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Zee Telefilms records 24.5 per cent growth in first quarter

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Zee Telefilms records 24.5 per cent growth in first quarter

Zee Telefilms Ltd has recorded a 24.5 per cent growth in the first quarter over the corresponding period in the previous fiscal, while the consolidated operating profit has shown a 1.8 per cent growth at Rs 998 million, excluding Padmalaya.

The net profit of the company has registered a growth of 12.6 per cent at Rs 779 million. Zee Telugu, Zee Smile, Zee Sports together contributed 4.3 per cent of the consolidated revenues amounting to Rs 147.5 million.

On the impressive results, Subhash Chandra, Chairman and Managing Director, Zee Telefilms, said, "We had a fairly good first quarter and we are set for a good performance in FY 2006. We are happy that our efforts to further improve the quality of content have started to show results. We have increased the GRPs of Zee channels over the previous year, while maintaining lead in Hindi movies, music and regional language channels. We have gained momentum and shall build on our success in the coming year."

Pradeep Guha, CEO, Zee Telefilms said, "There is a clear trend of increasing viewership evident in our channels. We have simultaneously revamped our sales network reflected in improved results. Of the several forthcoming attractions, Rabba Ishq Na Hove, a new prime time show launched on Zee TV channel, shows immense promise. Other forthcoming attractions include Business Baazigar, a reality show for identifying entrepreneurial talent, and Kam Ya Jyada, an exciting game show with an imported format."

In terms of revenues from ads, Zee posted an impressive growth of 16.7 per cent at Rs 1,315 million as compared to the corresponding quarter last year. Zee primarily generates its revenues from advertising sales and subscriptions.

The overall subscription revenue is up at Rs 1,734 million, registering an increase of 13.3 per cent over the corresponding quarter last fiscal. Other sales and services, recorded a growth of 224.2 per cent to Rs 422 million, from Rs 130 million as compared to the same period last year.

However, the overall cost of goods and operations has risen to 40.4 per cent as compared to last year mainly due to investments made in new channels like Zee Sports, Zee Smile, Zee Telugu, Zee Jagran and on marketing spend on Dish TV. Even marketing and administrative costs have recorded an increase, thereby the total expenses increased by 36.9 per cent.

Zee Telefilms is a diversified entertainment company with a multi-pillar approach to business. Its operations lie in four segments - content and broadcasting, access, film production and distribution, education and others.


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Prior to joining Madison PR in 2012 Chaudhary was Group President Corporate Communications at Reliance Industries Limited.