NDTV Convergence, the group’s digital arm, improved its revenues by 31% YoY in the September 2020 quarter. It’s EBITDA also improved by 31%. In the previous quarter (Q1 FY21), the group had termed NDTV Convergence “a market leader with huge traffic on account of its credible reporting of the pandemic”. In its annual report for FY20, the company had noted that NDTV Convergence had recorded its best revenue ever.
The NDTV group reported a net profit of ₹17.6 crore in the September quarter, a huge turnaround compared to a net loss of ₹10.4 crore in the same quarter last year. This Q2, the group said in a statement, is the best ever in its history. The group’s broadcast arm NDTV Limited earned a profit of ₹5.3 crore, which again is a huge turnaround compared to the ₹10.2 crore loss it made the same quarter last year.
The company said it has been able to reduce its bank borrowings by ₹22 crore since the start of the financial year despite the pandemic and concomitant slowdown of the economy.
NDTV’s television business has been reporting good results for the past couple of years. In the first quarter of the previous financial year (Q1 FY20), it was the first time in the company’s history that NDTV Limited recorded five consecutive profitable quarters.
Pay cuts to employees reversed: In an official filing, NDTV said it has rolled back all pay cuts for employees it had initiated April because of the pandemic this quarter. Employees earnings above ₹50,000 were subjected to cuts in the range of 10-40%; cuts up to 20% were removed in August, while the rest were removed in October.
Earnings snapshot (Q2 FY21)
NDTV Ltd (broadcasting arm):
- Profit after tax: ₹5.3 crore (up 292% YoY)
- Total income: ₹5.59 crore (up 295% YoY)
- Earnings per share (face value ₹4 per share): ₹0.82 (up 292% YoY)
- Profit after tax: ₹17.6 crore (up 159% YoY)