DB Corp Q1 PAT seen up 18% at Rs 53 cr

DB Corp's consolidated profit after tax is likely to grow by 18% quarter-on-quarter to Rs 53 crore in the first quarter of FY13, according to CNBC-TV18 estimates. But year-on-year PAT is likely to go down by 13%.

Total income from operations is expected to go up by 6% QoQ and 8% YoY to Rs 382 crore during the same quarter.

Operating profit margin is seen improving at 22.5% in the April-June quarter of 2012 as against 21.1% in the previous quarter.

Print advertisement revenue growth is expected to remain under pressure led by economic slowdown. 

Print stocks have been the worst performers in FY12 with 9-29% reduction in FY12 earnings per share and 20-39% downgrade in FY13E EPS. The intensity of the downgrades was higher in H2FY12 as companies faced the pressure of deterioration in the advertisement environment and rising newsprint costs buoyed by depreciating rupee.

Local advertisement can drive growth of the company this quarter while rupee depreciation and high raw material cost continue to be a concern.

Cost escalation is attributed to expansion in Maharashtra and Jharkhand whereas circulation revenues and increased cover price will act as growth driver.