Network18 ends lower after Q3 PAT drops 8% yoy to Rs307cr

18 Jan 2022 , 03:48 PM

Network18 Media & Investments Limited reported its highest ever EBITDA at Rs373cr with margins of 22.5%. The Profit after Tax (PAT) of the company for Q3FY22 dropped to Rs307cr from Rs333cr in Q3FY21.

“Not only did News business (TV and Digital) see a sharp improvement in profitability but Entertainment business also continued to deliver strong margins,” the company said in a filing.

Strong revenue growth momentum continued during the quarter as the Company reported its highest ever quarterly revenue of Rs1,657cr (+16.5% YoY from Rs1422cr in Q3FY21), despite the pandemic induced headwinds faced by the Movie business.

Colors was the #2 channel in the Hindi genre; Voot continued to see growth in paid subscriber base driven by impact properties. Network18’s digital news/information portfolio was #2 in India, reaching 50%+ of internet audience, it said.

Network 18 Media & Investments Ltd ended at Rs90 per share down by Rs1.45 or 1.59% from its previous closing of Rs91.45 per share on the BSE.

Adil Zainulbhai, Chairman of Network18, said: “We are building a strong and sustainable media franchise which not only delivers quality content to Indian audience but also value to the shareholders. Over the last few years, we have taken several significant steps which have helped us achieve the turn around on profitability front and it is really encouraging to see the business now consistently deliver healthy margins, especially the digital news business which has been growing in a profitable manner.

As we have seen over the last several years, content consumption is an integral part of consumers’ lives and there is willingness to spend more time and money, provided they get access to quality content at an affordable price. Also, consumers are increasingly becoming platform agnostic, with both TV and Digital growing simultaneously. Our endeavour is to cater to all consumers looking for news and entertainment content in their local languages, movies and leading sports events, on platforms of their choice.”