DB Corp reports total revenue of Rs 4,513-million in Q2 FY2022

In performance highlights for Q2 FY2022, consolidated advertising revenue stood at Rs 3,029-million as against Rs 2263-million in Q2 FY2021, on a comparative higher base of last year. Circulation revenue stood at Rs 1,159-million as against Rs 1,033-million. Total revenue came in at Rs 4,513-million as against Rs 3,498-million. EBIDTA stands at Rs 1,054-million (23% margin) as against Rs 745-million (margin of 21%), aided by stringent cost control measures and despite large digital business investment for future growth. Net profit stands at Rs 538-million as against Rs 285-million.

The efforts of the Dainik Bhaskar group on resumption of circulation to pre-covid levels have yielded stellar results with various initiatives having contributed to the restoration of almost 92-95% of pre-covid circulation copies along with cover price increase in select markets. Further, these efforts have resulted in expanding market share gains, with an average increase of around 2-3% YOY across all markets in which the Group operates, underscoring the resilience of the group.

The economic activity across the country has seen strong acceleration with the expansion of vaccination drive and declining Covid-19 active cases. There are strong tailwinds being generated across sectors with the festive season adding to the country's economic resurgence. As this pent-up demand fructifies, advertisers are once again putting their trust in print media, which has been the most credible medium, to maximise their returns on ad spends. As a result, demand for print advertising space is witnessing an upsurge. Advertising in large format, such as gatefolds, covers, and full pages, are making a strong comeback. Non-metros, where Dainik Bhaskar operates in, continue to remain at the forefront of current economic recovery.

Advertisement revenues are reclaiming pre-Covid levels with the festive season providing an added push and as a result, our print business advertising stands at 82% of the pre-Covid levels, Q2 FY20, despite the absence or muted performance of large categories such as auto and consumer durables.

Local advertising, which constitutes almost 70% of the overall advertising is currently growing by almost double digit. The momentum of the Dainik Bhaskar mega print issues continued in the quarter gone by with all editions being completely sold out and some creating history in terms of the single day revenues that were generated from ad sales.

Sudhir Agarwal, managing director, DB Corp, said, “With the pandemic creating a sombre environment in the past few quarters, we are pleased that the cloud of despair seems to have been lifted with a strong wave of positive sentiments flowing in. We had always expected a good recovery, but the robust momentum that we are witnessing in our key tier-II, III and beyond markets is truly encouraging.”

He added that with this broad-based recovery, the company has not only crossed its performance of last year but is on track to reach our performance of 2019 or before the pandemic started. “This, we believe, is a testament to our well-thought-out strategy, editorial integrity, and continued leadership position in the markets we operate in, making us natural partners for our advertising clients, and importantly, the first choice in newspapers for millions of readers across the country,” he concluded.