Zee Entertainment Enterprises Ltd (ZEEL) has reported a 38 per cent drop in its consolidated net profit for the second quarter ended September 30, 2009. As against a net profit of Rs 178.15 crore in Q2 FY09, ZEEL’s net profit stood at Rs 110.95 crore in Q2 FY10.
The total income for the second quarter also dropped to Rs 569.62 crore from Rs 599.62 in the corresponding quarter of the previous fiscal.
Meanwhile, ZEEL informed the Bombay Stock Exchange that the Board of Directors of the company at its meeting held on October 23, 2009, inter alia, had granted its in-principle approval for acquisition of the regional general entertainment channel business of Zee News Ltd (comprising six television channels – viz. Zee Marathi, Zee Talkies, Zee Bangla, Zee Telugu, Zee Kannada and Zee Cinemalu) under a Scheme of Arrangement, subject to appropriate statutory and regulatory approvals. The Board would meet again in due course, inter-alia to consider the terms of the Scheme of Arrangement, including but not limited to, the share swap ratio, the appointed date, etc.
Zee News Ltd has reported a 14.68 per cent increase in its consolidated net profit for Q2 FY10 at Rs 13.14 crore, as against Rs 11.46 crore in the corresponding quarter of the previous fiscal.
Zee News’ total income was also up 26.4 per cent at Rs 161 crore, while expenses stood at Rs 138 crore.