DB Corp revenue up 6.3% at Rs 5,265 mn in Q4 FY2015-16

PAT remained flat at Rs 642 million for the quarter ending March 31, 2016. Advertising revenue stood at Rs 3,600 million in the current period from Rs 3,543 million

BestMediaInfo Bureau | Mumbai | May 23, 2016

DB Corp Ltd (DBCL) recently announced its financial results for the quarter and year ending March 31, 2016. In Q4 FY 2015-16, total revenue grew 6.3 per cent y-o-y to Rs 5,265 million in Q4 against Rs 4,953 million in Q4 of last fiscal. Advertising revenue stood at Rs 3,600 million in the current period from Rs 3,543 million in Q4 last fiscal.

Circulation revenue increased y-o-y 15.3 per cent to Rs 1,136 million from Rs 985 million, primarily due to yield driven growth, largely coming from mature markets.

EBIDTA margin for the quarter was 24% at Rs 1,263 million, against a margin of 26% and EBITDA of Rs 1,292 million in Q4 FY 2015, after factoring Bihar pre-operative expense of Rs 3.74 million. PAT margin stood at 12.2% at Rs 642 million, against Rs 640 million (PAT margin 13%) in Q4 of last year.

The Radio business ad revenues expanded by 11.2% y-o-y to Rs 298 million in Q4 of current period, against Rs 268 million in Q4 of last fiscal. EBIDTA was Rs 115 million (38.5% cent margin) in Q4 FY 2015-16. The Radio business achieved PAT of Rs 61 million (21% margin) in Q4 FY 2015-16.

Digital business revenue grew by 33 per cent to Rs 120 million from Rs 90 million in the corresponding quarter last fiscal.

Consolidated FY 2015-16:

Total revenue has increased by 2.2% to Rs 20,800 million from Rs 20,353 million.

Circulation revenue grew by impressive 16 per cent y-o-y to Rs 4,356 million from Rs 3,755 million, largely driven by yield growth of 13% y-o-y, primarily in legacy markets.

Advertising revenue stood at Rs 14,812 million against Rs 15,166 million during the corresponding period last year.

DBCL achieved EBIDTA margins of 27.1% in FY2016 at Rs 5,627 million against Rs 5,879 million (EBITDA margin 29%) last year, after factoring Bihar launch preoperative expense of Rs 58.31 million and forex loss of Rs 25.5 million.

PAT stood at Rs 2,966 million (PAT margin 14.3%) against Rs 3,163 million (PAT margin 15.5%).

Sudhir Agarwal

Commenting on the performance for Q4 and FY 2015-16, Sudhir Agarwal, Managing Director, DB Corp Ltd, said, “Our performance this quarter continues to reflect sustained efforts to engage strongly with readers and advertisers. We continue to undertake several key initiatives to propel the company on a growth trajectory, since we have already laid a very strong foundation for the business that now has extremely strong fundamentals. Our strategic areas of focus are at the core of our growth and expansion roadmap and way forward, being led by the print, digital and radio segments. This year we brought back the 'Zidd karo' campaign that resonates our operating philosophy – which has guided the group to report significant growth over the last few years. While we are implementing multiple efforts to increase reader engagement primarily driven through content, we are also focusing very intensely on advertiser engagement to help advertisers understand multiple ways of engaging with our readers since we know the preferences of our readers very well.”

Agarwal added, “On this basis, our yield strategy is gaining steady and strong acceptance. The key thrust areas going forward will centre on giving readers a well-rounded experience, our commitment to advertisers and associates, an enthusiastic and energised work environment for all staff and our responsibility towards stakeholders to deliver high shareholder value. We continue to be excited by the development of the radio and digital segments that have great growth capabilities and are on course. On an overall basis, Indian language print media holds tremendous potential and as the largest player in the industry backed by strong competitive advantages, we look forward to leveraging future opportunities.”

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