DB Corp’s net profit up 67% to Rs 41-crore
DB Corp (DBCL) announced its financial results for the quarter and year ended 31 March 2023. Dainik Bhaskar delivered yet another quarter of strong results and concluded Fiscal 2023 on a robust note on the back of impressive growth in ad revenues across all major markets. Print advertising registered strong growth of 27% year on year for FY2023 and 16% year on year for Q4 FY2023. Consolidated EBIDTA registered a growth of 34% year on year in Q4 FY2023.
24 May 2023 | By Rahul Kumar
In performance highlights for FY2023, advertising revenue grew by 25.4% to Rs 14,827-million as against Rs. 11,827-million in FY2022. Total revenue grew by around 21.2% to Rs 21,682-million as against Rs 17,885-million. Circulation revenue grew by around 1.5% to Rs 4,627-million as against Rs 4,558-million. EBIDTA grew by 12% to Rs 3,611-million as against Rs. 3,228 million, after considering forex loss of Rs 52-million, aided by stringent cost control measures, and despite high newsprint prices and large digital business investment for future growth. Net Profit grew 19% to Rs 1691-million as against Rs 1426-million, after considering forex loss of Rs 60-million.
In performance highlights for Q4 FY2023, advertising revenue grew by 14.2 % to Rs 3,578-million as against Rs. 3,134 million. Total Revenue grew by 13.5% at Rs 5,446-million as against Rs 4,799-million. Circulation revenue stands at Rs 1,153-million as against Rs 1,152-million. EBIDTA grew by 34% to Rs 889-million as against Rs 663-million aided by stringent cost control measures, and despite high newsprint prices and large digital business investment for future growth. Net Profit grew by 67% to Rs 410-million as against Rs 245-million.
According to the company, newsprint prices continued their downward trend in Q4 FY2023 aiding margins and is likely to bring higher benefit in the coming quarters. From Rs 63500-pmt in Q2 FY2023, newspaper newsprint prices have come down to Rs 60,000 in Q4 FY2023 and currently, the company’s blended purchase price is around Rs 55,000-pmt.
Sudhir Agarwal, managing director, DB Corp, said, “While other major economies around the world faced a tough year, the Indian economy, especially the non-metro centres, showed great resilience in fiscal 2023. GST collections in tier-II and beyond cities have increased by ~15-25% underscoring the strong potential of these markets.”
He added that advertisers continue to repose their trust in print media, especially in these markets, with new-age advertisers also seeing tremendous value in using hyperlocal ad campaigns. “Dainik Bhaskar’s editorial strategies and dominant position in these markets have resulted in strong growth of advertising revenues across the board. Our circulation strategy has enabled us to extend our lead as India’s No 1 newspaper and newspaper group,” he said.