ZEEL reports net profit of Rs 272.36 cr in Q4FY21
The network posted Rs 1122.96 crore domestic ad revenue up by 8.9% YoY, driven by the continued recovery in the macro advertising environment, said ZEEL in BSE filing
The media conglomerate Zee Entertainment Enterprises Ltd has reported a consolidated net profit of Rs 272.36 crore for the quarter ended on March 31, 2021, against a net loss of Rs 765.82 crore for the quarter ended on March 31, 2020.
“FY21 revenues remained suppressed due to impact of COVID in H1FY21,” said the company in BSE filing.
During the quarter, the network posted a total income of Rs 1984.39 crore, a decrease of 0.37%. The company’s total income stood at Rs 1991.74 for the same quarter last year.
"The network’s strong recovery continues in domestic advertising revenue. The network posted Rs 1122.96 crore domestic ad revenue up by 8.9% YoY, driven by the continued recovery in the macro advertising environment," said ZEEL in BSE filing. However, FY21 domestic advertising revenue declined by 19.7% due to the impact of the pandemic in H1.
In the BSE filing, the company said, “ZEE network share improves to 18.9%, continues to be India’s number two TV entertainment network. Network share grew by 70bps QoQ led by FTA and two channels in South markets.”
It also mentioned that in the first full year of operations, ZEE’s new regional channels have established strong positions in their respective markets. Also, Bengali, Telugu, and Kannada channels improved shares during the year, whereas performance in Tamil and Marathi lagging expectation.
During the quarter, the company’s subscription revenue posted an increase of 8.36% to Rs 803.35 crore against Rs 741.36 crore for the quarter ended on March 31, 2020. “Like to like growth (excluding reclassification of music subscription revenue) of 5.6% and 5.8% for the quarter and year respectively, was primarily driven by ZEE5,” said the company.
On the other sales and services, Zee posted revenue of Rs 39.51 crore against Rs 170.78 crore in the previous quarter of last year. The decreased year on year was due to the continued impact of the pandemic on theatrical revenues and reclassification of music revenue to subscription.
Meanwhile, the network posted an expense of Rs 844.27 crore against Rs 1304.62 crore for the quarter ended March 31, 2020. The network said, “Programming cost (excluding one-time inventory write-off of Rs. 2,598mn in Q4FY20) declined by 19.2% during the quarter, primarily due to lower accelerated inventory amortisation this quarter; Adjusted programming cost for the year declined by 8.2% due to lower original programming during the first quarter.”
