BackDB Corp Q2 net profit rises 13.2%
DB Corp profit boosted by growth in advertising revenue
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New Delhi: DB Corp. Ltd, which publishes the Dainik Bhaskar and Divya Bhaskar newspapers, reported a 13.2% increase in net profit for the September quarter from a year ago, helped by growth in advertising revenue. Net profit rose from 60.2 crore to 68.1 crore.
Revenue rose 9.2% to 483.8 crore, driven by a 9% increase in advertising revenue to 361 crore. Revenue from circulation grew 15% to 91.5 crore from 79.6 crore.
“We are happy to report a quarter of satisfactory performance driven by satisfactory advertisement revenue growth with strong traction from segments such as FMCG (fast-moving consumer goods), real estate, auto and lifestyle categories," said Sudhir Agarwal, managing director of DB Corp.
“On an overall basis, we have ensured that our legacy and emerging markets maintain steady growth as we continue to focus on delivering a content-backed news product that has become an integral part in the lives of our readers in various age-groups and with diverse interests," he added.
Advertisement revenue for DB Corp.’s radio business, which operates under the brand MY FM 94.3, increased 33.3% to 22.8 crore in the July-September period.
The company said its digital business posted robust growth of 57%, with dainikbhaskar.com, divyabhaskar.com, divyamarathi.com and dailybhaskar.com earning 6.3 crore in revenue. The Dainik mobile application has a base of 250,000 active users.
Analysts said the results were largely in line with expectations.
“Their profit numbers are slightly lower than Street estimates. Overall, for this quarter, expectations have been set low because advertising in the media industry has been subdued," said Karan Mittal, media analyst at ICICI Securities Ltd.
Some products of Hindustan Media Ventures Ltd, a subsidiary of HT Media Ltd, Mint’s publisher, compete with those of DB Corp. in some markets.
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