News Broadcasting
Network18’s consolidated revenue grew 12 per cent YoY to Rs 1,549 cr for Q2FY23
Mumbai: On Tuesday, Network18 Media & Investments announced its financial results for the quarter that ended 30 September, 2022. Amidst a challenging macro environment, the company reported that its consolidated revenue from operations rose to Rs 1,549 crore (year-on-year) as against Rs 1,387 crore in the corresponding quarter of the preceding fiscal. They have reported a consolidated net loss of Rs 28.84 crore.
Total expenses were at Rs 1,592 crore, up by 33.88 per cent in Q2FY23, as against Rs 1,189.04 crore earlier. The network’s consolidated operating Ebitda fell 87 per cent year on year to Rs 32 crore in Q2FY23, from Rs 253 crore in Q2FY22.
According to a regulatory filing, TV news revenue was down three per cent YoY in the second quarter, owing primarily to a decline in advertising revenue. News ad inventory declined by 10 per cent at industry level and the drop was even higher for the network as they continued to optimise inventory on key channels. However, the impact on revenue was much lower as the scale-up of events-led monetisation partially offset the loss of display advertising.
TV18’s entertainment portfolio had a viewership share of 9.9 per cent in the non-news genre in Q2FY23. Its full-portfolio offering across national, regional, niche, sports, infotainment, and digital has diversified revenue streams and makes it future-ready.
Network18 continued to invest in content, marketing, and distribution initiatives in order to lay a solid foundation for long-term growth, resulting in a 34% increase in operating costs.
Growth in revenue was primarily driven by the movie segment, as ad revenue was flat due to the subdued advertising environment. Adjusting for the impact of the withdrawal of Colors Rishtey from DD FreeDish, ad revenue grew in the high single digits on a YoY basis, despite the challenging environment.
Operating expenses increased by 15 per cent (excluding film production) due to increased content and marketing spending. The higher number of hours (TV and digital), higher episodic costs, and increased spending in regional markets all contributed to the increase in content costs.
The business’s profitability suffered as advertising revenue fell short of expectations, despite content investments helping us strengthen our ratings in certain markets.
In addition, increased investments in digital and a drop in Colors Rishtey ad revenue also impacted Ebitda.
Viacom18 Studio’s Laal Singh Chaddha and Shabaash Mithu received a mixed response from Indian theatre-going audiences but received great traction in international markets and on digital platforms.
Key highlights:
TV18’s CNN News18 and News18 India join CNBC TV18 as undisputed leaders in the English and Hindi markets, respectively.
News18 Jammu & Kashmir, Ladakh, and Himachal is the first channel launched by a major news network to cover the region.
Colors fortifies the number two position in the Hindi GEC segment.
Viacom18’s proposed transaction with Bodhi Tree and Reliance got CCI approval.
Network18 chairman Adil Zainulbhai said, “The first half of the fiscal has been challenging for most sectors. However, we believe that this phase should only be a minor bump in the long runway for growth. Our presence across the full spectrum of content segments and platforms places us in a unique position to leverage the combined strengths of our assets. We have set clear objectives for our different business segments and are working on executing our plans in that direction. Despite the macro environment being less than ideal for growth currently, we continue to make investments which will help us create a strong foundation for the long term and will hold us in good stead as growth returns.”
News Broadcasting
BBC to cut up to 2,000 jobs in biggest overhaul in 15 years
Cost pressures and leadership change drive major workforce reduction plan
LONDON: BBC has unveiled plans to cut up to 2,000 jobs, roughly 10 per cent of its global workforce, in what marks its biggest downsizing in 15 years.
The announcement was made during an all-staff meeting led by interim director-general Rhodri Talfan Davies, as the broadcaster moves to tackle mounting financial pressures and reshape its operations.
Between 1,800 and 2,000 roles are expected to be eliminated from a workforce of around 21,500. The cuts form part of a broader plan to save £500 million over the next two years, aimed at offsetting rising costs, stagnating licence fee income and weaker commercial revenues.
In a communication to staff, BBC interim director-general Rhodri Talfan Davies said, “I know this creates real uncertainty, but we wanted to be open about the challenge,” acknowledging the impact the move would have across the organisation.
The restructuring comes at a time of leadership transition. Former director-general Tim Davie stepped down earlier this month, with Matt Brittin, a former Google executive, set to take over the role on May 18, 2026.
While some cost-cutting measures are being implemented immediately, the majority of the structural changes are expected to roll out over the next few years, with full savings targeted by the 2027–2028 financial year.
The broadcaster had earlier signalled its intent to reduce its cost base by around 10 per cent over a three-year period, warning of “difficult choices” as it adapts to shifting economic realities and audience expectations.
With operating costs hovering around £6 billion annually, the BBC’s latest move underscores the scale of the financial challenge it faces, as it balances public service commitments with the need for long-term sustainability in an increasingly competitive media landscape.
