DB Corp Limited (DBCL) one of India’s largest print media company, on Thursday announced its financial results for the quarter and nine months ending December 31, 2014.
The company publishes seven newspapers -- Dainik Bhaskar (37 editions), Divya Bhaskar (seven editions) and Divya Marathi (seven editions) and 199 sub-editions in four languages (Hindi, Gujarati, English and Marathi) across 14 states in India. It also owns Saurashtra Samachar, a Gujarati daily.
The highlights of the company’s operational and financial performance are as follows: The consolidated 9M FY 2014-15 total revenues increased by 8.3 per cent to Rs 15,400 million from Rs 14,214 million. The advertising revenues shot up by 7.8 per cent to Rs 11,623 million against Rs 10,778 million during the corresponding period last year. DBCL achieved EBIDTA (Earnings Before Interest, Taxes, Depreciation and Amortisation) margins of 29.8 per cent in 9M FY 2015 at Rs 4,587 million from Rs 4,115 million (28.9 per cent) of last year with YOY growth of 11.5 per cent.
The consolidated Q3 FY 2014-15 total revenues have witnessed a growth of 6.1 per cent YOY to Rs 5,574 million in Q3 against Rs 5,256 million of Q3 last fiscal. Revenues from advertising reported a growth of 6.2 per cent YOY to Rs 4,283 million in the current period from Rs 4,035 million in Q3 last fiscal, which had a high base of Q3 last year. EBIDTA margin for the quarter came in at 33.6 per cent at Rs 1,876 million, against 30.9 per cent and EBITDA of Rs 1,625 million in Q3 FY 2014 with YOY growth of 15.4 per cent.
DBCL remains the highly respected regional news daily among 19.8 million readers across India’s fastest growing markets. The recent Audit Bureau of Circulation result for six months (January-June 2014) declared Dainik Bhaskar as the largest circulated national daily of India. It maintains leadership in Madhya Pradesh, Chhattisgarh, Chandigarh, Punjab, Haryana, Gujarat and urban Rajasthan. Besides, the newspaper is emerging strong in Jharkhand, Maharashtra and Bihar.
Commenting on the performance for Q3 and 9M FY 2014-15, Sudhir Agarwal, DBCL’s Managing Director, said, “This quarter we focussed on three core areas -- product, content and distribution. A mix of high-quality product, led by innovative content, focus on local news coverage in each region, various ground activation initiatives to intensify reader engagement and events to welcome greater corporate partnerships have contributed towards improving our reach among readers across.”
He added, “We continue to progress well through Jharkhand, Bihar and Maharashtra, making a good headway in the readership profiles of SEC A and B categories, particularly Bihar and Maharashtra, even on the back of a higher cover price. In Jharkhand, we are working hard to move towards our target in this fiscal. Our focus on stronger internal operating efficiencies has ensured our financial health through better expense management, while newsprint costs have also seen a correction which has contributed to the strong bottom line.”
He said the company’s non-print business continued making steady strides. “The environment within the digital, mobile and radio world in Tier 2 and 3 cities is exciting. There’s much to explore the consumption behaviour and trends in regional language in these areas. Our digital properties have been gaining larger viewership due to real time region-specific coverage. Our mobile app has been developed with best-in-class engineering to serve audiences, struggling with slow connectivity issues in tier 2 and 3 cities. We expect a good response from it. The government has been working towards speeding up the reform implementations required to boost industrial and economic growth. We expect to see some impact on better GDP numbers over the next two years. We are confident of our operating strengths and continue to execute to plan while maintaining stability in our profitability outlook.”