News Broadcasting
Govt may allow FII inflows in news channels
NEW DELHI: The Indian government is contemplating allowing foreign institutional investors (FIIs) to invest in television news channels even as the 31 October deadline to conform to the existing guidelines draws near.
FIIs could not invest in news channels uplinking from India, according to an interpretation of an existing government order (it cannot be technically termed as a law) that was announced in March, 2003.
The government order, which was issued in the aftermath of Star News case, impacted most Indian news channels as there were severe restrictions on their capacity to access FII funds. As per the order, the same guidelines followed in print medium regarding foreign investments had be followed in toto by news channels as well. There is a cap of 26 per cent on total foreign holdings in news publications in the country.
A senior information and broadcasting ministry official told
indiantelevision.com, “We are seriously seized of the matter and would like to clear the confusion before the October deadline.”
The official further added that the “possibility of inclusion of FII investments within the overall sectoral cap in news channels is high.”
At present, news channels desirous of uplinking from India are not eligible to have more than 26 per cent foreign direct investment (FDI).
The FII issue had kicked up a storm as most news ventures like the NDTV channels, Aaj Tak, Headlines Today, CNBC-TV 18 and Zee News were asked to conform to the government order. These channels had petitioned the I&B ministry that apart from other issues, it would be difficult for listed Indian entities to keep track of any FII buying or selling of shares from the stock market.
According to the government official, had all the news channels been unanimous on the FII and other foreign investment issue, it would have been easier for the government to take a final call.
“But there have been different sets of explanations and demands. One broadcaster even wanted the total foreign investment cap in news ventures being raised to 49 per cent,” the official said. “However, raising of foreign investment caps in the present scenario is highly unlikely.
Adherence to the foreign investment cap in case of news ventures is also one of the issues why the government has not yet cleared Zee’s request seeking uplinking permission for a proposed business news channel which had a short-lived run on a DTH platform before being discontinued.
News Broadcasting
Network18 Q4 revenue grows 9.7 per cent, EBITDA at Rs 30 crore
PAT improves to Rs 306.6 crore, margins steady amid cost pressures.
MUMBAI: Not all news is breaking, some of it is quietly improving. Network18 Media & Investments Limited appears to be doing just that, tightening losses and stabilising margins even as costs continue to weigh on the business. For FY26, the company reported revenue from operations of Rs 1,955.1 crore, up from Rs 1,896.2 crore in FY25, signalling modest top-line growth in a challenging media environment. Total income stood at Rs 1,978.2 crore, compared to Rs 1,913 crore a year earlier.
Profit after tax came in at Rs 306.6 crore for the year, a sharp turnaround from Rs 3,225.4 crore in FY25, largely reflecting the absence of large exceptional items that had inflated the previous year’s numbers. On a more comparable basis, the company’s operating performance showed signs of gradual stabilisation.
However, the quarterly picture remained under pressure. For the March quarter, Network18 reported a loss of Rs 53.1 crore, narrower than the Rs 98.1 crore loss in the same period last year, but still indicative of ongoing cost challenges.
Expenses continued to track high. Total expenses for FY26 stood at Rs 2,235.7 crore, up from Rs 2,197.8 crore in FY25. Key cost heads included operational expenses of Rs 765.9 crore, employee benefits of Rs 475.9 crore, and marketing, distribution and promotional spends of Rs 427.1 crore, underlining the continued investment required to sustain reach and engagement.
At an operating level, margins remained under strain. Operating margin stood at 2.33 per cent for FY26, marginally higher than 1.77 per cent in FY25, while net profit margin remained negative at -13.02 per cent, though improved from -14.89 per cent.
On the balance sheet, total assets rose to Rs 8,957.6 crore as of 31 March 2026, from Rs 8,317.5 crore a year earlier. Equity strengthened to Rs 4,958.7 crore, while borrowings increased to Rs 3,112.8 crore, reflecting a higher reliance on debt to support operations.
Cash flows told a mixed story. While financing activities generated Rs 83.9 crore, operating cash flow remained negative at Rs -24 crore, highlighting ongoing pressure on core cash generation. Cash and cash equivalents, however, improved to Rs 33.9 crore from Rs 1.8 crore.
The numbers point to a company in transition growing revenues, trimming losses, but still grappling with structural cost pressures. In a sector where scale often comes at a price, Network18 seems to be inching towards balance, one quarter at a time.
