TV18 Broadcast reported a mixed set of numbers for Q3FY18. Revenue for the company grew by 8.5 percent yoy. However, due to increased costs, the EBITDA declined by 6.7 percent yoy. EBITDA margin contracted by 195bps yoy to 12.0 percent. Though the revenue share from JVs and associates jumped by 164 percent yoy, EBITDA decline and higher tax payout dragged the PAT by 8.1 percent yoy to Rs 15.9 crore.

• Revenue from media operations grew by 10.6 percent yoy to Rs760.8cr. However, the film production revenue declined by 18.0 percent yoy. 

• Due to investment towards new channels, the employee and marketing expenses grew by 137bps and 86bps yoy as the percent of net sales.

• EBIT margin for the media operations remained flat at 6.2 percent on yoy basis. On the positive side, the EBIT from film production segment was positive at Rs0.9cr against EBIT loss of Rs0.5cr in Q3FY17.

• Share of profit from JVs and associates jumped substantially by 164 percent yoy to Rs18.6cr. However, it declined by 27.8 percent sequentially.

• Tax outgo for the quarter was at 116.8 percent of PBT against 37.4 percent in Q3FY17. – IIFL