HT Media posts Rs 486 crore revenue in Q3

HT Media recently launched its financial results for the quarter ended December 31, 2023. The total revenue for the quarter came at Rs 486 crore, which is flat versus the same period last year. 

The EBITDA gives a flat number of Rs 29 crore versus the same period last year with margins at 6 per cent. The profit before tax came in at a loss of Rs 22 crore, which is an improvement of Rs 8 crores versus the same period last year.

Subsequently, the profit after tax for the aforesaid period came close to Rs 10.20 crore.

Chairman of HT Media Group said, '’The third quarter of the current fiscal year saw the festive season across the country, the Cricket World Cup, and also assembly elections in several states. As a result, overall business sentiment remained upbeat, supported by a moderating trend in general inflation and continuing rationalisation in the prices of key commodities.”

“On the back of stronger advertising revenues, our print business posted a sequential growth while the margins improved on both y-o-y and q-o-q, with newsprint prices normalising further. Radio saw better traction in the FCT segment which resulted in sequential revenue and margin improvement. The Digital business reported strong revenue growth, although investments in new business impact that vertical's margins,” he added.

In the key highlights, operating revenue saw an uplift in Q3 due to the festive season; however, advertisement spends during the festive were muted as compared to the previous year and to the expectations. EBITDA continues to improve given softening of newsprint rates and despite higher investment in the new business, which is OTTplay, according to the publication’s management. 

If you look at the print performance, revenue was flat for HT Media at Rs 283 crores and a 16 per cent growth sequentially over the prior quarter.

Their circulation revenue, however, saw a marginal decline of two per cent, which is predicated on the number of copies, the RPC still remains strong. 

Operating revenues, therefore, came at Rs 363 crore, which is down two percent versus the prior quarter, they are up 12 per cent versus Q2 which was at Rs 324 crores. Operating EBITDA came to Rs 26 crore against negative Rs four crores last year with margins at seven per cent.

Drilling down a level further, if we look at HT Media’s English print business, the y-o-y growth is at Rs 158 crore, which is virtually flat versus the same period last year. Sequentially, it's up 20 per cent at Rs 158 crore. 

Circulation revenue on a y-o-y basis is 14 percent higher. Sequentially, it is flat. If you look at Hindi ad revenue on a y-o-y basis, again flat at about one percent, and on a q-o-q basis, it's a 11 per cent growth. Circulation revenue, however, on y-o-y and q-o-q is a decline of seven per cent and six per cent primarily due to reduction of copies. 

Radio has been a bit of a challenge for the publication. “Radio revenue has not come up to speed as much as we would have liked to,” they said. 

There is a marginal decline of four per cent with revenues tracking to Rs 40 crores, and operating EBITDA stands at Rs three crore with a seven per cent margin as against 17 per cent margin last year.

The operating revenue of digital came at Rs 39 crore, which is a 34 per cent increase versus the same period last year. However, operating EBITDA also expanded the loss by about Rs 11 crore at negative Rs 34 crore. So, these are the investments in OTTplay that we are having. 

With the national elections around the corner and the infra push, HT Media believes consumer spending will pick up, and are hopeful of capitalising on the same. They remain cognizant of the ongoing global conflict and of sporadic attacks on global supply lines that could impact the overall business environment. But HT Media says, they will remain committed to their journalistic ethos and to being a singular destination for credible yet engaging news and entertainment.