TV18 Broadcast swings into profit in June quarter

TV18 Broadcast today posted a profit after tax ofRs 5.9 crore for the quarter ended June 30, 2013 on the back of a significantly deleveraged balance sheet as compared to a loss of Rs 23.5 crore in the previous year.

Consolidated income of the company from its operationstood at Rs 393.93 crore in the April-June quarter, comparedto Rs 339.79 crore during the same period of previous fiscal.Company’s consolidated revenue from its media operationswas Rs 383.39 crore this quarter as against Rs 329.96 crore ofthe same period of last fiscal.

TV18 Broadcast consolidated revenue from film productionand distribution also increased to Rs 18.79 crore thisquarter. It was Rs 16.92 crore in first quarter of the lastyear.

According to the company, its advertising revenue grew 6percent in the quarter to Rs 227.5 crore as against Rs 215.6of the same fiscal last year.

“The macroeconomic environment continues to be challengingand growth prospects remain uncertain. Given this backdrop,our broadcasting operations turned in a steady performanceaided by the roll out of digitisation in 42 cities,” Network18Managing Director Raghav Bahl said.

He further added: “However, there were pockets of weaknessand we are committed to improving segments that are notmeeting expectations.”

TV18 Broadcast Group CEO B Saikumar said the company’smotion pictures have seen losses this quarter and themanagement is confident of stemming them in the immediateterm.

“While our news and infotainment businesses have seendistinct softness in advertising, our entertainment businessesled by Colors have performed well on this front. NetDistribution Revenues from IndiaCast are on a strong growthtrajectory and we continue to be enthused by its growthpotential,” Saikumar added.

The company’s shares were trading at Rs 19.10 apiece onthe BSE during the afternoon trade, down 3.78 percent fromtheir previous close.

Agencies

Disclaimer: Firstpostis part of the Network18 Group, which owns TV18 Broadcast.