Raj TV Q2 net profit up 50% on higher revenue

Chennai-based Raj Television Network reported a higher net profit for the fiscal second-quarter as cost of production fell and revenue grew 12%. A higher incidence of tax provisioning along with increased finance costs and stagnant other income could not prevent the company from shoring up its net profit. 

For the three months ended September, Raj TV Network’s net profit increased to Rs. 3.46 crore ( Rs. 34.6 million), up 50%. 

The company reported a standalone sales turnover of Rs. 18.35 crore ( Rs. 183.5 million), up 12.30% as compared with corresponding quarters turnover of Rs. 16.33 crore ( Rs. 163.3 million). 

Raj Television cut cost of production by one-third to Rs. 5.18 crore ( Rs. 51.8 million), which also helped negate the impact that would have caused from higher employee costs, and administrative expenses.

Apparently, the operating expenses edged down 6.2% to Rs. 11.84 crore ( Rs. 118.4 million). Operating profit (EBITDA) surged 75.3% to Rs. 6.51 crore ( Rs. 65.1 million) which translates into an EBITDA margin for Q2FY14 of 35.5% as against 22.7% recorded in Q2FY13.

Raj Television Network operates television channels, including Raj TV – an entertainment channel, Raj digital plus – and exclusive movie channel, Raj Musix – a music channel in Tamil, as well as in Kannada, and Raj news 24×7. Raj TV and Raj digital plus are free to air in Chennai and pay channels outside Chennai, while Raj Musix and Raj News are free channels.

Source: http://cablequest.org/news/national-news/item/3439-raj-tv-q2-net-profit-up-50-on-higher-revenue.htmlSource: http://cablequest.org/news/national-news/item/3439-raj-tv-q2-net-profit-up-50-on-higher-revenue.html