GECs
Zee Telefilms net profit down 17% in Q4- 05
MUMBAI: Zee Telefilms’ net profit has fallen by 16.9 per cent to Rs 370.40 million for the quarter ended 31 March, 2005, as compared to Rs 445.90 million a year ago.
Total income, however, has increased 2.78 per cent to Rs 1951 million, from Rs 1898.20 million during this period.
Essel Group chief executive officer of corporate strategy and finance Rajiv Garg explains the quarter’s performance: “Other income was lower while depreciation was higher in the quarter. But overall we have grown.”
Net profit for the fiscal ended 31 March 2005 surged 40 per cent to Rs 1606.40 million, as compared to Rs 1150.20 million a year ago. Total Income has increased to Rs 7497.40 million, up from Rs 6024.90 million.
Zee’s consolidated net profit for the quarter ended 31 March 2005 increased marginally by 2 per cent to Rs 926.90 million, as compared to Rs 908.50 million a year ago. Zee has provided Rs 47 million as losses on account of a settlement with Padmalaya Enterprises Private Ltd. (PEPL). “We provided for loss of Rs 47 million on account of difference between fair market value of land and the book value of the investments in PEPL,” Zee says in a release.
Total income actually fell to Rs 4001.70 million, as compared to Rs 4104.90 million during the period. “This is because the consolidated results do not include Padmalya this time,” says Garg.
The Group’s net profit for the financial year stood at Rs 3174.80 million, as compared to Rs 2730.80 million during this period. Total Income rose marginally to Rs 14490 million, up from Rs 14360.60 million.
The consolidated results include the financials of ETC Networks Limited (ETC) for the fourth quarter of FY2005. The financials of Padmalaya are not consolidated since Zee has divested its stake in the company.
Advertisement revenue was Rs 6678.7 million for the fiscal ended 31 March 2005, up 5 per cent from Rs 6355.2 million a year ago. Subscription revenue was Rs 6502.9 million, as compared to Rs 6025.6 million. Domestic subscription revenue, including DTH, was Rs 723 million for the fourth quarter ended March 31, 2005.
“We have around 2, 00,000 DTH subscribers. After slashing prices by half, we are adding up almost 2,500 subscribers a day. The average revenue per user (ARPU) is Rs 191,” says Garg.
Under the new Dish TV offer, subscribers can get a new DTH connection for Rs 3,990 including the digital set-top box and one year’s subscription fees.
Commenting on the result, Zee Telefilms CMD Subhash Chandra says in an official release, “Though we had a fairly good fourth quarter, we are set for a better performance in FY2006. We have made quite a few critical changes, which would allow us to be more productive, going forward. Starting with appointment of Pradeep Guha as CEO for our content business, we have put in place a very strong management team. We are happy that our efforts to further improve the quality of content have started to show results.”
Adds Guha, “Our effort of improving the product quality is an ongoing one and would translate into increased consumer demand. The re-branding exercise we undertook during the quarter weaves a thread of common identity between our many diverse brands and brings us closer to our younger audience.”
Zee has reduced its gross debt by Rs 3.7 billion to Rs 1 billion during the year, excluding the FCCB issue.
GECs
Sahara One reports financial results, notes director exit and business realignment
Muted revenues, steady expenses and strategic adjustments shape company’s current phase
MUMBAI: In a tale where the sands seem to be slipping faster than they can be gathered, Sahara One Media and Entertainment Limited has reported another quarter of wafer-thin income and widening losses, even as a boardroom exit adds to the unease.
The company informed the Bombay Stock Exchange that its board, in a meeting held on April 4, approved its unaudited financial results for the quarter ended September 30, 2025. The numbers paint a stark picture. Total income for the quarter stood at just Rs 0.13 lakh, unchanged sequentially and sharply down from Rs 0.26 lakh a year earlier.
Losses, meanwhile, deepened. The company posted a net loss of Rs 24.16 lakh for the quarter, compared to Rs 18.81 lakh in the June quarter and Rs 39.69 lakh in the same period last year. For the six months ended September 2025, the cumulative loss stood at Rs 39.69 lakh, while the full-year loss for FY25 was reported at Rs 60.72 lakh.
Expenses continued to outweigh income by a wide margin. Total expenses for the quarter came in at Rs 24.30 lakh, led by employee benefit costs of Rs 6.51 lakh and other expenses of Rs 17.78 lakh. Earnings per share remained in the red at Rs (0.11) for the quarter.
The balance sheet reflects a company with significant assets on paper but limited operational momentum. Total assets stood at Rs 23,065.57 lakh as of September 30, 2025, broadly unchanged from March 2025. Equity share capital remained steady at Rs 2,152.50 lakh, while total equity was reported at Rs 18,004.85 lakh.
Cash and cash equivalents saw a modest uptick to Rs 6.75 lakh from Rs 4.68 lakh earlier, supported by a positive operating cash flow of Rs 180.01 lakh for the period.
Yet, beneath these numbers lies a more complex narrative. The company’s auditors flagged their inability to obtain sufficient evidence to form a conclusion on the financial statements, citing lack of access to records. They also raised concerns over the company’s ability to continue as a going concern, pointing to insufficient funds, delayed recoveries, and stalled content investments.
Adding to the governance overhang, the company disclosed that Rana Zia has resigned as whole-time director, effective October 16, 2025, citing other professional commitments. The resignation, noted and accepted by the board, also brings an end to her role across company committees.
Regulatory pressures continue to loom large. The Securities and Exchange Board of India has already initiated penal actions for non-compliance with listing norms, with trading in the company’s shares remaining suspended. There is also a risk of promoter demat accounts being frozen.
Legacy legal issues remain unresolved. A substantial deposit of Rs 694,027.88 thousand linked to the long-running OFCD dispute involving Sahara group entities is still under the purview of the Supreme Court of India. Restrictions on asset disposal continue to weigh on the company’s financial flexibility.
Operationally, challenges persist across multiple fronts. Advances worth Rs 1,92,916 thousand given for film content remain stuck, with delays in project completion and uncertain recoverability. The company’s YouTube channel, despite being operational, has generated no revenue for over three years due to compliance lapses. In a further twist, management has indicated that revenues may have been fraudulently diverted through unauthorised changes to its AdSense account, with a police complaint in the works.
There are also missed revenue opportunities. Television content rights continue to be used by a related party despite the expiry of the licence agreement, with fresh negotiations still underway.
For now, Sahara One Media and Entertainment Limited appears caught between legacy disputes and present-day operational hurdles. As losses linger and governance questions mount, the road to recovery looks less like a sprint and more like a slow trudge through shifting sands.
