Zee Entertainment Q1 Results: Net profit rises 22% to Rs 144 crore, shares fall 3%

Zee Q1 results

Zee Entertainment Enterprises on July 22 reported a net profit of Rs 144 crore for the first quarter of the financial year 2026. This marks a rise of nearly 22 percent on-year from the Rs 118 crore net profit reported in the corresponding quarter of the previous financial year.

The shares of the company sharply declined over 3 percent after the results were released.

Company's total income stood at Rs 1,849.8 crore, down from Rs 2,149.5 crore during the same period a year ago and Rs 220.3 crore in Q4 FY25.

Advertising revenue which has been under pressure since the last few quarters continued to remain under stress at Rs 758.5 crore in Q1, down 16.7 percent year-on-year (YoY) from Rs 911.3 crore and a quarter-on-quarter (QoQ) decline of 9.4 percent at Rs 837.5 crore.

Subscription revenue is marginally lower at Rs 981.7 crore versus Rs 987.2 crore in Q1 FY24 and Rs 986.5 crore in Q4 FY25.

Analysts had expected a 13 percent decline in advertising revenues in Q1 at Rs 792.4 crore. In terms of subscription revenue, analyst estimated company to report Rs 995.5 crore in Q1.

According to analysts, Q1 is a seasonally weak quarter due to a shift to IPL (Indian Premier League)-led ads. This, along with a continued lackluster ad volume demand, and absence of election-led boost of last year has affected ad revenues.

The operating environment for broadcasters remains challenging. A still soft, albeit sequentially better, volume growth for FMCG (Fast-Moving Consumer Goods) players is negated by likely cuts to their A&P (Advertising & Promotional) spend, analysts added.

(This is a developing story. Come back later for more updates)