HT Media Limited (HTMEDIA) Q4 19/20 earnings summary

Executive summary

• FY20 consolidated revenue was ₹210,474 lakh versus ₹219,887 lakh in FY19; EBITDA before exceptional items rose to ₹37,654 lakh from ₹21,996 lakh, while net loss was ₹21,742 lakh versus profit of ₹1,589 lakh.

• Exceptional losses of ₹26,208 lakh, including goodwill impairment of ₹18,881 lakh and intangible-asset impairment of ₹6,302 lakh, drove the reported loss.

• COVID-19, lockdowns and subdued advertising created significant uncertainty; planned responses included cost rationalisation, product reconfiguration and productivity improvements.

Financial highlights

• Consolidated revenue from operations was ₹210,474 lakh in FY20, down from ₹219,887 lakh in FY19; advertising revenue was ₹137,996 lakh versus ₹157,658 lakh.

• EBITDA before exceptional items increased to ₹37,654 lakh from ₹21,996 lakh; loss before tax and joint-venture share was ₹16,688 lakh versus ₹3,610 lakh.

• Net loss after tax and joint-venture share was ₹21,742 lakh, compared with net profit of ₹1,589 lakh; EPS was -₹9.44 versus -₹0.52.

• Operating cash flow was ₹6,667 lakh; investing activities generated ₹39,390 lakh, while financing activities used ₹58,470 lakh.

Outlook and guidance

• Lockdown was expected to reduce advertising revenue; management anticipated advertising sentiment to improve as restrictions lifted and economic activity normalised.

• Planned actions included cost rationalisation, product reconfiguration, productivity improvements, technology adoption and simpler processes to manage short- and medium-term COVID-19 impacts.

• FY21 Indian GDP was forecast to contract 4.5% by the IMF, followed by projected 6% growth in FY22; these are external economic forecasts, not company guidance.