Web18, the Internet and Mobile business from the Network18 group has reported revenues of Rs. 72.82 crore for the financial year ending March 31st 2010 (FY10), up 11.28% from Rs. 65.44 crore reported for (FY09), and an operating loss of Rs. 9.27 crore, down 74% from Rs. 35.75 crore reported last fiscal. Year on year, the company has reported an increase in operating revenues, and a decline in operating expenses. Former Web18 CEO Surya Mantha recently left the Network18 Group to join Omidyar Networks; Lakshmi Narasimhan has taken over from him.
As Network18 MD Raghav Bahl had indicated at the end of last quarter, the company has turned in an operating profit of Rs. 2.45 Crore, down 59.26% from Rs. 5.32 crore reported for Q4 last fiscal, when the company did not report Q4 results. For Q4, Web18 reported revenues of Rs. 22.91 crore, its highest ever for a quarter, 17.37% lower than in Q410, at Rs. 19.52 crores. The net profit for the quarter was higher than operating profit on account of minority interest of Rs. 7.18 crore.
However, if you look at Web18’s performance for the last two years, the company has reported an operating loss for the first three quarters of the year, and then followed it up with an operating profit in the fourth. For Q4 last year, it reported a considerable decline in operating expenses. Bear in mind that in Q4, financial news businesses benefit from the announcement of the Union Budget.
In its press release, MoneyControl has claimed to be India’s 2nd largest web destination, in comparison with Rediff, Indiatimes, MSN and Sify. Please note that this is probably not accurate since the comparison does not include Google India and Yahoo India. Similarly, its financial portal Moneycontrol.com also claims to be Asia’s No. 1 Financial Destination in comparison with Yahoo India Finance and The Economic Times, but doesn’t include the comparison with Rediff Money. Not only are these representations not complete, they’re also based on Comscore data, the accuracy of which in India is not above question.
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