News Broadcasting
GDR holding in Crest falls to 26 per cent
MUMBAI: Crest Animation Studios has seen a change in its shareholding composition after it raised $5.8 million via global depository receipts (GDRs) early this year.
The GDR holding in Crest has fallen from 42 per cent to 26.3 per cent as higher price in Indian markets provided arbitrage opportunities.
The GDRs were issued at a conversion price of Rs 35 per share. Since then, the market has responded positively and Crest is currently quoting at around Rs 78 per share.
By June, 2004, the GDR holding had fallen marginally to 39.35 per cent. While the foreign institutional investors (FIIs) held 6.57 per cent, mutual funds had 1.45 per cent. But with the stock price surging ahead, mutual funds have shown keen interest in the last two months. There has been an appreciation of over 60 per cent in the stock since 2 August when it was quoting at around Rs 48.75 levels.
“The public holding has gone up. Indian mutual funds have increased their exposure,” says Crest vice-president of corporate strategy and finance Abhay Bhalerao.
The promoters’ holding has gone down since the GDR issue from 32 per cent to 15.6 per cent in the company. However, their stake will go up by 5 per cent, as the warrants get converted in March, 2005.
“The promoters had taken a substantial dilution as they wanted to raise funds to restructure their business and focus wholly on animation,” says Bhalerao.
The proceeds of the GDR were entirely capitalised in the US subsidiary, RichCrest Animation, USA, for expanding operations and developing original animation content. The parent company in India, however, has received close to $5 million as outsourced orders from RichCrest since the GDR issue.
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.
