ZEE Entertainment Enterprises Limited (ZEEL) has reported third quarter consolidated revenues of Rs 4,177 million representing a 53 per cent growth over the corresponding period in the previous fiscal, compared on proforma numbers. The consolidated operating profit stood at Rs 1,357 million, after expensing of initial investments in new activities, amounting to Rs 232 million. These are higher by 187 per cent as compared to the corresponding quarter last year. Profit before tax for the third quarter of the fiscal 2007 was Rs 1,375 million while Net Profit was Rs 958 million, recording a growth of 179 per cent over the corresponding period last year.
The numbers as published, are after consolidating the financials of Taj TV Limited W/E 13th November 2006. The Board of Directors has taken on record the unaudited consolidated financial results of ZEEL and its subsidiaries for the quarter ended 31st December 2006.
“ZEE Entertainment finished the third quarter with outstanding performance, highlighted by strong advertising revenue growth of 59 per cent, extremely robust operating profit growth of 187 per cent and 179 per cent growth in net earnings. Our television broadcasting business continues to lead the industry in converting rating success into strong growth in revenues and operating profits,” the Chairman Subhash Chandra stated.
“We are extremely pleased to see the steady steps towards digitisation of the Indian cable and satellite industry. CAS has been successfully implemented in the notified areas of Mumbai, Delhi and Kolkata. With more subscribers opting for digital services even in other parts of the country, it will give a big boost to our subscription revenues in the near future. Our investment in Ten Sports is doing well. All these have extremely positive and long term impact on our business,” he added.
“ZEE TV continued to increase its viewership share from 28 per cent in Q2 FY2007 to 29 per cent during Q3 FY2007, along with growth in time spent. During the quarter, average gross ratings points (GRPs) of ZEE TV grew to 250 levels, with gains coming mainly from prime time. The growth has been led by continued success of Sa Re Ga Ma Pa, Saat Phere and Kasamh Se, while our new launches Dulhann and Betiyan have helped bolster the prime time shares. ZEE TV now has five programmes in the top 20 and 11 programmes in top 50,” Punit Goenka, Whole Time Director, said.
“ZEE Cinema continues to be the No. 1 movie channel, and increasingly is becoming a reach channel for the advertisers. ZEE Cafe and ZEE Studio have gained shares,” he added.
Elaborating on the performance, Pradeep Guha, CEO said, “We are pleased with the strong operating results in the third quarter. We have outperformed the market locking in higher advertising rates which would continue to help us in the future. Additionally, with digitisation of Indian cable and satellite industry, we expect to reap a rich harvest from subscription based revenues.”