Results for the year ended March 31, 2006 compared to previous year ended March 31, 2005

Financial Highlights

Quarter ended March 31, 2006 vs Quarter ended March 31, 2005

 Year ended March 31, 2006 vs Year ended March 31, 2005
 

• Balaji’s programming continued to dominate the ratings chart. For the week ended April 1, 2006, out of the Top 25 shows, 24 shows were from Balaji
• Realization per hour from Commissioned Programming increased from Rs1.77 mn to Rs 2.22 mn.
•  Average realisation per hour increased from Rs 1.1 mn to Rs 1.3 mn
•  More than 2000 hours of programming during the year
• Successfully launched new shows on Star One and Zee.
• Cash and Cash Equivalents of Rs. 1686.10 mn as on March 31, 2006
• The Board of Directors has recommended a full and final dividend of Rs 3  per share (150% on par value of Rs 2 per share) amounting to Rs 1956.31 lacs, subject to the approval of members at the ensuing annual general meeting.

Results for the year ended March 31, 2006

The audited financial results for the year ended March 31, 2006 were taken on record by the Board at its meeting held on May 9, 2006. The profit and loss account is summarized below: (in Rs. mn except per share data)

Particulars	Year ended March 31,		Growth%
	2006	2005
INCOME FROM OPERATIONS	2803.71	1967.48	42.50%
TOTAL EXPENDITURE	1867.08	1293.94
OPERATING PROFIT Interest Depreciation	936.63 0.46 143.29	673.54 1.86 97.40	39.06% 47.11%
OPERATING PROFIT AFTER INTEREST & DEPRECIATION Other Income	792.88 86.94	574.28 49.42	38.06% 75.92%
PROFIT BEFORE TAX Provision for Taxation Deferred Revenue Expenditure w/off	879.82 285.61 -	623.70 210.73 -	41.06% 35.53% -
NET PROFIT AFTER TAX	594.21	412.97	43.89%
EARNINGS PER SHARE (weighted average) (Face Value is Rs. 2)	9.15	7.61	20.24%
DIVIDEND PER SHARE (Face Value is Rs. 2)	3.00	16.00	-
Dividend declared as a % of par value	150%	800%
KEY RATIOS Operating Profit Margin (%) Net Profit Margin (%)	33% 21%	34% 21%

Results for the quarter ended March 31, 2006

The audited financial results for the quarter ended March 31, 2006 were taken on record by the Board at its meeting held on May 9, 2006.

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

Management discussion and analysis on Audited Financial Results of the Company for the Quarter and Year ended 31.03.2006

Revenues

The Company recorded income from operations of Rs. 769.12 mn during the quarter, up 41.34% y-o-y.  Revenue contribution from commissioned programming was Rs.694.16 mn, up 51.18% y-o-y, while that of sponsored programming was Rs. 71.91 mn.  The share of commissioned programming in the revenues during the quarter was 90%, while that of sponsored programming was 10%.  The revenue-wise distribution between commissioned and sponsored programming during the quarter ended March 31, 2006, March 31, 2005 and December 31, 2005, is as follows:

Channel Wise Revenue

The Channelwise Revenue distribution during the quarter ended March 31, 2006, March 31, 2005 and December 31, 2005, is as follows:

Programming Mix

Commissioned & Sponsored ProgramsThe hour wise programming distribution during the quarter ended March 31, 2006, March 31, 2005 and December 31, 2005, is as follows:

Other Income

The Other Income during the quarter was Rs. 12.28 mn against Rs. 24.27 mn in the corresponding quarter in the previous year.
 

Dividend

The Board of Directors has recommended a full and final dividend of Rs  3  per share (150% on par value of Rs 2 per share) amounting to Rs 1956.31 lacs, subject to the approval of members at the ensuing annual general meeting

Gross Block

The Company’s gross block increased from Rs. 559.28 mn in FY05 to Rs 669.52mn as on March 31 2006.

Investments

As on 31.03.2006, the Company’s investments were at Rs. 1623.86 mn.  The Company invested surplus funds in liquid/floating rate funds  with the principal aim of safety The market value of investments as on 31.03.2006 was Rs. 1665.46 mn.

Debtors

The Company’s debtors (in days of income) has decreased from 99 days in FY05 to 96 days in FY06.

Inventories

The Company’s inventories (in days of turnover) decreased from 44 days in FY05 to 15 days in FY06 since the two films carried in the inventory were released during the year. 

Loans and advances

Change in Programming during the quarter

• The Company launched following serials during the quarter ended 31st March, 2006

• The Following serial/s of the Company went off air during the quarter ended 31st March, 2006.

Serials on air

As on 31.03.2006 the following 20 serials of the Company were on air on various channels

{(Source – TAM Ratings for the week ended 01/04/06, Category – Female 15 Plus)

For further information on results, please contact us on following nos.:

• V. Devarajan, Chief Financial Officer,/ Sandeep Jain,  Balaji Telefilms Limited, Tel: 91 22 26732275, Fax: 91 22 26732312, E-mail:devarajan@balajitelefilms.com, sandeep.jain@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.