ZEEL reports Rs 2,717 mn EBITDA in Q1 FY25, EBITDA margin at 12.8%

Zee Entertainment Enterprises Ltd’s (ZEEL) EBITDA for the first quarter ended June 30, 2024 stood at Rs 2,717 million, with Q1 FY25 EBITDA margin at 12.8%; reporting YoY increase by 500bps, aided by effective cost management. Profit After Tax (PAT) from continuing operations during the quarter was at Rs 125.7 crore, which is a 931.7% increase quarter on quarter. Total Operating Revenue increased by 7.4% to Rs 21,305 million in Q1 FY25.

Domestic linear TV landscape continues to remain healthy; entertainment viewership during the quarter was impacted by cricket and elections. Soft advertising environment in Q1 FY25 was offset by pickup in subscription revenue, movie releases and higher syndication revenue.

Domestic advertising revenue for the quarter declined by 3.6% YoY, impacted by Cricket and general elections. On the other hand, subscription revenue growth was driven by pickup in linear subscription revenue post NTO 3.0 and ZEE5.

ZEE5 focused on streamlining the overall cost structure. ZEE5 is making steady progress and the platform has seen healthy trends in usage and engagement metrics, including the Net Promoter Score. Significant progress has been made towards achieving a balanced cost structure in order to sustain long-term growth. There was short-term aberration in the digital business growth momentum as the platform optimized costs for the long run. Thirteen shows and movies released during the quarter, including 4 originals.