MAM

DB Corp higher PAT on higher print, radio, and digital media ad revenue, business adjustments in FY-2014

BENGALURU: DB Corp Limited (DB Corp), home to flagship newspapers Dainik Bhaskar, Divya Bhaskar, Dainik Divya Marathi and Saurashtra Samachar reported improved results in Q4-2014 and its board has recommended a final dividend of Rs 4.25 per share for FY-2014.

 

Note: (1) Rs 100 lakh = Rs100,00,000 = Rs 1 crore = Rs 10 million.

 

The company reported a higher PAT at Rs 306.6 crore in FY-2014 as compared to the Rs 218.1 crore in FY-2013, which includes a onetime tax gain of Rs 14.9 crore, on account of demerger of digital media business.

 

The company says that its FY-2014 consolidated advertising revenue grew by 17.4 per cent to Rs 1417.8 crore as against Rs1270.5 crore is FY-2013. The company says further that its radio business ad revenue grew by 19.2 per cent to Rs 80.1 crore from Rs 67.2 crore in FY-2013 and that its digital media ad revenue grew by about 54 per cent to Rs16.3 crore in Fy-2014 from Rs10.8 crore in FY-2013.

 

Let us look at the figures for FY-2014 and Q4-2014 reported by DB Corp

 

DB Corp’s Total Operating Income (Op Inc) in FY-2014 at Rs1895.76 crore was 16.8 per cent more than the Rs 1592.32 crore in FY-2013. Q4-2014 Op Inc at Rs 454.17 crore was (-12.36) per cent lower than the Rs 518.20 crore in Q3-2014 and 14.08 per cent more than the Rs 398.10 crore in the last year quarter Q4-2013.

 

Total Expense (Tot Exp) in FY-2014 at Rs 1423.72 crore was 11.94 per cent more than the Rs 1271.91 crore in FY-2013. In Q4-2014, Tot Exp at Rs 366.02 crore was (-3.48) per cent lower than the Rs 379.21 crore in Q3-2014 and 14.67 per cent more than the Rs 319.19 crore in Q4-2013.

 

Raw Material consumption (RM cost) forms a major portion of DB Corp’s expense (Between 33 and 37 per cent of Tot Inc). In FY-2014, DB Corp’s RM cost at Rs 632.95 crore (34.03 per cent of Op Inc) was 16.4 per cent more than the Rs 544.54 crore (34.20 per cent of Op Inc) in FY-2013. RM cost in Q4-2014 at Rs 166.59 crore (36.68 per cent of Op Inc) was (-3.37) per cent lower than the Rs 172.41 crore (33.27 per cent of Op Inc) in the immediate trailing quarter Q3-2014 and 24.57 per cent more than the Rs133.74 crore (33.57 per cent of Op Inc) in the corresponding quarter of last year.

 

PAT in FY-2014 at Rs 306.64 crore (16.49 per cent of Op Inc) was 40.58 per cent more than the Rs 218.14 crore (13.7 per cent of Op Inc) in FY-2013. In Q4-2014, PAT at Rs 7.59 crore (1.67 per cent of Op Inc) was 1.67 per cent more than the Rs 9.45 crore (1.82 per cent of Op Inc) in Q3-2014 and (-86.26) per cent less than the Rs 55.26 crore (13.88 per cent of PAT) in Q4-2013.

 

Segment Results

 

Printing and Publishing of Newspaper and Periodicals segment

 

Printing and Publishing of Newspaper and Periodicals (Printing) segment contributes more than 94 per cent to DB Corp’s total revenue. During FY-2014, Printing segment revenue of Rs 1762.16 crore (94.75 per cent of Op Inc) was 17.02 per cent more than the Rs 1505.86 crore (94.57 per cent of Op Inc) in FY-2013. Printing segment revenue in Q4-2014 at Rs 421.21 crore (94.28 per cent of Op Inc) was (-12.37) per cent lower than the Rs 488.63 crore in Q3-2014 and 13.87 per cent more than the Rs 376.06 crore (94.46 per cent of Op Inc) in Q4-2013.

 

DB Corp’s Printing segment results in FY-2014 at Rs 458.9 crore was 32.63 per cent more than the Rs 345.97 crore in FY-2013. The company’s Q4-2014 result at Rs 95.5 crore was (-32.38) per cent less than the Rs 488.63 crore in Q3-2014 and 2.35 per cent more than the Rs 93.31 crore in Q4-2013.

 

Radio Business segment

 

DB Corp’s radio segment reported revenue of Rs 79.45 crore (4.27 per cent of Op Inc) in FY-2014 was 19.2 per cent more than the Rs 66.65 crore (4.19 per cent of Op Inc) in FY-2013. This segment’s Op Inc in Q4-2014 at Rs 21.37 crore (4.99 per cent of Op Inc) was (-10.28) per cent lower than the Rs 23.83 crore (4.88 per cent of Op Inc) in Q3-2014 and 17 per cent more than the Rs18.27 crore (4.59 per cent of Op Inc) in Q4-2013.

 

This segment returned a positive result of Rs 20.56 crore in FY-2014 which was 89.18 per cent more than the Rs 10.87 crore in FY-2013. In Q4-2014, DB Corp’s radio business reported a result of Rs 7.19 crore which was (-15.47) per cent less than the Rs 8.51 crore in Q3-2014 and 75.73 per cent more than the Rs 4.09 crore in Q4-2014.

 

The other segments –events, internet and power have reported very low numbers and have eroded the profits generated by DB Corp’s Printing and Radio business segments.

 

DB Corp managing director Sudhir Agarwal, said, We have delivered a robust operating performance this year amidst a challenging market environment. Our focus on sustaining and extending leadership in core markets, consistent focus on operational efficiencies as well as strong performance across non-print segments have enabled us to report significant growth.

 

The Bhaskar way of journalism places the reader at the center. Our growth strategy revolves around this philosophy and as we have successfully done in the past – we have ensured that our strategies combine ‘knowledge enhancement’ for the reader and ‘product differentiation’ towards growth. Therefore, our earlier associations with leading media brands for exclusive, unique content have started delivering exciting results. This quarter, we re-aligned our corporate sales and marketing strategy supported by key senior management appointments – with the aim of providing greater focus to advertisers at every state level. Our Un-Metro – Markets Driving India initiative extensively analysed the potential of high-growth non-metro regions with inspiring participation by marketing stalwarts across Bengaluru, Mumbai and New Delhi, have also contributed significantly towards broadening our horizons. Our Bihar-Patna launch was an exciting challenge in that region and we are encouraged by an overwhelming response and wide acceptance; while our progress in Maharashtra continues well on course.

 

DBCL’s non-print media segments have been making strong headway as we report commendable

 

developments across our digital and radio properties. We have been leveraging our leadership strengths in print media - extending our editorial excellence and deep readership insights to make steady progress across digital and radio platforms. We are excited with the potential of post Phase 3 licensing and are well poised to strengthen our radio footprint.

 

While the macro outlook does remain undefined, we are hopeful that, as we move towards political

 

certainty, the consumer sentiment will become more positive and result in better growth across sectors. I am confident that with our clear strategic focus, strong business fundamentals, superior execution capabilities supported by a talented team, we will strive towards our vision to be the largest and most admired media brand as well as active socio-economic change agents.”

Latest Reads

http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2016/08/30/Untitled-1_33.jpg?itok=NBkH0rUU
IndIAA Awards to be held on September 16

The India Chapter of the International Advertising Association (IAA), launched the IndIAA awards “for real creative advertising that was backed by real budgets” last year. Nominations for the second edition were invited and unprecedented number of nominations was received and reviewed.

MAM Marketing MAM
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2016/08/30/Untitled-1_16.jpg?itok=TrdFQ3Nj
Nestlé India Launches CRUNCHILICIOUS MUNCH Campaign

MUMBAI: Nestlé India’s latest advertising and marketing campaign CRUNCHILICIOUS MUNCH, marks the celebration of renovation of the popular MUNCH wafer brand. While retaining its signature crunch, MUNCH has undergone a product renovation in recipe and process. To mark this renovation a new brand...

MAM Marketing Brands
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2016/08/30/Untitled-1_8.jpg?itok=I36h_NZz
Third Content Marketing Summit Asia announced list of speakers

CMS Asia 2016 continues its tradition of delivering great content through a very unique set of experts & speakers year on year. As the event gets ready for its 3rdedition, the event organizers have released first list of speakers. This year experts from Facebook, Flipkart, Google, ScoopWhoop,...

MAM Marketing MAM
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2016/08/30/Untitled-1_7.jpg?itok=14ddw5Hp
SmartCooky.com to champion #FitIndia campaign

NDTV’s e-commerce venture SmartCooky is happy to announce a strategic partnership with Glanbia Performance Nutrition, for India’s largest fitness drive, the #FitIndia Campaign.

MAM Media and Advertising Ad Campaigns
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2016/08/30/Untitled-1_5.jpg?itok=OE7UOFbU
Asymmetrique wins the mandate for Nordusk LED

Asymmetrique has won the brand building mandate for Kolkata based Nordusk LED. Inspired by the Northern Lights of Norway, NORDUSK brings the very best of LED technology to India. Offering smarter lighting solutions, recognizing constantly evolving and changing consumer and community needs, and...

MAM Media and Advertising Account
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2016/08/30/Untitled-1_4.jpg?itok=SuGMXVNN
DDB Mudra Group makes senior appointments

The DDB Mudra Group has appointed 22feet Tribal Worldwide MD Vineet Gupta as its chief digital officer and, its planning head Aditya Kanthy as chief strategy officer. Gupta and Kanthy will be reporting directly to Group CEO & MD Madhukar Kamath.

MAM Media and Advertising People
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2016/08/30/Untitled-1.jpg?itok=x358Q3q2
iProspect India gets Divya Ajitkumar as AVP Client Servicing

iProspect India, the digital performance agency from Dentsu Aegis Network, today announced the appointment of Divya Ajitkumar as Associate Vice President – Client Services. Divya, a digital marketing veteran, comes with a decade-long work experience. She will strategically complement iProspect’s...

MAM Media and Advertising People
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2016/08/29/mahendra-up.jpg?itok=9M4z-TjJ
Mahendra Upadhyay is Mindshare's Data & Technology head

MUMBAI: Mindshare has announced the appointment of Mahendra Upadhyay as Head of Data and Technology. His role has been effective from July 1, 2016.

MAM Media and Advertising People
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2016/08/28/The%20Winners%20of%20the%20first%20edition%20of%20ZEE%20Mindspace%20Awards.jpeg?itok=5EIh72N6
Unilever bags max at Zee Mindspace Awards

NEW DELHI: Leading content company, Zee Entertainment Enterprises Ltd (ZEEL) today announced the winners of the first edition of ZEE Mindspace Awards that aims at recognizing brands that have captured maximum mndSpace.

MAM Marketing Brands

Latest News

Load More

Sign up for our Newsletter

subscribe for latest stories