Television

Eros Now partly assuages Eros International's syndication declines

Eros Now had 4.7 million paid and 23 million registered subs additions

https://www.indiantelevision.com/sites/default/files/styles/smartcrop_800x800/public/images/tv-images/2019/11/18/Eros-now.jpg?itok=H3quaBaG

BENGALURU: Eros International Plc (Eros) reported 49.1 percent decline in aggregate revenue to $23.1 million for the quarter ended 30 September 2019 (Q2 2019, quarter or period under review) as compared to the corresponding year ago quarter’s $63.4 revenue. Eros explains that lower revenue was mainly due to lower syndication revenue for Q2 2020, which was partially offset by increase in revenues from the Eros Now business. “Our Eros Now business continues to ramp up and grow its paid user base worldwide, supported by one of the largest libraries of Indian movies, along with its unparalleled market position and brand name,” says a statement by Eros.

In Q2 2020, the Eros film slate comprised 11 films of which 11 were low budget as compared to 17 films in Q2 2019, of which four were medium budget and 13 were low budget. In Q2 2020, the company’s slate of 11 films comprised two Hindi films and nine regional films as compared to the same period last year where its slate of 17 films comprised five Hindi films and 11 regional films and one Tamil/Telugu regional film.

Operating adjusted EBITDA declined to less than a third (declined by 2.53 times)  y-o-y to $7.8 million in Q2 2020 as compared to $27.5 million in Q2 2019. Eros claims that the decrease in Adjusted EBITDA was on account of increase in administrative costs due to expected credit loss expense accounted as per default method under IFRS 9.

Gross profit for the period under review declined 38.7 percent y-o-y to $15.5 million from $25.3 million in Q2 2019. Eros reveals that the decrease was mainly due to lower amortisation, marketing, advertising and distribution costs for Q2 2020 which was partially offset by increase in administrative cost.

The company reported a lower operating loss of $13.6 million for Q2 2020 as compared to an operating loss of $261.9 million in the year ago quarter.

The company says that cost of sales decreased by 55.6 percent to $16.9 million in Q2 2020 compared to $38.1 million in Q2 2019. Eros says that the decrease was mainly due to lower amortisation costs. Administrative cost increased by 72.2 percent in Q2 2020 to $29.1 million compared to $ 16.9 million in Q2 2019. The increase was mainly due to increase in expected credit loss accounted as per default method under IFRS 9.

For Q2 2020, Eros’s net finance costs increased by 866.7 percent to $2.3 million, compared to $(0.3) million in Q2 2019 mainly due to increase in finance costs and reduction in interest income on account of unwinding of credit impairment loss.

Eros says that as of 30 September 2019, Trade Receivables decreased to $189.8 million from $196.4 million as of March 31, 2019 after considering expected credit loss reserve upon adoption of new accounting standards during the period.

Company speak

Excerpts of a statement made by the company:

“This quarter we generated $32.3 million of top-line revenue and $7.8 million in adjusted EBITDA. Our Eros Now business continues to ramp up and grow its paid user base worldwide, supported by one of the largest libraries of Indian movies, along with its unparalleled market position and brand name. As of 30 September 2019 our Eros Now OTT platform reached 23.5 million paid monthly subscribers and 177.7 million registered users, increases of 81percent and 39 percent, respectively, over the same period last year. This represents net additions of 4.7 million paid subscribers and 23 million registered users during the first half of Fiscal Year 2020. Eros Now currently garners viewership from over 150 countries around the world. Eros has a strong slate of films and original series scheduled for release over the coming quarters, and we expect this to help drive continued growth in our Eros Now business as well as box-office revenue.

“For the full fiscal year 2020, we are reiterating our consolidated revenue guidance in the range of $200-220 million, and Adjusted EBITDA of $80-$95 million. We have a healthy balance sheet with net debt of $112.6 million and $99.4 million of cash and cash equivalents.”

Latest Reads

https://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2020/10/27/tv18-b.jpg?itok=MRoLGpGg
TV18 Broadcast reports Rs 115 crore Q2 net profit

NEW DELHI: TV18 Broadcast Ltd has reported a net profit of Rs 115 crores for the quarter ended 30 September 2020, up from Rs 46 crore in the same quarter in the previous year. The consolidated operating revenue for Q2 21 fell 10 per cent y-o-y and stood at Rs 1,013 crore against Rs 1,127 crore for...

Television TV Channels Viewership
https://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2020/10/27/repl.jpg?itok=OBEe3CJD
No business dealings with Republic TV: Hansa Research

NEW DELHI: In the latest development in the TRP manipulation scam, Hansa Research has denied the charges of making a payment of Rs 32 lakh to Republic TV, levelled against it by the Crime Branch spokesperson. The agency has categorically stated that there have been no business dealings with...

Television TV Channels News Broadcasting
https://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2020/10/27/bolly.jpg?itok=GjQjIol8
Zee launches ‘Ticket To Hollywood’ in 10 languages

MUMBAI: Zee has lined up a slew of Hollywood blockbusters to thrill viewers during this festive season. Catering to the evolving Hollywood fan base in India, ‘Ticket to Hollywood’ will showcase the latest international hits on Zee’s English movie channel &flix with a simultaneous telecast of...

Television TV Channels GECs
https://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2020/10/27/idnaitoday.jpg?itok=w-2nLCHl
India Today Group announces special programming line-up for Bihar polls

NEW DELHI: The India Today Group has planned to launch an array of programming content produced exclusively for the upcoming Bihar Assembly Elections. On Aaj Tak, there are six dedicated shows being aired: Hello Kaun – an interactive show on issues that impact Bihar, Election Express – an election...

Television TV Channels News Broadcasting
https://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2020/10/27/cosmos.jpg?itok=HQcKHWJA
Motu Patlu wins big at the Asian Academy Creative Awards ‘20

MUMBAI: It has been nearly eight years since Motu Patlu started entertaining children and the programme continues to remain in the top slot among kids’ animated shows on TV and digital platforms. At the annual Asian Academy Creative Awards held in Singapore, the immensely popular kids’ show by...

Television TV Channels Kids
https://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2020/10/27/via.jpg?itok=UrtKoFCg
ViacomCBS launches new kids division

MUMBAI: ViacomCBS International Studios (VIS), part of ViacomCBS Networks International (VCNI), is all set to launch a new kids content division and has appointed Nickelodeon executive Nina Hahn to head the operations. Viacom said that VIS Kids will allow for the expansion of the studio’s global...

Television TV Channels Kids
https://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2020/10/27/abp.jpg?itok=c01uF1kU
ABP News ‘e-Shikhar Sammelan’ sets the stage for Bihar Assembly Elections

NEW DELHI: As political parties gear up for an intense electoral contest in the state of Bihar, India’s most-trusted Hindi news channel, ABP News, hosted another momentous edition of the day long virtual summit, “e-Shikhar Sammelan” on 25th October 2020, to shed light on the key issues of the state.

Television TV Channels News Broadcasting
https://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2020/10/27/republic.jpg?itok=t95gZXZ4
Republic Media expands presence in online news space, launches in Hindi language

Republic Media Network has announced its expansion into Hindi news in the digital space with the launch of Republic Bharat’s online platform. It aims to become the leader in Hindi news on digital platforms.

Television TV Channels News Broadcasting
https://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2020/10/27/bai.jpg?itok=5K76N7ph
The Crown producer Suzanne Mackie launches own production company

Suzanne Mackie, one of the executive producers behind the hit Netflix show The Crown, is all set to launch her own production company. Mackie is leaving UK-based Left Bank Pictures to set up Orchid Pictures.

Television Production House Fiction

Sign up for our Newsletter

subscribe for latest stories

* indicates required