ZEE ENTERTAINMENT 2017-18 Annual Report Analysis

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?  

ZEE ENTERTAINMENT 2017-18 Annual Report Analysis
Thu, 9 Aug

ZEE ENTERTAINMENT has announced its results for the year ended March 2018. Let us have a look at the detailed performance review of the company during FY17-18.

ZEE ENTERTAINMENT Income Statement Analysis

  • Operating income during the year rose 3.9% on a year-on-year (YoY) basis.
  • The company's operating profit increased by 21.3% YoY during the fiscal. Operating profit margins witnessed a fall and down at 31.0% in FY18 as against 26.5% in FY17.
  • Depreciation charges and finance costs increased by 58.1% YoY and 5.5% YoY, respectively.
  • Other income grew by 96.6% YoY.
  • Net profit for the year declined by 33.4% YoY.
  • Net profit margins during the year declined from 33.3% in FY17 to 20.7% in FY18.

ZEE ENTERTAINMENT Income Statement 2017-18

No. of Mths Year Ending 12 Mar-17* 12 Mar-18* % Change
Net Sales Rs m 64,342 66,857 3.9%
Other income Rs m 2,240 4,403 96.6%
Total Revenues Rs m 66,582 71,260 7.0%
Gross profit Rs m 17,064 20,695 21.3%
Depreciation Rs m 1,152 1,821 58.1%
Interest Rs m 1,372 1,448 5.5%
Profit before tax Rs m 16,780 21,829 30.1%
Tax Rs m 6,804 8,409 23.6%
Profit after tax Rs m 22,205 14,778 -33.4%
Gross profit margin % 26.5 31.0
Effective tax rate % 40.5 38.5
Net profit margin % 33.3 20.7
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Company Reports, Regulatory Filings, Equitymaster



ZEE ENTERTAINMENT Balance Sheet Analysis

  • The company's current liabilities during FY18 stood at Rs 23 billion as compared to Rs 17 billion in FY17, thereby witnessing an increase of 39.0%.
  • Long-term debt down at Rs 11 billion as compared to Rs 18 billion during FY17, a fall of 37.1%.
  • Current assets rose 6% and stood at Rs 86 billion, while fixed assets rose 46% and stood at Rs 16 billion in FY18.
  • Overall, the total assets and liabilities for FY18 stood at Rs 111 billion as against Rs 103 billion during FY17, thereby witnessing a growth of 9%.

ZEE ENTERTAINMENT Balance Sheet as on March 2018

No. of Mths Year Ending 12 Mar-17* 12 Mar-18* % Change
Networth Rs m 66,904 75,617 13.0
 
Current Liabilities Rs m 16,685 23,194 39.0
Long-term Debt Rs m 18,208 11,452 -37.1
Total Liabilities Rs m 102,575 111,297 8.5
 
Current assets Rs m 81,273 85,900 5.7
Fixed Assets Rs m 10,712 15,680 46.4
Total Assets Rs m 102,575 111,297 8.5
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Company Reports, Regulatory Filings, Equitymaster



ZEE ENTERTAINMENT Cash Flow Statement Analysis

  • ZEE ENTERTAINMENT's cash flow from operating activities (CFO) during FY18 stood at Rs 6 billion on a YoY basis.
  • Cash flow from investing activities (CFI) during FY18 stood at Rs -10 billion on a YoY basis.
  • Cash flow from financial activities (CFF) during FY18 stood at Rs -11 billion on a YoY basis.
  • Overall, net cash flows for the company during FY18 stood at Rs -16 billion from the Rs 17 billion net cash flows seen during FY17.

ZEE ENTERTAINMENT Cash Flow Statement 2017-18

Particulars No. of months 12 12 % Change
Year Ending Mar-17 Mar-18
Cash Flow from Operating Activities Rs m 7,406 5,544 -25.1%
Cash Flow from Investing Activities Rs m 13,969 -10,497 -
Cash Flow from Financing Activities Rs m -4,138 -10,902 -
Net Cash Flow Rs m 16,520 -15,771 -
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Company Reports, Regulatory Filings, Equitymaster



Current Valuations for ZEE ENTERTAINMENT

  • The trailing twelve-month earnings per share (EPS) of the company stands at Rs 15.4, an decline from the EPS of Rs 23.1 recorded last year.
  • The price to earnings (P/E) ratio, at the current price of Rs 523.0, stands at 34.2 times its trailing twelve months earnings.
  • The price to book value (P/BV) ratio at current price levels stands at 7.0 times, while the price to sales ratio stands at 7.9 times.
  • The company's price to cash flow (P/CF) ratio stood at 30.3 times its end-of-year operating cash flow earnings.

Per Share Data/Valuations

No. of Mths Year Ending 12 Mar-17* 12 Mar-18*
Sales per share (Unadj.) Rs 67.0 69.6
TTM Earnings per share Rs 23.1 15.4
Diluted earnings per share Rs 23.1 15.4
Price to Cash Flow x 21.5 30.3
TTM P/E ratio x 34.2 34.2
Price / Book Value ratio x 7.0 7.0
Market Cap Rs m 502,315 502,314
Dividends per share (Unadj.) Rs 2.5 2.9
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Company Reports, Regulatory Filings, Equitymaster



Ratio Analysis for ZEE ENTERTAINMENT

  • Solvency Ratios
  • Current Ratio: The company's current ratio improved and stood at 3.7x during FY18, from 4.9x during FY17. 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 16.1x during FY18, from 13.2x during FY17. 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 19.5% during FY18, from 33.2% during FY18. 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 28.3% during FY18, from 35.7% during FY17. 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 14.6% during FY18, from 23.0% during FY17. The ROA measures how efficiently the company uses its assets to generate earnings.

Key Ratio Analysis

No. of Mths Year Ending 12 Mar-17* 12 Mar-18*
Current ratio x 4.9 3.7
Debtors’ Days Days 70 84
Interest coverage x 13.2 16.1
Debt to equity ratio x 0.3 0.2
Return on assets % 23.0 14.6
Return on equity % 33.2 19.5
Return on capital employed % 35.7 28.3
* Results Consolidated
Interim results exclude extraordinary / exceptional items
Source: Company Reports, Regulatory Filings, Equitymaster



To see how ZEE ENTERTAINMENT has performed over the last 5 years, please visit here.

ZEE ENTERTAINMENT Share Price Performance

Over the last one year, ZEE ENTERTAINMENT share price has moved up from Rs 538.8 to Rs 523.0, registering a loss of Rs 15.8 or around 2.9%.

Meanwhile, the S&P BSE TECK Index is trading at Rs 7,431.1 (up 0.1%). Over the last one year it has moved up from 5,781.0 to 7,431.1, a gain of 1,650 points (up 28.5%).

Overall, the S&P BSE SENSEX is up 18.8% over the year.

(To know more, check out historical annual results for ZEE ENTERTAINMENT and quarterly results for ZEE ENTERTAINMENT)

Equitymaster requests your view! Post a comment on "ZEE ENTERTAINMENT 2017-18 Annual Report Analysis". Click here!

  

Related Views on News

ZEE ENTERTAINMENT Announces Quarterly Results (2QFY20); Net Profit Up 7.1% (Quarterly Result Update)

Oct 25, 2019 | Updated on Oct 25, 2019

For the quarter ended September 2019, ZEE ENTERTAINMENT has posted a net profit of Rs 4 bn (up 7.1% YoY). Sales on the other hand came in at Rs 21 bn (up 7.4% YoY). Read on for a complete analysis of ZEE ENTERTAINMENT's quarterly results.

ZEE ENTERTAINMENT 2018-19 Annual Report Analysis (Annual Result Update)

Sep 9, 2019 | Updated on Sep 9, 2019

Here's an analysis of the annual report of ZEE ENTERTAINMENT for 2018-19. It includes a full income statement, balance sheet and cash flow analysis of ZEE ENTERTAINMENT. Also includes updates on the valuation of ZEE ENTERTAINMENT.

ZEE ENTERTAINMENT Announces Quarterly Results (1QFY20); Net Profit Up 61.9% (Quarterly Result Update)

Jul 25, 2019 | Updated on Jul 25, 2019

For the quarter ended June 2019, ZEE ENTERTAINMENT has posted a net profit of Rs 5 bn (up 61.9% YoY). Sales on the other hand came in at Rs 20 bn (up 13.3% YoY). Read on for a complete analysis of ZEE ENTERTAINMENT's quarterly results.

More Views on News

Most Popular

The Smartest Stock to Buy for 2020(Profit Hunter)

Nov 14, 2019

Small-cap stocks are selling at bargain prices today and are poised to generate a lot of wealth in 2020 and beyond...

A Trade that Could Generate Profits for Decades

Nov 14, 2019

India's #1 trader is back on the Investor Hour. Vijay Bhambwani talks to us about his super-profitable trading system and shares with us his #1 long term trade. Listen in...

The One Trade I'm Most Bullish on Now

Nov 12, 2019

A highly specific trade to potentially triple your money in just three months. You won't find this information anywhere else!

How the Modi Government is Helping My Top 7 Stocks(The 5 Minute Wrapup)

Nov 14, 2019

Recent reforms by the Modi government can give a big boost on your stocks, provided you buy the right ones.

I Think Nestle, HUL, and Asian Paints Could Give Low Returns(Profit Hunter)

Nov 15, 2019

If you think high quality stocks will continue their dream run forever, then you must read this now.

More

Get the Indian Stock Market's
Most Profitable Ideas

How To Beat Sensex Guide 2020
Get our special report, How to Beat Sensex Nearly 3X Now!
We will never sell or rent your email id.
Please read our Terms

TRACK ZEE ENTERTAINMENT

  • Track your investment in ZEE ENTERTAINMENT with Equitymaster's Portfolio Tracker. Set live price alerts, get research alerts and more. Get access now...
  • Add To MyStocks

MORE ON ZEE ENTERTAINMENT

ZEE ENTERTAINMENT 8-QTR ANALYSIS

COMPARE ZEE ENTERTAINMENT WITH

MARKET STATS