NDTV Ltd (NDTV) declared Q2FY09 standalone revenues of Rs 739mn (9% YoY), EBITDA loss of Rs 124mn (vs EBITDA profit of Rs 2mn in Q2FY08) & adjusted net loss of Rs 130mn (vs. loss of Rs 40mn in Q2FY08). Losses were due to higher selling & marketing expenses, primarily carriage fees. NDTV recorded consolidated revenues of Rs 1.2bn (68% YoY due to NDTV Imagine’s launch in Jan 08), EBITDA loss of Rs 1.1bn (loss of Rs 192mn in Q2FY08) and adjusted PAT loss of Rs 1.2bn (loss of Rs 243mn in Q2FY08).
NDTV’s Board has approved the de-merger of the news business into a separate company. The activities will be split into two groups of companies which will carry out 1) News & other businesses and 2) Entertainment & specified allied businesses.
For one share (face value: Rs 4) held in NDTV, the shareholders will receive one share (face value: Rs 4) of the entity that acquires the news business and continue to hold their current shares.