ETC Networks' total income for the quarter ended 31 March 2003
(4QFY03) was Rs 88.21 million (as compared to Rs 92 million for
the corresponding period ended 31 March 2002). The net profit for
the quarter was Rs 16 million as compared to the loss of Rs 157.29
million for 4QFY02.
A press release states that the year 2002-03 has been one of of
consolidation and growth for the company. Despite the film and music
industry going through its worst period the company has been able
to register handsome increase in its total revenue and operating
profits, it adds.
Highlights of ETC Networks results
ended 31 March 2003
ended 31 March 2002
The ETC Networks scrip opened the day at Rs 41.45 on the Bombay
Stock Exchange (BSE) and dropped 2.29 per cent to end the day at
Rs 40.65. The 52-week high and low of the company were Rs 99 and
Rs 33 respectively.
The release also states that the increase in profits is mainly
because of increase in total revenues and strict cost control measures
taken by the company. During the year total operating revenue has
increased by 26 per cent and total operating costs have decreased
by 17 per cent as compared to previous year’s figures.
The release also mentions that the dividend will be paid on expanded
capital of Rs 139.2 million. Total cash out flow on account of payment
of dividend will be Rs 27.8 million. The dividend will be free of
tax in the hands of shareholders’ since the company would be paying
dividend tax at the rate of 12.5 per cent amounting to Rs 3.5 million.
In terms of future strategy, ETC Networks has started the process
of integration of various functions such as sales and programming
in order to draw synergies from the strengths of each other. It
has started recycling its existing programmes to exploit the same
in overseas markets using Zee’s existing international platform.
In UK, the programmes have received overwhelming response from the
viewers, the release adds. There are plans to launch the programmes
on a commercial basis in USA and some other markets also.
The release also mentions that the company has taken conscious
decision to improve upon its channel content by having optimum mix
of trailors and music and film based programmes. As such the inventory
for trailors on the channels is restricted. This policy has already
resulted in increase in advertising revenues on both channels, the
According to the release, ETC Punjabi and ETC (Music) have further
consolidated their market leader status in their respective genre.
ETC Punjabi claims to enjoy 70 per cent market share among all Punjabi
channels and ETC (music) claims to have a 40 per cent market share
among the music channels in India. Out of top 25 programmes among
the music channel 16 programmes are from ETC (as per TAM report),
says the release.
In order to improve corporate governance practices, the company
has appointed CR. Mehta, former member company law board, as additional
director on the board.