TV TODAY NETWORK 2022-23 Annual Report Analysis

Mon, 21 Aug

TV TODAY NETWORK has announced its results for the year ended March 2023. Let us have a look at the detailed performance review of the company during FY22-23.

TV TODAY NETWORK Income Statement Analysis

• Operating income during the year fell 5.6% on a year-on-year (YoY) basis.
• The company's operating profit decreased by 52.7% YoY during the fiscal. Operating profit margins witnessed a fall and stood at 13.0% in FY23 as against 25.8% in FY22.
• Depreciation charges decreased by 2.5% and finance costs increased by 26.5% YoY, respectively.
• Other income grew by 6.8% YoY.
• Net profit for the year declined by 51.4% YoY.
• Net profit margins during the year declined from 19.5% in FY22 to 10.0% in FY23.

TV TODAY NETWORK Income Statement 2022-23

No. of Mths Year Ending		12 Mar-22*	12 Mar-23*	% Change
Net Sales	Rs m	9,301	8,782	-5.6%
Other income	Rs m	480	512	6.8%
Total Revenues	Rs m	9,781	9,295	-5.0%
Gross profit	Rs m	2,403	1,137	-52.7%
Depreciation	Rs m	423	413	-2.5%
Interest	Rs m	26	33	26.5%
Profit before tax	Rs m	2,433	1,204	-50.5%
Tax	Rs m	618	321	-48.0%
Profit after tax	Rs m	1,815	882	-51.4%
Gross profit margin	%	25.8	13.0
Effective tax rate	%	25.4	26.7
Net profit margin	%	19.5	10.0

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TV TODAY NETWORK Balance Sheet Analysis

• The company's current liabilities during FY23 down at Rs 2 billion as compared to Rs 3 billion in FY22, thereby witnessing an decrease of -12.9%.
• Current assets fell 27% and stood at Rs 9 billion, while fixed assets fell 17% and stood at Rs 2 billion in FY23.
• Overall, the total assets and liabilities for FY23 stood at Rs 11 billion as against Rs 15 billion during FY22, thereby witnessing a fall of 25%.

TV TODAY NETWORK Balance Sheet as on March 2023

No. of Mths Year Ending		12 Mar-22*	12 Mar-23*	% Change
Networth	Rs m	11,578	8,284	-28.4
Current Liabilities	Rs m	2,856	2,487	-12.9
Long-term Debt	Rs m	0	0	0.0
Total Liabilities	Rs m	14,611	10,929	-25.2
Current assets	Rs m	11,875	8,654	-27.1
Fixed Assets	Rs m	2,736	2,275	-16.8
Total Assets	Rs m	14,611	10,929	-25.2

TV TODAY NETWORK Cash Flow Statement Analysis

• TV TODAY NETWORK's cash flow from operating activities (CFO) during FY23 stood at Rs 407 million on a YoY basis.
• Cash flow from investing activities (CFI) during FY23 stood at Rs 4 billion on a YoY basis.
• Cash flow from financial activities (CFF) during FY23 stood at Rs -4 billion on a YoY basis.
• Overall, net cash flows for the company during FY23 stood at Rs -147 million from the Rs 20 million net cash flows seen during FY22.

TV TODAY NETWORK Cash Flow Statement 2022-23

Particulars	No. of months	12	12	% Change
	Year Ending	Mar-22	Mar-23
Cash Flow from Operating Activities	Rs m	2,355	407	-82.7%
Cash Flow from Investing Activities	Rs m	-2,112	3,713	-
Cash Flow from Financing Activities	Rs m	-225	-4,267	-
Net Cash Flow	Rs m	20	-147	-

Current Valuations for TV TODAY NETWORK

• The trailing twelve-month earnings per share (EPS) of the company stands at Rs 14.8, an decline from the EPS of Rs 30.4 recorded last year.
• The price to earnings (P/E) ratio, at the current price of Rs 210.2, stands at 20.2 times its trailing twelve months earnings.
• The price to book value (P/BV) ratio at current price levels stands at 1.5 times, while the price to sales ratio stands at 1.4 times.
• The company's price to cash flow (P/CF) ratio stood at 13.8 times its end-of-year operating cash flow earnings.

Per Share Data/Valuations

No. of Mths Year Ending		12 Mar-22*	12 Mar-23*
Sales per share (Unadj.)	Rs	155.9	147.2
TTM Earnings per share	Rs	30.4	14.8
Diluted earnings per share	Rs	30.4	14.8
Price to Cash Flow	x	9.9	13.8
TTM P/E ratio	x	12.2	20.2
Price / Book Value ratio	x	1.9	2.2
Market Cap	Rs m	21,630	17,920
Dividends per share (Unadj.)	Rs	3.0	70.0

Ratio Analysis for TV TODAY NETWORK

• Solvency Ratios

Current Ratio: The company's current ratio deteriorated and stood at 3.5x during FY23, from 4.2x during FY22. The current ratio measures the company's ability to pay short-term and long-term obligations.

Interest Coverage Ratio: The company's interest coverage ratio deteriorated and stood at 37.0x during FY23, from 93.2x during FY22. The interest coverage ratio of a company states how easily a company can pay its interest expense on outstanding debt. A higher ratio is preferable.

• Profitability Ratios

Return on Equity (ROE): The ROE for the company declined and down at 10.7% during FY23, from 15.7% during FY23. The ROE measures the ability of a firm to generate profits from its shareholders capital in the company.

Return on Capital Employed (ROCE): The ROCE for the company declined and down at 14.9% during FY23, from 21.2% during FY22. The ROCE measures the ability of a firm to generate profits from its total capital (shareholder capital plus debt capital) employed in the company.

Return on Assets (ROA): The ROA of the company declined and down at 8.4% during FY23, from 12.6% during FY22. The ROA measures how efficiently the company uses its assets to generate earnings.

Key Ratio Analysis

No. of Mths Year Ending		12 Mar-22*	12 Mar-23*
Current ratio	x	4.2	3.5
Debtors’ Days	Days	8	9
Interest coverage	x	93.2	37.0
Debt to equity ratio	x	0.0	0.0
Return on assets	%	12.6	8.4
Return on equity	%	15.7	10.7
Return on capital employed	%	21.2	14.9

To see how TV TODAY NETWORK has performed over the last 5 years, please visit here.

TV TODAY NETWORK Share Price Performance

Over the last one year, TV TODAY NETWORK share price has moved down from Rs 274.6 to Rs 210.2, registering a loss of Rs 64.4 or around 23.4%.

Meanwhile, the S&P BSE TECK Index is trading at Rs 13,947.7 (up 1.0%). Over the last one year it has moved up from 13,903.0 to 13,947.7, a gain of 45 points (up 0.3%).

Overall, the S&P BSE SENSEX is up 8.3% over the year.

(To know more, check out historical annual results for TV TODAY NETWORK and quarterly results for TV TODAY NETWORK)