Zee Entertainment Enterprise Ltd (ZEEL) has reported a 7.29 per cent drop in its consolidated net profit for the fourth quarter ended March 31, 2009, attributed to a 7 per cent drop in advertising revenues. Meanwhile, Zee Next, the second Hindi GEC of ZEEL, has been put on suspension mode.
“Zee Next was incurring some losses and we have now put the channel on suspension mode. No additional investments will be made in the channel,” said Subhash Chandra, Chairman, ZEEL, while speaking to analysts after the announcement of the company’s annual and quarterly results on April 22, 2009.
Market experts said that the company might be looking out for a strategic partner for the channel. “There were negligible losses incurred this quarter on account of Zee Next. The company does not expect any losses on this channel during the ensuing fiscal,” a company release stated.
ZEEL has posted a net profit of Rs 5,196.40 million for the year ended March 31, 2009, where as the same was at Rs 4,160.60 million on a consolidated basis for the year ended March 31, 2008. Total income stood at Rs 23,326.90 million for the year ended March 31, 2009, as compared to Rs 19,491.80 million for the year ended March 31, 2008.
Meanwhile, the group has posted a net profit of Rs 968.10 million for the quarter ended March 31, 2009, where as the same was at Rs 1,044.20 million for the corresponding quarter last fiscal. Total income for Q4 FY09 stood at Rs 5,776.10 million, as compared to Rs 5,694.70 million for the quarter ended March 31, 2008.
Zee Next was launched as the second Hindi general entertainment channel from the Zee stable with much fanfare on December 17, 2007.