TV Today Network Q2 net profit rises to Rs 7.75 crore; revenue up nearly 5%

TV Today Network, the broadcaster behind news channels including India Today and Aaj Tak, reported a consolidated net profit of Rs 7.75 crore for the second quarter of FY27, compared with a net loss of Rs 1.98 crore in the corresponding quarter last year.

The company's revenue from operations rose 4.7% year-on-year to Rs 194.38 crore in the quarter ended September 30, 2026, from Rs 185.68 crore in the year-ago period, according to its unaudited financial results filed with the stock exchanges on Monday.

However, profitability moderated sequentially. Consolidated net profit declined around 24.5% from Rs 10.26 crore in the June 2026 quarter, while revenue from operations fell 5.7% from Rs 206.22 crore in the preceding quarter.

Total consolidated income, including other income, stood at Rs 204.92 crore during the September quarter, compared with Rs 195.21 crore in the corresponding period last year. Other income increased to Rs 10.54 crore from Rs 9.53 crore.

Total expenses rose to Rs 194.41 crore from Rs 187.49 crore a year earlier, reflecting higher expenditure across several operating cost categories.

Employee benefits expense stood at Rs 84.05 crore during the quarter, compared with Rs 86.19 crore in the year-ago period. Production costs increased to Rs 22.60 crore from Rs 18.81 crore, while other expenses rose to Rs 78.55 crore from Rs 74.47 crore.

Depreciation and amortisation expenses increased to Rs 8.65 crore from Rs 7.58 crore. Finance costs remained relatively stable at Rs 0.56 crore.

Profit before exceptional items and tax from continuing operations increased to Rs 10.51 crore in the September quarter, compared with Rs 7.72 crore in the corresponding quarter of the previous financial year. Profit from continuing operations after tax stood at Rs 7.61 crore, against Rs 5.58 crore a year earlier.

The company's consolidated earnings per share from continuing and discontinued operations stood at Rs 1.30 for the quarter, compared with a loss per share of Rs 0.33 in the year-ago period.

First-half performance improves

For the six months ended September 30, 2026, TV Today Network reported consolidated revenue from operations of Rs 400.60 crore, up from Rs 382.87 crore in the corresponding period of the previous financial year.

Total income increased to Rs 417.58 crore from Rs 403.04 crore.

Consolidated net profit for the first half of FY27 stood at Rs 18.01 crore, compared with Rs 5.37 crore in the year-ago period. Profit before tax from continuing operations increased to Rs 24.25 crore from Rs 17.72 crore.

The improvement in first-half profitability was also supported by a turnaround in the performance of the company's radio broadcasting business, which is classified as a discontinued operation.

The radio business reported a profit before tax of Rs 0.40 crore during the six-month period, compared with a loss of Rs 9.95 crore in the corresponding period last year. After tax, the business reported a profit of Rs 0.29 crore against a loss of Rs 7.46 crore.

Radio business sale for Rs 10 crore

TV Today Network is in the process of selling its FM radio broadcasting business to Abhijit Realtors and Infraventures Private Limited for a total consideration of Rs 10 crore.

The company had entered into a binding memorandum of understanding with Abhijit Realtors on November 25, 2025. The proposed transaction is structured in two stages: first, transferring the radio business to Vibgyor Broadcasting Private Limited, a wholly owned subsidiary of TV Today Network, and subsequently transferring the entire shareholding of Vibgyor to the buyer.

The proposed transaction follows an earlier unsuccessful attempt to sell the radio operations. In February 2025, the company had entered into an agreement with Creative Channel Advertising and Marketing Private Limited for the proposed sale of the business. 

However, Creative withdrew from the transaction during the September 2025 quarter, following which the memorandum of understanding was terminated. The advance received was forfeited and the company recognised impairment losses on assets related to the radio business.

Following the subsequent agreement with Abhijit Realtors, TV Today Network received in-principle approval from the Ministry of Information and Broadcasting for the transfer of the radio business to Vibgyor. The Grant of Permission Agreement was novated in favour of Vibgyor on January 7, 2026.

The Wireless Planning and Coordination Wing of the Ministry of Communications also approved the migration of the Wireless Operating Licence from TV Today Network to Vibgyor on April 2, 2026.

Considering that the proposed sale is highly probable and expected to be completed within the prescribed period under accounting standards, the company has classified the radio business-related assets as a disposal group held for sale. Its financial performance has consequently been reported under discontinued operations.

The company had recognised an impairment loss of Rs 9.63 crore relating to the radio business during FY26.

Operating cash flow turns positive

The broadcaster reported a significant improvement in cash generation during the first half of FY27.

Consolidated net cash inflow from operating activities stood at Rs 43.14 crore for the six months ended September 30, 2026, compared with a net cash outflow of Rs 45.68 crore in the corresponding period last year.

Cash generated from operations stood at Rs 31.10 crore, compared with a cash outflow of Rs 36.07 crore in the first half of FY26.

The company reported a net cash outflow of Rs 55.97 crore from investing activities during the period, primarily reflecting a net investment of Rs 47.71 crore in bank deposits and capital expenditure of Rs 13.16 crore on property, plant and equipment and intangible assets.

Net cash outflow from financing activities stood at Rs 5.01 crore, largely comprising payments towards lease liabilities.

Consequently, consolidated cash and cash equivalents stood at Rs 6.59 crore as of September 30, 2026, compared with Rs 11.93 crore at the end of the corresponding period last year.

Labour code impact recognised in previous financial year

The company also disclosed that the financial impact of the new labour codes had been assessed and accounted for as an exceptional item in FY26.

The government had notified four labour codes in November 2025, consolidating 29 existing labour laws. Following an assessment of the new codes and the Central Rules notified on May 8, 2026, TV Today Network determined the overall financial impact at Rs 9.46 crore for the year ended March 31, 2026.