New Delhi: Zee Entertainment Enterprises Ltd, which operates entertainment channels such as Zee TV and Zee Cinema, on Tuesday reported a 21.4% increase in net profit for the quarter ended June as it benefited from an increase in advertising and subscription revenue.
Net profit rose to Rs.218.1 crore from Rs.179.6 crore in the year-ago period. The profit was earned on an 18.5% rise in revenue to Rs.1,571.6 crore from Rs.1,326.7 crore a year ago.
Advertisement revenue rose 19.2% to Rs.912 crore, and that from subscriptions increased 14.2% to Rs.528.2 crore.
“The financial results once again highlight the strong underlying fundamentals of the company. The advertising and subscription revenues continue to drive the company’s growth. Taking a long-term view of the business trends, we are committed to becoming a global content company and will make suitable investments to achieve that objective,” chairman Subhash Chandra said.
Managing director and chief executive officer Punit Goenka said the firm is making investments that would boost growth.
“An effort in this direction was the relaunch of the company’s paid OTT (over-the-top) platform dittoTV with new subscription plans. Our movie production business has started delivering results, which is evident with movies like Sairat which became the highest grossing Marathi movie of all time,” Goenka said.
Zee Entertainment Enterprises shares ended little changed on BSE at Rs.474.55 on a day the benchmark Sensex fell 0.42% to 27,976.52 points.