ITV

Tag: TV18 Broadcast

  • Q3: Digitisation boosts broadcasters’ revenues

    Q3: Digitisation boosts broadcasters’ revenues

    MUMBAI: Digitisation of cable TV services in major cities has helped broadcasters improve their income from subscriptions in the third quarter ended 31 December, 2013, but the cap on advertising has hit some of them badly as the regulation got implemented at the beginning of the quarter.

     

    The advertising revenues of the industry rose by about 10 per cent in the third quarter, largely on account of robust growth at general entertainment channels (GECs), according to analysts.

     

    ADVERTISING REVENUE

     

    Sun TV saw its advertising revenue fall 7.2 per cent on year to Rs 272 crore in the third quarter, as the cap on advertising hurt the leading television network from south India. The fall in Sun TV’s advertising revenue was despite an increase in advertising rates, analysts said.

     

    GroupM’s Senior Director, Analytics, Central Trading Group, Harsh Deep Chhabra, says news channels are expected to take a bigger hit than the GECs because of the ad cap. While the impact of the advertising cap on news channel could be as high as up to 35 per cent, it could be 10-15 per cent on GECs.

     

    Zee Entertainment Enterprises’ ex-sports advertisement revenue growth was more than 20 per cent year on year, due to gains in market shares and launch of new channels.

     

    Barring the short-term impact of reduction in advertising inventory, advertising spends on television are expected to grow in healthy double digits over the next many years, according to Zee Entertainment Managing Director and Chief Executive Officer, Punit Goenka.

     

    The advertising revenue growth at Zee Media, which has a group of general and business news channels, was 3.1 per cent at Rs 61.39 crore in the third quarter, against its subscription revenue growth of 21.6% at Rs 270 crore.

     

    The third quarter had seen relaunch of Zee News channel with refreshed programming and look.

     

    TV18 Broadcast’s consolidated advertising revenues grew 3 per cent year on year, as entertainment channels led by Colors and MTV delivered strong double digit advertising revenue growth. Advertising environment for news and infotainment continued to be sluggish.

     

    In the first half of 2013-14 too, advertising revenues at TV18 Broadcast had grown by 3 per cent year on year, with the advertising revenues at Colors growing by more than 15 per cent.

     

    SUBSCRIPTION REVENUE

     

    Sun TV’s subscription revenues rose 27% year on year to Rs 167 crore in the third quarter, basically driven by a 45.9% increase in analogue subscription revenue and a 19.6% rise in direct-to-home subscription revenue. The company expects robust growth in subscription revenue to continue as the full benefits of phase I and Phase II digitisation of cable TV are yet to be reflected as Chennai and Coimbatore are yet to be fully digitised.

     

    The Chennai-based broadcaster’s operating profit margin came under pressure because of higher cost of content, in addition to a decline in advertising revenue.  Multiple non-fiction shows telecast during the quarter led to a 428 basis points year-on-year contraction in operating margin to 73.6%, according to a results update by Angel Broking.

     

    It said Sun TV management expects content cost to go down in the next quarter as no non-fiction shows are planned to be telecast in the fourth quarter of 2013-14.

     

    TV18’s net distribution income (subscription revenues minus carriage/placement fees) continued to grow steadily. In the third quarter, the net distribution income was  Rs 43.6 crore, a growth of 145 per cent year on year.

     

    Zee Entertainment’s subscription revenues were up 11.4 per cent year on year to Rs 456.50 crore in the third quarter. The company’s domestic subscription revenues grew by 12.2 per cent year on year to Rs 332.20 crore in the third quarter.

     

    ZEE Media’s subscription revenue was up 21.6 per cent year on year at Rs 270 crore in the third quarter.

     

    New Delhi Television did not provide a break-up of its revenues from its broadcast operations. The news broadcaster said its Hindi news business remains buoyant with NDTV India reporting robust revenue growth. NDTV only said its revenues from broadcast operations in the third quarter were up 22 per cent year on year at Rs 131.02 crore.

     

    B.A.G. Films & Media reported improved a 29.1 per cent year on year rise in operating revenue to Rs 23.60 crore in the third quarter. The break-up of the revenue was not available.

     

    OPERATING PERFORMANCE:

     

    TV18 Broadcast reported its highest ever quarterly operating profit at Rs 77.5 crore, up 61 per cent year on year. Its net distribution income continued to grow steadily. In the third quarter, the net distribution income was  Rs 43.6 crore, a growth of 145 per cent year on year.

     

    On a proforma basis, including the results of ETV Entertainment, TV18 Broadcast’s operating profit was Rs 108.1 crore. ETV Entertainment reported a sharp reduction in losses compared to the previous two quarters as programming and marketing investments made in the first half led to an upswing in ratings and revenues.

     

    NDTV’s reported Rs 3.29 crore of operating profit in the third quarter against an operating loss of Rs 1.98 crore a year ago.

     

    B.A.G. Films too had an operating profit (of Rs 8.56 crore) in the third quarter against operating loss of Rs 1.51 crore a year earlier.

     

    Zee Entertainment’s operating profit in the third quarter was Rs 290.70 crore, up 11.3 per cent despite operating profit margin contracting to 24.5 per cent from 27.8 per cent a year ago.

     

    Sun TV’s operating profit fell 1.1 per cent year on year to Rs 372 crore in the third quarter, as its revenues were impacted by fall in advertising revenue and increase in content cost due to reality shows.

  • Acting on its mandate

    Acting on its mandate

    The NBSA has been cracking the whip on certain complaints filed with the standards body. Here is a example of three cases which were censured by it. Several other examples can be found on the nbanewdelhi.com.

    1. Decision dated 20.12.2012 passed by NBSA regarding complaint dated 14 September 2011 filed by the Rajiv Gandhi Charitable Trust against TV18 Broadcast Limited in respect of broadcast dated 1.8.2011 and subsequent broadcasts in relation to the RGCT – Channels: CNN IBN & IBN7

    The NBSA, accordingly, directed that the Broadcaster be visited with the following consequences:

    (a) The Broadcasters be directed to carry an apology by running the following text (static) on full screen in large font size with voice over (in slow speed) expressing regret for the said telecast on their channels for 5 consecutive days at 9.00 pm sharp on 24.12.202, 25.12.2012, 26.12.2012, 27.12.2012 & 28.12.2012 respectively (IBN7 will carry the apology in Hindi):

    (b) The Broadcaster is issued a “censure” by the NBSA for wilful violation of NBA Code of Ethics & Broadcasting Standards and norms of ethical journalism;

    (c) A fine of Rs one lakh is imposed upon the broadcaster, to be paid to NBA within one week of receipt of this order.

    2. Decision dated 25.10.2012 passed by NBSA regarding complaint dated 21.06.2012 filed by Dr. Kalind Prashar against broadcasts made on Aaj Tak (on 10.6.12) & on IBN7 (on 11.6.12) of a one sided story of a matrimonial dispute – Channels: Aaj Tak

    Insofar as Aaj Tak is concerned, the NBSA held that the channel was clearly in breach of the NBA Code of Ethics & Broadcasting Standards, Specific Guidelines and committed wilful violation of the NBSA Advisory on Reportage of Family/Matrimonial Matters dated 16.9.2011, for the reasons recorded above. The NBSA therefore directs that TV Today Network Ltd. / Aajtak be visited with the following consequences:

    (a)The channel must carry the unedited version of the complainant, prominently for a duration of three minutes at the same time that the first broadcast was made on 10.6.12 i.e. at 6.00 pm for three consecutive days i.e. on 30.10.12, 31.10.12 & 1.11.12 respectively. The complainant’s version must also be preceded by an apology to be tendered by the channel, by running the following text (static) on full screen in large font size with voice over (in slow speed) expressing regret for the said telecast on their channel Aaj Tak.

    (b) Directed the broadcaster to pay a fine of Rs 1,00,000 to the NBA within seven days of receipt of this Order for wilful violation of NBA Advisory dated 16.9.11 on reportage of family/matrimonial matters.

    3 . Decision dated 16.7.2009 passed by NBSA on complaint filed by Eye Bank Co-ordination & Research Centre & Arpan Eye Bank, Mumbai – Channel: NDTV India for breach of the principle of impartiality and objectivity in reporting and (ii) of not ensuring neutrality in reporting.

    Decision:

    a) To run an announcement, expressing regret for the said telecast prominently on their channel NDTV India prior to the commencement of the telecast of the program Mumbai Central stating the following (text to be translated in Hindi).

    b) To also run the apology text on NDTV India on following three consecutive days, an apology/regret as a scroll in legible font and at normal speed between 8.00 pm. and 9.00 pm, five times with a space of 12 minutes each.

    c) To grant to EBCRC and Arpan an opportunity to express their version on the subject matter of the said telecast, by broadcasting EBCRC’s and Arpan’s un-edited version on the subject matter of the said telecast of a duration not exceeding an aggregate of five minutes on the channel NDTV India in the program Mumbai Central.

    d) Proof of compliance of this Order by NDTV by submitting a Compact Disc containing the telecast/apology/regret with particulars of the time and date of the telecast be submitted to the News Broadcasters Association within 15 days of receipt the Order passed by the Authority.

    4. Decision dated 19.10.2011 passed by NBSA on suo motu action regarding telecast of a programme “Will Kanimozhi turn approver” – Channel: Times Now for “conjecture and speculation” in its Prime time debate show News Hour.

    The Authority issued to the said Broadcaster a “censure” for the breaches committed by it and made it clear that any further transgression by the said Broadcaster would be dealt with more severely. 13. The Authority further directed the NBA:

    (a) to send a copy of this Order to the said Broadcaster for noting and for future compliance;

    (b) to circulate this Order to all Members/Editors of NBA;

    (c) to host a summary of these proceedings and of the present Order on the NBA website and to include such summary in the NBA’s Annual Report.

  • moneycontrol.com editorial shuffled; moves to integrated news room

    moneycontrol.com editorial shuffled; moves to integrated news room

    KOLKATA: From today, the skeleton editing staff of moneycontrol.com, a business and finance news portal, which operated from Matunga (West), will be operating from the television unit at Lower Parel.
    It is learnt from industry sources that more than six reporters who were engaged in the financial news writing have been asked to leave.

    “Network18 Group won’t be producing any original content for moneycontrol.com. It has adopted a rationalised move by laying off all the reporters engaged in financial news writing. More than six reporters have been asked to resign and made to cite that they are walking out from the news organisation on personal reasons, the release letters of the employees disclose,” revealed the highly placed media source.

    TV18 Broadcast which has laid off around 300-400 people as a part of its restructuring exercise and has merged the operational teams of CNN IBN and IBN7, will now be producing the content for moneycontrol.com too. The young team would be editing the copies filed by the television bureau, sources added.

    The portal’s editor Santosh Nair has been asked to report in the Lower Parel office, but there is no clarification regarding whom he will be reporting to. Earlier, Nair reported to R Jagannathan, editor at Firstpost.com.

    Also, it is interesting to note that the portal’s chief executive officer Joyson Thomson was mulling to list the entity but it seems he has changed his plans overnight. “Though of late, moneycontrol.com was driven by marketing strategies and not hard core news perspective which it adopted earlier,” sources said.

    There were talks the news portal would set up an editorial team at Delhi and Kolkata. “In fact a year ago, the company was eagerly looking to hire an editorial staff for the Delhi bureau,” sources said.

    “The first carnage happened in the second week of August when TV18 said it would ask around 300-400 employees to leave. We got the notice in the last week of August,” recounts an employee.

    When asked about the compensation package, he said: “The compensation package is up to the mark as we have been offered three months CTC and not in hand salary.”

    Media analysts said that TV18 has restructured its operations and reduced its workforce significantly, as part of a cost cutting exercise due to the lackluster advertising environment and government regulations like the 12 minutes advertising cap on broad asters.

    Now going forward with this downsizing, journalists are required to work across both internet and TV medium, as the group has created integrated newsrooms.

  • ‘Bhaag Milkha Bhaag’ crosses the Rs. 100 crores mark

    ‘Bhaag Milkha Bhaag’ crosses the Rs. 100 crores mark

    New Delhi, August 6, 2013 – TV18 Broadcast Limited announced today that its film studio, Viacom18 Motion Pictures’ latest release ‘Bhaag Milkha Bhaag’ has crossed the Rs. 100 crores net collection mark at the Domestic Box Office. It is the first Indian ‘Biopic’ to enter this illustrious club. In addition, the movie has clocked Rs. 20 crores plus in the international markets. The ‘Bhaag Milkha Bhaag’ game on the app store has also been a runaway hit.

    Viacom18 Motion Pictures is a division of Viacom18 – TV18’s entertainment Joint Venture with Viacom.

  • TV18 Broadcast returns to profitability in Q3

    TV18 Broadcast returns to profitability in Q3

    MUMBAI: TV18 Broadcast turned profitable in the third quarter ended 31 December on fall in operating expenditure and a small rise in operational income from a year earlier.

     

    TV18 Broadcast, which owns news channels CNBC TV18, CNB Awaaz, CNN IBN and IBN7, reported a net profit of Rs 223 million in the third quarter against a loss of Rs 138 million a year earlier. In the second quarter of this financial year, it had reported a loss of Rs 252 million.

     

    The company’s operating revenue rose 5 per cent to Rs 1.47 billion in the third quarter from Rs 1.40 billion a year earlier.

     

    The news broadcaster was able to report a profit in the third quarter as its operating expenses fell 16 per cent to Rs 1.09 billion from Rs 1.30 billion a year earlier, on lower staff costs, marketing and distribution expenses and flat production expenses.

     

    The company’s interest cost in the third quarter was Rs 216 million, flat compared to a year earlier but down by a sharp 51 per cent from a quarter earlier (Rs 365 million).

     

    The fall in interest cost was a result of part repayment of debt from the large flow of funds into the company through a rights issue in the previous quarter.

     

    Raghav Bahl, managing director, Network18, the holding company of TV18, said, “I am delighted …. that TV18 has returned to profitability this quarter. Our recast balance sheet has helped us rationalise our interest payouts.”

     

    “We are now entering an exciting phase in our journey as we strengthen our existing operations and consolidate our regional acquisition,” Bahl added.

     

    The rights issue was largely meant for the acquisition of ETV non-Telugu news and entertainment channels from Reliance Industries Ltd (RIL).

        
    B Saikumar, Group CEO at Network18, said, “We are extremely pleased that all our broadcast operations grew their margins despite softness in the advertising environment. The News Network will further consolidate its leadership position with the addition of ETV News to the stable.”

     

    Business News operations had a strong quarter with margins expanding almost three-fold from a year earlier.

     

    In the third quarter, revenues from business news channels were up nearly 10 per cent at Rs 780 million. Operating profit from business news was Rs 307 million, nearly three times a year earlier and two times a quarter earlier.

     

    The significant improvement in margins in business news operations came on the back of expansion of net distribution income, the company said.

     

    TV18’s general news operations broke into positive territory with 10 per cent margins. In the third quarter, revenues from general news operations were Rs 723 million, nearly flat compared with a year earlier. Operating profit from general news was Rs 69 million in the third quarter against a loss of Rs 16 million a year earlier and loss of Rs 33 million a year earlier.

  • TV18’s general news biz posts maiden operating profit in Q1

    TV18’s general news biz posts maiden operating profit in Q1

    MUMBAI: TV18 Broadcast’s general news business, comprising CNN IBN and IBN7, has swung into operating profit for the first time as fiscal-first quarter revenue grew at a healthy 11 per cent under a tough economic climate.

    The segment‘s operating profit stood at Rs 22 million for the three months ended 30 June 2012 against a loss of Rs 5 million a year earlier.

    The segment’s revenues climbed to Rs 679 million from Rs 614 million.

    TV18 Broadcast said operating margin of the general news business improved to 3 per cent in the first quarter from a negative of one per cent a year ago.

    English news channel CNN IBN was launched in December 2005, while Hindi news channel IBN7 is the rebranded version of Channel 7, which was acquired by Network18 in 2006 from Jagran group.

    The business news operations – CNBC 18 and CNBC Awaaz – continued to be TV18 Broadcast’s crown jewel with revenues of Rs 718 million in the first quarter of 2012-13, up from Rs 681 million a year earlier. Operating profit from business news operations increased to Rs 208 million in the first quarter from Rs 175 million in the earlier year.

    The operating margin for business news improved to 29 per cent from 26 per cent. TV18 Broadcast’s operating profit for the overall news business in the first quarter rose 27 per cent to Rs 232 million.

    Network18 MD Raghav Bahl said, “After a strong phase of investment in building our portfolio of channels, TV18 has now entered a consolidation phase and we are focused on creating value for all our stakeholders. Even though the broader macroeconomic environment remains challenging and uncertain, the Indian broadcasting industry is enthused by the enormous opportunity that digitisation presents.”

    “At TV18, we are confident that with our distribution venture – IndiaCast, we are well poised to claim our rightful share of the opportunity. After we complete our proposed strategic stake acquisition in ETV and the proposed twin rights issues (subject to regulatory approvals), we believe that our strong television footprint will propel us to the next phase of our growth.”

    Even though its general news business reported an operating profit, TV18 Broadcast reported a net loss of Rs 78 million in the first quarter against a net profit of Rs 235 million a year earlier, as its interest cost rose to Rs 291 million (from Rs 210 million). TV18 Broadcast was helped in reporting net profit in the first quarter of the previous fiscal by high other income of Rs 337 million compared to Rs 41 million in the quarter ended 30 June 2012.

    In the exit quarter of the previous fiscal, TV18 Broadcast had reported a net loss of Rs 83 million.

    TV18 Broadcast’s revenue from news business rose 7.20 per cent to Rs 1.36 billion in the first quarter from Rs 1.27 billion a year earlier. The company’s income from operations stood at 1.22 billion, up 5.17 per cent.

    Operating expenses for the news business saw a minor jump to Rs 1.14 billion from Rs 1.09 billion a year earlier due to rise in staff costs to Rs 380 million from Rs 320 million. Marketing, distribution and promotional expenses, however, fell to Rs 333 million from Rs 373 million a year ago.