Jagran Prakashan Q3 net profit down 19.3% to Rs 70.37 cr

Jagran Prakashan Ltd (JPL), the publisher of leading Hindi daily Dainik Jagran, Friday reported a decline of 19.32 per cent in its consolidated profit after tax to Rs 70.37 crore for the third quarter ended December 2018.

The company had posted a profit after tax of Rs 87.23 crore during the October-December quarter a year-ago, Jagran Prakashan said in a BSE filing.

However, its revenue from operations rose 2.63 per cent to Rs 613.83 crore during the quarter under review as against Rs 598.06 crore in the corresponding quarter year-ago.

"Sharp fall in profit is primarily because of absorbing maximum impact of newsprint price increase which will come down going forward," JPL Chairman and Managing Director M M Gupta said.

JPL's total expenses rose 9.70 per cent year-on-year to Rs 523.38 crore from Rs 477.08 crore.

Revenue from printing, publishing and digital segments was at Rs 494.60 crore, up 1.73 per cent from Rs 486.15 crore in Q3 of 2017-18, while that from FM radio business was up 14.22 per cent to Rs 87.02 crore as against Rs 76.18 crore.

Its advertisement revenue was at Rs 459.59 crore, up 4.68 per cent from Rs 439.04 crore.

Over the outlook, Gupta said, "With falling newsprint prices, increase in DAVP rate by 25 per cent and overall improvement in commercial advertising, I am confident that the print industry is returning to its potential growth path and the company will be ably supported by other businesses, especially radio and digital, in its endeavour to improve your returns."