HT Media Limited (HTMEDIA) Q4 13/14 earnings summary

Executive summary

• FY14 consolidated revenue reached ₹2,363 crore, up 7% YoY; EBITDA rose 26% to ₹474.8 crore and PAT increased 24% to ₹207.53 crore.

• Cost controls, readership gains and growth in radio and digital supported results despite weak economic conditions and higher newsprint costs.

• The portfolio broadened across print, radio, digital and education; the entire 51% stake in HT Burda Media was sold during the year.

Financial highlights

• Consolidated revenue from operations was ₹2,200.70 crore vs ₹2,048.38 crore in FY13, up 7.4% YoY; total revenue was ₹2,363 crore vs ₹2,142.22 crore.

• Consolidated EBITDA rose 26% to ₹474.80 crore; PBT grew 35% to ₹324.06 crore and PAT increased 24% to ₹207.53 crore.

• Digital revenue increased 42% to ₹76.22 crore; radio revenue rose 19% to ₹93.12 crore; print advertising grew 9% to ₹1,665.19 crore.

• Other income included ₹46.80 crore from subsidiary investment sales; consolidated HT Burda disposal gain was ₹38.22 crore and HMVL share-sale gain was ₹8.58 crore.

Outlook and guidance

• FY15 priorities include operational efficiency, balanced capital allocation and strategic growth initiatives, supported by the diversified digital, education, radio and print portfolio.

• India’s economic growth was expected to improve moderately to 5.5% in FY15; industry forecasts projected CY14 advertising-market growth of 13.1%.

• Digital advertising was projected to grow 37% in CY14; radio-industry revenues were forecast to expand at an 18.1% CAGR through 2018.