Decrease in Ad Revenue for ZEEL by 16.7% in Q1FY26
Zee Entertainment Enterprises (ZEEL) has announced its financial results for the first quarter of the 2025-2026 fiscal year (Q1FY26), reporting a net profit of Rs 143.7 crore, marking a 22% year-on-year increase from Rs 118.1 crore in Q1FY25.
The report, which can be found on the company's website under "ZEEL", "Q1FY26", "net profit", "advertising revenue", "subscription revenue", "FMCG spending", and "operational expenses", also details the company's performance in other key areas.
Advertising Revenue
Advertising revenue saw a decline of 16.7% to Rs 758.5 crore compared to Rs 911 crore in the same quarter last fiscal. The domestic advertising revenue drop was primarily attributed to the extended sports calendar and a slowdown in Fast-Moving Consumer Goods (FMCG) spending, with the latter specifically noted as a significant factor in the ad revenue reduction.
Subscription Revenue
Subscription revenue experienced a marginal decline due to a fall in PayTV subscribers. However, this decline was somewhat offset by growth in digital subscription revenue.
FMCG Spending
While not quantified explicitly in absolute terms, the slowdown in FMCG spending was cited as a key reason for the 19% year-on-year domestic advertising revenue decline. This indicates FMCG sector ad spends were down noticeably.
Operational Expenses
Total expenses decreased to Rs 1,652.7 crore from Rs 1,941.1 crore in Q1FY25, a reduction of about 14.9%. Operational costs specifically were brought down 17.5% to Rs 971 crore from Rs 1,177 crore.
Breaking down operational expenses further, advertising and publicity expenses were Rs 275 crore, down 5% from Rs 289.6 crore. Employee benefit expenses dropped slightly to Rs 220 crore from Rs 225 crore. Depreciation and amortization expenses reduced by 22% to Rs 59 crore from Rs 75.6 crore.
In summary, the financial report for Q1FY26 shows ZEEL maintained profitability amid challenging advertising markets but faced softness particularly from FMCG and certain subscription segments. The net profit was reported on July 22, 2025.
The report can be shared via Telegram, Facebook, and a copy link for those interested in delving deeper into the details.
[1] Zee Entertainment Enterprises Limited, Q1FY26 Financial Results, July 22, 2025. [2] Business Standard, Zee Entertainment reports Q1 net profit of Rs 143.7 crore, July 22, 2025. [3] Economic Times, Zee Entertainment reports Q1 net profit of Rs 143.7 crore, July 22, 2025. [4] Moneycontrol, Zee Entertainment reports Q1 net profit of Rs 143.7 crore, July 22, 2025.
- The media reported that Zee Entertainment Enterprises Limited (ZEEL) has announced a net profit of Rs 143.7 crore for Q1FY26, highlighting a 22% year-on-year increase from Q1FY25.
- Despite a decline in advertising revenue by 16.7%, the company maintains profitability, according to the financial report published on their website.
- The slowdown in Fast-Moving Consumer Goods (FMCG) spending, partly responsible for the advertising revenue dip, is being closely watched by both the company and the finance industry.
- Investors interested in learning more about the company's performance in areas such as subscription revenue, FMCG spending, and operational expenses can find details on their website or through news articles from various media outlets.
