Financials
Media stocks under fire as Sensex crashes
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MUMBAI: Finance minister P Chidambaram‘s `no nothing‘ offer to the media sector came as no surprise except in the area of set-top boxes (STBs) where one thought a push would be given in terms of sops to boost the local manufacturing industry. There is very little that the Budget can offer in realistic terms and the past trend continued this time too. If the Union Budget 2007-08 hurt the media stocks today, it was more to do with the announcements that were made as part of an overall corporate sector tax policy. There were, in fact, three tax proposals that could pinch the industry but in varying degrees. First, and this will particularly hit the news channels, is the employee stock options (ESOPs) which are being brought under the fringe benefit tax (FBT) net. Listed companies like TV18 Group, NDTV and TV Today Network have been planning to use this as a management tool to retain talent in a media business that has recently seen a high attrition rate.  Already NDTV‘s net profits have been eroded (for a few quarters) by a rise in personnel costs and ESOPs. TV18‘s policy has been to reserve a chunk of holding for the employees while TV Today has taken permission to offer up tp five per cent as stock options. The news channels took a beating today with TV18 dropping 4.47 per cent to Rs 578.70 on the BSE while Global Broadcast News slipped 6.08 per cent to Rs 572.80. NDTV, on the other hand, fell 2.26 per cent to Rs 318.50 but TV Today gained 1.7 per cent to Rs 134.85. Unlike IT companies which has built stock options into it, the media sector shouldn‘t be unduly alarmed. “There may be some cause for concern but it wouldn‘t have any major impact. Though it is becoming a trend, the media sector doesn‘t integrally have a big component reserved as stock options,” says an analyst at a broking firm. The dividend distribution tax, up from 12.5 per cent to 15 per cent, will also impact the sector. But this could only be a minor shock as media companies are not well known for doling out huge dividends. The third, and probably most pinching of the lot, is the commercial property rentals that will now fall under the service tax bracket. If this does not exclude the entertainment sector (we are still awaiting clarity on this), multiplexes may find themselves in a spot of trouble. Most of them have ambitious expansion plans to spread across the country and do not see ownership of property as the only route to setting up screens in different locations. The multiplex companies went into a free-fall today as the scrip value dipped in the stock exchanges. Adlabs and Shringar ended four per cent down at Rs 423.65 and Rs 52.65 respectively while Cinemax fell 7.29 per cent to Rs 141.25. “If the multiplexes fall under the service tax net, it will have a more lasting impact on their bottomlines,” says an analyst. Meanwhile, UTV dropped 8.61 per cent to Rs 258.95 while Balaji Telefilms fell 7.58 per cent to Rs 114.05. Zee Group‘s Wire & Wireless India Ltd (WWIL) also shed 6.5 per cent to close the day at Rs 102. While Cas (conditional access system) is slow to take off, the industry is still not clear whether there are incentives provided in the Budget for domestic manufacturing of set-top boxes. “Media stocks fell today along with the tumbling of scrips in other sectors like cement and IT. Besides, there was a global meltdown which cast its imfluence in India. It remains to be seen how long the Budget will cast its negative impact on the media stocks, but there is nothing that is deeply damaging,” the analyst adds.
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MUMBAI: It’s time to brief the markets: Page Industries is showing that even when regulations tighten, it can still keep its footing in the innerwear business. The Bengaluru-based apparel major has reported its financials for the quarter ended 31 December 2025, delivering a performance that remains steady and well put together.
The company’s top line showed plenty of elasticity this quarter. Revenue from operations stretched to Rs 1,38,675.71 lakhs, a healthy jump from the Rs 1,29,085.82 lakhs reported in the preceding quarter. Compared to the same period last year, which stood at Rs 1,31,305.10 lakhs, it’s clear the brand’s grip on the market isn’t loosening. Total income for the quarter, including other finance gains, reached a comfortable Rs 1,39,919.03 lakhs.
However, it wasn’t all smooth silk. The Government of India’s new unified Labour Codes, covering everything from wages to social security, officially kicked in on 21 November 2025. This regulatory shift forced Page Industries to account for a one-time “exceptional item” cost of Rs 3,500.42 lakhs to cover incremental employee benefits and related obligations. Despite this Rs 35-crore legislative snag, the underlying business remained robust. Profit before tax stood at Rs 25,625.35 lakhs after the exceptional hit, and without that one-off cost, the figure would have been a more muscular Rs 29,125.77 lakhs. Net profit for the quarter came in at Rs 18,953.64 lakhs.
Total expenses rose to Rs 1,10,793.26 lakhs, driven largely by raw material consumption of Rs 30,162.65 lakhs and employee benefits of Rs 23,310.66 lakhs. Even so, the company’s operational strength ensured the bottom line remained firmly stitched together.
For shareholders, the news is particularly “fitting.” The Board has declared a third interim dividend for 2025-26 of Rs 125 per equity share. The record date has been set for 11 February 2026, with the payment scheduled on or before 6 March 2026. This follows two previous interim dividends of Rs 150 and Rs 125 declared earlier in the financial year, reinforcing the company’s commitment to sharing the spoils of its success.
Looking at the nine-month stretch ending December 2025, Page Industries has amassed total income of Rs 4,04,090.59 lakhs, with total comprehensive income of Rs 58,231.49 lakhs. While the basic earnings per share for the quarter dipped slightly to Rs 169.93, compared to Rs 183.48 in the same quarter last year, the year-to-date EPS remains a solid Rs 524.57.
Auditors at S.R. Batliboi & Associates LLP have given the results a “limited review” thumbs up, reporting no material misstatements. It seems that, as far as Page Industries is concerned, the business remains as well-constructed as its famous Jockey briefs.
