DB Corp to acquire 60% in profit making Divya Prabhat

DB Corp to acquire 60% in profit making Divya Prabhat

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MUMBAI: DB Corp is set to acquire 60 per cent stake in Divya Prabhat Publications, which publishes Prabhat Kiran, an afternoon newspaper from Indore.

The board has approved the proposal and DB Corp will be investing Rs 12 million to buy the stake in the profit making company from Sudhir Agarwal, one of the promoters of the company.

Meanwhile, DB Corp also announced its first quarter result. The company, which is into print and private FM, has seen a 14.78 per cent fall in the consolidated net profit (after minority interest) for the quarter ended 30 June.

The net profit stood at Rs 610.93 million, as against Rs 716.91 million in the corresponding period of the previous fiscal.

Net sales/ income from operations during the quarter jumped to Rs 3.49 billion, from Rs 2.97 billion in the year-ago period. However, expenses also jumped to Rs 2.65 billion from Rs 1.95 billion.

On the standalone basis also, DB Corp‘s net profit fell by 13.64 to Rs 633.90 million, from Rs 734.03 million in the earlier year.

Advertising revenue increased by 21 per cent to Rs 2.84 billion in current quarter from Rs 2.36 billion in Q1 of last fiscal. Total revenue went up by 19 per cent to Rs 3.53 billion, as against Rs 2.98 billion in the year-ago period.

Meanwhile, DB Corp said that its radio business‘, operating under My FM brand, posted Ebitda of Rs 17 million, while Ebitda margin was at 14 per cent.

Advertising revenue from the radio business jumped 17.3 per cent to Rs 125 million in Q1, from Rs 106.3 million in the prior year quarter.

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