DB Corp Q2 profit falls 26.6 per cent as festive advertising shifts to Q3

MUMBAI: For DB Corp, the festive season has turned into a tale of two quarters, with some advertising cheer spilling over from September to December. The publisher of Dainik Bhaskar reported consolidated total income of Rs 614 crore for Q2 FY27, down 3.2 per cent year-on-year, while EBITDA declined 21.5 per cent to Rs 124 crore as the shift in the Navratri calendar and higher newsprint costs weighed on its reported performance.

The company’s advertising revenue stood at Rs 411 crore in the September quarter, compared with Rs 439 crore a year earlier. However, DB Corp said the year-on-year decline was attributable to the festive calendar, with Navratri falling in Q2 last year and moving to Q3 this year.

Excluding the impact of this shift, advertising revenue and EBITDA registered positive single-digit growth, according to the company. It expects the deferred festive revenue to reflect in Q3 FY27, potentially supporting performance in the second half.

While the festive calendar affected advertising comparisons, input costs presented another challenge. Newsprint costs rose 14 per cent during the quarter, primarily due to geopolitical uncertainties and related cost pressures.

DB Corp said it continued to focus on cost optimisation, operational efficiencies and inventory management to contain the impact. Circulation remained largely stable, supported by its established reader relationships and regional presence.

Circulation revenue declined 3.9 per cent year-on-year to Rs 116 crore from Rs 121 crore. Radio advertising revenue was broadly flat at Rs 34 crore, down 0.6 per cent from Rs 34 crore in Q2 FY26.

Consolidated profit before tax fell to Rs 92.86 crore from Rs 126.25 crore, while net profit declined to Rs 68.62 crore from Rs 93.46 crore. The company’s EBITDA margin also faced pressure amid the softer reported revenue and higher costs.

Away from the print pages, DB Corp’s digital business continued to build its audience. The combined monthly active users of the Dainik Bhaskar and Divya Bhaskar apps reached nearly 18 million in August 2026, up almost ninefold from 2 million in January 2020, according to Comscore data cited by the company.

The apps have recorded more than 100 million downloads to date. DB Corp said its focus on an ad-free user experience, content quality, visual presentation and hyperlocal coverage has helped strengthen engagement and retention.

The company is positioning its digital operations as a growing pillar alongside its established print and radio businesses, with its regional reach remaining central to its strategy.

Commenting on the results, managing director Sudhir Agarwal said below-normal monsoon conditions in parts of the country had weighed on sentiment during the quarter. He added that the group’s reader relationships, trusted brands and advertiser partnerships continued to support its core operations.

Agarwal remained positive about the opportunities ahead, pointing to the festive season as a potential driver of advertising momentum and broader consumption in key markets.

For DB Corp, the next quarter will be important in determining how much of the advertising activity deferred by the calendar shift translates into revenue. The company is banking on festive demand and operational discipline to help navigate higher input costs and sustain its regional media franchise.