D B Corp — Q3 FY26 earnings call

Call held 22 Jan 2026

Management summary

DB Corp reported a mixed Q3 FY26, with consolidated revenue and advertising revenue showing year-on-year declines of 4% and 7.8% respectively, primarily due to a high base effect from prior year elections and festive season shifts. However, on a like-to-like basis, advertising revenue grew 6% for the nine-month period. The company maintained a healthy EBITDA margin of 25% (29% for print) through cost control and operational efficiencies. Digital platforms continue to grow, and the company is optimistic about the impact of increased government ad rates and new radio stations becoming operational.

Highlights

  • Consolidated total revenue for 9 months ended December 31, 2025, stood at INR 18,512 million, broadly in line with last year despite a high base.

  • On a like-to-like basis (excluding last year's election-driven revenue), advertising revenues for 9M FY26 showed a growth of 6%, and EBITDA also grew on a comparable basis.

  • Print business and EBITDA margin expanded by 100 basis points quarter-on-quarter, supported by effective cost management and operating efficiencies.

  • Digital news apps recorded around 21 million monthly active users as of November 2025, maintaining Dainik Bhaskar's position as the number one Hindi and Gujarati news app.

  • Government has given nod for increasing 26% in print ad rates, with impact expected to be visible from this quarter itself.

Concerns

  • Q3 FY26 advertising revenues declined 7.8% year-on-year to INR 4,395 million due to a high base from festive season and state elections in the prior year, and a shift of festive advertising spend to Q2 this year.

  • Total revenue for Q3 FY26 declined 4% year-on-year to INR 6,293 million due to the high base effect.

  • The government advertising category declined significantly by 24% in 9 months, reducing its contribution from 24% last year to 17% this year.

  • Radio segment advertising revenues stood at INR 410 million with EBITDA at INR 127 million, impacted by a softer advertising environment and the absence of specific events like Maharashtra elections and government initiatives seen last year.

Key financials

2 periods

Q3 FY26

  • Total Revenue
    6,293 Mn
    YoY -4%
  • Advertising Revenue
    4,395 Mn
    YoY -7.8%
  • EBITDA
    1,592 Mn
  • EBITDA Margin
    25%
  • Profit After Tax
    955 Mn

9M FY26

  • Consolidated Total Revenue
    18,512 Mn
  • Consolidated Advertising Revenue
    12,851 Mn
  • Like-to-like Advertising Growth
    6%

What they filed

Q1 FY27: revenue up 8.1%, net profit up 24.7% against the same quarter last year.

₹ Cr · quarterly
Line itemQ2 FY25Q3 FY25Q4 FY25Q1 FY26Q2 FY26Q3 FY26Q4 FY26Q1 FY27
Revenue559 643 548 559 614 +10%605 −6%576 +5%604 +8%
EBITDA121 177 83 111 138 +14%135 −24%104 +25%136 +23%
Net profit83 118 52 81 93 +12%96 −19%62 +19%101 +25%
How to read this

₹ crore, as filed. The percentage beside a figure is the change against the same quarter a year earlier — never the quarter before, which would make every seasonal business look like it collapses and booms each year.

Segment breakdown

  • Radio
    410 Mn Advertising Revenue (Q3 FY26)127 Mn EBITDA (Q3 FY26)

Capital allocation

medium confidence
  • Capex Capex disclosed
    • Buying land for offices and printing centers to save rental costs
    Yes. No, actually, what is happening. This is all happening because of the Print, company is buying certain assets, especially the lands which is... So company is buying certain assets, especially land where we already had the offices and printing center on which currently we are paying rental. So we are saying we'll buy the land, make our own property, so we can save the rental. And as we see in a couple of places, buying asset looks better going forward.

Guidance & targets

Digital Revenue Mix

  • Contribution to business Digital Revenue Mix · as on date · Medium confidence mid-single-digit
    And fair to assume digital should be at least like mid-single-digit kind of contribution in our business as on date, considering the investments that we have made over the last 3, 4 years?

    — Girish Agarwal

Digital Profitability

  • EBITDA positive Digital Profitability · once revenue starts · Medium confidence EBITDA positive
    As of now, there is a burn rate in digital. But the whole effort, as we mentioned in a couple of years, should be that once we start earning the revenue, digital should also become EBITDA positive.

    — Girish Agarwal

Radio Operations

  • New stations operational Radio Operations · March/April (7 stations), Q1 FY27 (remaining 7) · High confidence 7 stations by March/April, remaining 7 by Q1 FY27
    We've acquired about 14 stations. Of these seven are stations where we have a stand-alone radio. We are the only operator there. We are hopeful to start operations in these seven cities by March or end of April, for sure. And the remaining seven also by -- in the first quarter of next financial year. So hopefully, by June, all 14 stations should be operational.

    — Pawan Agarwal

Radio Profitability

  • Margin for new stations Radio Profitability · 2-3 years · Medium confidence 30-40% margin
    I doubt in the first year, you can have that kind of margin to start with. So I think when the radio station starts, you will have the advertising coming in gradually. So first year will not be possible to come out to the margin of 30%, 40%. I think we'll have to give them those station at least 2, 3 years' time to come up to that margin.

    — Girish Agarwal

Print Ad Revenue Growth

  • Volume vs. Rate contribution Print Ad Revenue Growth · ongoing · High confidence 70% volume, 30% rate/yield
    See, in the advertising segment, our focus is, I would say, 70% volume 30% rate yield increase.

    — Girish Agarwal

What to watch in Q4 FY26

Impact of 26% print ad rate increase

this quarter
Current Implemented by certain states
Target Visible impact on revenue

Why it matters

This regulatory change is expected to provide a significant boost to print advertising revenue.

Government has given nod for increasing 26% in print ad rates. Any update on that from your side? Any communication with the government? Yes, sir. So first of all, a very big thanks to Government of India and all the state government to finally agree to give us some benefit, considering the growth in the newsprint cost and other expenses. So this has been implemented by certain states. And the actual impact of that should be visible from this quarter itself.

Risks & concerns

  • High base effect from prior year elections and festive season

    medium

    Q3 FY26 performance was impacted by a high base from festive season and state elections in the same quarter last year, leading to YoY decline in advertising and total revenue.

    Management acknowledged

  • Decline in government advertising

    medium

    Government category advertising declined 24% in 9 months, reducing its contribution from 24% to 17%.

    Management acknowledged

  • Slowdown in Real Estate advertising

    medium

    Real estate advertising has slowed down in the last 1.5-2 months after Diwali due to price hikes.

    Management acknowledged

  • Softer advertising environment in Radio segment

    low

    Radio segment was impacted by a softer advertising environment and absence of specific events like Maharashtra elections from the prior year.

    Management acknowledged

  • Geopolitical developments and foreign exchange movements impacting newsprint prices

    low

    Newsprint prices are expected to remain range-bound in the near term, subject to minor changes due to geopolitical situations and exchange fluctuations.

    Management acknowledged

Q&A highlights

8 direct
Increase in Gross and Net Fixed Assets Direct
Yes. No, actually, what is happening. This is all happening because of the Print, company is buying certain assets, especially the lands which is... So company is buying certain assets, especially land where we already had the offices and printing center on which currently we are paying rental. So we are saying we'll buy the land, make our own property, so we can save the rental. And as we see in a couple of places, buying asset looks better going forward.

Clarified that the significant increase in fixed assets was due to strategic land purchases for print operations to reduce rental costs, rather than digital investments.

Asked by Himanshu Shah

Print vs. Digital Revenue Mix Aspiration Direct
It has been a couple of years where we have refrained from commenting on digital, especially from a financial numbers point of view. And fair to assume digital should be at least like mid-single-digit kind of contribution in our business as on date, considering the investments that we have made over the last 3, 4 years?

Provided a qualitative aspiration for digital's contribution to revenue, indicating it should reach mid-single digits, while acknowledging current revenue generation is still nascent.

Asked by Himanshu Shah

Government Mandate for Newspaper Reading in Schools (UP & Rajasthan) Direct
Yes, this is a very encouraging move by the State Government. And Uttar Pradesh and Rajasthan has done it. As we are following up with the other governments, we are hopeful that Madhya Pradesh, Chhattisgarh, Gujarat and other states will follow suite in the next couple of weeks and months.

Highlighted a positive regulatory development that could boost circulation and readership, with potential for expansion to other states.

Asked by Falguni Dutta

Decline in Radio Segment Performance Direct
The major reason for drop in radio from last year's quarter is we had Maharashtra elections. We also had billing from a lot of governments, which had initiatives in this quarter because of COVID, etcetera. Those were the two, three special events which happened last year, and that's why you see a large decline compared to last quarter.

Explained the specific reasons for the radio segment's decline, attributing it to a high base from one-off events in the previous year, rather than a fundamental business issue.

Asked by Himanshu Shah

Government Ad Rates Increase and Impact Direct
Yes, sir. So first of all, a very big thanks to Government of India and all the state government to finally agree to give us some benefit, considering the growth in the newsprint cost and other expenses. So this has been implemented by certain states. And the actual impact of that should be visible from this quarter itself.

Confirmed the implementation of a 26% increase in print ad rates by certain states, indicating a positive revenue impact starting from the current quarter.

Asked by Mohit Seni

Newsprint Rates Outlook Direct
But as you rightly mentioned, the quarter 4 and the quarter 1 or 2 going forward, considering the geopolitical situation, may go up a little bit here and there. But I won't say topsy-turvy because I'm not looking at major change, maybe a minor change of a couple of percentages, because of the exchange fluctuation and also the sea freight.

Provided a nuanced outlook on newsprint prices, acknowledging potential minor fluctuations due to geopolitical events but not expecting major volatility.

Asked by Yash R.

Automobile Advertising Growth and Pre-COVID Levels Direct
It's already in double digit right now, around 10%. Now from 10% to go to 15%, I think all the automobile companies will have to really do a hard work. So hopefully, they should.

Gave current automobile ad contribution (10%) and a realistic view on reaching pre-COVID levels (15-16%), indicating it would require significant effort from auto companies.

Asked by Riya Mehta

Sectoral Growth for Q3 FY26 vs. 9M FY26 Direct
As I mentioned to you, quarter sectorial growth is not good because last year, if you remember, the entire Navratra was in Q3. This time, the Navratra started on Q2 on 22nd, 23rd of September. So the revenue shifted on the Q2. That's the reason for a real comparison; it will be better to compare 9 months.

Clarified that Q3 sectoral growth figures were distorted by the shift of the Navratri festival from Q3 last year to Q2 this year, making 9-month comparisons more relevant.

Asked by Khushi

3 min read 6 chapters

Detailed narrative

Q3 FY26 Financial Performance Overview

DB Corp reported a consolidated total revenue of INR 18,512 million for the nine months ended December 31, 2025, which was broadly in line with the previous year despite a high base. For Q3 FY26, total revenue stood at INR 6,293 million, reflecting a 4% year-on-year decline. Advertising revenues for the quarter were INR 4,395 million, down 7.8% YoY, primarily due to the shift of festive advertising to Q2 and the absence of election-driven revenue seen last year. Despite revenue challenges, the company achieved an EBITDA of INR 1,592 million with a 25% margin, and a profit after tax of INR 955 million, supported by effective cost management.

Advertising Revenue Trends and Segmental Performance

On a like-to-like basis, excluding last year's election-driven revenue, advertising revenues for the nine-month period showed a healthy growth of 6%, with comparable EBITDA growth. The management noted that 90% of ad growth came from volume, with no substantial growth from yield. Key categories like education, real estate, jewelry, hospitality, healthcare, and banking/financial services showed good growth over nine months. However, the government advertising category declined significantly by 24%, reducing its contribution from 24% to 17%.

Digital Business as a Growth Pillar

The digital business continues to be a key growth area for DB Corp. As of November 2025, the company's news apps recorded approximately 21 million monthly active users, maintaining its position as the leading Hindi and Gujarati news app. While the focus remains on acquiring readers and building engagement, the management indicated that the revenue part of the digital business is still some time away, with an aspiration for it to contribute a mid-single-digit percentage to the overall business and eventually become EBITDA positive.

Radio Segment Performance and Expansion

The Radio segment reported advertising revenues of INR 410 million and an EBITDA of INR 127 million for Q3 FY26. The segment's performance was impacted by a softer advertising environment and the absence of specific events like Maharashtra elections and government initiatives that boosted revenues in the prior year. The company is expanding its radio footprint, with 7 new standalone stations expected to be operational by March or April, and the remaining 7 by Q1 FY27, aiming for all 14 new stations to be operational by June. Management expects these new stations to achieve 30-40% margins within 2-3 years.

Newsprint Prices and Circulation

Newsprint prices remained stable during Q3 FY26, with some sequential corrections. The management expects prices to remain range-bound in the near term, subject to minor fluctuations due to geopolitical developments and foreign exchange movements. On the circulation front, the company maintained around 40 lakh copies in December and successfully prevented a decline over the nine-month period. A significant positive development is the government mandate for newspaper reading in schools in Uttar Pradesh and Rajasthan, with hopes for similar adoption in other states like Madhya Pradesh, Chhattisgarh, and Gujarat.

Strategic Capital Allocation and Regulatory Tailwinds

The company increased its gross and net fixed assets by approximately INR 107 crores and INR 60 crores respectively, primarily driven by the strategic purchase of land for print operations. This move aims to reduce rental costs and build owned properties. Furthermore, the government's approval for a 26% increase in print ad rates is a significant positive, with its impact expected to be visible from this quarter itself, providing a much-needed benefit considering rising newsprint costs and other expenses.

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