Network18 Reports Rs 1,360.5 Crore Consolidated Revenue in Q3

Network18 Media & Investments moment announced its results for the quarter ended December 31, 2024. News business profit grew hardly as the advertising environment continued to be lukewarm.

As stated in an exchange filing, "Consumer demand did not witness a meaningful pickup during the festive period, resulting in brands holding back on advertising spends."

Advertising volumes for the TV News industry saw a borderline supplement on a QoQ base but declined 11 percent YoY, putting pressure on profit growth. The digital member continued to see growth in advertising profit, however on a lower base.

Network18 Media & Investments reported a loss of Rs 1,400 crore for the December quarter, with profit from operations at Rs 1,360.5 crore. Still, this figure is not similar to the same period last time due to the partnership of Viacom18 with Star India.

It reported a profit of Rs 25.7 crore before exceptional particulars for the quarter. Still, on a consolidated basis, the company faced a loss of Rs 1,425.7 crore due to the derecognition of its accessories, which was reckoned for on a provisional basis. "Accordingly, the figures for the corresponding previous periods are not comparable," the company stated.

On a standalone basis, Network18 reported revenue from operations of Rs 476.4 crore and a profit of Rs 3,431.9 crore, driven by exceptional gains.

The network reported exceptional earnings of Rs 3,498.2 crore for the quarter, driven by business combinations related to the junction of Viacom18 Media, Digital18 Media, and Star India, along with the conversion of 24.61 crore compulsorily convertible preference shares held by Reliance diligence in Viacom18. As a result, Viacom18 is no longer an attachment of Network18 Media & Investments.

The Scheme of Arrangement for the junction of Viacom18 and Star India came effective on November 14, 2024, creating a common adventure Joint Venture that houses one of India’s largest broadcasting and streaming businesses. Reliance diligence invested Rs.11,500 crores into the JV to support its growth strategy. Viacom18 holds a 46.82 percent stake, with RIL holding 16.34 percent and Disney holding 36.84 percent.

Adil Zainulbhai, chairman of Network18, stated, “The restructuring of the business is now complete, simplifying the corporate structure for all our stakeholders. We are pleased with the progress made on the operating front, especially the manner in which our television network is growing. Having established leadership positions in national markets, we are now focused on select regional markets for driving the next phase of growth. Our Digital business is also gaining momentum, and we are harnessing the combined strength of our platforms to deliver a superlative and seamless experience to our consumers.”

All-India viewership share increased by 110bps QoQ to 13.0 percent, driven mainly by growth in regional channels' market share. Since the resumption of BARC ratings for the news genre in March '22, viewership share has grown nearly 50percent from 8.8 percent.

Moneycontrol Pro has surpassed 1 million subscribers, solidifying its status as one of India’s largest paid digital news platforms. With a digital portfolio that includes Moneycontrol, News18, and Firstpost, Network18 stands as one of India’s leading digital news publishers. It retained its position as the alternate- largest digital publishing network, reaching around 215 million unique visitors monthly.

News18.com has revamped its user interface and design, prioritizing a mobile-first experience, which has enhanced user engagement and retention. Firstpost led comprehensive content of the US choices, performing in a 24 percent QoQ growth in video views on its YouTube channel. Firstpost remains one of the swift- growing news platforms in India, surpassing 6.5 million YouTube subscribers. Approximately 30 percent of the website's business comes from transnational requests.