined 28 per cent y-o-y to Rs 39 crore from Rs 54 crore. NW18 operating EBITDA was a lower loss of Rs 16 crore as compared to a loss of Rs 18 crore.

    Company speak

    Chairman of Network18, Adil Zainulbhai said: “Our regional properties across news and entertainment have shown significant improvements in viewership and monetisation, cementing our belief that vernacular content will be a key growth driver. We continue to see opportunities in the Indian media space; and aim to create segmented offerings to deepen our presence.”

    In the TV18 media release, Zainulbhai said, “TV18’s investments into regional have served to diversify our portfolio and reduce dependence on national markets. Our rising viewership in regional channels across both news and entertainment has been the primary driver this quarter. We shall continue to invest in the broadcasting space to capture growth opportunities.”

    Notes:

    Viacom18 and  Indiacast became subsidiaries of TV18 from 28 February 2018 and have been consolidated into TV18/Network18 financials from 1 March 2018. HomeShop18 has ceased to be a subsidiary of Network18 from 15 February 2018 as a result of its acquisition of ShopCJ through a share-swap.

  • Network18 reports improved numbers for Q1

    Network18 reports improved numbers for Q1

    BENGALURU: Network18 Media & Investments Ltd (Network18) reported year over year (y-o-y) growth in consolidated operating revenue for the quarter ended 30 June 2018 (Q1 2019, quarter or period under review) as compared to the year ago quarter (Q1 2018). The company reported consolidated operating profit (EBITDA) of Rs 18 crore in Q1 2019 as compared to a loss of Rs 2 crore during the corresponding year ago quarter. Consolidated operating revenue grew 10 percent y-o-y during the quarter under review to Rs 1,124 crore from Rs 1,025 crore in Q1 2018 on a comparable basis.

    Network18 chairman Adil Zainulbhai said: “We have begun the new fiscal with improved viewership across our portfolio, which shall be the foundation for our growth plans. We continued investments in regional news and entertainment and in digital. We continue to see opportunities in the media space.”

    TV18 Broadcast Limited

    TV18 Broadcast Ltd (TV18) is the listed Network18 broadcast subsidiary and the largest contributor to its numbers. Its consolidated revenues increased 11.1 percent y-o-y in Q1 2019 to Rs 1,088 crore from Rs 979 crore. TV18 consolidated operating profit (EBITDA) almost tripled (2.79 times) y-o-y to Rs 39 crore in Q1 2019 as compared to Rs 14 crore.

    TV18’s growth in revenue was led by Viacom18 and Indiacast revenue for which climbed by Rs 73 crore (a little less than 10 percent) y-o-y during the quarter under review to Rs 832 crore from Rs 759 crore. The company’s business and general news had revenue growth of 14 per cent (Rs 20 crore) y-o-y in Q1 2019 at Rs 173 crore as compared to Rs 153 crore. Regional news (Ex Lokmat) and infotainment had revenue growth of 24 per cent (Rs 16 crore) during the quarter under review at Rs 83 crore as compared to Rs 67 crore in Q1 2018.

    In its investor update, Network18 says that TV18’s subscription revenue increased 10 percent y-o-y during the period under review to Rs 301 crore from Rs 273 crore in Q1 2018.

    Growth in operating profit (EBITDA) was led by business and general news with 25 per cent (Rs 7 crore) y-o-y growth at Rs 35 crore in Q1 2019 as compared to Rs 28 crore in Q1 2018. Viacom18 and Indiacast had 13 per cent y-o-y growth in operating profit at Rs 26 crore from Rs 23 crore in Q1 2018. Operating loss of regional news (Ex Lokmat) and infotainment declined to Rs 22 crore in Q1 2019 from operating loss of Rs 37 crore.

    The numbers mentioned above have been obtained from TV18’s Investor update. It may be noted that Viacom18 and Indiacast became subsidiaries of TV18 from 1 March 2018. Hence, reported financials of TV18 consolidate these entities only from that date. Other y-o-y numbers are not comparable.

    “Our television channels reach out to 700 million people across the country, making every 1 in 2 Indians our consumer. We have 53 domestic channels across news and entertainment, making us a formidable player. The improving advertising environment and our rising viewership are positives, as we continue investing into growing our offerings across genres,” said Zainulbhai in a TV18 investor update.

    Network18 Digital, Print and others

    Network18 Digital, Print and others revenue declined 22 per cent y-o-y in Q 2019 to Rs 36 crore from Rs 46 crore in  the year ago quarter. Operating loss (EBITDA) increased to Rs 21 crore from Rs 16 crore.

  • Film business boosts TV18 revenue

    Film business boosts TV18 revenue

    BENGALURU: Indian news, entertainment and film company TV18 Broadcast Ltd (TV18) reported triple the revenue from its film business for the year ended 31 March 2018 (FY 2017-18, the year under review) as compared with the previous fiscal. Consequently, the company’s consolidated operating revenue increased by 70 per cent in FY 2017-18 as against FY 2016-017. TV18’s operating revenue, including GST for the year under review, was Rs 1,665 crore vis-a-vis Rs 979 crore. It may be noted that GST was not applicable in FY 2016-17. Revenue for the film business for the year under review was Rs 450 crore as compared with Rs 150 crore in the previous year. The numbers have been rounded off to the nearest Rs crore.

    The company has turned the corner only recently. Profit after tax increased by 33 per cent to Rs 8 crore in FY 2017-18 in comparison with Rs 6 crore in the year before. The company reported total comprehensive income of Rs 9 crore for FY 2017-18 as against loss of Rs 2 crore in the previous year. Operating profit increased by 87.1 per cent to Rs 58 crore during the year under review as compared with Rs 31 crore in FY 2016-17.

    Network18 chairman Adil Zainulbhai said, “We continue to invest into filling whitespaces, and creating the most compelling bouquet for the Indian consumer. This complements the strong performance of our flagships.”

    Based on its current structure of ownership, TV18 has restated its consolidated numbers. Consolidated restated revenue increased by 16 per cent in FY 2017-18 to Rs 4,813 crore from Rs 4,142 crore. Consolidated operating EBIDTA in FY 2017-18 increased by 41 per cent to Rs 240 crore from Rs 170 crore in FY 2016-17.

    Majority of TV18’s income comes from its entertainment business, which comprises Viacom18 and Indiacast. The company says in its earnings press release that entertainment income grew by 10 per cent in FY 2017-18 to Rs 3,781 crore from Rs 3,160 crore. Operating EBIDTA of the entertainment business increased by 43 per cent in FY 2017-18 to Rs 198 crore from Rs 139 crore in FY 2016-17.

    TV18’s standalone business comprises business and general news. Standalone income increased by 10 per cent during FY 2017-18 to Rs 735 crore from Rs 667 crore. Standalone operating EBIDTA declined by 29 per cent in FY 2017-18 to Rs 157 crore from Rs 122 crore in the previous year.

    Regional news (ex-IBN Lokmat) and infotainment revenue decreased by 8 per cent to Rs 297 crore in FY 2017-18 from Rs 316 crore in FY 2016-17. Regional News (ex-IBN Lokmat) and infotainment operating EBIDTA loss was higher at Rs 115 crore in FY 2017-18 as against loss of Rs 91 crore in the previous year.

    Restated fourth quarter numbers

    The company said in its earnings press release that restated consolidated operating revenue grew by 41 per cent in the quarter ended 31 March 2018 (Q4 2017-18, the quarter under review) to Rs 1,540 crore from Rs 1,092 crore. Consolidated operating EBIDTA grew by 41 per cent to Rs 61 crore from Rs 44 crore.

    Entertainment income grew by 51 per cent in Q4 2017-18 to Rs 1,228 crore from Rs 812 crore. Operating EBIDTA of the entertainment business more than doubled (increased by 120 per cent) in Q4 2017-18 to Rs 38 crore from Rs 17 crore in Q4 2016-17.

    TV18’s standalone business consists of business and general news. Standalone income increased by 12 per cent during the quarter under review to Rs 228 crore from Rs 203 crore. Standalone operating EBIDTA declined to 20 per cent in Q4 2017-18 to Rs 50 crore from Rs 63 crore in the corresponding previous year’s quarter.

    Regional news (ex-IBN Lokmat) and infotaiment revenue grew by 8 per cent to Rs 84 crore in Q4 2017-18 from Rs 77 crore in Q4 2016-17. Regional news (ex-IBN Lokmat) and infotainment operating EBIDTA loss was lower at Rs 26 crore in Q4 2017-18 as against loss of Rs 36 crore in the corresponding quarter of the previous year.

    Network18 Media and Investments Ltd results

    TV18 is a subsidiary of Network18 Media and Investments Ltd (Network 18). TV18 has taken operational control and has increased its stake in Viacom18 to 51 per cent by acquiring 1 per cent from its joint venture partner Viacom Inc. Besides TV18, Network18’s digital and print business adds to its numbers.

    Network18 reported 16 per cent growth in its consolidated operating revenue to Rs 5,027 crore in FY 2017-18 from Rs 4,333 crore in FY 2016-17. Consolidated operating EBIDTA increased by 42 per cent to Rs 187 crore in FY 2017-18 from Rs 132 crore in FY 2016-17.

    TV18 numbers have been mentioned above. Network18’s digital and print business operating revenue increased by 12 per cent to Rs 213 crore from Rs 191 crore. Digital and print business operating EBIDTA rose by 193 per cent to Rs 31 crore from Rs 10 crore.

    Zainulbhai said about Network18, “We are continuing our investments in digital and regional content and seeing growth in most segments of our business.”

    Also Read:

    TV18 to increase Viacom18 stake to 51%

    TV18 completes acquisition of Viacom shares

  • TV18 profits decline in third quarter

    TV18 profits decline in third quarter

    BENGALURU: TV18 Broadcast Ltd (TV18), the subsidiary of the Mukesh Dhirubhai Ambani-controlled Network18 Media and Investments Ltd (Network 18), reported consolidated total income of Rs 10 crore for the quarter ended 31 December 2017 (Q3-18) as compared with income of Rs 23.6 crore for the corresponding year ago quarter. For the immediate trailing quarter Q2-18 (quarter-on-quarter), income stood at Rs 11.83 crore.

    Consolidated profit after tax for the quarter under review was 8.1 percent lower year-on-year at Rs 15.87 crore as compared with Rs 17.27 crore but more than double (2.16 times) the Rs 7.3 crore in the immediate trailing quarter. The company’s consolidated simple EBIDTA (excluding GST and other income) was 2.1 percent lower y-o-y at Rs 38.65 crore (13.9 percent margin) as compared with Rs 39.49 crore (15.5 percent margin) and more than five times the Rs 7.6 crore in Q2-18.

    Consolidated total income in Q3-18 increased by 8.9 percent y-o-y to Rs 277 crore from Rs 254 crore and was 18 percent higher y-o-y than Rs 235 crore in Q2-18.

    Consolidated total expenditure rose by 9.4 percent y-o-y in Q3-18 to Rs 261 crore from Rs 269 crore and was 5.4 percent higher q-o-q as against Rs 247 crore.

    The company has two segments–media operations and film production and distribution (films). The lion’s share of the revenue was from the company’s media operations.

    Both segments reported operating profits for Q3-18 – of Rs 47 crore (media operations) and Rs 88 Lakh (film production and distribution). Media operations had operating profit of Rs 42 crore while film production and distribution incurred operating loss of Rs 5.3 crore in Q3-17. In the immediate trailing quarter, both segments had reported operating profit of Rs 47 crore and Rs 5.7 crore, respectively.

    The company’s marketing, distribution and promotional expense during the quarter under review rose by 14.8 percent y-o-y to Rs 44 crore from Rs 38 crore but was 3.8 percent lower q-o-q. The employee benefit expense in Q3-18 swelled by 12.9 percent y-o-y to Rs 93 crore from Rs 82 crore but declined by 5.4 percent q-o-q from Rs 98 crore.

    Other expenses during the quarter under review increased by 7.6 percent y-o-y to Rs 101 crore in Q3-18 from Rs 94.4 crore and was 22.2 percent q-o-q more than Rs 83 crore.

  • GST ad deferrals hit Network 18 revenue in Q1-18

    BENGALURU: The GST implementation resulted in deferral of advertising spends in late Q1-18 (quarter ended 30 June 2017, current quarter) says Network 18 Limited.: While April-May witnessed robust revenue growth, June was substantially impacted by postponement in advertising spends. Nevertheless, The company believe that this is a transitory impact and GST shall drive the informal economy towards the formal channel in the long-run, which will push up advertising spends.

    Overall revenue including proportionate share of JVs’ increased 3 percent year-over-year (y-o-y) in Q1-18 to Rs 8,360 million from Rs 8,140 million in the corresponding year ago quarter Q1-17.Segment operating loss (EBIDTA) declined to Rs 510 millon in Q1-18 as compared to Rs 580 million in Q1-17. Revenue as IND-AS in Q1-18 was lower at Rs 3,210 million as compared to Rs 3,520 million in Q1-17. Operating loss as per IND-AS declined to Rs 460 million as compared to Rs 740 million in Q1-17.

    Network18 chairman Adil Zainulbhai said,“The digital space in India is witnessing an insatiable appetite for quality content, and Network18 continues to be at the forefront of providing the same in a frictionless manner across genres. We aim to marry vernacular and digital opportunities in India with our strength in linear media to fulfil the rising demand for content that is both targeted and available on-demand.”

    Zainulbhai continued, “The industry is navigating through a period of flux in both the advertising environment and the subscription business model; but underlying growth tailwinds are intact and bode well for committed players. We believe that TV18 is well-positioned to capitalize on its strengths in content curation and creation of scalable platforms for seamless delivery. Our commitment to creating value for all our stakeholders is reflected in our continued investments into incubating segmented offerings, and consistently building on our areas of leadership.”

    TV 18, the listed subsidiary of Network 18 reported 1.8 percent y-o-y decline in consolidated revenue in Q1-18 to Rs 2,170 million from Rs 2,210 million. TV18’s. TV18 owns and operates the largest network of channels – 49 in India spanning news and entertainment. It also caters to the Indian diaspora globally through 13 international channels. The company says that revenue growth from business news boosted TV18 standalone operating EBITDA. However, regional news witnessed softness in revenues and low profitability due to gestation losses. Entertainment revenues were aided by strong performance in niche genres and strength of the bouquet, it adds.

    TV18 posted consolidated revenues of Rs. 6,280 million (including proportionate share of JVs) in Q1FY18, a 4 percent y-o-y growth. Profitability improved mildly, driven by business news performance and helped by steady ramp-up of the multiple new initiatives undertaken in Q1-17.

    Tv18’s Total Expenditure in Q1-18 increased 2.9 percent y-o-y to Rs 2,520 million from Rs 2,450 million.TV 18’sEmployee Benefits Expense in the current quarter increased 23.4 percent y-o-y to Rs 950 million from Rs 770 million. TV 18’2 Finance costs declined 20 percent y-o-y in Q1-18 to Rs 40 million from Rs 50 million.

    TV18’s Other expenses in Q1-18 declined 13 percent to Rs 870 million from Rs 1,000 million.TV 18’s Distribution, advertising and business promotion expense reduced 3.8 percent y-o-y in Q1-18 to Rs 510 million from Rs 530 million.

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