Media firm TV18 Broadcast Ltd on Monday reported a 91.09 per cent decline in its consolidated net profit at Rs 19.66 crore in the fourth quarter ended on March 31, 2023, on account of a fall in advertising revenue. The company had posted a net profit of Rs 220.85 crore in the January-March period of the preceding fiscal, TV18 Broadcast said in a regulatory filing.
Its consolidated revenue from operations was down 6.03 per cent to Rs 1,405.90 crore compared to Rs 1,496.22 crore in the corresponding quarter a year ago. TV18 Broadcast's total expenses were at Rs 1,413.49 crore, up 10.48 per cent in the March quarter of 2022-23 compared to the year-ago period.
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TV18 Broadcast, a subsidiary of Network 18 Group, owns and operates several news and current affairs channels, which include CNN News18 and a host of general entertainment channels like MTV, VH1, Nickelodeon and Colors. During the quarter, its associate Viacom18 completed the transaction for strategic partnership with Reliance, Bodhi Tree Systems and Paramount Global to form one of the largest TV and digital streaming companies in India
TV18 Chairman Adil Zainulbhai said: "Viacom18's strategic partnership with some of the biggest names in the media space is a great news for the company. With talent, resources, and technological capabilities at its disposal, it has the potential to change the narrative of India's M&E landscape." Its consolidated net profit for the financial year ended March 31, 2023, declined 86.2 per cent to Rs 127.77 crore. It was Rs 926.24 crore in FY22.
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TV18 Broadcast's revenue from operations was up 6.98 per cent to Rs 5,912.09 crore in FY23 from Rs 5,526.18 crore a year ago. On a full-year basis, consolidated ad revenue was flattish despite the weakness in the advertising environment persisting throughout the year and the removal of Colors Rishtey from DD FreeDish, the company said in its earning statement.
"The impact on advertising revenue had a direct bearing on margins as we continued with investments to strengthen our position across segments. The profitability of the business also suffered due to investments in new initiatives - digital entertainment and sports, which had a negative contribution to EBITDA of ~Rs 170 cr and ~Rs 475 cr for Q4 and for the full year, respectively," it said.
Zainulbhai said: "We are heartened by the operating performance of our business this year, which has delivered significant progress across verticals. We are excited to begin the new fiscal on a positive note, with an endeavour to translate this operating success into a strong financial performance."Shares of TV18 Broadcast Ltd on Monday settled at Rs 30.64 on BSE, up 1.63 per cent from the previous close.
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