UTV Software Communications Ltd has reported a consolidated net profit of Rs 176 million for the quarter ended September 30, 2007, up 335 per cent from Rs 40.37 million in the corresponding quarter of the previous fiscal. The jump has been due to the strong growth in the movie business as revenue, too, has jumped 89 per cent to Rs 735.2 million.
The company has consolidated the financial results of UTV-US, UTV-UK, UTV-IOM and its indirect subsidiaries Ignition Entertainment Limited and UTV-Mauritius. The Board of Directors has taken on record the un-audited consolidated financial results of UTV Software Communications Ltd and its subsidiaries.
Ronnie Screwvala, CEO, UTV Software Communications, said, “UTV has entered into a very exciting phase where it foresees a high growth trajectory for itself in the years to come. We have achieved strong revenue and profit growth driven primarily by our three strategic verticals of movies, broadcasting and Interactive businesses. These results have laid solid foundation and provided strong momentum as we head into the second half of fiscal 2008, which is shaping up to be a strong year for growth and investment.”
Screwvala added that the movie business had witnessed a triple digit revenue growth this quarter over Q2FY07. According to him, one of the key steps taken to create good shareholder wealth was hiving off their movies business into an overseas subsidiary, which was then listed on the Alternative Investment Market (AIM) of the LSE.
Screwvala further explained, “Our broadcasting venture is again a growth story where investments have been made, which will generate tremendous value. We launched two of our youth channels – ‘Bindass’ and ‘Bindass Movies’ on September 24 this year, and these channels have been received well by the TG. We have created a unique combination of channels to reach the largest segment of Indian audiences – the age group of 16-34, and plan to touch their lives in every aspect like TV, mobile, Internet, events, merchandise, etc.”
On the Interactive business which includes animation, VFX and gaming, Screwvala was of the opinion that what was now visible was just the tip of the iceberg, but the true impact of this business would be seen by Q4 of this financial year, and thereafter as another high growth and margin business for UTV.