News Broadcasting
FM radio: Govt. may opt for partial sops
NEW DELHI: Information and broadcasting minister Ravi Shankar Prasad is likely to agree to partial sops for private players in the FM radio sector, though he is yet to make up his mind fully on a suggestion by the regulator that the annual licence fee may be deferred till a final view on amendments suggested in the existing policy is taken.
According to government sources, the file was sent to Prasad last week only when he was touring Bihar as part of election duty after I&B ministry secretary Pawan Chopra, as reported by indiantelevision.com earlier, made a noting on the file concerned.
Chopra had stated that acceding to the sector regulators suggestion would not be feasible at this point of time because of the impending general elections as also the fact that it would mean getting a clearance from the Union Cabinet too.
The sources also indicated that the government can over-rule the Telecom Regulatory Authority of India (the sheriff for the broadcast and cable sector) and even the I&B ministry secretarys views. “What needs to be seen is how much political importance does Prasad give to the two viewpoints,” an I&B ministry source indicated.
Trai, in an interim measure, had suggested that since its looking into the issue of FM radio broadcasting and the amendments suggested in the guidelines, the government may direct private FM radio players to defer payment of annual licence fee that becomes payable this month-end.
However, government sources also said that some private FM players, especially powerful media companies, have made a representation to the I&B ministry and others in the government, including the Prime Minister, that their licence fee payment may be deferred as Trai is deliberating on the amendments suggested by an expert committee, headed by Dr Amit Mitra.
Soon after such a representation, Trai also came out with a
consultation paper on FM radio seeking opinion from various stakeholders of the industry.
What are the options that Prasad or the government has? Come to think of it, there is more than one of them.
Option 1: Prasad too agrees with I&B ministry secretary Pawan Chopra’s line of argument and strikes down the regulator’s proposal on deferring the licence fee payment.
Likely Outcome: The private FM radio players would have to shell out a hefty license fee as some of them have licences in more than one city. Especially at a time when most media companies have been investing in their infrastructure with an eye to sharpen their election coverage too.
(The annual license fees, when most of the private FM radio stations started few years back, varied from metro to metro with an in-built clause for a 15 per cent increase every year. The highest fee was Mumbai at Rs 115 million followed by Delhi at 750 million, Lucknow at Rs 70 million and Chennai
at Rs 35 million. Kolkata was the lowest at Rs 10 million.)
Option 2: Prasad uses his discretion and throws up a suggestion that since the new government is likely to be in place by May, the FM radio companies should pay an amount calculated roughly for a month’s time.
Likely Outcome: Better than having to pay millions of rupees and then seek refunds from the government – always a difficult proposition – and adjustments. Seems like a good compromise formula.
Option 3: Prasad just forgets about the whole issue citing a busy election schedule.
Likely Outcome: This would be an ideal situation for the licencees, but not so for the government. It could become the butt of criticisms from the Opposition parties, especially the Congress that is now attempting to pull out as many controversial decisions relating to the government as possible.
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.
