DB Corp Limited (DBCL), India’s largest print media company and home to flagship newspapers DainikBhaskar, Divya Bhaskar, Dainik Divya Marathi, and Saurashtra Samachar, today announced its financialresults for the quarter ended December 31, 2016. The highlights of the company’s operational andfinancial performance are as follows:
Performance highlights for 9M FY 2016-17 - Consolidated
• Consolidated advertising revenues grew by 11 per cent YOY to Rs. 12406 million as against Rs.11212 million during 9M last year.
• Circulation revenue grew by 12per cent YOY to Rs. 3597 million from Rs. 3220 million during 9Mlast year. 10per cent growth has come from Yield growth, largely from mature markets only.
• Dainik Bhaskar was awarded ISO-9001:2015 certification for Quality ManagementCirculation Distribution Systems and is probably the only newspaper organisation in Indiato receive this certification.
• Consolidated Total Revenues grew by 13per cent YOY to Rs. 17528 million, as against Rs. 15586million during 9M last year.
• DBCL EBITDA grew by 24per cent YOY during 9M FY 2017 to Rs. 5419 million (margins 31per cent)from Rs. 4379 million (margin 28per cent); margin expansion of 300 bps, after considering forexloss of Rs. 10.4 million.
• Consolidated PAT grew by 34per cent to Rs. 3106 million (margin 18per cent) from Rs. 2318 million(margin 15per cent), after considering forex loss of Rs. 38.2 million.
• Radio business grew by 21per cent YOY to Rs. 942 million from Rs. 778 million last year.
• Radio business EBIDTA grew by 40per cent YOY to Rs. 398 million (margin 42per cent) from Rs. 285million (margin 37per cent); margin expansion of 500 bps.
• Radio business PAT grew by 49per cent YOY to Rs. 215 million (margin 23per cent) from Rs. 144million (margin 19per cent).
• Digital business revenue grew by 26per cent to Rs. 425 million from Rs. 340 million duringcorresponding period.
Performance highlights for Q3 FY 2016-17 - Consolidated
• Advertising revenues reported growth of 4per cent YOY to Rs. 4530 million in current periodfrom Rs. 4356 million in Q3 of last fiscal.
• Circulation revenue has increased 9per cent YOY to Rs. 1243 million from Rs. 1141 million,primarily due to yield-driven growth; largely growth has come from mature market.
• Total revenue reported growth of 6per cent YOY at Rs. 6309 million in current period from Rs.5947 million in Q3 last fiscal.
• EBIDTA grew by 4per cent YOY to Rs. 2019 million with EBIDTA margin of 32per cent for the quarter;against EBITDA of Rs. 1944 million (margin 33per cent) Q3 of last year, after considering forexloss of Rs. 10.4 million.
• PAT grew by 7per cent YOY at Rs. 1181 million (PAT Margin 19per cent), against Rs. 1107 million (PATMargin 19per cent), in Q3 of last year, after considering forex loss of Rs. 26.7 million.
• Advertising revenues in radio businessexpanded by 12per cent YOY to Rs. 363 million in Q3 ofcurrent period, against Rs. 323 million in Q3 of last fiscal.
• Radio business EBIDTA grew by 3per cent YOY at Rs. 148 million (41per cent margin); Radio Businessmaintains highest EBIDTA margin amongst all major peers.
• Radio Business PAT grew by 3per cent YOY to Rs. 81 million (22per cent margin).
• Digital business revenue grew by 33per cent to Rs. 162 million from Rs. 123 million reportedduring corresponding quarter last fiscal.
Commenting on the performance for Q3 & 9M FY 2016-17, Sudhir Agarwal, Managing Director,DB Corp, said, “The resilience of our business model and strength of our operating strategy hasbeen brought to the fore by our performance in Q3, which has broadly been a quarter of weak demandand subdued consumer spending and I take this opportunity to thank the team for their sincerity anddedication. Dainik Bhaskar has been acknowledged as the nation’s largest circulated multi-edition dailyby RNI, which is again an endorsement of our operating approach and philosophy. We have undertakenseveral growth-oriented initiatives across all our print, digital, and radio segments that have made aholistic impact on the business. We will continue to maintain this discipline and control at all levels whilewe are also empowering employees to enhance agility in the workplace.
We expect the immediate-to-midterm impact of the currency purge undertaken by the government, onconsumption, to normalise over the next few months, a process which has already slightly startedimproving. We will continue to sharpen our strengths across our print and non-print businesses aswell asour deep knowledge of our customers’ domain that are driving our ability to play a strategic role in theIndian M&E environment.”
Print-Mature Business EBITDA margin stands at 35 per cent
An analysis and break-up of Mature and Emerging Business financials on a quarterly basis is givenbelow. Emerging businessesare classified as those that are below four years of age or profitable since last four quarters, whichever is earlier.
* Emerging Business includes Mobile App Downloading Business and E-real Estate, dedicatedwebsite business. Besides, Jharkhand and most part of Maharashtra, after completion of four years havebeen transferred to mature editions with effect from Qtr 1 - FY 17.