Shares of Zee Entertainment Enterprises remained in focus after the company reported its Q3 FY26 financial results for the quarter ended December 31, 2025, reflecting pressure on profitability amid weak advertising trends, despite stable subscription revenues.
Zee Entertainment Q3 FY26 key financial highlights
For the December quarter, Zee Entertainment reported revenue from operations of Rs 22,985 million, compared with Rs 20,133 million in Q3 FY25, indicating a year-on-year growth driven largely by subscription income and other sales and services.
Advertisement revenue, however, declined on a year-on-year basis, standing at Rs 8,515 million in Q3 FY26 versus Rs 9,406 million in the same quarter last year, highlighting continued softness in the advertising environment. Subscription revenue rose to Rs 10,502 million, compared with Rs 9,825 million a year ago, providing partial support to overall topline performance.
Profitability weakens YoY
Zee Entertainment’s profit after tax (PAT) for the quarter came in at Rs 1,548 million, sharply lower than Rs 1,636 million reported in Q3 FY25. The decline was driven by higher operational costs and elevated advertising and publicity expenses, which increased to Rs 3,484 million during the quarter.
Profit before tax from continuing operations stood at Rs 2,017 million, compared with Rs 1,978 million in the year-ago period, while exceptional items continued to weigh on net profitability.
Nine-month performance snapshot
For the nine months ended December 31, 2025, Zee Entertainment posted total income of Rs 61,439 million, broadly flat compared with Rs 61,972 million in the corresponding period last year. Net profit for the nine-month period declined to Rs 3,750 million, from Rs 4,911 million in the previous year, reflecting sustained margin pressure.
Outlook
The Q3 performance underscores Zee Entertainment’s ongoing challenge of navigating a weak advertising cycle while relying on subscription-led stability. Investors will closely track recovery in ad spending, cost rationalisation measures and strategic execution in the coming quarters.
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