Network18 Media & Investments Limited yesterday announced its financial results for the quarter ending June 30th, 2020. Network18 posted a net loss of Rs 60.6 crore, down from the net profit of Rs 60.19 crore in the preceding quarter. COVID-19 dragged ad-revenues sharply especially on Entertainment taking a big hit on the total revenues while TV subscription revenue remained resilient.
Results at a Glance
- Consolidated revenue at Rs 807 crore
- Consolidated EBIDTA at Rs 27 crore
- Net loss at Rs 60.6 crore in Q1
- News18 revenues at Rs 230 crore
- Viacom18+AETN18+Indiacast revenues at Rs 546 crore
- TV18 consolidated revenues (including subscription) at Rs 776 crore
- TV18 subscription revenue at Rs 450 crore, up by 6% y-o-y
News18 revenues stood at Rs 230 crore in Q1, down from Rs 301 crores in Q4 FY 20. Viacom18+AETN18+Indiacast revenues stood at Rs 546 crore in Q1, down from Rs 1,124 crore in Q4 FY 20. TV18’s subscription revenue stood at Rs 450 crore in Q1, down from Rs 468 crore in Q4 FY 20.
The consolidated Network18 revenues came down to Rs 807 crore, from Rs 1464 crore revenue in Q4 FY 20. The ad-revenues have dropped sharply due to clampdown on spending by advertisers. While News was relatively better, General Entertainment suffered due to no original content.
The linear TV subscription revenue however remained resilient. Advertisers started returning in June, especially in News. Network18 has implemented broad-based cost controls across business lines.
Mr. Adil Zainulbhai, Chairman of Network18, said: “The quarter that went by was the most challenging period that the industry has witnessed in many decades. That we are emerging on the other side bears testimony to our ability to question and modify established ways of operating, realign priorities and maintain focus, all while keeping our workforce safe and our audiences engaged. Our staff and employees undertook a heroic effort to adjust to the challenges posed by the pandemic, and kept our channels and properties running. We are proud of the personnel that kept the show going amidst trying circumstances, especially for the News18 network that provided peerless coverage and relevant campaigns during the pandemic. As we resume original content production in Entertainment amidst tight protocols, we wish to thank our audiences who have stood by us over the years. Growing TV and Digital media consumption, a nimbler business strategy and further-strengthened core brands in our portfolio…..we believe this is indeed the new normal.”
TV18 reached 560 mn viewers in Q1 through its 20 domestic channels while CNBC TV18, and CNBC Awaaz continued to dominate their respective genres.
Colors had a 13.8% share in Q1 with DD classics ‘Mahabharat’ and ‘Om Namah Shivaay’ acquired to keep audiences engaged during prime-time, and helped the channel regain the top-3 ranking.
The return of Colors Rishtey and Rishtey Cineplex on DD Free Dish will help regain ad-revenues in the rural and mid-tier market segment with the NTO implementation settled, Network18 stated.
Nick continued to lead in the Kids genre with Nick, Sonic, and Nick Jr commanding a 32% market share in the Kids genre. Viacom18 continues to occupy the top positions in English entertainment genre with 64% viewership out of which Colors Infinity made up for 7% share.
MTV Beats had a share of 15.5% viewership share, ranking 3 in the Music genre. Colors Kannada and Colors Super held 20% viewership share with 5% share for Colors Super.
Investments to the tune of Rs 16 Cr in digital subscription-offerings (Voot Select and Kids) and regional movie channels (Kannada, Gujarati and Bengali Cinema) were made during Q1.