Zee Entertainment Enterprises Ltd. reported a profitable June quarter with a net profit of ₹118.1 crore, reversing the ₹53.4 crore loss from the same period last year. The company also showcased significant improvements in its EBITDA margins and provided an optimistic outlook for the current financial year.
Key Financial Highlights
– Net Profit: ₹118.1 crore
– Change: From a ₹53.4 crore loss in Q1FY24
– Total Revenue: ₹2,130.5 crore
– Change: Increased by 7.4% from ₹1,987 crore in Q1FY24
EBITDA and Margins
– EBITDA: ₹271.7 crore
– Change: Up by 75.3% from ₹155.1 crore in Q1FY24
– EBITDA Margin: Expanded to 12.8%
– Change: Improved by 500 basis points from 7.8% in the same quarter last year
Revenue Breakdown
– Domestic Advertising Revenue: Declined by 3.6% due to the T20 tournament and General Elections
– Subscription Revenue: Increased to ₹102 crore
Outlook and Guidance
– FY25 EBITDA Margin: Expected to be ‘meaningfully better’ compared to FY24
– FY26 EBITDA Margin Goal: Aiming for an industry-leading margin between 18% to 20%
The company noted that while Q1 has started positively with significant margin improvements, future growth will depend on a pickup in advertising revenues in the second half of the financial year.
Share Market Reaction
– Current Trading Price: ₹151.54
– Change: Up by 4.40% as of 2:11 PM
| Metric | Value | Change |
|---|---|---|
| Net Profit | ₹118.1 crore | From a loss of ₹53.4 crore |
| Total Revenue | ₹2,130.5 crore | +7.4% year-on-year |
| EBITDA | ₹271.7 crore | +75.3% year-on-year |
| EBITDA Margin | 12.8% | Improved by 500 basis points |
| Subscription Revenue | ₹102 crore | Increased from previous year |
| FY25 EBITDA Margin Outlook | Meaningfully better | Compared to FY24 |
| FY26 EBITDA Margin Target | 18% to 20% |
Zee Entertainment’s strong quarterly performance and positive outlook for the upcoming fiscal years highlight a robust recovery and strategic focus on margin expansion and revenue growth.
