💰 Financial Performance

Revenue Growth by Segment

Printing, Publishing and allied business revenue was INR 21,737.08 million in FY25, while Radio segment revenue stood at INR 1,663.03 million. In Q2 FY26, total revenue grew 9% YoY to INR 6,347 million, driven by a 12% YoY growth in advertising revenue which reached INR 4,478 million.

Geographic Revenue Split

The company operates primarily in the Hindi heartland and Gujarat/Maharashtra; recently expanded digital operations into Uttarakhand. Specific regional percentage splits are not disclosed, but the Hindi print media leadership under 'Dainik Bhaskar' is the primary revenue driver.

Profitability Margins

Consolidated PAT margin for FY25 was 15% (INR 3,709.83 million), declining from 17% (INR 4,255.23 million) in FY24. The decline was primarily due to a 16% increase in other operating expenses and a high base effect in government advertising.

EBITDA Margin

EBITDA margin stood at 26% (INR 6,270 million) in FY25, a decrease from 28% (INR 7,033 million) in FY24. The 11% degrowth in EBITDA was influenced by rising operational costs despite a 13% reduction in newsprint costs.

Capital Expenditure

The company maintains a low-debt profile with no major debt-funded capex planned. Total assets stood at INR 31,408.52 million as of September 2025, with cash and bank balances totaling approximately INR 8,250 million.

Credit Rating & Borrowing

CARE Ratings reaffirmed 'CARE AA+; Stable' for long-term facilities and 'CARE A1+' for short-term facilities. The company is net debt-free with an overall gearing of 0.11x and an interest coverage ratio of 16.93x as of FY23.

⚙️ Operational Drivers

Raw Materials

Newsprint is the primary raw material, accounting for approximately 50% of the total operating costs for the newspaper business.

Import Sources

Raw materials are imported using buyer's credit; specific countries are not listed, but global newsprint spot prices (benchmarked in USD) directly impact procurement costs.

Capacity Expansion

Current focus is on digital expansion (e.g., Uttarakhand launch) and maintaining leadership in existing print markets. Specific MTPA or unit capacity for printing presses is not disclosed.

Raw Material Costs

Newsprint consumption cost was INR 6,425 million in FY25, a 13% YoY decrease from INR 7,352 million in FY24. This was driven by newsprint prices softening from US$ 950 to approximately US$ 500 per ton.

Manufacturing Efficiency

The company utilizes automation and infrastructure upgrades to stay lean; quality standards are maintained as per IFRA recommendations.

Logistics & Distribution

Distribution costs are part of 'Other Expenses' which totaled INR 7,072 million in FY25, representing approximately 29% of total revenue.

📈 Strategic Growth

Expected Growth Rate

9%

Growth Strategy

Growth is targeted through editorial excellence to maintain market leadership, aggressive digital expansion (4.4/5 rating on Ambition Box), and capitalizing on festive season advertising. The company is also focusing on 'performance-driven' human capital strategies and infrastructure upgrades to stay ahead of competitors.

Products & Services

Newspapers (Hindi, Gujarati, Marathi), Radio broadcasting (My FM), Digital news portals, and Mobile applications.

Brand Portfolio

Dainik Bhaskar, Divya Bhaskar, Divya Marathi, Saurashtra Samachar, DB Star, DB Post, and My FM.

New Products/Services

Expansion of digital news services into new markets like Uttarakhand; digital properties are expected to contribute to long-term reader engagement and ad revenue.

Market Expansion

Focusing on deepening penetration in existing Tier II and Tier III cities and expanding the digital footprint across Hindi-speaking regions.

Market Share & Ranking

Ranked as one of the leading print media companies in India, specifically holding a leadership position in the Hindi print media industry.

🌍 External Factors

Industry Trends

The Indian media and entertainment sector is evolving with a strong shift toward digital-print hybrid models. While print remains robust in India (unlike Western markets), companies are positioning for future growth through mobile apps and digital engagement.

Competitive Landscape

Competes with other major regional and national print dailies; maintains an edge through editorial excellence and a 'people-first' organizational culture.

Competitive Moat

The moat is built on brand equity (Dainik Bhaskar) and a massive, loyal readership base in the Hindi heartland. This market leadership provides significant barriers to entry and strong bargaining power with advertisers.

Macro Economic Sensitivity

Highly sensitive to private consumption and government spending, which drive advertising revenues. GDP growth directly correlates with ad-spend across sectors like Auto, Real Estate, and FMCG.

Consumer Behavior

Shift toward digital news consumption is being addressed by the company's robust digital presence and mobile apps to retain the reader base.

Geopolitical Risks

Global supply chain disruptions affecting newsprint availability and international pricing benchmarks.

⚖️ Regulatory & Governance

Industry Regulations

Operations are subject to the IT Act, 1961, and SEBI Listing Regulations. The company must also adhere to DAVP (Directorate of Advertising and Visual Publicity) norms for government advertisements.

Taxation Policy Impact

Provision for tax was INR 1,275.65 million in FY25, representing an effective tax rate of approximately 25.6% of Profit Before Tax.

Legal Contingencies

In July 2021, the Income Tax Department carried out a search operation u/s 132 of the IT Act. Management maintains this will not have a material impact on the financial position, though it remains a monitorable event for credit rating agencies.

⚠️ Risk Analysis

Key Uncertainties

Volatility in newsprint prices (can impact margins by 100-200 bps) and the potential for high cash outflows via buybacks/dividends to undermine the financial risk profile.

Geographic Concentration Risk

High concentration in the Hindi-speaking belt of India; any regional economic downturn in these states would significantly impact total revenue.

Third Party Dependencies

Dependent on global newsprint suppliers; 50% of operating costs are tied to this single raw material category.

Technology Obsolescence Risk

Risk of print media being superseded by digital; mitigated by aggressive investment in digital portals and mobile apps.

Credit & Counterparty Risk

Trade receivables of INR 5,240.97 million; CARE Ratings notes that a debtor cycle stretching beyond 120 days would be a negative factor for liquidity.