TV 18: 1QFY02 net drops 72% - Views on News from Equitymaster

Helping You Build Wealth With Honest Research
Since 1996. Try Now

  • MyStocks

MEMBER'S LOGINX

     
Login Failure
   
     
   
     
 
 
 
(Please do not use this option on a public machine)
 
     
 
 
 
  Sign Up | Forgot Password?  

TV 18: 1QFY02 net drops 72%

Aug 8, 2001

Television 18 has reported a sharp drop in net profit for 1QFY02. On a consolidated basis, things are even worse. Operating margins are at a paltry 1%, not enough to cover even the interest costs. Though the company has a huge fixed cost on its subsidiaries, revenue generation right now is miniscule. On a consolidated basis, the company has reported a net loss of Rs 8 m.

(Rs m)1QFY01*1QFY02change1QFY02**
Sales 90 62 -30.7%62
Other Income 6 10 72.6%5
Expenditure 49 48 -1.1%61
Operating Profit (EBDIT) 41 14 -66.1% 1
Operating Profit Margin (%)45.5%22.2% 1.3%
Interest 5 6 33.2%6
Depreciation 2 6 153.5%7
Profit before Tax 40 12 -69.7% (7)
Other Adjustments 2 - -100.0%0
Tax 1 1 -23.8%1
Profit after Tax/(Loss) 40 11 -72.2% (8)
Net profit margin (%)45.1%18.1%-12.5%
No. of Shares (eoy) (m) 11 11 11
Diluted Earnings per share 14.7 4.1 (0.7)
P/E (at current price) 14.1 NA
(* Stand alone March-June 2000)
(** Consolidated March-June 2001)

Revenues from news based content creation for CNBC India was Rs 57 m, around 92% of total revenues. A sharp drop in operating margins comes as a surprise given the fact that it operates on a cost plus basis with CNBC India. The entertainment business of the company has signed up several new production contracts including recently launched 'Kya Masti Kya Dhum' on Star Plus.

At the current market price of Rs 58, the stock trades at a P/e multiple of 14x its annualised 1QFY02 earnings. The market capitalisation of the stock has dropped to a paltry 640 m, a loss of Rs 24 bn in market capitalisation in 52 weeks!!!.

Equitymaster requests your view! Post a comment on "TV 18: 1QFY02 net drops 72% ". Click here!

  

More Views on News

Sorry! There are no related views on news for this company/sector.

Most Popular

A Critical Update on the Market (Fast Profits Daily)

Mar 30, 2021

In this video, I'll tell you why I am recommending caution in the market at this time.

My Recent Recommendation Will Profit from the Global Supply Chain Crisis (Profit Hunter)

Mar 31, 2021

A tiny chemical company, started in the Licence Raj era, is a great example of a new wealth creating opportunity.

My Stock Trading Strategy (Fast Profits Daily)

Mar 31, 2021

In this video I'll show you exactly how I go about picking stocks for trading.

What You Need to Find Hundred Baggers (Profit Hunter)

Mar 30, 2021

100 baggers of the last decade share this common trait. Here's how to use it to nail future multibaggers.

More

India's #1 Trader
Reveals His Secrets

Secret To Increasing Your Trading Profits Today
Get this Special Report,
The Secret to Increasing Your Trading Profits Today, Now!
We will never sell or rent your email id.
Please read our Terms

TRACK TV18

MARKET STATS