TV18 Q2 profit Rs 10 cr vs Rs 40 cr loss a year earlier

TV18 Broadcast today reported a profit after tax of Rs 10 crore in July-September quarter, as against a net loss of Rs 40 crore in the year-ago period.

Revenue from the television (including IndiaCast) and motion pictures business stood at Rs 483.2 crore in the second quarter.

At a consolidated level, advertising revenues grew 4 percent on year.

While the general news and niche genres witnessed continued softness, advertising revenue from entertainment led by Colors was strong.

Net distribution income grew steadily to Rs 39.1 crore, the highest the company posted on a quarterly basis.

Operating profit (EBITDA) during the quarter was Rs 39.6 crorefrom Rs 14.2 crore last year.

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Business news operations: Operating profit for the quarter stood at Rs 18.3 crore with an operating margin of 28 percent. Operating revenues stood at Rs 65.2 crore.

In the backdrop of a lackluster advertising environment, general news operations had an operating loss of Rs 8.2 crore.

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Revenue fromHistory TV18 were down on year, the company said. The infotainment genre continued to witness weak advertising spends. However, the losses were contained at Rs 1.6 crore.

Entertainment business

Revenues from Viacom18 grew 34 percent on year to Rs 546.7 cr

Operating profit was a strong Rs 57.5 crore as against Rs 12.6 crore in the year-ago quarter.

Television broadcasting revenue was Rs 349.1 crore against Rs 257 crore in the last year. Operating profit from the television business stood at Rs. 49.4 crore and grew 80 percent on year.

"Even though the macroeconomic environment continued to be uncertain, the media and entertainment industry is well poised to deliver robust growth," Raghav Bahl, Managing Director, Network18, said in the press release.

He expressed confidence that the company will maintain the growth trajectory. "During the current quarter our broadcasting operations turned in strong operating profits. We are particularly heartened by the doubling of operating profits in the first half of the current financial year as compared to previous year."

"The advertising environment continues to be lackadaisical especially for news and other niche genres but we remain confident of delivering a strong year ahead,"B Saikumar, Group CEO, said in the press release.

(Firstpost is a part of the Network18 Group)