Zee's Q2 net profit misses estimates on ICD write-off worth Rs 170 cr

Rs 170-cr exceptional item provided for as related parties delayed payment

Zee Entertainment’s (Zee’s) July-September quarterly (Q2) profit missed analysts’ estimates as it provided for an inter-corporate deposit (ICD) worth Rs 170.62 crore during the period. 

The disclosure comes amid mounting debt concerns of the promoter group at Zee, with the company management recently indicating that more than 90 per cent of the promoter stake (of 22 per cent) in the broadcaster was pledged with financial institutions.

Zee’s profit before tax declined 22 per cent year on year (YoY) to Rs 504 crore for Q2, as the company said the ICD write-off, reported as an exceptional item in its results, was due to