Television

Severance pay, doubtful debts, obsolescence result in Rs 154 crore loss in Q1-2015 for TV18

BENGALURU:  The clean-up process, and that includes cleaning up of figures, by Reliance has begun.  TV18 Broadcast (TV18) posted a massive loss of Rs 154.54 crore in Q1-2015. The loss would have been higher, if not for the company’s minority interest sharing Rs 54.99 crore from the overall loss.

 

The loss before tax for the quarter ended 30 June 2014 is Rs 214.2 crore after considering one time exceptional adjustments of Rs 223.3crore. The adjustments made by way of exceptional items to the P&L account for Q1-2015, is based on a review of the current and non-current assets of the company. The company says that these adjustments reflect the diminution in the value of certain tangible and intangible assets as well as write-offs and provisions for loans and advances and receivables. These adjustments, however, will not impact future operating profits and cash flow of the business of the company and its subsidiaries, TV18 adds (refer additional notes below)

 

Note: 100,00,000= 100 Lakhs = 10 million = 1 crore

 

Let us look at the other numbers reported by TV18 for Q1-2015

 

TV 18 reported 33.2 per cent higher quarterly revenues on a consolidated basis in Q1-2015 at Rs 527.7 crore as compared to Rs 396.2 crore in Q1-2014, but 6.3 per cent lower q-o-q as compared to the Rs 563.3 crore in Q4-2014.

 

The company’s profit from ordinary activities before exceptional items and tax in Q1-2015 was Rs 9.1 crore, almost double the Rs 4.8 crore in Q1-2014, but was about a fifth of the Rs 45.3 crore in the immediate trailing quarter.

 

TV18’s total expenditure at Rs 509.5 (96.6 per cent of TIO) crore in Q1-2015 was 32.9 per cent more than the Rs 383.4 crore (96.8 per cent of TIO) in Q1-2014 and 0.8 per cent lower than the Rs 513.8 crore (91.2 per cent of TIO) in Q4-2014.

 

The company’s programming cost almost doubled (went up by 90.5 per cent) in Q1-2015 at Rs 165.7 per cent as compared to the Rs 87 crore in Q1-2014 and was 6.7 per cent more than the Rs 155.3 crore in Q4-2014. TV18’s employee benefit expense (EBE) in Q1-2015 at Rs 103.9 crores (19.7 per cent of TIO) was 49.1 per cent more than the Rs 69.7 crore (17.6 per cent of TIO) in Q1-2014 and 31.5 per cent more than the Rs 79 crore (14 per cent of TIO) in Q4-2014.

 

 

TV18 spent Rs 102.2 crore(19.4 per cent of TIO) in Q1-2015 towards marketing, distribution and promotional expense, which was 27.1 per cent lower than the Rs 140.2 crore (35.4 per cent of TIO) in Q1-2014 and 32.1 per cent lower than the Rs 150.5 crore (26.7 per cent of TIO) in Q4-2014.

 

TV 18 has two revenue streams – media operations and film production and distribution. In Q1-2015, the media operations segment reported revenue and results of Rs 513.42 crore and Rs 19.37 crore respectively; for Q1-2014, the corresponding figures were Rs 383.49 crore and Rs 22.23 crore; for Q4-2014, the corresponding figures were Rs 550.31 crore and Rs 54.33 crore respectively.

 

The company’s film production and distribution segment reported revenue of Rs 14.32 crore and an operating loss of Rs 0.95 crore. The corresponding figures for Q1-2014 and Q4-2014 are Rs 18.79 crore and an operating loss of Rs 8.47 crore; revenue of Rs 14.49 crore and an operating loss of Rs 4.59 crore.

 

TV18’s business news operations saw the successful launch of CNBC Bajar, India’s first Gujarati language channel business channel on July 1, 2014. ETV News saw the successful launch of ETV Gujarati bringing the total bouquet strength to nine channels; ETV Uttar Pradesh, ETV Madhya Pradesh, ETV Rajasthan, ETV Bihar, ETV Urdu, ETV Kannada, ETV Bangla, ETV Haryana. The channels sustained their strong viewership performance aided by the national general elections.

 

Additional Note:  (1) During the quarter ended 30th June, 2014, based on a review of the current and non-current assets, the Group has accounted for (a) obsolescence/impairment in the value of certain tangible and intangible assets to the extent of Rs 122.27 crores and (b) write-off and provisions of non-recoverable and doubtful loans/advances /receivables to the extent of Rs 87.70 crores and the same has been disclosed as Exceptional Items in the consolidated accounts. Further, Exceptional Items also includes Rs 13.31crores towards severance pay and consultancy charge.

 

(2) Equator Trading Enterprises Private Limited ("Equator") including its subsidiaries Panorama Television Private Limited and Prism TV Private Limited had become wholly owned subsidiary of the Company with effect from 22nd January, 2014. Hence, the consolidated results of the current period include the results of these subsidiary companies. Eenadu Television Private Limited had also become an associate with effect from 22nd January 2014 and its results have been accounted as “Associate” under accounting standard 23 on Accounting for Investments in Associates in Consolidated Financial Statements. To this extent, the results of this period are not comparable with the corresponding previous period.

 

Click here for the financial

Latest Reads

http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2016/10/01/sircar.jpg?itok=NkSSrN9L
IDOS 2016: Prasar Bharati could share infra with private players: Sircar

GOA: Prasar Bharati has thrown an invitation to all private broadcasters and it reads: come and use our under-utilised resources and infrastructure to increase your reach in digital format terrestrially. What’s more, the Indian pubcaster will help in the distribution.

Television TV Channels Terrestrial
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2016/09/30/sports2.jpg?itok=sekA6qNk
Sports recognised as infrastructure sector, eligible for private investment

NEW DELHI: Alarmed by India's performance in the recent Rio Olympics, the Government appears to have pressed the panic button: which may help sportspersons on the ong run.

Television TV Channels Sports
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2016/09/30/Salman-Khan-Dabangg-2.jpg?itok=AcTOfo1o
Salman Khan backs Indian Army strike & Pak artistes

NEW DELHI: Bollywood superstar Salman Khan says TV and film artistes from Pakistan should not be treated like terrorists and art and terrorism should not be mixed.

Television TV Channels People
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2016/09/30/Poster-2-300X300.jpg?itok=8E6ZZbg3
Unearth Sanghavi's secrets on Raj TV

MUMBAI: After a successful launch of the mystical-thriller series Kaakha Kaakha, Raj TV is all set to roll-out another show. Titled Arundathi, the show will hit the TV screens from 10 October 2016 every Monday to Saturday  at 8 pm. The show is s mystery series based around this character called...

Television TV Channels GECs
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2016/09/30/Untitled-1_22.jpg?itok=bftCAtGF
CNN News18 to salute 'Agents of Change'

CNN-News18 is all set to air a special half-hour show on the occasion of Gandhi Jayanti. Titled Agents for Change, the show will air on 1 and 2 October. In this special, the channel salutes the citizens who are being the change they want to see.

Television TV Channels News Broadcasting
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2016/09/30/Untitled-1_18.jpg?itok=m7MHoIF9
Sony Pix to air best films from James Bond franchise

Envy him for his sophisticated gadgets or love him for his charming attitude, you definitely cannot ignore this iconic secret agent, who will sweep you off your feet with his impeccable style and wit. The name’s Bond…James Bond – the panache that remains unparalleled since 1962. Catch the most...

Television TV Channels English Entertainment
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2016/09/30/Untitled-1_15.jpg?itok=nyQJpnvM
Sumner Redstone pushes for CBS-Viacom merger

The maverick Sumner Redstone, not letting age dim any of his business acumen, is at it again. Earlier this week he sent a strong message to investors and potential takeover tycoons that he fav

Television TV Channels GECs
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2016/09/30/Untitled-1_9.jpg?itok=hp_rU7bR
MTV Brand Studio to create music festival for Amazon India

Amazon.in in association with MTV is all set to welcome the festive season with an exciting content marketing initiative.To break the clutter around the festival season, Amazon has upped the ante where customer engagement is concerned by creating a one-of-its kind musical experience in association...

Television TV Channels Music and Youth
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2016/09/30/Untitled-1_7.jpg?itok=PugxJ9R0
Aishwarya Rai, leading singers to felicitate Clean India champs at Safaigiri Awards

The India Today Group announces the 2 edition of the India Today Safaigiri Awards 2016 - a platform that will showcase and felicitate the pioneering efforts of those who are leading the change in cleanliness. This is in continuation to the first edition that was launched in 2015, one year after...

Television TV Channels News Broadcasting

Latest News

Load More

Sign up for our Newsletter

subscribe for latest stories