14 October 2010

Ambit previews Media & Entertainment for Sept quarter (F2Q 2011)

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Media & Entertainment
 We expect growth in ad revenue to benefit media companies in our coverage
universe both broadcasting and print.
 For Zee Entertainment and Sun TV, subscription revenue is also expected to
grow.
 Sun TV is expected to report strong margins of 80% whereas Zee
Entertainment is estimated to report EBITDA margin of 28.9% in 2QFY12 v/s
27.6% in the previous quarter.
 In the print segment, DB Corp is expected to witness drop in margins
sequentially owing to launch of services in Jharkhand. We expect HT Media to
report EBITDA margin of 20.9% v/s 19.8% in the previous quarter.
 Our top picks are Sun TV and Jagran Prakashan

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