The portfolio of channels owned by Zee News maintained its strong performance in the July-September 2008 period. Zee News continues to fight out in the highly fragmented Hindi general news genre.
Zee Marathi remains leader in the Marathi GEC market with ~55% market share, far ahead of ETV Marathi, which has a 30% market share. The Bangla market saw the entry of STAR Jolsha in September 2008. Zee Bangla continues to be at the second position, behind ETV Bangla that leads by a thin margin.
Zee Telugu and Zee Kannada have been recording impressive gains in their viewership market share.
Against a 5-6% market share a year back, Zee Telugu has ~11% (ranked fourth) and Zee Kannada has ~15% market share in their respective genres. We expect Zee News to monetize these viewership gains in the quarter.
Against this backdrop we expect the overall revenues of the company to grow by 45.3% y-o-y to Rs116 crore, leading to a 107.5% jump in the operating profit and a healthy 117.5% increase in the net profit to Rs12.2 crore.