Subscription revenue, sales & services drive ZEEL FY24 revenue by 6.8%

Zee Entertainment Enterprises Ltd (ZEEL) has reported 6.8% growth in its operating revenue for FY2024. This was primarily driven by subscription revenue and other sales & services. EBITDA margin in FY24 was up 10.5%.

The TV landscape continues to remain healthy, with ZEEL reporting network market share up 30 bps YoY in FY24. Total TV viewership improved by 5% YoY.

ZEEL’s FY24 ad revenue saw a slight dip at Rs 40,577 million, from Rs 40,579 million in FY2023. On the other hand, subscription revenue grew 10% to Rs 36,660 million, from Rs 33,355 million in FY2023.

Domestic advertising revenue for the fourth quarter ended March 31, 2024 grew by 10.6% YoY, driven by the continued recovery in macro advertising environment and spending pickup by FMCG clients.

Meanwhile, subscription revenue growth was driven by pick-up in linear subscription revenue post NTO 3.0 and ZEE5. ZEE5 reported 24% YoY growth in revenues in FY24, while the OTT platform’s Q4 FY24 revenues were up 8% YoY.

However, other sales and services revenue saw a drop of 57% YoY due to fewer movie releases and syndication during the quarter.

EBITDA for the quarter came at Rs 2,103 million, while Q4 FY24 EBITDA margin was reported at 9.7%.