Tag: EBIDTA

NDTV reports operating profit after curbing op costs in Q1

BENGALURU: New Delhi Television Limited (NDTV) reported consolidated operating profit (EBIDTA) of Rs 5.99 crore for thefor the quarter ended 30 June 2018 (Q1 2019, quarter or period under review) as compared to an operating loss of Rs 14.25 crore for the corresponding quarter of the previous fiscal year Q1 2018. The company’s consolidated operating revenue during the period under review declined 6.6 percent year on year (y-o-y) in Q1 2019 to Rs 98.18 crore from Rs 105.12 crore in Q1 2018. Consolidated total income for Q1 2019 declined 7.7 percent y-o-y to Rs 101.16 crore from Rs 109.60 crore.

NDTV reported lower consolidated loss of Rs 0.81 crore during the quarter under review as compared to a loss of Rs 18.38 crore in Q1 2018. Consolidated total comprehensive loss for Q1 2019 was lower at Rs 2.64 crore as compared to Rs 22.01 crore in Q1 2018.

Let us look at the other consolidated numbers reported by NDTV

Consolidated total expense in Q1 2019 reduced 20.6 percent y-o-y to Rs 102.08 crore from Rs 128.56 crore in the corresponding quarter of the previous year. Consolidated production expenses and cost of services increased 5.1 percent in Q1 2019 to Rs 18.83 crore from Rs 17.91 crore in Q1 2018. Consolidated employee benefit expense during the quarter under review reduced 35.2 percent y-o-y in Q1 2019 to Rs 38.77 crore from Rs 59.80 crore in the corresponding period of the previous year. Consolidated operation and administration expense reduced 17.2 percent y-o-y in Q1 2019 to Rs 19.94 crore from Rs 24.07 crore in Q1 2018. Consolidated marketing, promotion and distribution expense during the period under review reduced 16.7 percent to Rs 14.65 crore from Rs 17.59 crore in Q1 2018.

August 9, 2018
GTPL revenue up as subs base, ARPU increase in fiscal 2018

BENGALURU: As mentioned by us earlier, Indian multi-system operator and internet service provider GTPL Hathway Ltd’s(GTPL) consolidated total revenue for FY 2018 (fiscal 2018, yearunder review, year ended 31 March 2018) had increased 18.2 percent as compared to the previous year (FY 2017). The company’s investor presentation for FY 2018 says that its active cable TV subscriber base in fiscal 2018 increased 1.42 million (0.142 crore) in the year under review to 7.4 million (0.74 crore) from 5.98 million (0.598 crore) in the previous year. The company says that it seeded 1.8 million (0.18 crore) digital set top boxes in the FY 2018. In FY 2018, GTPL’s cable TV digital paying subscriber base increased by 2.07 million (0.207 crore) to 7.0 million (0.7 crore).

Average revenue per user (ARPU) in phase II, phase III and phase IV by 6.25 percent, 1.64 percent and 1.96 percent respectively during the quarter ended 31 March 2018 Q4 2018 as compared to the quarter ended 31 December 2017 (Q3 2017). Phase-wise ARPU increased in FY 2018 as compared to FY 2017 as follows: phase I increased to Rs 103 from Rs 100; phase II increased from Rs 95 to Rs 105; phase III increased from Rs 54 to Rs 62; phase IV increased from Rs 41 to Rs 52.

Over 38 percent of the company’s subscriber base in phase IV areas, which for GTPL has seen the highest increase in ARPU during FY 2018, both in terms of absolute rupees and in terms of percentage growth. Arising from the above, share of GTPL’s cable TV business to revenues and profits has gone up.
Please refer to the figure below

Further, the company says that it has added 40,000 broadband internet subscribers in fiscal 2018, taking its broadband subscriber base to 0.28 million (0.028 crore). The company’s broadband ARPU remained the same in FY 2018and FY 2017 at Rs 480. Hence broadband revenue will have increased to an extent on account of the increased broadband subscriber base in fiscal 2018. The company has revealed that data consumption per user has increased from 38GB per month in March 2017 to 62 GB per month in March 2018.

The company’s consolidated total income increased 18.2 percent during the year under review to Rs 1,113.35 crore from Rs 941.83 crore in the previous year. GTPL’s consolidated operating revenue for fiscal 2018 at Rs 1,091.27 crore was 20.2 percent higher than the Rs 907.70 crore for FY 2017. Other income reduced 35.3 percent in FY 2018 to Rs 22.09 crore from Rs 34.13 crore in FY 2017.

Please refer to the figures below the company’s total revenue breakup in FY 2018 and FY 2017:

Consolidated operating profit (EBIDTA) excluding other income increased 29.6 percent in FY 2018 to Rs 383.12 crore (35.1 percent of operating or op revenue) from Rs 295.71 crore (32.6 percent of op revenue) in the previous fiscal. Consolidated EBIDTA including other income increased 30.7 percent to Rs 314.43 crore (28.2 percent of total revenue) in FY 2018 from Rs 240.56 crore (25.5 percent of total revenue) in the previous year.

However, the company’s profit numbers still depend upon placement and activation revenue. It is heartening to note that the shares of placement and activation revenue to total revenue in FY 2018 as compared to FY 2017 have gone down as is obvious from the above figures. If one were to calculate EBIDTA without placement and activation revenue, the company has incurred a lower operating loss of about Rs 35 crore in FY 2018 as compared to an operating loss of about Rs 72 crore in the previous year.

The board of directors of GTPL has mooted dividend of Re 1 or 10 percent per equity share of face Rs 10 each subject to approval from shareholders for the year ended FY 2018. The outstanding capital of GTPL as on 31 March 2018 was Rs 112.463 crore.

May 29, 2018
Zeel operating profit up; board recommends 290% dividend

BENGALURU: Subhash Chandra-led Zee Entertainment Enterprises Ltd (Zeel) reported higher operating profit (EBITDA) for the year and quarter ended 31 March 2018 (FY 2018, the year under review; Q4 2018, the quarter under review) as compared with the corresponding periods of the previous year (FY 2017, Q4 2017). Profit after tax (PAT) for the quarter and year under review was, however, lower due to higher tax and lower extraordinary/exceptional items as against the previous year. The Zeel board of directors has recommended an equity dividend of 290 per cent per share of face value of Re 1.

Zeel’s EBITDA for FY-2018 increased by 7.7 per cent to Rs 2,076.14 crore (31.1 per cent margin) from Rs 1,926.86 crore (29.9 per cent margin) in fiscal 2017. EBITDA for Q4 2018 rose by 8 per cent to Rs 506.20 crore (29.3 per cent margin) from Rs 468.70 crore (30.7 per cent margin). PAT for FY 2018 declined 33.4 per cent to Rs 1,477.75 crore from Rs 2,220.11 crore.

Zeel’s operating revenue for FY 2018 was 3.9 per cent higher at Rs 6,685.68 crore than the Rs 6,434.13 crore in FY 2017. Operating revenue for Q4 2018 grew by 12.9 per cent year-on-year (yoy) to Rs 1,725.31 crore from Rs 1,527.95 crore. Total revenue for FY 2018 increased by seven per cent to Rs 7,126.30 crore from Rs 6,658.17 crore in the previous year. Total revenue for the quarter grew by 14.6 per cent yoy to Rs 1,813.43 crore from Rs 1,582.89 crore. Revenue growth during both periods can be attributed to growth in advertising revenue partly offset by a decline in subscription revenue.

Advertising revenue in FY 2018 increased by 14.5 per cent to Rs 4,204.76 crore from Rs 3,673.50 crore in the previous year. The company said in its earnings release that on a comparable basis— excluding sports, RBNL and Indian Web Portal Pvt Ltd (IWPL)—domestic advertising revenue grew by 15.9 per cent to Rs 3,848.88 crore. International advertising revenue increased by 26.2 per cent in FY 2018 to Rs 214.3 crore. International business revenue in Q4 2018 was Rs 66.2 crore.

Subscription revenue during the year under review declined by 10.3 per cent to Rs 2,028.73 crore from Rs 2,262.91 crore in FY 2017. The company said in its release that adjusted for sale of Zeel’s sports business, subscription revenue actually grew by 11.8 per cent. The company also said that subscription revenue growth for the year was slightly impacted by the delay in phase-III monetisation due to the uncertainty regarding TRAI’s tariff order. Domestic and international subscription revenue for Q4 2018 declined by 0.7 per cent yoy and eight per cent yoy, respectively, primarily on account of the sale of the sports business. Subscription revenue in Q4 2018 decreased by two per cent yoy to Rs 546.52 crore from Rs 557.92 crore. International business subscription revenue in Q4 2018 declined to Rs 94.4 crore.

Zeel’s other sales and services include revenue from its movie production business, content syndication, music label and commission on sales. Other sales and services revenue decreased by 9.1 per cent in FY 2018 to Rs 452.19 crore from Rs 497.72 crore in the previous fiscal. For Q4 2018, other sales and services revenue increased by five per cent yoy to Rs 129.24 crore from Rs 123.09 crore in Q4 2017. Other sales and services revenue from the international business in Q4 2018 was Rs 53.7 crore.

Other income, during the year under review, soared by 96.5 per cent to Rs 440.35 crore from Rs 224.04 crore whereas, during the quarter, increased by 60.4 per cent to Rs 88.12 crore from Rs 54.94 crore.

For FY 2018, total costs increased by 2.3 per cent to Rs 4,609.50 crore. The underlying increase was higher but offset by the sale of the sports business. On a like-to-like basis, programming cost increased due to higher original content hours across the network and higher movie amortisation cost while the reported programming cost declined due to the sale of the sports business. Advertising, publicity and other expenses increased by 25.6 per cent to Rs. 1,416.4 crore on account of brand refresh, launch of ZEE5 and costs related to silver jubilee events.

Zeel’s total expenditure in Q4 2018 at Rs 1,219.1 crore was higher by 15.1 per cent as againt Q4 2017. Programming cost for the quarter at Rs 689.3 crore increased by 6.7 per cent yoy. This increase was driven by higher original programming hours in regional channels, higher movie amortisation costs and content cost for ZEE5. Advertising, publicity and other expenses for the quarter grew by 44 per cent yoy to Rs 3,66 crore on account of the ZEE5 launch expense and increased marketing activities for new properties. Additionally, the expense base for Q4 2017 was lower as some marketing and promotion events were held back due to demonetisation, the release stated.

Zeel chairman Subhash Chandra said, “Looking at our performance one might not realise that the first half of the year was not as smooth, which is a testimony to the strength of our team. Being the number one TV entertainment network is a result of our strategy and the consistent hard work we have put in over the years. With the launch of ZEE5, we have taken a major leap towards our preparation for the future and we are confident that like TV business we will be in the leadership position in the digital space as well.”

Zeel CEO and managing director Punit Goenka said, “We launched our new digital platform ZEE5 with over 100,000 hours of content across 11 languages. We are happy with the initial response and are confident that the sheer depth and breadth of our content offering will enable it to become the number one digital entertainment platform in India. We have also focused on the peculiarities of Indian market and designed technological features to improve the user experience. Unlike most of the existing apps which are either focused on the English-speaking segment or the youth audience, ZEE5’s vast content catalogue is designed with an objective to cater to all sections of video viewing audience.”

Goenka added, “We are delighted with the strong operating and financial performance during the quarter. Domestic ad revenue growth of 24 per cent is driven by broad based recovery in advertising spends. With high visibility of product campaigns, improving consumer demand and GST related benefits trickling down to ad spends, we are confident of continued traction in advertising spending. The full-year domestic subscription revenue growth of 12 per cent is a tad lower than our initial expectations due to some unforeseen events. However, there is no change in our medium-term outlook for the same.”

Also Read :

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May 11, 2018
Retail, e-com biz eat into NDTV’s TV media profits for Q3

BENGALURU: Prannoy and Radhika Roy-led New Delhi Television Limited (NDTV) reported consolidated operating profits–simple EBITDA including other income–of Rs 1.88 crore (1.6 per cent margin) for the quarter ended 31 December 2017 (Q3 2018, quarter under review). For the corresponding year ago quarter (Q3 2017) and the trailing quarter (Q2 2018), the company had reported consolidated operating losses of Rs 14.90 crore and Rs 9.74 crore respectively.

NDTV has two segments–television media and related operations (television); and retail/e-commerce. The company reported operating profit of Rs 7.54 crore for its television segment against revenue of Rs 109.96 crore for the quarter under review. Year-on-year (yoy), Q3 2018 television segment revenue was 7 per cent lower than Rs 118.27 crore for Q3 2017. The company had reported an operating loss for the television segment of Rs 4.29 crore for the corresponding year ago quarter. NDTV reported 18.2 per cent higher yoy operating revenue of Rs 4.55 crore for Q3 2018 as compared to Rs 3.85 crore for Q3 2017 for its digital/e-commerce segment. Digital/e-commerce segment incurred lower operating loss of Rs 9.50 crore in the quarter under review as compared to Rs 15.18 crore in Q3 2017.

NDTV said in its earnings release for the quarter that the fact that the company is EBITDA positive proves that its turnaround plan is quickly progressing.

Let us look at the other numbers reported by NDTV

NDTV reported a 78.5 per cent drop in consolidated revenue for the quarter under review at Rs 112.24 crore as compared to Rs 121.3 crore for Q2 2017. The company reported consolidated net loss of Rs 22.42 crore for Q3 2018 as compared to a net loss of Rs 26.26 crore for Q3 2017.

Consolidated total expenditure for the quarter declined 16.3 per cent yoy to Rs 123.13 crore from Rs 147.03 crore. Production expenses and cost of services declined 14 per cent yoy to Rs 23.16 crore from Rs 26.93 crore. Employee benefit expenses reduced 20.5 per cent yoy to Rs 49.38 crore from Rs 62.11 crore. Operating and administrative expenses for Q3 2018 declined 16.4 per cent yoy to Rs 24.97 crore from Rs 29.87 crore. Marketing, distribution and promotional expenses declined 7.6 per cent yoy to Rs 16.60 crore from Rs 17.95 crore.

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February 15, 2018
Sun TV reports improved numbers, declares third interim dividend

BENGALURU: Sun TV Network Ltd (Sun TV) reported improved numbers across all important parameters for the quarter ended 31 December 2017 (Q3 2018, the quarter under review) as compared with the corresponding quarter of the previous year (yoy, Q3 2017). The company said in its earnings release that subscription revenue for the quarter increased by 16.5 per cent yoy to Rs 281.81 crore from Rs 241.94 crore while advertisement revenue grew by approximately 22 per cent yoy. The board of directors of Sun TV has declared a third interim dividend of the year of Rs 2.50 per equity share of face value of Rs 5 each (50 per cent).

Sun TV reported 13.4 per cent higher consolidated total income in the quarter under review at Rs 712.39 crore as against Rs 628.36 crore in Q3 2017. Operating revenue increased by 15.9 per cent yoy to Rs 683.28 crore in Q3 2018 from Rs 589.43 crore in Q3 2017.

Sun TV’s EBITDA during the quarter was Rs 492.04 crore (72 per cent of operating revenue), 11.9 per cent higher as compared against Rs 439.66 crore (74.6 per cent of operating revenue) in Q3 2017.

The company’s profit after tax or PAT in Q3 2018 improved by 11.2 per cent to Rs 267.03 crore (39.1 per cent of operating revenue) as compared with Rs 240.09 crore (40.7 per cent of operating revenue) in Q3 2017.

Total expenditure in Q3 2018 increased by 17.1 per cent to Rs 305.76 crore (44.7 per cent of operating revenue) as against Rs 261.09 crore (44.3 per cent of operating revenue) in the corresponding quarter of the previous year.

Operating expense in Q3 2018 soared by 50.7 per cent yoy to Rs 81.05 crore (11.9 per cent of operating revenue) from Rs 53.78 crore (9.1 per cent of operating revenue) in the corresponding quarter of the previous year.

Employee benefits expense in Q3 2018 increased by 20.6 per cent to Rs 72.70 crore (10.6 per cent of operating revenue) as compared with Rs 59.86 crore (10.2 per cent of operating revenue) in Q3 2017.

Other expenses in Q3 2018 grew by 5.1 per cent to Rs 37.99 crore (5.6 per cent of operating revenue) as compared with Rs 36.13 crore (6.1 per cent of operating revenue) in the corresponding quarter of the previous year.

Also Read :

Sun TV reports improved numbers, declares third interim dividend

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Sun Direct may add 20 HD, 100 SD channels

February 10, 2018
Sluggish rural consumption, distribution expenses pull down Dish TV’s Q3 numbers

BENGALURU: A recovered but not fully-up-to-speed rural sector and higher selling and distribution expenses during festival time led to Indian direct-to-home (DTH) major Dish TV India Ltd (Dish TV) reporting lower numbers for the quarter ended 31 December 2017 (Q3 2018, the quarter under review) as compared with the corresponding year ago quarter (yoy). Though the company added net 250,000 subscribers during the quarter, lower ARPU brought down Dish TV’s operating revenue and EBITDA by 1 per cent and 15.5 per cent, respectively, yoy. The company reported a net subscriber base of 1.61 crore at the end of Q3 2018. ARPU of Rs 144 in Q3 2018 was the lowest in the current fiscal as against Rs 148 in Q2 2018 and Rs 149 in Q1 2018. Dish TV’s ARPU before demonetisation in November 2016 was Rs 162. The company has reported net loss after taxes of Rs 3.58 crore in Q3 2018 as against profit of Rs 8.39 crore in Q3 2017.

Dish TV CMD Jawahar Goel said, “One year down the line from demonetisation, we have come a long way but somehow the sting in rural consumption is still missing. This was probably well recognised by the government and hence the impetus towards a stronger rural India. Television continues to remain the cheapest and most wholesome means of entertainment for the masses. DTH has presence in places where few other television service providers have reached. Dish TV, amongst such DTH players, has perhaps the deepest rural connect and hopes to benefit from rural India’s increasing propensity to consume everything including television content.”

In its investor release for Q3 2018, Dish TV said that the pending Dish TV–Videocon d2h merger had hit a roadblock as the company was forced to evaluate the impact of certain proposed proceedings, against the Videocon group, on its rights and obligations under the definitive agreements, and consequential effects on the transactions contemplated thereunder.

Dish TV, on 15 December, had secured the Ministry of Information and Broadcasting’s approval to the request made by the company for closing the merger of Videocon d2h with and into Dish TV.

Talking about the merger, Goel said, “We acknowledge our shareholders growing impatience with respect to the merger. We would like to assure them that work around the completion of the deal is going ahead with full steam now and should be completed soon.”

“We are excited about the future of the merged entity and are raring to put the business in overdrive as soon as the merger completes. Though we have lost some time in FY18, we would want to regain our leadership as well as extract the highest possible synergies in the year ahead,” he explained.

A look at the numbers

Dish TV reported a 1 per cent yoy decline in operating revenue for the quarter under review at Rs 740.77 crore as against Rs 747.98 crore. EBITDA for Q3 2018 was 15.5 per cent y-o-y at Rs 200.52 crore (27.1 percent margin) as compared with Rs 237.42 crore (31.7 percent margin).

Total expenditure for Q3 2018 increased by 4.3 per cent y-o-y to Rs 775.12 crore. Employee benefits expense declined 1.5 per cent y-o-y to Rs 35.80 crore. Operating expenses in Q3 2018 increased by 6.2 per cent yoy to Rs 374.08 crore. Other expenses during the quarter under review increased by 8 per cent to Rs 127.84 crore yoy. Finance costs in Q3 2018 reduced by 18.4 per cent yoy to Rs 50.16 crore.

Also Read :

MIB clears path for Dish TV Videocon

Dish TV reports improved operating profits for second quarter

February 7, 2018
PVR numbers up on higher ticket price in third quarter

BENGALURU: Despite lower admits and occupancy during the quarter ended 31 December 2017 (Q3 2018, the quarter under review), Indian entertainment and exhibition company PVR Ltd (PVR) reported higher revenue due to higher ticket prices. In its investor presentation, the company reported 2.8 per cent year-on-year (yoy) drop in admits during Q3 2018 at 1.74 crore as compared with Rs 1.79 crore in Q2 2017 and a yoy decline in occupancy to 29.1 per cent from 32 per cent. The company reported an increase in average ticket price per show to Rs 212 during the quarter under review from Rs 199 during the corresponding year ago quarter. PVR says that the top-five movies contributed 50 per cent to the gross box office in Q3 2018 as against 52 per cent in Q3 2017. The occupancy of top-five movies in Q3 2018 was 37 per cent as against 41 per cent in Q3 2017.

PVR’s revenue from operations increased 5 per cent yoy in Q3 2018 to Rs 557.25 crore from Rs 530.88 crore. Total Income increased 3.4 per cent yoy to Rs 560.46 crore in Q3 2018 from Rs542.02 crore. The company says that other operating income in Q3 2017 included government subsidy of Rs 8.61 crore provided by various state governments. In the quarter under review, this component has not been accounted for on account of lack of clarity on refund mechanism for the tax exemptions under the new GST regime.

PVR’s EBIDTA (including other income) increased 13.7 per cent yoy during the quarter under review to Rs 103.55 crore (18.8 per cent margin of total revenue) from Rs 91.10 crore (16.8 per cent margin of Total revenue). Net profit after tax (PAT) increased 24 per cent yoy in Q3 2018 to Rs 29.16 crore from Rs 23,52 crore. Total comprehensive income during the quarter under review increased 20.8 per cent yoy to Rs 28.87 crore from Rs 23.89 crore.

Let us look at the other numbers reported by PVR

PVR reports revenue from two segments–movie exhibition and others. The movie exhibition segment saw 6.9 per cent yoy increase in operating revenue to Rs 546.01 crore from Rs 510.94 crore. The segment had 17.4 per cent yoy increase in operating results at Rs 41.44 crore from Rs 35.27 crore. Others segment revenue saw 51.9 per cent yoy decline in revenue to Rs 17.85 crore from Rs 37.08 crore. Others segment operating profit grew 220.8 per cent to Rs 3.08 crore from Rs 0.96 crore during corresponding year ago quarter.

PVR’s total expenditure during the quarter under review was up by 1.9 per cent yoy at Rs 515.55 crore as compared to Rs 505.77 crore. Finance cost was up 3.8 per cent yoy to Rs 21.17 crore in Q3 2018 from Rs 20.40 crore.

Movie exhibition cost in Q3 2018 increased 13.4 per cent yoy to Rs 132.28 crore from Rs 116.69 crore. Cost of consumption of food and beverages in the quarter rose by 9.3 per cent yoy to Rs 37.90 crore from Rs 34.66 crore.

Employee benefits expense in Q3 2018 increased by 8 per cent yoy to Rs 62.17 crore from Rs 57.57 crore. Rent expenses during the quarter were almost flat (increased by 0.2 per cent) yoy to Rs 99.356 crore from Rs 99.13 crore. Other expenses in Q2 2018 declined by 12.4 per cent yoy to Rs 125.21 crore from Rs 142.87 crore.

February 1, 2018
Shemaroo’s third quarter numbers improve, digital revenue increases

BENGALURU: Indian integrated media content house Shemaroo Entertainment Ltd (Shemaroo) reported 15.3 percent higher y-o-y consolidated total revenue for the quarter ended 31 December 2017 (Q3 2018, the quarter under review) at Rs 132.85 crore as compared with Rs 115.22 crore in Q3 2017. Revenue from operations increased by 16.8 percent y-o-y to Rs 132.63 crore from Rs 113.54 crore.

In its investor presentation, Shemaroo says that 22 percent of its revenue came from digital media and 78 percent from digital media in fiscal 2017. Revenue from digital media grew by 40.9 percent y-o-y in Q3 2018 to Rs 33.1 crore (20.7 percent of operating revenue) from Rs 23.5 crore (25 percent of operating revenue). The company caters to all types of revenue models such as pay per transaction, subscription and advertisement supported. Shemaroo says that due to its large library ownership, it has the ability to slice and dice content and package it in different ways that are more suited for the digital media platforms. During the nine-month period of the current financial year, revenue from digital media grew by 41.7 percent to Rs 95.8 crore (25.8 percent of operating revenue) from Rs 67.6 crore (20.8 percent of operating revenue) during the corresponding year ago nine-month period.

In Q3 2018, the company said that it had crossed 50 lakh (0.5 crore) subscribers on its YouTube channel ShemarooEnt. Shemaroo has agreements with various internet video platforms like YouTube, Hotstar, Reliance Jio, Apple iTunes, Google Play and YuppTV. The company has agreements with major telecom operators, namely Airtel, Vodafone and Idea, for mobile value-added services (MVAS). Shemaroo distributes imagery, videos, full songs and live streaming under MVAS through both operator branded portals as well as its own branded portals

Although revenue from traditional media grew by 10.6 percent y-o-y during the quarter under review to Rs 99.5 crore from Rs 90 crore, its contribution to operating revenue declined to 75 percent from 79.3 percent. Shemaroo’s traditional media platforms include television syndication, subscription-based services through DTH players and cable operators, home entertainment services and other media like airborne rights for in-flight entertainment, overseas, international film festivals.

Shemaroo’s consolidated profit after tax, or PAT, for the quarter under review improved by 26.5 percent y-o-y to Rs17.95 crore (13.5 margin) as against Rs 14.19 crore (12.5 percent margin) in the corresponding quarter of the previous year.

Shemaroo’s EBIDTA, including other income in the quarter under review, at Rs 36.03 crore (27.1 percent margin on total income of operating revenue) increased by 12.8 percent y-o-y from Rs 31.94 crore (27.7 percent margin on total income of operating revenue).

The company’s total expenditure in Q3 2018 at Rs 105.55 crore (79.3. percent of operating revenue) was 13.6 percent more y-o-y than the Rs 92.66 crore (81.6 percent of operating revenue). Its cost of raw materials consumed declined by 29.2 percent y-o-y in Q3 2018 to Rs 71.98 crore (54.3 percent of operating revenue) as compared with Rs 101.72 crore (89.6 percent of operating revenue).

Employee benefits expense increased by 26.9 percent y-o-y during the quarter under review to Rs 10.25 crore (7.7 percent of operating revenue) from Rs 8.08 crore (7.1 percent of operating revenue). Other expenses grew by 4.6 percent y-o-y in Q3 2018 to Rs 5.74 crore (4.3 percent of operating revenue) from Rs 5.49 crore (4.8 percent of operating revenue).

January 24, 2018
Increased revenue from traditional media boosts Shemaroo numbers

BENGALURU: Integrated media content house Shemaroo Entertainment Limited (Shemaroo) reported 18.3 percent higher year-on-year (y-o-y) consolidated total revenue for the quarter ended 30 September 2017 (Q2 FY 2017-18, the quarter under review) stood at Rs 1,345.7 million as compared with Rs 1,138.6 million in Q2 FY 2016-17. The company’s consolidated profit after tax for the quarter under review improved to 29.9 percent y-o-y to Rs 188.2 million (14 percent margin) as against Rs 144.90 million (12.8 percent margin) in the corresponding quarter a year ago.

Revenue from operations increased by 18.3 percent y-o-y to Rs 1,343.7 from Rs 1135.5 million. In its earnings release, revenue from traditional media rose by 11.8 percent y-o-y during the quarter under review to Rs 1002 million as compared with Rs 896 million in the corresponding year ago quarter. Revenue from new media increased by 42.5 percent y-o-y in Q2 FY 2017-18 to Rs 342 million from Rs 240 million.

Shemaroo’s EBIDTA, including other income, during the quarter was Rs 363.2 million (27 percent margin on total income of operating revenue) increased by 13.7 percent y-o-y from Rs 319.4 million (28.1 percent margin on total income of operating revenue).

A look at the other numbers

Total expenditure (TE) in Q2 FY 2017-18 at Rs 1,079.6 million (80 percent of operating revenue) grew by 19.5 percent y-o-y from Rs 903.5 million (79.6 percent of operating revenue). The company’s cost of raw materials consumed declined by 19.9 percent y-o-y to Rs 692.5 million (51.5 percent of operating revenue) as compared with Rs 864.3 million (76.1 percent of operating revenue).

Employee benefits expense during the quarter under review grew by 35.7 percent y-o-y to Rs 98.5 million (7.3 percent of operating revenue) from Rs 72.6 million (6.4 percent of operating revenue). Other expenses declined by 7.7 percent y-o-y in Q2 FY 2017-18 to Rs 50 million (3.7 percent of operating revenue) from Rs 54.2 million (4.8 percent of operating revenue).

Also read:

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December 15, 2017
Dish TV reports improved operating profits for second quarter

BENGALURU: Hit by a double whammy–that of demonetisation and the implementation of the new goods and services tax (GST)–Indian media and entertainment (M&E) companies have been struggling to attain and/or maintain black in their financials. Direct to home or DTH was one of the components of the M&E industry that had slowly started reporting profits – operating or plain profits after tax. The Essel group’s DTH services company Dish TV India Ltd (DishTV) was one of the first companies from the Indian carriage industry that had started churning out profits until the aforementioned double whammy. Subscription collections were suddenly hit because people just didn’t have enough legal currency. Average revenue per user (ARPU) fell – last year in the quarter before demonetization, the company had reported ARPU of Rs 162. For the quarter ended 30 September 2017 (Q2-18, quarter under review), ARPU was Rs 149. In the immediate trailing quarter (Q1-18), ARPU was slightly lower at Rs 148.

Over the last few quarters post demonetisation, Dish TV’s net profits were in the red. However, during these quarters, operating profits (EBIDTA) were positive and that seems to have improved for the quarter under review as compared to the immediate trailing quarter (q-o-q, Q1-18). Year-over-year however, Dish TV has reported a net loss and lower operating profit for Q2-18 as compared to net profit and EBIDTA numbers of the corresponding year ago.

Dish TV reported 7.4 percent higher q-o-q EBIDTA for Q2-18 at Rs 2,160.8 million (28.9 percent margin – on operating revenue) as compared to Rs 2012.0 million (27.2 percent margin) for Q1-18. EBIDTA for Q2-17 was Rs 2,656.8 million (34.1 percent margin). The company’s net loss however widened q-o-q to Rs 178.7 million during the quarter under review as compared to a net loss of Rs 135.1 million in Q1-18 and a net profit after tax of Rs 689.6 million (8.8 percent margin) for Q2-17.

The silver lining for the company has been its growing subscriber base, and this despite lower ARPU has resulted in 1.3 percent q-o-q increase of operating revenue to Rs 7,585.80 million for Q2-18 as compared to Rs 7,388.8 in Q1-18. However, y-o-y operating revenue during the quarter under review was 3.9 percent lower as compared the Rs 7,792.8 million for Q2-17.

The company’s subscriber base has increased by 0.188 million subscribers during the quarter under review and it has reported a subscriber base of 15.9 million. The company had closed the corresponding year ago quarter with a subscriber base of 15.1 million – it had added 0.259 million subscribers in Q2-17. Consequently, Dish TV’s subscription revenue grew 1.9 percent q-o-q during the quarter under review to Rs 7,049 million. Year-on-year, subscription revenues were 3.3 percent lower than the Rs 7,288 million reported for Q2-17. Churn for Q2-18 was 0.8 percent

A look at the other numbers

Total expense in Q2-18 increased 6 percent y-o-y to Rs 7,834.7 million from Rs 7,393.1 million. Employee benefits expense was almost flat (declined 0.2 percent) y-o-y to Rs 366.3 million from Rs 367 million. Operating expenses in Q2-18 increased 6.6 percent y-o-y to Rs 3,893.4 million from Rs 3,651.9 million. Other expenses during the quarter under review declined 4.8 percent to Rs 1,038.0 million from Rs 1,090.8 million in Q2-17. Finance costs in Q2-18 increased 6.4 percent y-o-y to Rs 610.9 million from Rs 574.2 million.

Amalgamation of Videocon D2h into Dish TV

The proposed combination of Dish TV and Videocon d2h would create one of the world’s leading DTH platform.

Dish TV CMD Jawahar Goel said, “We have been eager to get back to our stakeholders with the news of the successful closure of the merger. With all other approvals in place, the only approval pending is from the Ministry of Information and Broadcasting. We are optimistic about hearing back from the MIB any moment now and hope to close the merger at the earliest thereafter.”

“We remain excited about the next phase of growth that the combined entity, Dish TV Videocon Limited, will go through and are committed to make the combination a mega success. On the synergy front, we stick to our guidance of Rs. 1,800 million for FY18 and Rs. 5,100 million for FY19,” he added.

December 6, 2017