Jagran Prakashan Ltd, the publisher of ‘Dainik Jagran’, has recorded a total net profit of Rs 32.01 crore in FY06 as compared to Rs 1.23 crore in the previous financial year. In Q4 FY06, The company’s Q4 FY06 net profit stood at Rs 13 crore, while revenues stood at Rs 130.88 crore.
The company reported 28 per cent growth in total income of Rs 483.53 crore in the financial year ended March 31, 2006 as against Rs 377.37 crore in the previous financial year.
“The sharp improvement in operational performance was marked by increase in advertising revenues, increased circulation coupled with higher per copy realisation and cost optimisation,” the company said in a statement.
The advertisement revenue increased by 32 per cent to Rs 306.62 crore, which was driven by increase in local advertising as well as colour advertising. JPL is adding colour-printing capacity across its various centres, which would further provide impetus to advertising growth.
The year saw an 8.8 per cent increase in the number of copies sold during the last fiscal. This was also accompanied by increase in cover price by Re 0.50 to Re 1.00 amongst several editions, the company stated.
“The optimisation of consumption between imported and indigenous newsprint led to significant cost savings. The rationalisation of employee strength also added to the savings of the company,” it added.
The operating margin improved to 15.8 per cent during the fiscal as compared to 7 per cent in the previous fiscal.
“We aim to establish Jagran Prakashan as a leading player in all of its businesses – be it in publication, out of home (OOH) advertising, promotional marketing and event management services,” said Mahendra Mohan Gupta, Chairman and Managing Director of Jagran Prakashan Ltd.
Jagran Prakashan had come out with an IPO to raise Rs 321.25 crore during the last quarter of FY06. The issue was oversubscribed 14 times.