Television

News broadcasters on recovery path in FY’10

Reeling under recession and intense competition in the genre, news broadcasters looked at 2009 as a year when they had to correct their business models. The chief executive officers of these companies came out with harsh prescriptions: cut jobs, reduce news gathering costs and exit from non-core businesses.

The measures, some of which were really painful, are beginning to improve the health of their balance sheets. These companies are still not out of the woods but they are surely on recovery path. While revenues grew slowly during the fiscal ended March 2010, operational efficiencies have improved and net losses have narrowed.

Revenue rebounds but growth path still slow

The combined turnover of seven listed news broadcasters stood at Rs 16.53 billion in FY’10, up 7.01 per cent over the earlier year, as the advertising market eased and the recovery became stronger in the last two quarters.

IBN18 (CNN-IBN and IBN7) and TV Today (Aaj Tak, Headlines Today Tez and Delhi Aaj Tak) grew their topline by 16 per cent and 12 per cent respectively while NDTV saw a modest 5 per cent increase in its income.

BAG Films and Media, which runs News24 and E24, and IBN Lokmat showed a revenue growth of over 121 and 258 per cent respectively, albeit on a lower base.

TV18, however, should be worried. The company, which runs business news channels CNBC-TV18 and CNBC Awaaz, saw its revenue dip marginally by 2.35 per cent as competition in the genre put pressure on ad rates.

Revenue (in Rs million)

Companies tighten costs

Companies continued to focus on cost-cutting drives, the main corrective step taken after being on an expansion overdrive. Expenses dropped to Rs 14.48 billion, from Rs 16.41 billion in FY09, falling by 11.81 per cent between the fiscals.

BAG Films, a new entrant that was going through an investment phase in FY’09, really clamped down on costs and brought it down by almost 66 per cent.



Expenses (in Rs million) 

Other players who were on an austerity drive were TV18, which cut costs by 27 per cent, and NDTV (22 per cent). Only Zee News Ltd’s expenses saw a miniscule 0.01 per cent increase.

At the operational level, the news broadcasters had a remarkable turnaround story between the two fiscals as operating profit rose 378.33 per cent in FY’10 over the year-ago period. The FY’10 operating profit stood at Rs 2.59 billion as compared to operating loss of Rs 930.82 million.

The companies who had the highest operational efficiency in the fiscal are Zee News Ltd (Rs 812.1 million), TV18 (Rs 648.1 million) and TV Today (Rs 415.89 million).



Operationg Profit (in Rs million)

News broadcasters stare at losses

Despite a drastic improvement in operational efficiencies, news broadcasters still stare at losses. The loss leaders during the fiscal were IBN18 (Rs 820.99 million), TV18 (Rs 597.3 million), IBN Lokmat (Rs 210.88 million) and NDTV (Rs 205.2 million).

Zee News Ltd and TV Today, however, stayed profitable.

In FY’11, most news broadcasters expect to be in the black amid restructuring, cost-cuts and operational efficiencies.

 

Latest Reads

http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2017/01/24/Colors-Infinity%20%281%29.jpg?itok=FsEU-xo-
Colors Infinity to air memorable biopics & notable docus

With the New Year rolling on with a new start, Colors Infinity takes the viewers on a journey to relive the past. Starting 27 January, the channel brings to its viewers an all-new line up of memorable biopics and notable documentaries along with exciting TV series.

Television TV Channels English Entertainment
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2017/01/24/subahs-chandra%20%281%29.jpg?itok=hQytSrvm
Demonetisation impacts ZEEL ad revenue for Q3-17

The Subhash Chandra led content and broadcast player Zee Entertainment Enterprises Limited (ZEEL) reported a small hike of 3.1 percent in advertisement revenue in the quarter ended 31 December 2016 (Q3-17, current quarter) as compared to the corresponding quarter of the previous year (Q3-16).

Television TV Channels GECs
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2017/01/24/india-tv%20%281%29.jpg?itok=MOz3mUH-
India TV's 'Chunav Manch' to be telecast live on 4 February

While the country braces itself for much awaited Assembly Elections 2017, the epicenter of all the buzz remains Uttar Pradesh. The soaring high political fever has gripped this all-political state like never before – an election that is almost seen as run through of the 2019 Lok Sabha Elections or...

Television TV Channels News Broadcasting
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2017/01/24/high5%20%281%29.jpg?itok=9As1riPq
Fifth milestone: Comedy Central with 67 mn viewership observes 10 pc FCT growth

Comedy Central launched in India on 23 January 2012 and has grown to be a famous English entertainment channel and a multi-platform brand offering best ever consumer products and on-ground events such as the Chuckle Festival.

Television TV Channels English Entertainment
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2017/01/24/Jagdish%20Singh%20Khehar-800x800.jpg?itok=2bAGUJtT
Lodha inspires clean-up across Indian sports

MUMBAI: To oversee the functioning of BCCI (Board of Control for Cricket in India), the apex court of India will today pronounce the names of officials to be appointed as administrators on the board. Among other steps, the Lodha committee had sought disqualification of BCCI office-bearers who were...

Television TV Channels Sports
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2017/01/23/rahul-shivshankar%20%281%29.jpg?itok=YLMddtK8
Times' Rahul faces 'India Upfront' from 8pm today

Times Now, one of the most popular English news channels in India, is launching ‘India Upfront' with Rahul Shivshankar’. As the name suggests it is a path breaking new show that will put hard facts – upfront -- for the nation to assess. It will be a 60 minute show Monday to Friday at 8 pm,...

Television TV Channels News Broadcasting
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2017/01/23/aye-zindgi%20%281%29.jpg?itok=VF3TK-6F
Reinstating optimism in youth, Zing to launch 'Aye Zindagi'

Not often is life kind enough to let you move past errors and start afresh but when it does, we must make the best of it. Chronicling many such stories of human experiences, Zing presents a new fiction show. Titled Aye Zindagi, the channel has roped Rithwik Dhanjani as the host.

Television TV Channels Music and Youth
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2017/01/23/rising%20%281%29_0.jpg?itok=ovvXDhDu
'Barbarians Rising', Roman & Barbarian battle on History TV18

A tyrannical empire. 700 long years of battle. History TV18 is all set to take the viewers to a world altering struggle for freedom. The channel will air Barbarians Rising, a story told from the perspective of the tribes named as Barbarians by the Romans. The show is an epic saga of the fall of the...

Television TV Channels News Broadcasting
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2017/01/23/this-is-us%20%281%29.jpg?itok=-puIFLGy
NBC's 'This is Us' renewed for two seasons

"This Is Us" premiered in September of last year and is already quick on its way to success! The show that airs in India on Star World Premiere HD received a tremendous response internationally and whopped in massive ratings. Now, the show has been renewed for two more seasons.

Television TV Channels English Entertainment

Latest News

Load More

Sign up for our Newsletter

subscribe for latest stories