Earnings Call Overview
• Date: August 6, 2024
• Transcript available on the company's website
• Key speaker: Punit Goenka, Managing Director and CEO
Financial Performance Highlights
• Q1 FY25 Results:
• Improvements in operating performance and margin growth
• Profit After Tax (PAT) increased to Rs. 1,257 million
• 500 basis-point improvement in EBITDA margin year-on-year
• Advertising Revenue:
• Subdued due to slow rural recovery, sports-heavy quarter, and general elections
• Optimism for increased advertising in the second half of the fiscal year
• Subscription Outlook:
• Steady growth expected from National Tariff Order 3.0
• ZEE5 performance contributing positively
Market Position and Strategy
• Viewership and Market Share:
• Regained market share in July despite challenges
• Focus on quality content to enhance viewership
• Digital Segment (ZEE5):
• On track for balanced cost structure with reduced EBITDA loss
• Cost rationalization focused on manpower and marketing
Employee and Talent Management
• Addressed concerns about employee morale and talent retention
• Ongoing efforts to maintain a positive work environment
• Acknowledged some talent churn, particularly in tech
Fundraising and Financial Strategy
• Decision to pursue Foreign Currency Convertible Bonds (FCCB) for flexibility
• Fundraising aimed at securing growth capital for organic and inorganic plans
Competitive Landscape and Content Strategy
• Focus on general entertainment rather than high-budget sectors
• Confidence in viewership share and revenue generation capabilities
• Positive momentum in regional content performance, especially in Marathi and Tamil markets
Subscriber Landscape
• Approximately 45 million free dish subscribers and 120-130 million paid subscribers in India
• Strategic focus on growing the Pay TV ecosystem for higher returns
• Plans to gradually raise subscription rates in line with inflation
Conclusion
• Ongoing independent investigation nearing completion
• Future fundraising to be conducted in tranches as needed
• Invitation for further inquiries from investors

Earnings Call Overview
• Date: May 17, 2024
• Transcript communicated to BSE and NSE on May 23, 2024
• Led by Managing Director and CEO Punit Goenka
Company Performance
• Positive growth trend in Q4, especially in advertisement revenue from FMCG sector
• Optimism for FY25 with steady subscription revenue growth
• Targeting an 18-20% EBITDA margin by FY26
Market Insights
• Growth in pay-TV ecosystem due to NTO 3.0 and tariff forbearance
• Improved margins and increased network share by 30 basis points
• ZEE5 showing moderate growth; cost optimization planned for sustainability
Financial Highlights
• 10% year-over-year increase in subscription revenues
• Strong performance in the movies segment
• PAT from continued operations for FY24: Rs 1,993 Mn
• Cash and investments totaled Rs 11.9 Bn as of March 2024
Strategic Focus
• Cautious approach to content acquisition; emphasis on quality over high-cost productions
• Plans to reinvest capital in ZEE5 once profitability improves
• Competitive pricing strategy for ZEE5 with potential for future increases
Industry Challenges and Opportunities
• Challenges in the music industry; Zee Music Company remains #2 on YouTube
• Anticipated gradual revenue recovery in advertising and subscription revenues
• Focus on quality content to retain subscribers amidst evolving market dynamics
Management's Outlook
• Cautious optimism about sustainability of ad revenue growth
• Ongoing cost-cutting measures may impact short-term profits
• Commitment to keeping stakeholders updated on ongoing arbitration related to the Sony merger
Conclusion
• Overall focus on profitability and strategic growth amidst market challenges
• Management expressed confidence in ZEE's competitive positioning and future prospects.

Key Highlights
• Date of Call: February 13, 2024
• Communication: Transcript shared with BSE and NSE on February 20, 2024
Management Remarks
• Punit Goenka's Address:
• Termination of merger with Sony discussed.
• Emphasis on frugality, optimization, and quality content.
• Acknowledgment of weak consumption patterns affecting revenues.
• Confidence in company fundamentals and growth potential.
Strategic Focus
• Fiscal Prudence:
• Focus on optimizing spending across technology, content, and marketing.
• Improvement of OTT cost structure and content creation.
• Targeting 18-20% EBITDA margin by FY26.
Financial Performance (Q3 FY24)
• Ad Revenues:
• 4.9% quarter-on-quarter increase; down 3.4% year-on-year.
• Subscription Revenues:
• 9% year-to-date increase, aided by NTO 3.0.
• Broadcasting Business:
• 40 basis point share gain year-to-date.
• ZEE5 Performance:
• 31% year-on-year revenue growth; quarterly decline due to previous deals.
• Operating Costs:
• Decreased by 12.8% quarter-on-quarter; EBITDA margins fell to 10.2%.
• Net Profit:
• Impacted by merger-related expenses.
Financial Position
• Cash and Investments:
• Cash balance of Rs 6,166 million; total cash and treasury investments of Rs 8,286 million.
• Free Cash Flow:
• Strong performance through working capital optimization.
• Content Inventory:
• Decreased by Rs 4.4 billion year-to-date.
Shareholder Concerns
• Merger Fallout:
• Calls for transparency and alignment between minority shareholders and promoters.
• Valuation Issues:
• Concerns about the undervaluation of the Sony deal and potential promoter acquisitions.
• FDI Concerns:
• Decline in foreign direct investment due to actions by a Japanese company.
Conclusion
• Future Outlook:
• Management expressed optimism about growth and plans to share strategies with shareholders.
• Engagement:
• Willingness to address shareholder concerns and engage further in the next quarter.

Key Highlights
• Date of Call: November 9, 2023
• Communication: Transcript shared with BSE and NSE on November 17, 2023
• Participants: Punit Goenka (MD & CEO), Rohit Gupta, Mahesh Singh
Company Performance
• Merger Approval: NCLT approved merger with Sony
• Movies Segment: Strong performance with successful releases, notably "Gadar 2"
• Advertising Sentiment: Gradual recovery noted, with ad revenues down 3.3% YoY but up 4.1% QoQ
• Subscription Revenue: Increased by 8% YoY, aided by NTO 3.0
• Digital Growth: ZEE5 saw a 59% YoY increase in digital revenue
Financial Metrics
• Operating Costs: Increased due to higher content expenses
• EBITDA Margins: Improved to 13.6%
• Future Outlook: Cautiously optimistic about growth during the festive season despite macroeconomic challenges
Strategic Insights
• OTT Growth: Current contribution of 10% to revenue; target to grow to 30% in five years
• TV Viewership: Significant increase over the past seven quarters
• Pay TV Subscriptions: Steady DTH and cable subscriber numbers
Advertising Revenue
• Expectations: High single-digit growth anticipated in H2, driven by festive demand and sports
• Concerns: Declining pay TV households, particularly in cable, may impact future subscription growth
Cost Management
• ZEE5 Losses: Reduction attributed to increased revenue and effective cost management
• Technology and Content Costs: Rising costs expected to align more closely with revenue growth
Revenue Dynamics
• B2B vs. B2C: Importance of both revenue streams emphasized for scaling and user engagement
• Linear TV Margins: Declining margins due to increased marketing and content costs
• Ad Revenue Fluctuations: Recent changes linked to NTO implementation and competition from digital platforms
Conclusion
• Focus: Maintaining growth and effective cost management while navigating the evolving media landscape
• Invitation for Questions: Call concluded with an invitation for further inquiries and festive season well wishes.

Communication and Overview
• Date of communication: August 17, 2023
• Earnings call held on: August 9, 2023
• Led by: CFO Rohit Gupta
• Focus: Company performance for Q1 FY24 and merger updates with Sony
Key Highlights
• Performance Insights
• Positive growth in Media & Entertainment sector
• Significant impact of IPL 2023 on viewership
• Anticipated revenue growth from NTO 3.0 rollout
• Viewership Trends
• Seasonal increase in viewership, especially in Sports and Kids genres
• Notable gains in Urban 15+ demographic
• Strong performance in regional channels, particularly in South and East
Digital and Revenue Growth
• ZEE5 Performance
• 21% year-over-year revenue growth
• Focus shifting to revenue as primary growth metric
• Successful original content, e.g., "Sirf Ek Bandaa Kaafi Hai"
• Movie Segment
• 42% year-over-year increase in "Other Sales and Services" revenue
• Challenges faced with a 48% decline quarter-over-quarter
Cost Management and Future Outlook
• Cost Reduction
• 7% reduction in operating costs quarter-over-quarter
• Improved EBITDA margins despite increased losses in ZEE5
• Advertising Recovery
• Gradual recovery anticipated, especially during festive season
• Ongoing challenges in ad spending, particularly from FMCG sector
Strategic Discussions
• Regional Programming Strategy
• Experimenting with paywall for TV content in select markets
• Focus on quality content over quantity
• Market Share and Production Strategy
• Gains in South India at competitors' expense
• Dynamic approach to movie production, balancing various genres and budgets
Legal and Financial Matters
• Bank Litigations
• Two out of three claims settled; one ongoing
• Write-off related to Sugarbox investment clarified
• Merger-Related Costs
• Estimation of costs challenging without clear timeline
Investor Engagement
• Transparency and Disclosures
• Commitment to provide necessary disclosures at appropriate times
• Acknowledgment of the need for clarity on digital metrics and operating costs
• Future Questions and Engagement
• Invitation for further questions from investors regarding performance metrics and outlook.

Communication Details
• Date of Call: June 1, 2023
• Key Executives: Punit Goenka (MD & CEO), Rohit Gupta (CFO)
• Focus: Company performance, strategic initiatives, and merger with Sony
Merger with Sony
• Progress in obtaining regulatory approvals
• Dismissal of a financial institution's plea against ZEEL
• Optimism about merger benefits amid macroeconomic challenges
Financial Performance Highlights
• Growth in viewership and digital metrics, especially for ZEE5
• Q4 FY23 advertising revenue declined by 7.7% year-over-year
• Challenges: weak advertising spending, delays in NTO implementation, and underwhelming movie content
• ZEE5 digital revenues increased by 36%, but costs rose significantly
Strategic Initiatives
• Withdrawal of Zee Anmol from FTA to strengthen pay-TV ecosystem
• Continued investment in digital and sports for long-term growth
• Anticipation of gradual recovery in advertising spending in FY24
Investor Concerns and Management Responses
• Market share benefits and subscription revenue growth discussed
• Television remains dominant despite digital growth; positive advertising growth projected
• Ongoing evaluations for merger regulatory approvals
• Pricing changes and their impact on subscriptions addressed
EBITDA Margins and Business Decisions
• Current EBITDA margin at 7%, affected by various operational costs
• Discontinuation of SugarBox business due to macroeconomic conditions
• Impact of withdrawing from FTA segment noted
Revenue Growth and Pricing Strategy
• Significant revenue growth from INR 110 crores in Q1 FY'22 to INR 220 crores in Q4 FY'23
• Pricing strategy includes room for further adjustments and tiered pricing options
• Open to future price hikes based on market conditions
Conclusion
• Management expressed cautious optimism regarding advertising and subscription revenue growth amidst ongoing market challenges.

Communication Details
• Date of communication: February 17, 2023
• Earnings call date: February 13, 2023
• Key executives present: Punit Goenka (MD & CEO), Rohit Gupta (CFO)
• Focus: Company performance for the quarter ending December 31, 2022
Key Highlights
• Merger with Sony: Progress discussed; expected to enhance growth.
• Digital Sector Growth: Notable advancements in ZEE5, with record daily active users and 33% revenue increase year-on-year.
• Advertising Revenue Challenges: Decline in ad spending, particularly from FMCG brands; anticipated recovery as market conditions improve.
• Subscription Revenue: Grew by 13% year-on-year, supported by ZEE5 and Siti Network.
Financial Performance
• Overall Revenue: Up 4.1% quarter-on-quarter; flat year-on-year.
• Ad Revenue: Down 16% year-on-year.
• EBITDA Margin: Improved sequentially but decreased year-on-year.
• Cost Management: Ongoing investments in ZEE5; focus on prudent cost management.
Strategic Insights
• FTA Strategy: Commitment to paid subscriber base; caution against reverting to free-to-air too soon.
• Subscription Pricing: Recent price hikes deemed necessary; moderate growth projected.
• Content Investment: Continued investment in content despite market slowdowns; essential for future growth.
Market Dynamics
• OTT Competition: Intense competition expected to persist; skepticism about a major shift from TV to digital viewing.
• Advertising Market Outlook: No specific guidance for FY'24; optimism for recovery as economic conditions improve.
Future Plans
• Merger Timeline: Dependent on NCLT decisions; final hearing scheduled soon.
• Movie Production: Ongoing investments in films, including "Gadar 2," set for release on Independence Day.
• ZEE5 Pricing Strategy: Aggressive pricing contributing to revenue growth; further increases anticipated post-merger.
Conclusion
• ZEEL remains focused on strategic growth and managing costs while navigating current market challenges.