Hindustan Media Ventures Limited — Q1 FY26 earnings call

Call held 5 Aug 2025

Management summary

Hindustan Media Ventures Limited reported a mixed Q1 FY26, with consolidated revenues growing 6% YoY to INR 451 crores, driven by strong Print advertising and Digital segment growth. Despite a 59% YoY improvement, PAT remained negative at INR 11 crores, and sequential performance saw declines. The Radio business continued to face challenges, while Print circulation revenue was impacted by pricing strategies. The company maintains a strong net cash position and a stable outlook on newsprint prices.

Highlights

  • Total revenues of INR 451 crores, up 6% YoY.

  • PAT improved by 59% YoY, despite being negative INR 11 crores.

  • Print operating revenues improved by 8% YoY to INR 324 crores.

  • Print advertising revenues grew by 17% YoY to INR 255 crores.

  • Digital operating revenues grew by 21% YoY to INR 56 crores, with 100% YoY growth observed.

  • Net cash remains very healthy at INR 976 crores.

Concerns

  • PAT remained negative at INR 11 crores.

  • Revenue declined 23% QoQ, and PAT declined 120% QoQ.

  • Radio segment revenue dipped to INR 31 crores (from INR 36 crores last year) with a -21% margin.

  • English Print circulation revenue was down 22% YoY, primarily due to pricing/discounting.

Key financials

  1. Total Revenues ₹451 Cr +6%YoY
  2. PAT ₹-11 Cr +59%YoY
  3. Net Cash ₹976 Cr

What they filed

Q1 FY27: revenue up 19.4%, net profit up 410.0% against the same quarter last year.

₹ Cr · quarterly
Line itemQ2 FY25Q3 FY25Q4 FY25Q1 FY26Q2 FY26Q3 FY26Q4 FY26Q1 FY27
Revenue172 197 182 165 197 +15%183 −7%216 +19%197 +19%
EBITDA-14 2 24 9 -10 +29%20 +900%65 +171%28 +211%
Net profit14 18 45 10 10 −29%1 −94%27 −40%51 +410%
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

  • Print
    ₹324 Cr Operating Revenue₹255 Cr Ad Revenue₹140 Cr English Ad Revenue-22% English Circulation Revenue Growth₹116 Cr Hindi Ad Revenue₹39 Cr Hindi Circulation Revenue
  • Radio
    ₹31 Cr Revenue-21% Margin
  • Digital
    ₹56 Cr Operating Revenue-38% Operating Margins

Capital allocation

high confidence
  • Liquidity Cash ₹976 Cr Our cash position remains very firm.
    Our cash position remains very firm, and our AFE book is growing, and we hope to get some more footprint in the next two or three days.

Guidance & targets

Digital Growth

  • Digital Business YoY Growth Digital Growth · going forward · Medium confidence repeat 100%
    we have seen 100% growth on a y-o-y basis and we hope to repeat the performance going forward.

    — Piyush Gupta

AFE Book

  • AFE book footprint AFE Book · next two or three days · Low confidence more footprint
    Our cash position remains very firm, and our AFE book is growing, and we hope to get some more footprint in the next two or three days.

    — Piyush Gupta

Newsprint Prices

  • Newsprint Price Band Newsprint Prices · foreseeable future · High confidence USD 500 a metric ton
    Newsprint prices are flat for at least the last two quarters, and we don't see any reason for them to spike up. But we believe that the newsprint prices will remain in a very tight band, which is currently give or take USD 500 a metric ton, and we are currently tracking those prices.

    — Piyush Gupta

What to watch in Q2 FY26

Radio business performance

next quarter
Current Revenue INR 31 cr, margin -21%, 'tepid growth', 'under pressure'
Target Improved revenue and margins, signs of successful pivot

Why it matters

Radio is a struggling segment; improvement is crucial for overall profitability.

Growth in our Radio business has been tepid, with the larger industry still facing challenges; however, we are pivoting the business with a renewed focus on growing non-free commercial time revenue.

Risks & concerns

  • Radio Business Challenges

    medium

    Growth in the Radio business has been tepid, with the larger industry still facing challenges, leading to a -21% margin.

    Management acknowledged

  • English Print Circulation Revenue Decline

    medium

    English Print circulation revenue is down 22% YoY, largely due to pricing, though copy volumes are flat.

    Management acknowledged

Q&A highlights

5 direct
Digicontent Ltd. RSU dilution and P&L impact Partial
it's not a 9% dilution currently... it's all for employee RSUs which have been given to the employees... Shares have not been issued yet. There's a 'right' for this and it is benchmarked to certain milestones also.

Analyst raised concern about significant equity dilution in a group company, which management clarified is not yet actualized and is tied to employee RSUs and milestones, with costs charged to salary.

Asked by Gaurav Agarwal

Verticals contributing to Print segment growth (English) Direct
Education is a big segment for Q1... Across English and Hindi, it would be Education. Among the top 5 segments, 2-3 of them have been firing... And Real Estate, and BFSI, and a few others.

Identified key growth drivers for the Print business, indicating specific sectors performing well and contributing to advertising revenue.

Asked by Yash R

Impact of government revenue on Print growth Direct
last year same quarter, if you remember, we had the national elections, so, there was a Code of Conduct which was in play because of which government revenue was substantially lower. So therefore, this year, there is no such restriction, so government spending has been as usual and therefore that will of course, result in upside.

Explained the YoY growth in government ad revenue, attributing it to the absence of election-related restrictions this year, providing context for the revenue increase.

Asked by Yash R

Print circulation trends and discounting strategy Direct
discounting as I have highlighted earlier, we are currently recruiting a lot new readers on the Hindustan side... In the English segment, the decline you have seen is largely on account of pricing only. Copies, as you can see sequentially also, we are flat. So, there's no change in copies.

Clarified that English circulation volume is stable but revenue is impacted by pricing, while Hindi is actively recruiting new readers through discounting, highlighting different strategies for each language.

Asked by Yash R

Duration of discounting strategy for circulation Partial
I'm saying at least for the next month, we are and we will take a call at the end of next month. And whether if we think that we should continue. So, we are taking one month at a time at this point in time. But looks like currently, we are continuing because this will give us fruits in the long term.

Indicated a short-term, month-to-month review of the discounting strategy, suggesting it's not a permanent fixture but is currently seen as beneficial for long-term reader recruitment.

Asked by Yash R

Warrant conversion to equity strategy Direct
we invest through the warrant structure rather than pay equity, is risk mitigation strategy... Now the reason that we would convert a warrant into equity is if we basically see that, that equity can give us a substantial upside... As per the contractual document, there's a time period in so and so years that we have, up-till which we can exercise this right.

Explained the rationale behind using warrants for investments as a risk mitigation strategy and the conditions for converting them to equity, based on performance and upside potential.

Asked by Deepak Sharma

Newsprint price outlook Direct
Newsprint prices are flat for at least the last two quarters, and we don't see any reason for them to spike up... will remain in a very tight band, which is currently give or take USD 500 a metric ton

Provided a stable outlook on a key raw material cost, which is positive for Print business margins and reduces cost uncertainty.

Asked by Yash R

2 min read 7 chapters

Detailed narrative

Q1 FY26 Consolidated Performance Overview

Hindustan Media Ventures Limited reported total revenues of INR 451 crores for Q1 FY26, marking a 6% year-on-year growth. Despite this, the company posted a negative PAT of INR 11 crores, though this represents a 59% improvement compared to the previous year. On a sequential basis, revenue saw a 23% decline, and PAT declined by 120%. The company maintains a healthy net cash position of INR 976 crores.

Print Business Resilience and Advertising Growth

The Print business demonstrated an 8% year-on-year improvement in operating revenues, reaching INR 324 crores. This was primarily driven by a significant 17% year-on-year growth in advertising revenues, which stood at INR 255 crores. English Print advertising revenue grew by 19% year-on-year to INR 140 crores, while Hindi Print advertising revenue increased by 14% year-on-year to INR 116 crores.

Print Circulation Challenges and Strategy

English Print circulation revenue experienced a 22% year-on-year decline, attributed mainly to pricing adjustments, with copy volumes remaining sequentially flat. In contrast, Hindi Print circulation revenue was nearly flat year-on-year at INR 39 crores. Management indicated an ongoing strategy of offering discounts, particularly for the Hindustan (Hindi) publication, to recruit new readers, with a monthly review of this approach.

Radio Segment Under Pressure

The Radio business continued to face challenges, with revenues dipping to INR 31 crores compared to INR 36 crores in the previous year, resulting in a negative margin of -21%. Management acknowledged the tepid growth in the industry and stated efforts to pivot the business with a focus on growing non-free commercial time revenue.

Digital Business Momentum and Growth

The Digital segment showed strong momentum, with operating revenues growing by 21% year-on-year to INR 56 crores. This growth was driven by platforms like Mosaic, Shine, and OTTplay, and was accompanied by a 100% year-on-year growth in the digital business, which the company aims to repeat. Operating margins for the Digital segment remained negative at -38%.

Newsprint Price Outlook

Management provided a stable outlook on newsprint prices, noting they have been flat for the last two quarters. They anticipate prices will remain within a tight band, approximately USD 500 per metric ton, with no foreseeable reasons for a spike.

Investment Strategy via Warrants

The company utilizes a warrant structure for investments as a risk mitigation strategy, rather than direct equity payments. Conversion of warrants to equity is contingent on the invested company demonstrating substantial upside and being on a clear growth trajectory, with exercise decisions made within contractual timeframes based on financial performance.

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