The Network18 Group has announced its results for the quarter ending June 30, 2013. Profit after tax for Q1 FY14 stood at Rs 18.9 crore as compared to Q1 FY13 loss of Rs 90.2 crore. Net interest costs reduced by 72 per cent on a YoY basis.
Consolidated operating revenues for the quarter stood at Rs 556.6 crore on a reported basis. Reported revenues for the television and motion pictures business (including IndiaCast) stood at Rs 396.2 crore for the quarter. Advertising revenues grew 6 per cent year on year. Net distribution income grew 32 per cent sequentially to Rs 34.9 crore this quarter, swinging from a loss of Rs 16.0 crore during Q1 FY14.
The Group’s digital content and e-commerce business grew to Rs 106.9 crore, registering a growth of 174 per cent over the corresponding quarter during the previous year (adjusted for the sale of Newswire18).
Announcing the results, Raghav Bahl, Managing Director, Network18 said, “The macroeconomic environment continues to be challenging and growth prospects remain uncertain. Despite this backdrop, our core TV and Digital businesses turned in a steady performance. We continued the profitable monetization of our investments and raised growth capital in HomeShop18. There were pockets of weaknesses in our portfolio and we are committed to improving segments that are not meeting expectations. We have a strong portfolio of media businesses and remain confident of unlocking their value for our stakeholders.”
Commenting on the results for the quarter, B Saikumar, Group CEO, said, “The core television and digital businesses got off to a stable start in the new fiscal year. Our entertainment broadcasting business showed strength and the ecommerce businesses grew strongly. While our news and infotainment businesses have seen distinct softness in advertising, our entertainment businesses led by Colors have performed well on this front. Motion pictures have seen losses this quarter and the management is confident of stemming them in the immediate term. Net Distribution Revenues from IndiaCast are on a strong growth trajectory and we continue to be enthused by its growth potential. Our e-commerce businesses continued their stellar growth and the digital content business grew steadily as well. We remain confident of delivering a strong year ahead.”