ZEE5 crosses Rs 300 crore with losses down 80% in Q2 FY26

New Delhi: Zee Entertainment Enterprises on Thursday said its digital platform ZEE5 delivered its strongest quarter yet, crossing Rs 300 crore in revenue in Q2 FY26 on the back of a sharper pricing and packaging play across languages. 

The company also reported an over 80% reduction in EBITDA losses for ZEE5 to Rs 31.2 crore (Rs 312 million), keeping the platform on track for profitability.

ZEE5’s quarterly revenue rose 32% year-on-year, aided by new content across seven languages and a revised subscription architecture that is drawing strong consumer uptake. 

The platform launched seven tailor-made subscription packs in Hindi, Tamil, Telugu, Kannada, Malayalam, Bengali and Marathi. 

The company said the adoption of these language packs has contributed meaningfully to subscription revenue growth during the quarter.

Mukund Galgali, Deputy CEO and CFO, said the platform’s focus on usage quality and monetisation is paying off. 

“Zee 5 continues to demonstrate healthy growth with stable usage and engagement metrics. Its revenues increased by 32% YoY in Q2, aided by enhanced content offerings across 7 languages and the revised pricing strategy, driving our subscriber growth. This is in line with our strategic priorities, as we remain sharply focused on maintaining a balanced cost structure, driving return on investments to sustain our long-term growth. We also registered our highest ever quarterly revenue crossing Rs 3,000 mn leading to more than 80% reduction in EBITDA losses to Rs 312 Mn in Q2 FY26, aligned with our stated objective to achieve breakeven in Zee 5,” he said.

Punit Goenka, MD and CEO, said the digital business has been a key beneficiary of the company’s reset over the past few quarters. 

“The Company is taking firm steps to build a robust foundation for its future growth. One of the most significant result of these steps is the continued improvement in our digital business, quarter on quarter. Our strategic approach focused on the performance and profitability of Zee 5 is yielding considerable results. We remain committed to achieving profitability in this segment in the quarters to come, on the back of these concerted steps,” Goenka said.

The company’s note emphasised that ZEE5’s progress stems from a clearer value proposition and a tighter cost structure. The language-first packs present a simpler entry point for viewers who prefer local-language entertainment, while premium add-ons deepen engagement for heavy users. 

Combined with a more disciplined content slate, these moves have lifted subscriber growth and ARPU, while keeping content and distribution spends under control.

With scale improving and costs calibrated, Zee management reiterated its goal to reach breakeven in the digital segment in the near term. 

The company said it will continue to back winning genres and franchises in each of the seven languages, while refining pack design to improve conversion and retention.

ZEE5’s performance also builds a stronger digital pillar within the network’s broader monetisation stack. The surge in subscription revenue provides a more stable base through ad cycles, and the incremental operating leverage from higher revenue on a balanced cost profile sets up the next leg of profitability.

Key takeaways this quarter for ZEE5

• Revenue: crossed Rs 300 crore in Q2 FY26 (+32% YoY)

• EBITDA loss: down over 80% to Rs 31.2 crore

• Product strategy: seven language-tailored packs (Hindi, Tamil, Telugu, Kannada, Malayalam, Bengali, Marathi) showing positive adoption

• Outlook: management remains on track to digital breakeven, with continued focus on ROI-led content, pricing and pack architecture

The company said it will maintain investment discipline while scaling content breadth across languages, with pricing and packaging acting as the core levers for sustained growth and profitability in digital.