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DB Group's digital ad revenue grow 82% in Q2; radio business ad revenue up 5.2% YoY

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DB Group's digital ad revenue grow 82% in Q2; radio business ad revenue up 5.2% YoY

DB Corp Limited (DBCL), print media company and home to flagship newspapers Dainik Bhaskar, Divya Bhaskar, Divya Marathi and Saurashtra Samachar, today announced its financial results for the second quarter and half year ended September 30, 2015. The highlights of the Company’s operational and financial performance are as follows:

According to the results, the total revenues stand flat at Rs 4837 million, as against Rs 4838 million in Q2 last fiscal. Circulation Revenue has increased YoY 16% to Rs 1057 million from Rs. 915 million, primarily due to yield driven growth, largely coming from mature markets.

In Q2 FY16, in DB Group’s mature markets (other than Jharkhand, Bihar and Maharashtra) , Circulation revenue grew by 14.8 % YoY and net realisation grew by 13.6% YoY, post implementation of strategy to drive yield growth.

Advertising revenues stand at Rs 3433 million as against Rs 3610 million, in Q2 last fiscal, lower also due to impact of difference in Navratri Festival dates. DBCL achieved EBIDTA Margins of 24% at Rs 1171 million from Rs 1271 million of last year, after factoring forex loss of Rs 15.6 million and Bihar launch related preoperative expenditure of Rs 27.7 million.

PAT margin stands 12%, at Rs 591 million against Rs 681 million, after factoring forex loss of Rs 29.2 million and Bihar launch related preoperative expenditure of Rs 27.7 million.

Radio business ad revenue grew by 5.2% YoY to Rs. 240 million from Rs 228 million in Q2 of last fiscal. Radio business EBIDTA stands at Rs 80.3 million (EBIDTA margin 33.4%). Radio business PAT stands at Rs 40 million (PAT margin 16.5%).

Digital Media DB Digital ad revenue grew by 82% to Rs. 114 million from Rs. 63 million of last year. Digital Media DB Digital unique visitors grew impressively YOY to 40 million from 14 million in last fiscal.

Commenting on the performance for H1 & Q2 FY 2015-16, Sudhir Agarwal, Managing Director, DB Corp Ltd said, “This quarter, we accomplished another expansion milestone as we consolidated our presence in Bihar a region of strong strategic importance. Now with four editions and seven district editions in Bihar we are able to provide better reach to advertisers and cater to an under-tapped yet potential readership base. The yield strategy we have adopted has begun delivering good results as evident from a consistent growth in yields. We are patiently continuing to have intensive and successful discussions with our national and local advertisers who have supported our yield strategy and highly appreciate the value we bring to support their plans. We are committed to strengthen these relationships as we progress.

“DB Digital has been performing well as we continue to gather commendable momentum through a 177% growth in page views and unique visitors. Our radio business strategy to be the market leading radio business in ‘Unmetro’ regions is well aligned to print business and with the recent acquisition of 14 frequencies in the Phase 3 auctions, we are now strongly placed to offer a very compelling package and reach to advertisers in Maharashtra, Rajasthan, CPH and Gujarat. On an overall basis, we continue to take all measures to leverage our strengths across print, radio and digital businesses to drive growth aggressively, while also ensuring that we continue to achieve better organizational efficiencies. We are very confident of our operating strengths and we continue to take every step to maintain our vision for growth and our leadership position, as we equip ourselves to capitalize on potential opportunities.”

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