DB Corp, home to flagship newspapers Dainik Bhaskar, Divya Bhaskar, Divya Marathi and Saurashtra Samachar, has announced a 10 per cent increase in its total revenues for the first quarter ended June 30, 2014 to Rs 4,987 million from Rs 4,549 million in Q1 of last fiscal, on a very high base of Q1 of last year.
Revenues from advertising reported a growth of 8 per cent to Rs 3,730 million in Q1 FY15 as against Rs 3,457 million in the same period last year.
EBIDTA margin for the quarter was reported at 29 per cent at Rs 1,441 million, as against Rs 1,374 million in Q1 FY2014, growing by 5 per cent.
Print business EBIDTA margins stood at 29.2 per cent at Rs 1,377 million, while profit after tax for the print business stood at Rs 765 million (16.2 per cent PAT margin).
For the radio business, advertising revenues have expanded by 21 per cent to Rs 207 million in Q1 of current period, against Rs 172 million in Q1 FY14. Radio business EBIDTA stood at Rs 73 million (35 per cent margin) in Q1 FY15. Radio Business PAT stood at Rs 35 million (17 per cent margin) in Q1 FY15.
DB Corp reported 134 per cent growth in its digital business revenues to Rs 59 million from Rs 25 million of last year. Digital business EBIDTA losses reduced to Rs 8 million from Rs 31 million of last year.
Commenting on the performance for Q1 FY15, Sudhir Agarwal, Managing Director, DB Corp said, “We are happy to report a sound performance to start our fiscal year that reflects that we have sustained our growth momentum. We have maintained our strengths and leadership position in all our legacy markets as we also continue to demonstrate good growth in our emerging editions. Having already demonstrated operational excellence in the print business, we have also maintained a similar focus and emphasis on DBCL’s non-print segments spanning our digital and radio initiatives. Both these segments hold tremendous potential to capitalise on over the next few years, given India’s still nascent exposure to internet penetration and yet one of the largest and fastest growing digital markets.”
We have successfully leveraged our strengths in the print medium to deliver robust growth in the digital and radio businesses also and are in the process of achieving greater scale as well as being well placed to take advantage of future growth opportunities. On an overall basis, we have continued to capitalise on organisational efficiencies, expense management and maintained a strong momentum across print and non-print segments, supported by innovative brand development endeavours and a reader-centric approach that continues to drive growth.
The macro-economic environment centred on a stable government reflects positive sentiments that are expected to translate into better GDP numbers. The current environment demands an agile operating model that can capture diverse growth opportunities. We are confident of our operating strengths and continue to execute to plan and invest for growth, while maintaining stability in our profitability outlook.”