Sun TV Network has moved higher by around 2% at Rs 453, its highest level since April 2011, in otherwise subdued equity market on NSE.
The stock has outperformed the market and rallied 6.4% in past four trading sessions, compared to less than 1% rise in benchmark Sensex after reporting a better-than-expected Q3 earnings.
The company has posted a 13% year-on-year (yoy) jump in net profit at Rs 190 crore for the third quarter ended December 31, 2012 (Q3) on back of healthy top-line performance driven by a robust 20% yoy growth in its advertising revenue at Rs 293 crore.
“The management expects to maintain healthy growth in subscription revenue aided by 2nd phase of digitalization in its key markets of Bangalore, Hyderabad, Mysore, Coimbatore and Visakhapatnam,” according to analyst at Angel Broking.
“Sun TV is expected to be among key beneficiaries of mandatory digitization due to its strong presence in South India,” added analyst.
The stock opened at Rs 447 and has seen a combined 572,806 shares changing hands on the counter so far.
