The combined digital and e-commerce operations of Network18 were Rs 67.6 crores, up 38% over the corresponding quarter last year. Operating loss for the segment, which includes Web18, Homeshop18 and NewsWire18, increased to Rs 31.2 crore, up from Rs 17.2 crore for the same quarter last fiscal. Quarter on quarter, loss declined marginally from Rs 32.2 crore.
Web18 Revenue Flat Year On Year
Web18, Network18’s Internet (and sometimes mobile) business crossed the Rs 100 crore mark in revenue for the financial year ending 31st March 2012, reporting Rs 100.7 crore for the fiscal, up from Rs 84.9 crore reported last fiscal.
Web18 reported revenues of Rs 25.9 crore for the fourth quarter (Q4-FY12), marginally higher than the Rs 25.8 crore reported for the same quarter last fiscal, and sequentially down Rs 26.3 crore.
A sequential quarter comparison might not be right since Q3 has the festive season, when advertising is at its peak. However, Q4 tends to be a particularly significant quarter for Web18, with moneycontrol.com usually doing well because of India’s annual budget announcement (a signficant annual event for financial publications and sites), so an increase in topline of just Rs 0.1 crore for the quarter, year on year, is a little disappointing.
How Much Does FirstPost Cost Web18?
You also need to take into account that Web18 added a new site – FirstPost.com – to it’s portfolio during the year, so it should ideally have added to revenues; FirstPost completed a year yesterday, and we wonder how much of Web18’s losses can be attributed to this rather interesting attempt at building an opinionated news property.
A note from Network18 suggests that Moneycontrol.com reported 7.8 million unique visitors in March, but doesn’t site a source, and there’s no information from the company about the Firstpost, In.com and AskMe.in.
BookMyShow, according to the Network18, showed “strong growth” during the year and is a profitable operation. This is in line with the expectations.
HomeShop18: Ecommerce Adds To Growth
HomeShop18 reported revenues of Rs 89.2 crore for FY12, up from Rs 71 crore last fiscal. For Q4, growth was around 134.3%, at Rs 30 crore, compared to Rs 12.8 crore last fiscal. Ecommerce must have helped the company, as it scaled its e-commerce operations during the year, adding books as a category for the first time. According to Network18, “Orders executed during the year grew by over 126% YOY.” On the TV front, HomeShop18 was made available on Videocon d2h.