GROWING STEADILY

Revenues

ZEEL’s revenues have grown at 12.4% CAGR over the past five years. However, excluding the Sports business, which was divested in FY17, revenues grew at 16.1% CAGR over FY14-19. This has been driven by improvement in our TV network share and digitization of analogue subscriber base. During FY19, our domestic advertising and subscription grew by 20.9% and 17.4% YoY, respectively.

EBITDA

Our EBITDA CAGR of 16.3% over the last five years is ahead of revenue growth. EBITDA margins improved from 27.2% in FY14 to 32.3% in FY19 driven by operating leverage. In FY19, despite investments in digital, EBITDA margins improved by 120bps YoY. Monetization of phase III subscribers and market share gains in our Domestic Broadcast aided margins.

PBT Before EXCEPTIONAL ITEMS

Our Profit before tax has grown at a 13.2% CAGR over the past five years led by robust revenue growth and improving margins. During FY19, PBT (before exceptional items) increased by 12.5% YoY, tad lower than the five-year average, due to lower other income and higher fair value adjustments.

Return on CAPITAL EMPLOYED

ZEEL’s return on capital employed (ROCE) improved by 330bps YoY to 24.4%. The increase was primarily led by higher EBIT margins which increased from 28.3% in FY18 to 29.4% in FY19. Partial redemption of preference shares led to a slower growth in capital employed.

NETWORTH

In FY19, ZEEL’s networth increased by 18%. This is primarily due to profit from operations.

Television Network Share

ZEEL further strengthened its leadership position as the #1 non-sports entertainment television network during the year with an all-India viewership share of 19.7%. Strong performance of our regional channels and movie cluster helped viewership share improvement.

ZEE5 – Monthly Active Users

In its first year of operations, ZEE5 was one of the fastest growing digital entertainment platforms in India. ZEE5 witnessed 190% increase in MAUs since April’18 driven by ZEE5 Originals, an expansive movie catalogue and the strong content library of broadcast business.

Movie Business REVENUE

Zee Studios produced seven and distributed six movies across Hindi, Marathi and Punjabi languages. The significant increase in movie business revenue during the year was led by the success of three Hindi movies – Manikarnika, Dhadak and Parmanu.

* The revenues of Movie business is before inter-company elimination

Revenue Breakdown FY19

Revenue : ₹ 79,339 Million

  • 64%

    Advertising Revenues

  • 29%

    Subscription Revenues

  • 07%

    Other Sales and Services

Distribution of Expenses FY19

Total Expenses : ₹ 53,700 Million

  • 57%

    Operating Costs

  • 29%

    Other Costs

  • 14%

    Employee Benefit Expenses