Network18's Q2 net loss Rises 28% to Rs 152 crore Amid Investments

Network18 Media & Investments has reported a 28% year-on-year increase in its final net loss for the quarter ending 30th September, with losses rising to Rs 152 crore. This increase is ascribed to sustained investments in the digital and sports businesses by its entertainment subsidiary, Viacom18. 

The company’s operating income for the quarter reduced by 2.1% to Rs 1,825 crore, while expenses rose by 1.675 to Rs 2,243 crore. Viacom18 plans to continue investing in digital and sports content to lead future growth. 

Viacom18 saw its income fall by 5.4% to Rs 1,339 crore, mainly due to fewer major film releases compared to the last year. However, the news segment, which includes both television and digital platforms, experienced a 6% revenue increase to Rs 445 crore, driven by robust digital advertising, though television advertising remained weak. 

In Q2 FY24, Viacom18 studios released two bi-budget films, but no films were released in this quarter, resulting in a rs 330 crore effect on income. Nevertheless, this rejection was offset by a 44% rise in subscription income, which grew to Rs 733 crore, aided by new pricing strategies and the increased circulation of its sports portfolio. 

Growth in advertising income was primarily led by digital, across both sports and non-sports sectors. 

Viacom18’s OTT platform, Jiocinema experienced huge growth in paid subscribers, reaching 16 million, driven by new pricing and fresh content. Meanwhile, Moneycontrol Pro, a subscription-based financial news service, grew its subscribers base to over 0.9 million, securing its place as the market leader in this segment.   

Adil Zainulbhai, Chairman of Network18, said: “We are happy to have completed the merger of our news businesses. With a strong portfolio of TV channels and digital platforms, covering the breadth of the country and catering to its linguistic diversity, we are ideally positioned to become the most preferred news network of India. We are committed to push boundaries of innovation and lead the growth of the industry as we build on this strong foundation.”  

The merger presents an opportunity to shareholders of all the companies anticipated in the media business of the group through one listed entity.