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Entertainment Q4FY25 net profit jumps 14-fold to Rs 188.4 crore

Entertainment Q4FY25 net profit jumps 14-fold to Rs 188.4 crore

Zee Entertainment Enterprises (ZEEL) reported a 14-fold increase in its consolidated net profit to Rs 188.4 crore for the January–March quarter (Q4FY25) compared to the same period last year. The profit figure includes gains from the company's portfolio rationalisation initiative and the treatment of Margo Networks as a discontinuing operation, valued at Rs 7.9 crore.
The Mumbai-headquartered company's revenue from operations rose marginally by 0.7 per cent year-on-year (YoY) to Rs 2,184.1 crore in Q4FY25. The modest growth was largely due to a sharp 24.56 per cent decline in advertising revenue, which fell to Rs 837.5 crore.
'Domestic advertising revenue declined by 27 per cent YoY for the quarter due to a slowdown in the macro advertising environment, postponement of the Zee Cine Awards, a busy sports calendar and a higher base in Q4FY24,' the company stated in its investor presentation.
In contrast, subscription revenue rose by around 4 per cent YoY to Rs 986.5 crore during the quarter, driven by both linear TV subscriptions and growth on ZEE5, the company's digital streaming platform.
ZEEL's other sales and services revenue—which includes the distribution business—tripled to Rs 360.1 crore in Q4FY25. The rise was attributed to a higher number of film releases and increased syndication revenue. In the quarter, 16 shows and movies were released, including four ZEE5 originals.
However, profit before interest, depreciation and tax (PBIDT) remained flat, dipping marginally by 0.1 per cent to Rs 98.2 crore for the quarter. 'There is not much meat left in us to cut,' a company executive said during the earnings call, referencing ZEEL's cost-cutting measures, particularly in its digital business, ZEE5. The executive added that future growth would now rely on increasing revenue as the scope for further cost reductions has been exhausted.
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