The decline in profitability came despite growth in revenue from operations. Revenue from operations rose 4.5% year-on-year to ₹1,907.3 crore from ₹1,824.8 crore in the corresponding quarter last year.
Within the revenue mix, subscription revenue increased to ₹1,136.9 crore from ₹981.7 crore, while other sales and services rose to ₹99 crore from ₹84.6 crore. Advertisement revenue, however, declined to ₹671.4 crore from ₹758.5 crore.
EBITDA dropped sharply to ₹100 crore from ₹239 crore a year earlier, reflecting pressure on operating profitability even as revenue expanded.
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Sequential performance and other developments
On a sequential basis, revenue from operations declined 7.7% from ₹1,938.5 crore in the March quarter to ₹1,907.3 crore in the June quarter. Profit attributable to shareholders, however, swung into positive territory from a loss of ₹102.4 crore in the previous quarter, marking a substantial sequential improvement.
Total expenses fell to ₹1,864.4 crore from ₹2,341.8 crore sequentially, helped by a reduction in operational costs to ₹1,031.7 crore from ₹1,504.8 crore.
Zee Entertainment shares closed at ₹94.42 on the NSE on Monday, up 0.24% for the day.
