MxMIndia

Tag: TV18

  • The company turned in a profit of Rs 5.9 crore after tax for the quarter as compared to a loss of Rs 23.5 crore in the previous year

    Return of the good times for TV18 & Network18

    By A Correspondent

     

    It’s Q1 results announcement time. And although MxMIndia doesn’t do individual look-ins into the financial numbers presented quarter se quarter tak, this one deserves a special mention.

     

    For the q ending June 30, TV18 Broadcast Limited reported revenues for the television and motion pictures business (including IndiaCast) stood at Rs 396.2 crore. Ad revenues grew 6% year-on-year. Indicating the fruits of digitization and a well-orchestration distribution exercise, net distribution income grew 32% sequentially to Rs 34.9 crore this quarter, swinging from a loss of Rs 16 crore previously.

     

    And the real reason why the offices of TV18 were flooded with bubbly yesterday: the reported operating profit for the quarter stood at Rs 23.8 crore, up 57% over previous year. The company turned in a profit of Rs 5.9 crore after tax for the quarter as compared to a loss of Rs 23.5 crore in the previous year. Announcing the results, Raghav Bahl, Managing Director, Network18 said, “The macroeconomic environment continues to be challenging and growth prospects remain uncertain. Given this backdrop, our broadcasting operations turned in a steady performance aided by the roll out of digitization in 42 cities.”

     

    Commenting on the results for the quarter, B. Saikumar, Group CEO, said, “We continue to turn in steady operating profits from our television businesses. Motion pictures have seen losses this quarter and the management is confident of stemming them in the immediate term. While our news and infotainment businesses have seen distinct softness in advertising, our entertainment businesses led by Colors have performed well on this front. Net Distribution Revenues from IndiaCast are on a strong growth trajectory and we continue to be enthused by its growth potential. The industry is going through several important changes on both the advertising and distribution fronts. We believe that these changes are positive and will lead to a stronger industry structure. We remain confident of delivering a strong year ahead

     

    Meanwhile, Network18’s PAT for Q1FY14 stood at Rs 19 crores as compared to Q1FY13 loss of Rs 90 crore.  The digital content and eCommerce business grew to Rs 106.9 crores, registering a growth of 174%, over the corresponding quarter during the previous year (adjusted for the sale of Newswire18).

     

    Network18 inked an agreement with OCP Asia Ltd. to raise growth capital of USD 30 Million in HomeShop18. During the quarter, it sold its entire stake in a Capital18 portfolio company – Webchutney.

     

    Added Mr Bahl: “There were pockets of weaknesses in our portfolio and we are committed to improving segments that are not meeting expectations. We have a strong portfolio of media businesses and remain confident of unlocking their value for our stakeholdeRs ”

     

  • The idea of getting Ashvini Yardi (who had earned her stars as programming head at Zee) was a great one. But could CEO Rajesh Kamat and she be able to match the maharathis and former Star India CEOs Peter and Sameer?

    Mediaah!: How underdog Colors won the great GEC battle

    By Pradyuman Maheshwari

     

    Having tracked the journey of both Television 18 and Viacom from their early days (in India in the case of Viacom), there was much desire to see both groups succeed.

     

    But I thought they were being too ambitious to launch a Hindi GEC in 2008. The market was already very crowded and with the whizkids of broadcasting Peter Mukerjea and Sameer Nair also in the fray, the sentiment then was that it was going to be well-nigh impossible for any new channel to be a success.

     

    I was sure the Network 18 team wouldn’t get it right. They had had success with CNN-IBN but entertainment wasn’t like news. Good content doesn’t necessarily maketh a GEC.

     

    The idea of getting Ashvini Yardi (who had earned her stars as programming head at Zee) was a great one. But could CEO Rajesh Kamat and she be able to match the maharathis and former Star India CEOs Peter and Sameer?

     

    I think what changed my outlook to the channel’s launch was the news that Akshay Kumar was signed to do a Fear Factor. The folks meant business and Akshay was then the reigning king of Bollywood. Plus the team was young, friendlier (than the others) and indulged us in the media.

     

    A week before the launch, most of us had wanted Colors to succeed. Even advertisers and media agencies longed for a worthy alternative to the existing slew of channels. And after the ratings for the first two weeks came in, we were sure the channel was a winner.

     

    Even then there were naysayers telling us that the magic would fade away. Regrettably for them, it didn’t. Soon Colors dethroned Star Plus as the numero uno Hindi GEC.

     

    I remember writing then that it was complacency that had seen Star Plus go down, a comment that didn’t work very well with some people internally and of course the biggies in the business. But a year-odd later, when I spoke to Star India CEO Uday Shankar, he admitted that the channel getting complacent. I asked him just to let people know that my earlier statement was based on some digging in, and not speculation.

     

    **

     

    My first major interaction with Rajesh Kamat happened only when I had this interview on the first anniversary of the channel in Impact magazine. It was an extra-long 6000-word interview. Rajesh had then told me how it helped being an underdog. “It made us focus on our own efforts. Also what happens is when you’ re an underdog, you push yourself to give 200%.” He mentioned how he learnt several tricks of the trade from Sameer Nair, and knowing that the former Star India CEO would’ve tracked the rise and rise of the channels, we invited him to do an appraisal for this fifth anniv package.  The Impact interview isn’t on the Net, but I found a Word version on my Gmail archives. Inbox me if you want a copy.

     

    ***

     

    In many ways, the launch of Colors also marks a little over five years I have spent in the M&E media. I can’t claim the same kind of success that the channel has achieved, but, yes, the ability and desire to try and do stuff that has not been done before is there.

     

    Here’s to many, many more colourful years for Raj Nayak and Team Colors (and the folks at Network/TV 18, Viacom and Viacom 18)!

     

  • Indiacast, a joint venture between Viacom18 and TV18 has announced that Sanjev Hiremath, EVP at IndiaCast Media Distribution Pvt Ltd, has resigned from the company.

    Sanjev Hiremath bids adieu to IndiaCast

    By A Correspondent

     

    Indiacast, a joint venture between Viacom18 and TV18  has announced that Sanjev Hiremath, EVP at IndiaCast Media Distribution Pvt Ltd, has resigned from the company. He was responsible for setting up the Digital and New Media business for Viacom18, TV18 and ETV channels.

     

    Announcing Mr Hiremath’s departure, Anuj Gandhi, Group CEO IndiaCast said, “Sanjev has admirably led our New Media and Digital business over last year or so and has put us on a path of high growth trajectory. Sanjev is an old friend and colleague and we will miss his expertise and knowledge in the Cable and Satellite industry. As he now ventures out, I wish him all the success in all his future endeavours.”

     

    Sharing his experience, Mr Hiremath said, “It’s been a fantastic 18 years (in MTV India, Viacom18 and Indiacast) launching television brands and building businesses and along the way making great friends, and these relationships have made the journey meaningful and enjoyable. From roof top dishes to set top boxes and recently with the evolution of both technologies and changing consumer viewing to build a business in the new media space on internet enabled devices, it has been a privilege to be a part of this industry.”

     

    Mr Hiremath, a veteran who has been closely associated with the cable and satellite industry, joined MTV Networks as Head of Network Development for India & South Asia, when it was launched in India in 1996. He was instrumental in the successful launch and distribution of several channels including MTV, Nickelodeon and VH1. Post the joint venture between Viacom and Network18 he oversaw the launch of Colors, Comedy Central & Sonic.

     

  • New aggregation and distribution company will have a combined bouquet of 35 channels owned by both partners

    IndiaCast, Disney UTV agree to form JV

    By A Correspondent

     

    In what could impact the marketplace in a digitized distribution scenario, Indiacast, the jv between TV18 and Viacom18 which happened in June last year, and UGBL, a Disney UTV group company, have announced a strategic joint venture for the aggregation and wholesale distribution of their respective TV channels.

     

    Anuj Gandhi

    The 74 (IndiaCast) : 26 (Disney UTV) joint venture will become operational after necessary regulatory approvals and will provide 35 channels from the TV18, Viacom18,  Disney UTV & A+E Networks | TV18 to Cable, DTH and HITS platforms in India. IndiaCast CEO Anuj Gandhi will be the Chief Executive Officer of the yet unnamed entity.

     

    Talking about the joint venture, Mr Gandhi said, “This partnership will build a strong distribution company that will offer a broader and more diversified range to platforms giving us a foothold across genres – including in general entertainment, general and business news, movies, youth and kids genres. We have had a great first year for IndiaCast and this JV will give our domestic distribution business scale and wider reach.”

     

    “There are some clear and unique synergies in this partnership. The new bouquet is a more comprehensive offering from the viewer’s perspective that gives the combined entity an edge in the marketplace”, said MK Anand, Managing Director – Media Networks, Disney UTV.

     

    IndiaCast will move its domestic distribution business into this new venture, while continuing to manage its other content monetization businesses which include the international distribution, adsales and content sales business as well as the new media distribution for TV 18, Viacom 18, A+E Networks | TV18 and Eenadu channels. Disney UTV will also move its domestic distribution activities for its bouquet of all nine channels to the new entity.

     

  • Showing a strong growth trajectory this quarter, the company turned in a profit of Rs. 21.3 crore after tax

    TV18 Broadcast announces Q3 results

    By A Correspondent

     

    TV18 Business (both News and Entertainment) show a strong growth trajectory this quarter. Reported revenues for the television and motion pictures business (including IndiaCast) stood at Rs.512.4 crore for the quarter. The reported operating profit for the quarter was Rs. 48.1 crore. The company turned in a profit of Rs.21.3 crore after tax.

     

    TV 18’S continuing broadcasting and motion pictures operations turned in a strong performance with a profit of Rs.58.1 crore during the quarter excluding one-time expenses/revenues and losses towards new launches and discontinued operations. The Net Distribution Income turned positive while Advertising Revenues grew 10 percent YOY.

     

    Announcing the results, Raghav Bahl, Managing Director, Network18 said, “I am delighted to inform our investors and stakeholders that TV18 has returned to profitability this quarter. Our Net Distribution Income has finally broken into positive territory and our recast balance sheet has helped us rationalize our interest payouts. We are now entering an exciting phase in our journey as we strengthen our existing operations and consolidate our regional acquisition.”

     

    Commenting on the results for the quarter, B. Saikumar, Group CEO, said, “We are extremely pleased that all our broadcast operations grew their margins despite softness in the advertising environment. IndiaCast has hit a positive trajectory and stays with its focus of correcting the group’s distribution revenues upwards and adding more brands and partners to its stable. The News Network will further consolidate its leadership position with the addition of ETV News to the stable. The brands across mass entertainment, English and Factual Entertainment, Kids, Music continue to grow and hold leadership positions. Importantly, all our programming initiatives in prime time and the weekend have paid off rather well on Colors and we hope to replicate this success in the regional ETV entertainment bouquet as well by investing in content and audiences.”

     

    Business News Operations reported a strong quarter with margins expanding almost threefold as compared to the same quarter last year. General News Operations broke into positive territory with 10 percent margins. Q3FY13 revenues for Viacom 18 grew to Rs. 473.5 crore, a growth of 50 percent over the same  quarter last year.

     

  • A+E Networks|TV18 has announced the elevation of Devika Dayal, Senior Vice-President, to National Revenue Head with immediate effect

    Devika Dayal is National Revenue Head, A+E Networks |TV18

    By A Correspondent

     

    A+E Networks|TV18, the joint venture between TV18 Broadcast and A+E Networks LLC,  has announced the elevation of Devika Dayal, Senior Vice-President, to National Revenue Head with immediate effect.

     

    The JV recently forayed into the factual entertainment space in India with the launch of HistoryTV18 last year.

     

    Ajay Chacko, President, A+E Networks|TV18 said, “Devika has been instrumental in ensuring advertising traction for HistoryTV18 commensurate with its strong brand and viewership performance since launch. As we build HistoryTV18 further and plan other forays at A+E Networks|TV18, her perspective will be essential to our success in monetizing our brands.”

     

    Speaking on her elevation, Ms Dayal said, “It’s been an exciting year for HistoryTV18 and me. We’ve made significant efforts in establishing the brand in the market and now the task is to further capitalize on this growth momentum. I look forward to working with the team in ensuring we innovate and grow further from here”

     

    Ms Dayal has over a decade of experience in ad sales with stints at Zee and Discovery Communications prior to joining Network18 Group in 2005. She holds a degree in communications management from the National Institute of Advertising (NIA), Delhi and a Bachelor’s degree in English from the University of Delhi.

     

  • IndiaCast, TV18 and Viacom18's venture, announced the launch of the international version of MTV India in the Middle East and North Africa (MENA) region

    Viacom 18’s IndiaCast takes MTV India to Mid East, N Africa

    By A Correspondent

     

    IndiaCast, TV18 and Viacom18’s venture, announced the launch of the international version of MTV India in the Middle East and North Africa (MENA) region. MTV India, featuring music & reality content from India in Hindi language, will complement Viacom International Media Networks’ (VIMN) existing MTV channel, which services the Middle East and North Africa region with Arabic and international music and entertainment content.

     

    MTV India is IndiaCast’s second channel in the region after its flagship channel Colors which launched in September 2010. The IndiaCast team in Dubai, which currently distributes and handles advertising sales for Colors, will be managing the distribution & sales for MTV India as well. This launch expands the offering for advertisers in the region, allowing them to reach both family and youth audiences. With this launch, MTV India’s international distribution footprint will now span 31 countries, while Colors is available in close to 50 countries.

     

    Speaking about the launch, Gaurav Gandhi, COO – IndiaCast, said, “Indians are passionate about their music, and Hindi music in particular has a huge following both in India and overseas. The launch of MTV India in the Middle East & North Africa region will give an opportunity for these audiences to connect with Indian music and reality programming that they love most. MTV India is our second brand in the region and we intend to grow our presence here with more offerings from our extensive news and regional channel portfolio in the near future.”

     

    Adding to this, Aditya Swamy, Business Head – MTV India, said, “MTV India has constantly engaged and entertained young India and now the opportunity to do so with young people in the other countries is very exciting. While we will leverage our cult franchises such as Roadies, Unplugged and Rush in these markets, we will also look at some region-specific initiatives which will resonate with the local audience.”

     

    MTV India will be available on Pehla branded packs across DTH, Cable, IPTV and SMATV across Bahrain, Cyprus, Iran, Iraq, Jordan, Kuwait, Lebanon, Oman, Palestine, Qatar, Saudi Arabia, Syria, United Arab Emirates, Yemen, Egypt, Libya, Morocco, Algeria, Tunisia, Sudan and Mauritiana. MTV India will also be launching on other platforms shortly.

     

  • With the number of infotainment channels on the rise, it’s important to re-look at factual entertainment as an alternative experience to general entertainment

    The Anchor: Ritu Kapur on 5 ways factual entertainment channels can score over GECs

    By Ritu Kapur

     

    In a cluttered TV environment with increasing content sameness and fatigue, factual entertainment channels are a refreshing “window to the world”, with unpredictable, spectacular, high end productions.  But with the number of infotainment channels on the rise, it’s important, we feel, to re-look at factual entertainment as an alternative experience to general entertainment.

     

    Production Style

    Factual channels need to change the production style to make the content more entertaining, interactive and accessible. History TV 18 has broken the documentary “all-knowing voice of God” format with shows like Pawn Stars, Ice Road Truckers and a competition show like Top Shot. Where the content is not shying away from information, but presenting it in viewer friendly, character-driven reality format.

     

    Characters

    Television across the world is driven by iconic characters. For the longest time animals took centre-stage. There is already a move towards characters becoming the defining face of channels like Bear Grylls on Discovery. But it’s important for these characters to evolve further and break away from repetitive formats.

     

    Unlike other channels, factual channels need to create identifiable characters out of everyday people, doing extraordinary things.  And it’s not enough to just build these characters but to use them creatively to convey information to the viewers.

     

    Drama

    Why should drama only be the forte of a GEC? Factual entertainment channels should take the lead in creating high quality drama that is not there just for drama sake but to bring alive themes from history, science and survival. History TV18 is taking its first step towards that with an Emmy award winning drama series called The Kennedys. The series is very well-researched, hasHollywoodgreats like Katie Holmes and is a big budget production.

     

    A 360 degree view of India

    High end productions onIndiahave always had the western perspective. It’s important now for Indian channels to assert and present the realIndia, breaking all clichés. These should be done with global syndication in mind so that this perspective is accessible internationally.

     

    Making International Content Accessible

    Dubbing in regional languages has been the primary means of reaching out to larger viewership inIndia. It’s important now to review the kind of experience this dubbing provides for its viewers. Languaging that creates a context for the aspirational regional Indian viewer is important. It is also important to go beyond dubbing to also use short formats, promo styling and other creative TV devices to make international content relevant and “belong” to the Indian viewer.

     

    Ritu Kapur is the Programming head at A+E Network, TV18

     

  • The Board of Directors of TV18 Broadcast Limited (TV18) also approved the acquisition in ETV’s Hindi news channels, non-Telugu GEC Channels and ETV Telugu Channels

    Network18 and TV18 announce Rights Issues

    By A Correspondent

     

    Network 18 Media & Investments Limited, at the board meeting held on Tuesday, approved a Rights Issue of Equity Shares to raise an amount up to Rs 2,700 crore at a price to be determined by the Board in compliance with regulatory requirements, but not exceeding Rs 60 per equity share.

     

    TV18 Broadcast Limited has approved a Rights Issue of Equity Shares to raise an amount up to Rs 2,700 crore at a price to be determined by the Board in compliance with regulatory requirements, but not exceeding Rs 40 per equity share.

     

    Network18, being the promoter and holder of majority equity in TV18, would be subscribing to about Rs 1,400 crore in the TV18  rights issue – therefore, once this subscription amount is netted out, the Net Aggregate Rights Issue of both Network18 and TV18 will result in a fund raising of about Rs 4,000 crores.

     

    The contribution of the current Promoter Entities of Network18 in this Net Aggregate Rights Issue of both Network18 and TV18 will be about Rs 1,700 crores.

     

    TV18 will utilise the Rights Issue proceeds to repay the existing debt, fund the acquisition of ETV channels and fund working capital needs. Network18 will utilise the Rights Issue proceeds to repay the existing debt and subscribe to the Rights Issue of TV18.

     

    The promoters of Network18 will be subscribing to their entitlement in full. They also reserve the right to subscribe to any unsubscribed public portion of the Rights Issues.

     

    Raghav Bahl, the founder and promoter of Network18 and TV18, has informed that promoter companies have entered into an arrangement with Independent Media Trust, a trust set up for the benefit of Reliance Industries Limited, to secure the funding required for this purpose. Further, Mr Bahl will continue to retain the management and 51 per cent control over Network18 and 51 per cent control over TV18 through Network18.

     

    Both the Companies will be filing the Draft Letters of Offer for their respective Rights Issues shortly.

     

    Mr Bahl said: “This is a truly seminal moment in the 18-year-old history of Network18/TV18. By inducting such a significant amount of equity, our balance sheets will become among the strongest in the industry. Also, by acquiring this strategic control over several ETV channels, TV18 will have a bouquet of leading television channels. Riding on the imminent digital wave, I am convinced that this acquisition is a significant move which will catapult TV18 into the forefront of India’s broadcasting industry. The proposed preferred access arrangement with Infotel Broadband will ensure that our content & services will be available on India’s premier technology distribution platform. On a debt free basis, both Network18 and TV18 hope to strengthen their position in various media segments like news & entertainment broadcasting, consumer internet, digital & print publications, filmed entertainment, home-shopping, e-commerce and other emerging businesses.”

     

    The Board of Directors of TV18 Broadcast Limited (TV18) during its meeting also approved the acquisition of 100 per cent interest in Hindi news channels, namely ETV Uttar Pradesh, ETV Madhya Pradesh, ETV Rajasthan and ETV Bihar and ETV Urdu channel (ETV News Channels); 50 per cent interest in ETV Marathi, ETV Kannada, ETV Bangla, ETV Gujarati and ETV Oriya (ETV non Telugu GEC Channels); and 24.5 per cent interest in ETV Telugu and ETV Telugu News (ETV Telugu Channels).

     

    TV18 will have the Board and management control of ETV news channels and ETV non-Telugu GEC Channels. The Board has approved an outlay of up to Rs 2,100 crores for this acquisition. Legally binding agreements will be executed for this purpose. TV18 has an option to buy the balance 50 per cent interest in ETV non-Telugu GEC channels and an additional 24.5 per cent in ETV Telugu channels.

    Ernst & Young Pvt Ltd acted as advisors for financial and tax due diligence and valuation of the assets. The legal due diligence was carried out by Khaitan & Co.

     

    ETV is among the Top 5 most popularly viewed networks in the country. It was one of the first entrants in the regional markets and the channels have a considerable viewership base. One of the key strengths of ETV channels is their ability to attract and retain loyal viewers.

     

    On a combined basis, TV18 will be offering a unique mix of national and regional channels, catering to diverse genres like Hindi and regional entertainment, general news in English, Hindi and regional languages; business news in Hindi, English and regional languages; music, kids, devotional and infotainment channels.

    Including the soon-to-be-launched services/variants, this combined bouquet of over 25 channels will be the most powerful and potentially profitable TV operation in the country, especially since India’s television industry is on the verge of a digital revolution.

     

    As a part of the deal for acquisition of ETV Channels, Network18 and TV18 have also entered into a Memorandum of Understanding with Infotel Broadband Services Limited, a subsidiary of Reliance Industries Limited, under which the companies and their associates will have the right to distribute the content of all the media and web properties of Network18; and programming and digital content of all the broadcasting channels (including the ETV channels being acquired by the company) through 4G Broadband Network of Infotel, which shall have preferential access to this content on a first right basis as a most preferred customer.

     

    Infotel Broadband Services Limited is setting up a pan-India world class broadband wireless network, using state of the art technology. As per Images Year Book, more than 70 per cent of India’s population is below 35 years, and 50 per cent of the population is below 25 years of age. This young educated population will be keen to access quality content through wireless devices, thereby ensuring a rapid growth in subscribers similar to the growth of tele-density in India during the last ten years.

     

    The key advantage for millions of viewers will be the ability to enjoy an uninterrupted, high quality, 24-hour viewership, even while they are on the move. This tie-up with Infotel will enable Network18 and TV18 to build on their first-mover advantage for the distribution of their content through the latest broadband technology.