Zee Entertainment Enterprises (ZEEL) Q4 25/26 earnings summary

Executive summary

• Focused on long-term investments in content creation, digital platforms, VFX, and live events to drive sustainable growth and diversify revenue streams.

• ZEE5 achieved operational profitability for the second consecutive quarter and breakeven for FY26, with 53% year-on-year revenue growth to Rs 14,888 Mn.

• TV network share increased to 17.4% for the quarter, up 80 basis points YoY, with Zee TV showing robust GRP growth and stable viewership.

• FY26 operating revenue reached Rs 80,989 Mn, a 2% decline year-over-year, with adjusted EBITDA margin at 9.3% and adjusted EBITDA of Rs 7,547 Mn, excluding a Rs 4,084 Mn impact from changes in movie rights amortisation and impairment.

• Consolidated revenue from operations for FY26 was ₹82,450 million, down from ₹84,175 million in FY25, with a net profit of ₹2,713 million compared to ₹6,795 million in the previous year.

Financial highlights

• Digital business revenue grew 71% year-over-year in Q4 FY26 to INR 4,700 million, marking the highest ever for the segment.

• Full-year digital revenue up 53%, with positive EBITDA compared to a loss of INR 5,480 million last year.

• Subscription revenues grew 4% year-over-year, mainly driven by digital.

• Advertising revenues declined 4% year-over-year due to the Middle East conflict's impact in March; FY26 ad revenue was ₹32,243 million.

• Cash and treasury investments as of March 2026 stood at Rs 27.6 Bn, maintaining a healthy balance sheet.

• Total expenses for FY26 were ₹79,622 million, up from ₹73,932 million in FY25, mainly due to higher operational costs and inventory charges.

Outlook and guidance

• Medium-term outlook remains positive, with continued investment in digital, omni-channel strategies, and new initiatives such as KidZ, Bullet, and live events.

• Expectation of revenue growth and margin improvement once macroeconomic conditions stabilize.

• Management does not expect material adverse impact from ongoing SEBI investigations or the Jiostar arbitration.