Sun TV Network has announced its financial results for the third quarter of the fiscal year 2023-24. The company reported a consolidated net profit of Rs 454 crore, marking a significant increase of 6.8% compared to Rs 425 crore in the corresponding quarter of the previous fiscal year.
The total income of the company witnessed a healthy growth of 7.5%, reaching Rs 1059 crore, while operating revenue showed a steady rise of 4% to Rs 923 crore. However, expenses also increased by 7.8% to Rs 451 crore, reflecting the company’s continued investments in its various business verticals.
In terms of operational performance, the company witnessed a marginal increase in EBITDA, which rose by 0.9% to ₹589.4 crore in the third quarter of the fiscal year compared to ₹584.4 crore in the corresponding period last year. However, the EBITDA margin, representing the proportion of earnings before interest, tax, depreciation, and amortization to total revenue, experienced a slight decrease, standing at 63.8% in the reporting quarter, down from 65.9% in the same period in the previous fiscal year.
The board of Sun TV Network has approved the reappointment of Mr. Rajaraman Mahesh Kumar as the Managing Director of the company for a term of five years, effective from April 1, 2024, pending shareholder approval. Furthermore, Ms. Kaviya Kalanithi Maran, daughter of Sun TV Network promoter Mr. Kalanithi Maran, and Mr. Krishnaswamy Vijaykumar have been reappointed as executive directors for the same tenure, indicating continuity in the company’s leadership.
Additionally, the company’s subsidiary, Kal Radio, has greenlit a proposed scheme of amalgamation with Udaya FM, while a composite scheme of arrangement for amalgamation involving South Asia FM and its Joint Ventures/Associate Companies has also received approval. These strategic initiatives aim to streamline operations and enhance synergies within the group.
The proposed amalgamation schemes, with an appointed date of April 1, 2023, are subject to regulatory approvals, including clearance from the National Company Law Tribunal (NCLT) under Sections 230 and 232 of the Companies Act, 2013.
In line with its commitment to shareholder value, Sun TV Network has declared an interim dividend of Rs 2.50 per share (50%) on a face value of Rs 5 per share. The company’s Earnings Per Share (EPS) for the current quarter increased by 5.05% to Rs 11.10, showcasing its financial strength and operational resilience.
Sun TV Network, known for its diverse portfolio of media assets, owns 35 television channels catering to audiences across six languages. The company operates the popular OTT platform Sun NXT and has a presence in the FM radio segment with stations located across India. Sun TV Network also holds ownership stakes in two cricket franchises, SunRisers Hyderabad and SunRisers Eastern Cape, competing in the Indian Premier League (IPL) and South African T20 leagues, respectively.
