After implementing optimisation measures to improve its cash flow, Zee MD and CEO Punit Goenka noted that Zee is starting to see a turnaround in profits.
On Wednesday, the broadcasting firm posted ₹118-crore consolidated net profit in June quarter as against ₹53-crore loss during the same time last year.
The company’s consolidated income rose 7.6 per cent to ₹2,150 crore in Q1FY25 as against ₹1,998 crore in Q1FY24.
This comes after the firm went through a liquidity crunch on the back of the dissolution of the Zee-Sony merger, prompting Goenka to implement several cost optimisation strategies.
Gaining ground
Speaking to investors after declaring results for Q1FY25, Goenka said, “The results of several strategic steps implemented in the previous quarter are being witnessed gradually, and we continue to maintain a sharp focus on frugality, optimisation and quality content across the business. Timely and action-oriented interventions centred around these three key tent-poles, have enabled us to achieve a healthy growth momentum on the margin profile.”
“Our focused efforts have enabled us to further strengthen our liquidity and financial position. During the quarter, we have generated strong free cash flow and our content inventory has also continued to decline, driven by optimised acquisition and movie releases,” he added further.
After a nearly two year long negotiation process, the Zee-Sony dissolved their merger in January this year.
Since then Zee has introduced several strategies to aide in optimisation. This includes reducing their content slate, layoffs and dissolution of several verticals.