Mumbai: Sun TV Network Ltd, reported revenue growth of 34% (including IPL) to Rs 810.10 crore for the quarter ending June 30 compared to the corresponding quarter last year. The media company recorded a 93% growth in advertising revenue to Rs 243.66 crore and an after-tax profit of 389.76 crore up 38%. EBITDA for the quarter was 484.97 crore, up 19%.
The company reported 23.5 million paid subscribers for its Sun NXT OTT platform at the end of the quarter, driven primarily by its telecom distribution partnerships.
Sun TV is one of the largest television broadcasters in India. It operates satellite TV channels in five languages (Tamil, Telugu, Kannada, Malayalam and Bangla), broadcasts FM radio stations across India, owns the SunRisers Hyderabad cricket franchise of the Indian Premier League and the platform -OTT Sun NXT digital shape.
“The most significant change that has occurred in the current quarter ended June 30 is the change in the estimate of the useful life of our films. As you know, we fully amortized this by Now, starting this year, we would amortize them over a useful life of four years, whereby 30% of the scope will be written off in the first two years and 20% of the scope in the last two years. As a result, our depreciation and amortization table is lower by Rs 70 crore. However, this will have an effect for the first year, it will normalize over time. This is in line with global best practice. Almost all companies media outlets that have huge investments in content and have content in use for the foreseeable future, are embracing timeframes comparable to what we’ve put in place with an accelerated load in the first half and a char ge normal in the second half “Sun TV Network Ltd, Managing Director, R Maheshkumar said.