Zee Entertainment Enterprises (ZEEL) Q2 25/26 earnings summary

Executive summary

• Strategic investments in content and digital platforms led to improved market share and digital revenue growth in Q2 FY26.

• ZEE5 digital platform revenue rose 32% YoY, with a significant reduction in EBITDA losses.

• Content investments and new channel launches increased costs, impacting short-term profitability but expected to yield medium- to long-term benefits.

• All India TV network share increased by 100 bps QoQ to 17.8%.

• Unaudited standalone and consolidated financial results for the quarter and half year ended 30 September 2025 were approved by the Board and reviewed by auditors with an unmodified conclusion.

Financial highlights

• Q2 FY26 operating revenue was Rs 19,692 Mn, up 8% sequentially, with ZEE5 revenue at Rs 3,108 Mn, up 32% YoY.

• Q2 FY26 EBITDA margin was 7.4%, impacted by higher content and promotional costs.

• Q2 FY26 PAT from continuing operations was Rs 765 Mn.

• Standalone and consolidated revenues and profits declined year-over-year.

• Cash and cash equivalents as of September 2025 stood at Rs 21,147 Mn.

Outlook and guidance

• Management expects a back-ended recovery in H2 FY26, with festive season and policy reforms supporting ad revenue growth.

• Costs are expected to stabilize, with margin improvement anticipated as new content and initiatives mature.

• Management does not expect any material adverse impact from ongoing regulatory and legal matters.