ITV

Tag: PAT

  • Television business props up Network 18 Q1-2014; prevents further reddening

    BENGALURU: Network 18 Media & Investments Limited (Network 18) reported a profit after tax (PAT) of Rs18.9 crore in Q1-2014, as compared to a loss of Rs 90 crore in Q1-2013.

    Results from three of the four revenue segments of the media and entertainment player reported losses, with television playing the lone hand in keeping profits for Q1-2014 buoyant and positive. Though Network 18 reports combined figures for Television and Motion Pictures, company officials confirmed that Motion Pictures had also added to Network 18 losses.

    Despite showing revenue growth, the other two segments -digital content and e-commerce business; and allied businesses also pulled down profits for Q1-2014.

    Let us take a look at the figures for Q1-2014

    Operating revenue for Q1-2014 stood at Rs 556.6 crore on a reported basis.

    The corresponding figure for Q1-2013 was Rs 435.6 crore, hence showing a 28 per cent growth for Q1-2014. Operating revenue during Q1-2014, was however lower by 18 per cent as compared to the Rs 679.6 crore for the preceding quarter Q4-2013.

    Revenue from the television and motion business at Rs 437.4 crore was 47.2 per cent higher than the Rs 297.2 crore for Q1-2013 but about 8.6 per cent lower than the Rs 511.3 crore for Q4-2013.

    Revenue from digital content and e- commerce at Rs 106.9 crore grew 46.8 per cent as compared to the Rs 72.8 crore in Q1-2013, and was about 3.2 per cent lower than the Rs 110.4 crore during Q4-2013.

    Revenue for Q1-2014 from allied businesses fell 37.7 per cent to Rs 65.6 crore from Rs 105.3 crore in Q1-2013 and 36.7 per cent from Rs.103.6 crore in Q4-2013.

    Digital content and e-commerce reported a loss of Rs 43.5 crore. Allied businesses reported a loss Rs 9.9 crore and Rs 9.2 crore were contributed to the losses from discontinued operations. Television and Motion picture business propped up the company with an operating profit of Rs 23.8 crore. The company turned in a profit after tax of Rs 18.9 crore for the quarter.

    Network18 managing director Raghav Bahl said, “The macroeconomic environment continues to be challenging and growth prospects remain uncertain. Despite this backdrop, our core TV and digital businesses turned in a steady performance. We continued the profitable monetisation of our investments and raised growth capital in HomeShop18. There were pockets of weaknesses in our portfolio and we are committed to improving segments that are not meeting expectations. We have a strong portfolio of media businesses and remain confident of unlocking its value for our stakeholders”.

    Network 18,group CEO B. Saikumar said, “The core television and digital businesses got off to a stable start in the new fiscal year. Our entertainment broadcasting business showed strength and the e-commerce businesses grew strongly. While our news and infotainment businesses have seen distinct softness in advertising, our entertainment businesses led by Colors have performed well on this front. Motion pictures have seen losses this quarter and the management is confident of stemming them in the immediate term. Net distribution revenues from IndiaCast are on a strong growth trajectory and we continue to be enthused by its growth potential. Our e-commerce businesses continued their stellar growth and the digital content business grew steadily as well. We remain confident of delivering a strong year ahead.”

  • Q1-2014 results of Raj TV show PAT growth of 45.3 per cent over Q1-2013

    Q1-2014 results of Raj TV show PAT growth of 45.3 per cent over Q1-2013

    BENGALURU: Unaudited Q1-2014 results for Raj Television Network Limited (Raj TV) showed a 45.3 per cent growth in PAT to Rs 466.57 lakh as compared to the PAT of Rs 321.16 lakh in Q1-2013. Raj TV had reported a meager PAT of Rs 53.28 lakh for Q4-2013 and a PAT of Rs 928.63 lakh during FY-2013.

     

    Let us take a look at Raj TV’s Q1-2014 results

     

    Increase in income from operations, reduction of expense towards employee benefits and lowered finance costs (as compared to Q4-2013) during Q1-2014 seem to be the major contributors to Raj TV’s increase in PAT numbers for the quarter (Q1-2014).

     

    Raj TV reported income from operations for Q1-2014 at Rs 1829.23 lakh, a growth of 12.5 per cent over Q1-2013 income from operations of Rs 1626.52 lakh and 4.7 per cent more than the Rs 1746.87 lakh reported for Q4-2013.

     

    Expenses for employee benefits for Q1-2014 at Rs 238.33 lakh were lower by 9.1 per cent as compared to the Rs 262.21 lakh reported for Q1-2013 and substantially lower by 29.1 per cent as compared to the Rs 336.18 lakh expenses towards employee benefits reported for Q4-2013.

     

    Finance costs for Q1-2014 at Rs 83.34 lakh, though higher by 28.22 per cent as compared to the Rs 65 lakh for Q1-2013 were substantially lower by 44.85 per cent when compared to the Rs 151.12 lakh the company paid in Q4-2013, despite an increase in borrowings in Q1-2014 as compared to the figures reported by the company during FY-2013.

     

    Raj TV’s long term borrowings at Rs 1037.1 lakh increased by 16.2 per cent as compared to the long term borrowings of Rs 892.85 lakh for FY-2013, its short term borrowings also increased by 7.9 per cent to Rs 1490.8 lakh for Q1-2014 from Rs 1382.21 lakh during FY-2013. Its trade payables also increased substantially by 32.1 per cent to Rs 460.19 lakh from the Rs 348.39 lakh for FY-2013.

     

    At the same time, Raj TV’s trade receivables for Q1-2014 went up by Rs 346.09 lakh to Rs 4625.95 lakh, and were 8.1 per cent more than the trade receivables of Rs 4279.86 lakh for FY-2013.

     

    Overall, the total expenses for Q1-2014 at Rs 1285.03 lakh were seven per cent higher than the Rs 1201.39 lakh in Q1-2013 and 15.61 per cent lower than the Rs 1521.8 lakh reported for Q4-2013.

  • Zeel’s Q1-2014 PAT up by 42.6 per cent (y-o-y)

    Zeel’s Q1-2014 PAT up by 42.6 per cent (y-o-y)

    BENGALURU: Content and broadcast player Zee Entertainment Enterprises Limited (Zeel) unaudited results for Q1-2014 reported a growth of 42.6 per cent ( y-o-y) PAT, with a PAT margin of 23 per cent at Rs 223.9 crore as compared to the Rs 157 crore during the corresponding quarter of FY-2013. Consolidated operating revenues were up 15.5 per cent (y-o-y) at Rs 973.3 crore during Q1-2014 from the Rs 843 crore reported for Q1-2013.

    Let’s take a look at Zeel’s Q1-2014 performance

    Advertising revenues for Q1-2014 were higher at Rs 530.1 crore, recording an 18.5 per cent growth over Q1-2013’s Rs 447.2 crore.

    Zeel’s subscription revenues for Q1-2014 were also up by 16.5 per cent at Rs 421.1 crore as compared to the Rs 361.1 crore during corresponding period last year. Zeel’s domestic subscription revenues stood at Rs 316.8 crore (up 26.5 per cent as compared to Q1-2013); while its international subscription revenues were Rs 107.3 crore for Q1-2014 (down 5.6 per cent y-o-y as against Q1-2013.

    Other sales and services revenues were down 39.7 per cent for Q1-2014 at Rs 19.1 crore as compared to Rs 31.7 crore during Q1-2013.

    Zeel’s operating costs increased 9.6 per cent to Rs 410.8 crore for Q1-2014 from Rs 375.7 crore in Q1-2013. Its employee costs increased 7.7 per cent to Rs 95.6 crore from Rs 88.6 crore during Q1-2013. Selling and other expenses saw a 20.7 per cent jump to Rs 175.4 crore during Q1-2014 from Rs 145.3 crore reported in Q1-2013.

    Zeel offered and allotted 55,48,400 equity shares at a price of Rs 119.90 per share upon exercise of ESOP by its employees during Q1-2014. During the AGM held in July 2013, Zeel shareholders passed a special resolution approving enhancement of FII limits in the company beyond the current limit of 49 per cent to the maximum sectorial limit allowed under FDI applicable regulations.

    Zeel chairman Subhash Chandra said, “The economy during the quarter has continued to face challenges due sharp depreciation in rupee against major currencies leading to elevated current account deficit, balance of payment, inflation and adverse fiscal deficit. In spite of this lackluster growth television media industry has posted a comparatively robust growth on back of sustained advertisement spends by the consumer goods sector.”

    “Our performance during the quarter reflects the investments that Zee is making to grow its business and market share. This has been accompanied by a strong improvement in operating performance of the company during the quarter. In a highly competitive space, Zee continues to build its media assets and in the process continues to create value for the shareholders. We have a strong balance sheet and I am confident that we would take advantage of the growth opportunities ahead of us,” added Chandra.

    Zeel managing director and CEO Punit Goenka said, “The subscription revenue during the quarter has shown robust increase and with digitization rollout, will improve medium term. Sports performance for the quarter has been good, but due to heavy sports calendar and rupee depreciation, the business is expected to be in losses for some time.”

    “The phased implementation of Trai regulation with respect to advertising inventory based on clock-hour has started and in expected to be fully in place by the end of second quarter, DAS in phase I and II also moved a step further with MSOs’ making substantial progress in capturing consumer data and taking first steps towards implementing packaging”, added Goenka.

    “While competitive intensity remains high in the Indian television industry, we continue to make efforts towards further enhancing our market share. Our content focused approach combined with better monetization of subscription revenues, will contribute to company delivering steady return in the years ahead”, added Goenka further.