NDTV zooms 47% in 5 days; stock hits highest level since October 2008

Since February 8, 2022, the market price of NDTV has more-than-doubled after the company reported a consolidated net profit of Rs 27.6 crore in December quarter

Shares of New Delhi Television (NDTV) were locked in the upper circuit band for a second straight day, up 5 per cent at Rs 238.15, also its multi-year high, on the BSE on Tuesday in an otherwise weak market.

The stock exchanges have revised circuit filter limit for NDTV's stock from 10 per cent to 5 per cent with effect from today. In the past four trading days, the stock  of the broadcasting & cable TV operator has zoomed 47 per cent. It was at its highest level since October 2008.

Till 11:39 AM, a combined around 565,000 equity shares had changed hands and there are pending buy orders for 82,000 shares on the NSE and BSE. In comparison, the S&P BSE Sensex was down 0.34 per cent at 57,099 points.

Over the past six weeks, since February 8, 2022,  the market price of NDTV has more-than-doubled, or has zoomed 106 per cent, after the company reported a consolidated net profit of Rs 27.6 crore in December quarter (Q3FY22). NDTV said its Q3 was the most profitable quarter for the Group in the last nine years. The company had posted profit of Rs 20.3 crore in the year-ago quarter (Q3FY21).

For the third quarter (Q3), the television arm of the company recorded a profit of Rs 17.3 crore, Rs 6.8 crore higher than the same time last year. The television branch also doubled its year-to-date profit, which stood at Rs 41.4 crore. This was an all-time best for the TV branch, the company said. In Q3FY22, the company's revenue from operations grew 10 per cent year-on- year (YoY) at Rs 116.36 crore as against Rs 105.83 crore in Q3FY21.

NDTV said its financial position has further strengthened as external liabilities for the Group have decreased by Rs 69.2 crore so far in this financial year; bank borrowings for the Group have also shrunk by Rs 42.8 crore year-to-date, the company said.

On standalone basis, NDTV, the television arm of the group, rose 64 per cent YoY at Rs 17.30 crore in Q3FY22 as against profit of Rs 10.53 crore in Q3FY21.

"Given the continuing profits during the current and previous quarters, the working capital position of the company has further improved. Based on the current business plan and projections prepared by the management the company expects further growth in operations," NDTV said result note.