Results for the quarter ended December 31, 2005 compared to previous quarter ended September 30, 2005

Financial Highlights

 Operational highlights
 

Results for the quarter ended December 31, 2005

The un audited financial results for the quarter ended December 31, 2005, were taken on record by the Board at its meeting held on January 31, 2006.

The profit and loss account is summarized below:   (in Rs. mn except per share data)

Particulars	Quarter ended December 31,		Growth%	Quarter ended Sep 30 2005	Growth % in Q3 FY06 over Q2FY06
	2005	2004
INCOME FROM OPERATIONS	699.87	517.31	35.29%	701.38	-0.22%
TOTAL EXPENDITURE	500.31	350.46	42.76%	418.58	19.53%
OPERATING PROFIT Interest Depreciation	199.49 0.05 42.87	166.85 0.27 23.54	19.56% 82.11%	282.80 0.15 36.53	-29.46% 17.35%
OPERATING PROFIT AFTER INTEREST & DEPRECIATION Other Income	156.57 49.99	143.04 3.60	9.46% 289%	246.1 12.84	-36.38% 289.49%
PROFIT BEFORE TAX Provision for Taxation	206.57 62.69	146.64 53.19	40.86% -	258.96 88.80	-20.23% -
NET PROFIT AFTER TAX	143.88	93.45	53.95%	170.16	-15.44%
EARNINGS PER SHARE (Face Value is Rs. 2)	2.24	1.81	23.76%	2.61	-14.17%
DIVIDEND PER SHARE (Face Value is Rs. 2)	-	16.00	-	-	-
Dividend declared as a % of par value	-	800%	-	-	-
KEY RATIOS Operating Profit Margin (%) Net Profit Margin (%)	28.50% 20.56%	32.25% 18.06%	-	40.32% 24.26%	-

Management discussion and analysis on Unaudited Financial Results of the Company for the Quarter ended 31.12.2005

Revenues

The Company recorded income from operations of Rs. 699.87 mn during the quarter against Rs 701.39 mn in the previous quarter.  Revenue contribution from commissioned programming was Rs.576.8 mn, marginally down by 4.87% q-o-q. The average realization per hour decreased to Rs 2.14 mn, per hour, down 9.28% q-on-q. The revenue contribution from sponsored programming was Rs 92.45 mn as compared to Rs. 93.04 mn in the previous quarter. The average realization per hour was Rs 0.36 mn against Rs 0.35 mn in the previous quarter. The contribution from the films was Rs 30.25 mn during the quarter.

The revenue-wise distribution between commissioned and sponsored programming during the quarter ended December 31, 2005, December 31, 2004 and September 30, 2005, is as follows:

Channel Wise Revenue

The Channelwise Revenue distribution during the quarter ended December 31, 2005, December 31, 2004 and September 30, 2005, is as follows:

Programming Mix

Commissioned & Sponsored Programs

The hour wise programming distribution during the quarter ended December 31, 2005, December 31, 2004 and September 30, 2005, is as follows:

The Other Income during the quarter was Rs. 49.99 mn against Rs. 12.84 mn in the previous quarter. 

Gross Block

The Company’s gross block as on December 31, 2005 was Rs 612.61 mn.

Investments

As on 31.12.2005, the Company’s investments were at Rs. 1457.06 mn.  The Company invested surplus funds in liquid/floating rate funds and short term funds with the principal aim of safety. The market value of investments as on 31.12.2005 was Rs. 1487.33 mn.

Debtors

The Company’s debtors (in days of income) increased from 93 days to 100 days as on 31.12.2005.

Inventories

The Company’s inventories (in days of turnover) decreased from 25 days to 19 days as on 31.12.2005. The Company’s inventories comprise of completed episodes waiting to be aired, incomplete episodes and feature films.

Loans and advances

Loans and advances increased from Rs 167.53 mn to Rs 173.22 mn as on 31.12.2005. The Company’s principal loans and advances comprised lease deposits for offices / studios.

Change in Programming during the quarter

The Company launched following serial/s during the quarter ended 31st Dec 2005

Serials on air:

{(Source – TAM Ratings for the week ended 31/12/05, Category –29 cities Female 15 Plus) except Zoom, category MF 4+} For further information on results, please contact us on following nos.: V. Devarajan, Chief Financial Officer, Balaji Telefilms Limited, Tel: 91 22 26732275, Fax: 91 22 26732312, E-mail: devarajan@balajitelefilms.com

Safe Harbor

Certain statements in this update concerning our future growth prospects are forward looking statements, which involve a number of risks, and uncertainties that could cause actual results to differ materially from those in such forward-looking statements.  The company does not undertake to update any forward-looking statement that may be made from time to time by or on behalf of the company.