DB Corp's revenues grew 19% at Rs 5,745 million in Q1 FY 2016-17

PAT margin stands 18.1% at Rs 1,040 million against Rs 643 million with PAT Margin 13.4% in Q1 last year

BestMediaInfo Bureau | Mumbai | July 25, 2016

One of India's largest print media company, DB Corp Limited (DBCL), recently announced its financial results for the quarter ended June 30, 2016. In Q1 FY 2016-17, the total revenue reported a growth of 19 per cent at Rs 5,745 million in the current period from Rs 4,812 million in Q1 last fiscal.

Advertising revenues reported a growth of 21 per cent y-o-y to Rs 4,136 million in the current period from Rs 3,423 million in Q1 of last fiscal.

Circulation revenue increased y-o-y 15 per cent to Rs 1,176 million from Rs 1,022 million, primarily due to yield driven growth, 13.3 per cent growth has come from mature market and 1.7 per cent has come from new centres.

EBIDTA grew by 46 per cent y-o-y at Rs 1,853 million with strong EBIDTA margin of 32 per cent for the quarter, against margin of 26.5 per cent and EBIDTA of Rs 1,274 million, in Q1 FY 2016.

PAT grew by impressive 62 per cent y-o-y at Rs 1,040 million (PAT Margin 18.1 per cent), against Rs 643 million (PAT Margin 13.4 per cent), in Q1 of last year.

The radio business advertising revenues expanded by 30.5 per cent y-o-y to Rs 281 million in Q1 of the current period, against Rs 215 million in Q1 of last fiscal. Radio business EBIDTA stands at Rs 98 million (35 per cent margin). Radio business achieved PAT of Rs 50 million (18 per cent margin).

Digital business revenue grew by 22 per cent to Rs 123 million from Rs 101 million of corresponding quarter last fiscal.

The print major has come up with some new initiatives. D B Corp is all set to launch homeonline.com – a real estate portal with many new features from August 1, 2016. The company has been investing in the portal since the last one year.

The company has also invested in a English language website postpickle.com aimed at the youth and women. It's a general interest English website, and has reached almost 1 mn visitors in a very short time.

My FM 94.3 acquired 13 new radio frequencies and is all set to roll them out one by one starting August 1, 2016. This will give My FM 94.3 a large coverage in Maharashtra with 10 cities.

Sudhir Agarwal

Commenting on the performance for Q1FY 2016-17, Sudhir Agarwal, Managing Director, DB Corp, said, “Our stellar performance this quarter is testimony to the effectiveness of our business growth and execution strategies which have been implemented very successfully by our teams. Over the past few quarters, we undertook several key initiatives to propel the company on a growth trajectory, which have started delivering results. We have been confidently implementing our yield strategy which has gained acceptance amongst advertisers. We are happy to report the success of these determined efforts this quarter and take this opportunity to thank all our associates for their trust that reinforces the Bhaskar value proposition. We are continuing to implement our editorial strategies aimed at content enrichment and product differentiation to engage strongly with readers and advertisers and several new creative additions are being offered to readers that have further established our products with stronger positioning. Simultaneously, we also continue to develop a high quality talent pool through the Dainik Bhaskar School for Media Education to ensure a steady supply of quality editorial resource.”

Agarwal added, “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, the second phase of economic reforms indicates an optimistic way forward. Developments including the implementation of the 7th Pay Commission and good monsoons will provide further impetus to the economy as well as the domestic consumption story.”

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