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Network18 Media and Investments Ltd Wednesday reported a consolidated net loss of Rs 3.70 crore for the fourth quarter ended March 31, 2016. The company had reported a consolidated net profit of Rs 10.58 crore during January-March last fiscal.
For the year ended March 31, Reliance Industries Limited (RIL)-owned Network18 Media Investments posted profit before tax of Rs 86.4 crore, as compared to a loss of Rs 1,090.3 crore in FY15. The massive loss last financial year was on account of write-offs amounting to Rs 1,059.1 crore for diminution in value of certain assets of the company and provision for non-recoverable/doubtful loans.
Proceeds from the sale of stake in Stargaze Entertainment (cinema exhibition business) (Rs 43 crore listed under ‘other income’) added to the profitability in the just concluded year.
Revenues for financial year grew 8.9% from Rs 3,126.5 crore in FY15 to Rs 3,403.3 crore in FY16. Operational profit was up 17.4% at Rs 179.5 crore as against Rs 152.9 crore in FY15.
The company reported 7.3% increase in consolidated operating revenues for the quarter ended March 31 (Q4FY16), from Rs 841.4 crore last year to Rs 902.9 crore.
Operating profit saw a growth of 7% from Rs 69.6 crore in Q4FY15 to Rs 74.5 crore in Q4FY16, despite operating loss of Rs.92 crore on account of new ETV news channels, launch of Colors Infinity and VOOT (an exclusive digital video OTT launched by Viacom18 in March 2016) and also a one-time expense of Rs 10 crore for rebranding ETV regional entertainment channels as Colors.
Profit before tax for the quarter under consideration was down 30.4% from Rs 56.6 crore in Q4FY15 to Rs 39.4 crore in Q4FY16 on account of increased expenses, and reduction in other income.
