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MUMBAI: Jagran Prakashan Ltd (JPL), publishers of Dainik Jagran, has reported a 21.54 per cent fall in its standalone net profit for the quarter ended 31 December 2011 due to rupee depreciation.
The company has posted a net profit of Rs 413 million, as against Rs 526.4 million a year ago.
?The net profit is after accounting for sharp depreciation of rupee resulting in accounting for mark to market exchange fluctuation loss of over Rs 86.7 million as against mark to market exchange fluctuation gain of about Rs 3 million in the year ago period (both net of tax),? the company said.
Operating revenues jumped 13.29 per cent to Rs 3.24 billion, from Rs 2.86 billion in the corresponding quarter of the previous fiscal.
The company?s expenses also surged 21.11 per cent to Rs 2.55 billion, compared to Rs 2.11 billion a year ago.
?Our overall performance in a challenging environment was more than satisfactory. Growth in advertisement revenue and outdoor advertising was outstanding and probably the highest in the industry. However, concern remains for the remaining financial year because macro economic conditions are still not conducive for growth. All round innovation is going to be the key to drive the growth and I am confident that the team will strive harder to give the desired results. Lower than expected profit is not too worrying as it will start improving once currency risk is normalized and growth in revenue happens on expected lines. As far as newsprint prices are concerned, they are likely to remain stable,? JPL CMD Mahendra Mohan Gupta said.
JPL?s operating profit stood at 26.27 per cent at Rs 851.2 million, as against Rs 897.5 million a year ago.
Advertisement revenues were at Rs 2.23 billion, up 14.91 per cent from Rs 1.94 billion. Event and Outdoor revenues were at Rs 288.8 million, up 14.61 per cent from Rs 252 million.
Circulation revenues at Rs 622.8 million rising 9.28 per cent from Rs 570 million, while digital revenues (excluding advertisement revenue) stood at Rs 23.2 million, up 15.55 per cent compared to Rs 20 million a year ago.
