Network18 Reports ₹2,059 Crore Income in Q2 FY25, Completes Major Merger

Network18 Media & Investments Limited has announced its financial results for the quarter ended September 30, 2024. 

The company reported a total income of ₹2,059 crore in the quarter ended September 30, 2024, a slight increase from ₹2,052 crore in the same quarter last year. However, the company’s net loss widened to ₹152 crore from ₹119 crore in the corresponding quarter of 2023.

Network18’s news portfolio revenue grew 6%, driven by strong growth in digital ad revenue, although TV advertising remained weak due to a 20% YoY decline in news genre ad volumes. The share of news in overall advertising inventory also dropped by over 200 bps YoY and QoQ. 

In the entertainment segment, the company stated that its operating revenue declined 5%, primarily due to the absence of major movie releases this quarter, which impacted revenue by ₹330 crore. However, this was largely offset by growth in subscription revenue, boosted by new pricing and increased monetization of sports content. Digital ad revenue, particularly from JioCinema’s new SVOD plans, also contributed to growth, making it the fastest-growing subscription-based OTT platform in India.

Chairman Adil Zainulbhai expressed optimism about the future, stating, “We are happy to have completed the merger of our news businesses. With a strong portfolio of TV channels and digital platforms, covering the breadth of the country and catering to its linguistic diversity, we are ideally positioned to become the most preferred news network of India. We are committed to push boundaries of innovation and lead the growth of the industry as we build on this strong foundation.”

The company recently completed the merger of TV18 Broadcast Limited and E18 Limited with Network18. The Scheme of Arrangement was made effective on October 3, 2024, following approval from the Ministry of Information and Broadcasting and the sanction by the National Company Law Tribunal (NCLT), Mumbai bench, on September 5, 2024. The merger is retroactively effective from April 1, 2023.

This merger has created India’s largest platform-agnostic news media powerhouse, with a vast footprint across languages, spanning both TV and digital media. The combined network reaches over 350 million viewers on television and ~250 million Monthly Unique Visitors (MUVs) across its digital platforms. As both consumers and advertisers increasingly gravitate towards omnichannel experiences, this integrated presence allows the merged entity to better serve its audience and advertisers.

As part of the merger, shareholders of TV18 will receive 100 shares of Network18 for every 172 shares held in TV18. Similarly, shareholders of E18 will receive 19 shares of Network18 for every 1 share held in E18. This consolidation provides an opportunity for shareholders of all three companies to participate in the media business of the group through a single listed entity.

In addition to its news business, Network18’s significant investments include a 39.29% stake in BookMyShow and a 24.5% stake in Eenadu Television Private Ltd, alongside its interest in Viacom18.

On October 14, 2024, the share price of Network18 Media & Investments Ltd opened at ₹81.36, touching the day’s low at ₹79.11, as of 9:33 AM on the NSE.

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