Network18 registers a strong growth of 40%

Network18 reports strong start to the year with revenue growth of 40% and third consecutive quarter of operating profits Group announces two major steps to accelerate growth - business realignment and SUN18, a strategic distribution alliance.

Announcing the results, Raghav Bahl, Managing Director, Network18 said that,"The Indian economy continues to be robust helping drive growth across each of our businesses. We have recently announced two bold initiatives - business realignment and setting up of Sun18 - which will help us accelerate our growth further."

Key Highlights for Q1 FY2010-11

¢ Consolidated revenues of Rs 318 cr for the quarter ended June 30 2010, recording a growth of 40% compared to the corresponding quarter last year. Secular revenue growth across all businesses.

¢ Operating Profit (EBITDA) of Rs 1 cr for the quarter ended June 30 2010, compared to a loss of Rs 14 cr in the corresponding quarter last year. Operating profit in the television businesses offset by continued investments in newer businesses.

¢ Television business revenues grew to Rs 237 cr, a growth of 45% over the corresponding quarter last year; Operating Profit (EBITDA) increased 7x to Rs 21 cr.

¢ Businesses continue to consolidate their leadership positions across media segments ' 6/9 TV channels were No 1 during the quarter, the Web, Yellow Pages & Home Shopping businesses continued to be leaders in their respective segments.

Commenting on the first quarter results, Haresh Chawla, Group CEO, said," The Group has reported another solid quarter of revenue growth driven by higher advertising revenues. We believe our foray into the distribution business will now help us make up the lag in subscription revenues and led to improved profitability."