Jagran Prakashan Limited (JPL) (BSE SCRIP ID: 532705; NSE SYMBOL: JAGRAN), publishers of ‘Dainik Jagran’, India’s largest read newspaper (Source: IRS), has reported revenues of Rs. 211.50 crores for Q3FY09, an increase of 3.34 % over the corresponding quarter of the previous year. The net profit was at Rs 15.47 crores and the EPS for the quarter was at Rs0.52 for Q3 of FY2008 as against Rs.25.92 crores and Rs.0.86 respectively for Q3 of FY 2007 mainly because of lower advertisement revenue from national market, increased newsprint prices and exchange fluctuation losses.
In Q3 FY09, revenue from non-publishing activities (out of home advertising, event management and SMS) was Rs. 17.22 crores as against Rs. 16.98 crores in Q3 FY 08, an increase of about 1.41% over corresponding quarter. During the quarter, one more edition of City Plus was launched at Pune, taking total number of editions of City Plus to 13.
Commenting on the performance of the company for the quarter ended 30th December 2008, Mr. Mahendra Mohan Gupta, Chairman and Managing Director, JPL said :”This quarter registered the lowest growth in revenue in past many years due to a difficult economic scenario, which has unexpectedly deteriorated further since November 2008. Lower growth in revenue coupled with high newsprint cost resulted in fall in profitability.
However, these difficult times have helped us in taking increase in cover price from last week of December 2008, which was overdue but would perhaps not have been possible otherwise. This phase has also made us give a fresh look to our cost structure and take steps to cut cost wherever possible and become more efficient and competitive, which will benefit the company in long run.
I am glad that the company continues to maintain its position in most of its markets and significantly improve it in remaining markets as per recent IRS survey. As per survey, I-Next, which was covered for the first time, has gained sizable readership numbers in a short span of time.
For the next year, we are preparing ourselves and working on strategies to minimize the impact of slowdown and I am confident that once there is a bit certainty in economic environment, the company will again be in double digit growth trajectory.”
Jagran Prakashan Limited is a leading media house of India which publishes Dainik Jagran, India’s largest read daily with a total readership of 55.75 million readers (IRS 2008 R2). It was also voted the most credible and trusted newspaper in India, according to a survey by Globscan, conducted in 10 of the world’s leading countries, including the US, UK, Germany and Russia.