Jagran Prakashan: Wait continues for adspend pick-up ::Kotak Sec, report

Please Share:: 
Wait continues for adspend pick-up. Jagran’s PAT of `666 mn was 8% below our estimate due to lower ad revenue growth (5.6% yoy versus KIE’s 7.5% yoy) and forex losses. Moderating newsprint price and better performance of less-profitable editions resulted in a four-year peak in EBITDA margin of 28% (+400 bps yoy). While cost optimization is commendable, ad revenue growth acceleration is critical for stock performance. We incorporate Radio City acquisition and tweak our FY2015-17E EPS. We roll over to December 2016; maintain ADD with revised TP of `155 (`150 earlier).

�� India Equity Research Reports, IPO and Stock News Visit http://indiaer.blogspot.com/ for complete details ��

Jagran Prakashan - Company Update - Radio to augment print :: Centrum

Please Share::

�� India Equity Research Reports, IPO and Stock News Visit http://indiaer.blogspot.com/ for complete details ��

Jagran Prakashan– dominates Hindi speaking belt :: ICICI Securities, PDF link

Please Share::

�� India Equity Research Reports, IPO and Stock News Visit http://indiaer.blogspot.com/ for complete details ��

Jagran Prakashan :: Angel Broking Diwali Top Picks (Diwali Muharat)

Please Share::

�� India Equity Research Reports, IPO and Stock News Visit http://indiaer.blogspot.com/ for complete details ��

Q3FY13 Result Update Jagran Prakashan Buy:: - Centrum

Q3FY13 Result Update

Jagran Prakashan

Buy

Target Price: Rs125

CMP: Rs108

Upside: 14%

Healthy expectations ahead

Jagran Prakashan posted 7.7%YoY revenue growth on the back of 7.1% ad growth led by volumes and 12.2% circulation growth. Operating profit was up by 7% on the back of mere 3.9%YoY increase in raw material cost and higher than expected admin cost. Rs55mn forex loss muted PAT growth which was up 59% YoY on the back of lower taxes. Maintain BUY.

m  Q3FY13 results broadly in-line: Jagran Prakashan posted 7.7% topline growth in Q3FY13 to Rs3489mn on 7.1% growth in advertising. Circulation growth was at 12.2%. Operating profit was up by 7% as the company witnessed 16bps margin compression due to higher admin cost. PAT was higher by 59% as the company did not pay any tax during the quarter due to accumulated losses following Nai Dunia acquisition. Forex loss was at Rs55mn during the quarter due to depreciating Rupee.

m  Ad growth to bounce back in FY14E: The Company posted healthy 7.1% YoY ad growth on the back of festive season demand. Growth was slightly muted on the back of high base of Q3FY12 along with severe cold in the last week of December. The share of national ads continued to be at 40%, similar to the last quarter. Flanking papers like I-next and City Plus contributed to grow by 30% and 32% respectively. Hence we expect the company to post 7% YoY growth in FY13E and 14% in FY14E.

m  Reducing losses in acquisitions: Nai Dunia posted 21% YoY growth in ads on the back of strong synergies with Jagran. Operating losses during 9MFY13 was Rs42mn and for the full year we believe the losses would be under Rs75mn against Rs250mn in FY12. For Mid-Day, advertising growth was 3% with cash loss at Rs30mn for 9MFY13 and the management expects to break even in the next one year. We remain confident on turnaround of these publications with the uptick in economy from FY14 onwards.

m  Margins to expand: Margins during the quarter declined by 16bps on the back of high admin cost. Raw material expenses were under control due to lower newsprint cost, change in mix, lower pagination. We expect the margins to expand on the back of flat newsprint prices going ahead and turnaround of new acquisitions.    

m  Estimates lowered; Maintain BUY: We have marginally lowered our FY13E/FY14E estimates on the back of higher admin & other expenditure coupled with high interest cost. The stock is currently trading at 13.3x and 14.8x FY13E and FY14E respectively. We value the company at 15x Sept 2014 with our target price of Rs124 and maintain BUY rating on the stock. We believe that the ad growth has bottomed out and expect margin expansion ahead on the back of expectations of flat newsprint prices and turnaround in acquisitions of NaiDunia and Midday.

Thanks & Regards, 

-- 

Bharti Airtel, Jagran Prakashan, reports by Kotak Sec PDF links

Jagran Prakashan: Buying scale and growth, but profits a long way away : Kotak Securities PDF link

Please Share::  India Equity Research Reports, IPO and Stock News
Visit http://indiaer.blogspot.com/ for complete details �� ��

http://www.kotaksecurities.com/pdf/indiadaily/indiadaily03042012.pdf


Jagran Prakashan: Buying scale and growth, but profits a long way away
` Newsprint price the key near-term trigger; advertising likely to recover in
the medium term
` Details of Jagrans Nai Dunia acquisition
` Retain BUY with FY2013E fair value of Rs140 (Rs150 previously)

Jagran Prakashan (JPL) has acquired Nai Dunia Media Ltd: Edelweiss

Please Share:: India Equity Research Reports, IPO and Stock News
Visit http://indiaer.blogspot.com/ for complete details �� ��


Jagran Prakashan (JAGP IN, INR100, BUY)
Jagran Prakashan (JPL) has acquired Nai Dunia Media Ltd, through an all cash buyout of Suvi
Info Management Pvt. Ltd, of which Nai Dunia is a subsidiary. Nai Dunia is a leading Hindi daily
published from Madhya Pradesh (MP) and Chhattisgarh. We are positive on this new
development as Nai Dunia’s acquisition lays a formidable platform for JPL to be a strong player
in the important Hindi markets of MP and Chhattisgarh. Entry of JPL through Nai Dunia poses a
threat to Dainik Bhaskar, the numero uno player in MP and Chhattisgarh. At CMP of INR100, JPL
stock is trading at P/E of 13.4x and 11.2x FY13E and FY14E, respectively. We maintain ‘BUY’
recommendation on the stock and rate it ‘Sector Performer’.
Key takeaways from Jagran’s Nai Dunia Acquisition concall:
• About Nai Dunia: 9th largest Hindi newspaper. 2nd largest player in terms of readership and
business volumes in MP and Chhattisgarh. 7 printing facilities. Editions published from
Indore, Gwalior, Jabalpur, Bhopal, Raipur and Bilaspur. Circulation of 0.5mn copies a day. As
per latest IRS survey, Nai Dunia slipped to No.3 in MP, just behind Patrika.
• Nai Dunia revenues: Nai Dunia’s revenues have grown at a CAGR of 31% from INR240mn in
2007 to INR1bn in FY11 on the back of fourfold growth in Average Issue Readership (AIR)
over the past 3 years. INR700mn of ad revenues in FY11. 25% of ad revenues are from
national advertisers. In FY12, INR1.05bn revenues are expected.
• Nai Dunia EBITDA: EBITDA loss of INR250mn. National revenues will contribute to positive
EBITDA. However, increase in circulation will continue to lead to EBITDA loss.
• Transaction details: Complete buyout of Suvi, which completely owns Nai Dunia. EV (net of
tax benefit): INR1.5bn. Nai Dunia has debt of INR200‐250mn. All cash transaction. Funded
by treasury funds of JPL. Tax impact on accumulated losses: INR750‐800mn. Accumulated
carry forward losses: INR2.5bn. Gross block of INR850‐900mn of Nai Dunia. Tax benefit in
FY13. No tax benefit in FY12. Cash outflow due to the transaction will be less than INR1.5bn
for JPL. Web Dunia is not part of the transaction.
• JPL’s balance sheet: More than INR3bn in JPL’s treasury funds. Net cash balance of JPL is
INR1bn (WC limit excluded from cash).

Buy Jagran Prakashan: Target : Rs 111 ::ICICI Sec PDF link

Please Share:: India Equity Research Reports, IPO and Stock News
Visit http://indiaer.blogspot.com/ for complete details �� ��

http://content.icicidirect.com/mailimages/ICICIdirect_JagranPrakashan_%20EventUpdate.pdf


A c q u i r e s   ‘ N a i   D u n i a ’ ;   e n t e r s   M P C G
Jagran Prakashan has acquired Suvi Info Management (Indore), which
owns the brand “Nai Dunia”. Nai Dunia is the third largest Hindi daily in
the Madhya Pradesh and Chhattisgarh (MPCG) market with a revenue of
~ | 100 crore and EBITDA loss of | 25 crore in FY11. With an enterprise
value of | 225 crore including a | 22 crore debt, Jagran Prakashan would
witness a cash outgo of ~ | 200 crore. The deal would imply a tax benefit
of | 75 crore for Jagran on account of accumulated losses of Nai Dunia of
| 250 crore. The deal would imply EV/sales (FY11) at 2.2x for Nai Dunia.
Suvi Info will be merged with Jagran in FY13.

Buy JAGRAN PRAKASHAN- TARGET PRICE: RS.136 : Kotak Securities PDF link

Please Share:: India Equity Research Reports, IPO and Stock News
Visit http://indiaer.blogspot.com/ for complete details �� ��

http://www.kotaksecurities.com/pdf/dmb/MorningInsight03042012.pdf


JAGRAN PRAKASHAN
PRICE: RS.100 RECOMMENDATION: BUY
TARGET  PRICE: RS.136 FY13E P/E: 12.6X
Jagran Prakashan has announced the acquisition of Naidunia Media. The cost
of acquisition, Rs 1.5Bn net of tax benefits to Jagran Prakashan, is
reasonable. We expect negative impact of the transaction to the extent of
6.5% on PBT in FY13; which would be more than offset via tax benefits
arising from the transaction. Over the long-term, we believe the acquisition
shall be neutral on EPS. Valuations paid are reasonable, the acquisition has
some merit and we believe shall be a positive over the longer-term,
provided Jagran Prakashan can overcome competitive pressures to be#2/
strong #3 in the relevant markets. We maintain our BUY rating on Jagran
Prakashan.

Jagran Prakashan -Acquires Nai Dunia in an all-cash deal; Maintain BUY :Religare research

Please Share:: India Equity Research Reports, IPO and Stock News
Visit http://indiaer.blogspot.com/ for complete details �� ��


Jagran Prakashan
Acquires Nai Dunia in an all-cash deal; Maintain BUY
JAGP, which owns India’s largest read daily Dainik Jagran, has acquired Nai Dunia
(ND) – the country’s ninth largest Hindi newspaper. This acquisition gives JAGP a
much-awaited entry into the underpenetrated and fast-growing markets of Madhya
Pradesh (MP) and Chhattisgarh (CG), and brings consolidation in the print media
industry. Financial highlights of the deal: (a) JAGP has valued ND at an enterprise
value of Rs 2.25bn (incl. ~Rs 250mn debt), or ~2x EV/sales; (b) JAGP is entitled to
tax benefits of ~Rs 800mn owing to ND’s accumulated losses of Rs 2bn-2.5bn.
While the valuation is on the higher side given ND’s negative EBITDA, we feel this
acquisition is a good strategic fit for JAGP on account of: (a) its geographical
expansion in Hindi-speaking states, (b) reduction in gestation period for expansion in
new territories and (c) cost and revenue synergies. Maintain BUY with TP of Rs 135.
v Underpenetrated MP and CG markets offer good growth: Literacy rates of MP
and CG are lower than the national average, and so is newspaper penetration, with
sole readership at a mere 15%. With rise in disposable incomes owing to increased
GDP growth rates (~6.5% for MP, 9.5% for CG), these markets offer good growth
potential.
v JAGP’s ongoing litigation in MP necessitates inorganic route: We note that
JAGP has wanted to enter MP and CG since 2005. However, it couldn’t use its
flagship brand Dainik Jagran due to family litigation and hence, had to either
introduce a new brand or acquire an established player like ND.
v ND – a good fit: Nai Dunia is published in the Hindi heartland states of MP and CG
with a circulation of 0.5mn copies and a readership base of ~2mn, which has more
than tripled over the last five years. While ND’s current readership share is 23%, its
advertisement market share is ~15%. Its FY11 revenues were at Rs 1bn (FY12E:
Rs 1.1bn) with 70‒75% generated from advertising (mostly local). The company
incurred an EBITDA loss of Rs 250mn in FY12.
v Turnaround to be quick, aided by synergies: On the revenue side, JAGP expects
to increase the contribution from national advertising to ND’s revenues from <25%
now to closer to its own 40% levels. On the cost side, JAGP will benefit from
reduced newsprint and manpower costs.
v Deal financial summary: The deal was closed for an all-cash consideration of
~Rs 2.25bn (including debt). However, JAGP stands to gain tax benefits to the tune
of Rs 0.8bn owing to ND’s accumulated losses. Post the deal, JAGP has Rs 1bn of
net cash on its books.
v Maintain BUY with a TP of Rs 135: We believe that this acquisition is another step
in the direction of consolidation in the print media space, wherein smaller regional
players will be acquired by larger national players like JAGP, owing to both revenue
and cost synergies. We continue to like the print media space because of: (a) healthy
ROEs (25% +), (b) good dividend payouts (45‒50%) and (c) attractive valuations
(currently 12.7x FY14E). Maintain BUY with a TP of Rs 135 (17x FY14E).

Jagran Prakashan Reco: ACCUMULATE -Target Price: Rs 116 :Emkay PDF link

Please Share:: India Equity Research Reports, IPO and Stock News
Visit http://indiaer.blogspot.com/ for complete details �� ��

Jagran Prakashan Reco: ACCUMULATE CMP: Rs 99 Target Price: Rs 116 NaiDuniya to strengthen MP & Chhattisgarh portfolio ·      Jagran acquires Suvi Info Management Pvt. Ltd which owns NaiDunia. The deal is valued at Rs2.25bn. Net payout for Jagran would be ~Rs1.5bn as it would get tax benefit of ~Rs750mn (in FY13E) on accumulated losses of Rs2.5bn    ·      NaiDunia had Rs1.0bn revenue and EBITDA loss of Rs250mn in FY11. JPL confident to reduce losses by Rs80-90mn from year one, led by cost rationalization  ·      This acquisition would be value accretive in the long-term, given the size of ad market, cost synergies and cost rationalization efforts by Jagran management  ·      We believe the acquisition was much needed to expand in MP& Chhattisgarh markets for Jagran. At EV of Rs2.25bn NaiDuniya is valued at 2.25x EV/sales, at par with Jagran’s EV/sales of FY12E

Click here to read report: Event Update

Jagran Prakashan Acquisition of Nai Dunia ::Centrum

Please Share:: India Equity Research Reports, IPO and Stock News
Visit http://indiaer.blogspot.com/ for complete details �� ��

Jagran Prakashan

Acquisition of Nai Dunia

Jagran Prakashan (JPL) has acquired Suvi Info Management (Indore) Pvt Ltd which is the holding company of Nai Dunia Media engaged in publishing Nai Dunia daily in MP and Chhattisgarh markets. The acquisition is at an EV valuation of Rs2.25bn (Rs1.5bn net of tax). We believe this acquisition will help JPL enter the second biggest Hindi market and position itself to be #2 player in that market. We expect JPL to turn around the business and make it EBIDTA positive within the first year of operation. Maintain BUY.

m  Entry into MP and Chhattisgarh market: With this acquisition, JPL will get access to the lucrative Madhya Pradesh (Rs4.5bn ad market) & Chhattisgarh (Rs1bn ad market) markets where readership penetration is less than 15% even though the literacy rate is above 70%.

m  Aiming to be a strong #2 player: Nai Dunia has recently become #3 player in the MP market behind Dainik Bhaskar and Patrika. It has an AIR of 1.52mn compared to 1.6mn for Patrika and 3.8mn for Dainik Bhaskar. The company currently has a circulation of 5lac copies. In the state of MP it has 5 editions in Indore, Bhopal, Jabalpur, Gwalior and Ujjain. In Chhattisgarh it has 2 editions in Raipur and Bilaspur. Nai Dunia has a share of 22% in readership and 15% in ad revenue in these two markets. Company plans to steadily increase its circulation and become a strong #2 player in these states.

m  Strong synergies to emerge: We believe there are strong synergies between the existing operations of JPL and these two states. MP is the second biggest Hindi ad market and shares the border with UP. With this JPL would have a strong presence in all Hindi speaking states.  JPL plans to reduce costs to the tune of Rs90mn immediately with saving of Rs40mn in newsprint procurement, Rs20mn by sharing office space, Rs30mn by employee rationalization. 

m  Nai Duniya to be operating positive in 1^st year: Nai Dunia currently has revenues of ~Rs1.05bn while it is making an operating loss of ~Rs0.25bn with PAT loss of ~Rs0.32bn. Currently, advertisement revenue for the company is Rs0.75bn, circulation revenue Rs0.25bn while remaining is from job works. JPL plans to make the company operating positive within 1^st year by reducing cost to the tune of Rs100mn while increasing national advertisement pie from current 20-25% to 40% similar to Dainik Bhaskar.

m  Deal valued at EV of Rs2.25bn: JPL has acquired the company at an EV of Rs2.25bn and will be fully funded from internal accruals. The company has debt of Rs200mn and will have tax benefit of ~Rs0.75bn. JPL plans to merge this company with itself in FY13 for utilizing the tax benefits.

m  Valuations: JPL is currently valued at 12.6x FY13E EPS of Rs7.95. We currently have a BUY rating on the stock with a target price of Rs135. We will change our estimates once we get the financials and data of the acquired company from the management. 

Thanks & Regards, 

Result Update: Jagran Prakashan, Piramal Glass:: Emkay

Please Share:: India Equity Research Reports, IPO and Stock News
Visit http://indiaer.blogspot.com/ for complete details �� ��

Result Update

Jagran Prakashan Reco: ACCUMULATE CMP: Rs 97 Target Price: Rs 116 Ad growth rebounds, cost pressure remain ·      Standalone revenue at Rs3240mn, up 13.3% yoy (better than our est. of Rs3159mn), driven by ad growth of 14.9% yoy  and 9.8% yoy growth in circulation revenue ·      Ad rev. of Rs2.2bn was up 14.9% yoy (our est. of 11.5%). Event & Outdoor grew 14.6% yoy to Rs289mn. Digital revenue at Rs23mn 15.5% yoy ·      EBITDA was down 5.2% yoy to Rs851mn with EBITDA margin at 26.3% (our est. of 25.7%). Raw material and SG&A cost increased 31.4% and 15.2% yoy, leading to EBITDA decline    ·      We have re-aligned our estimates, cut EPS est. by 10.0%/8.4% for FY12E/13E. Downgrade to ACCUMULATE from BUY with revised TP of Rs116 (from Rs 135)

Piramal Glass Reco: BUY CMP: Rs 115 Target Price: Rs 155 Capacity relining impacts profitability ·      Q2FY12 was below expectations – revenues grew 9.5% yoy to Rs 3.4bn, EBIDTA margins declined 170bps yoy to 21.4% and APAT de-grew by 19% to Rs 188mn ·      Relining in US & Indian furnace resulted in flat growth for C&P. Demand headwinds in Brazil and Turkey led to de-growth in Mass segment. Europe market remains healthy ·      Capacity expansion well on track; major relining of capacities completed. FY13E to witness healthy revenue growth aided by expanded capacities ·      Marginal revision in earnings, FY12E revised downwards by 4% to Rs 12.7 and FY13E by 2% to Rs 17.1. Maintain BUY with revise target price of Rs155/Share

Media - Jagran set to UP tempo; sector update:: Edelweiss,

Please Share:: India Equity Research Reports, IPO and Stock News
Visit http://indiaer.blogspot.com/ for complete details �� ��

With assembly elections set to be held in five states—Uttar Pradesh (UP), Uttarakhand, Punjab, Goa and Manipur—in Q4FY12, we expect political parties’ election related ad expenses to enhance ad revenues of some print media companies especially Jagran Prakashan (JPL). Unlike Bihar elections which had a single strong contender, the latest UP elections are expected to be keenly contested due to a four-horse race, which will pump up ad expenses. Given the current slowdown in the ad environment, elections in the five states will give some respite to print companies present in these states. We expect JPL to add ~INR150-180mn additional revenue because of the elections. We remain positive on JPL due to its significant presence in Uttar Pradesh and Uttarakhand.

Political parties partial to propaganda in print media

Print media remains the primary spending medium for political parties, followed by television and radio. Congress, BJP, BSP and SP are known to focus on print media for election advertising. For regional elections, print and radio have been extensively used earlier, whereas TV is more of a national medium. Typically, parties are charged more than twice the normal advertising rate. Though, government ad expenditure is not allowed post declaration of poll dates, the positive impact of ad revenues from political parties will lessen the negative impact of lack of government expenditure. However, we believe given the softness in the ad environment, print companies will look forward to the additional revenue and will be willing to accept ads at competitive prices.

Keenly contested elections to spur publicity expenses

Unlike the Bihar elections, which had a single strong contender, the latest UP elections are expected to be keenly contested due to a four-horse race, which will pump up publicity expenses of political parties. Out of the five states going to polls, UP will see the maximum ad expenses due to its huge territory and political significance. The 2007 elections in Punjab, Manipur, UP, Uttarakhand and Goa had resulted in ad spends of ~INR1,154mn by political parties. With inflation and expectations of a keenly contested election, we anticipate ad spends to cross INR2,000mn this time around. However, due to the ongoing economic slowdown, political parties will aim to squeeze ad rates, which may provide a downside risk to our estimates.

Jagran Prakashan to be prime beneficiary amongst listed players

As per IRSQ32011, Jagran Prakashan maintains the numero uno status in UP, the state which will see the maximum ad spends by political parties. In comparison, Uttarakhand and Punjab are likely to be much smaller markets. The paper is second in terms of Average Issue Readership (AIR) in Uttarakhand and fifth in Punjab. We expect it to add ~INR150-180mn revenues (net of negative impact of lack of government expenditure) from UP elections. In the previous UP elections in 2007, Jagran Prakashan had pocketed net revenue of ~INR70mn.

Jagran Prakashan - Buy :: Business Line

Please Share:: India Equity Research Reports, IPO and Stock News
Visit http://indiaer.blogspot.com/ for complete details �� �

 

Jagran Prakashan (CMP: `109/ TP: `137/ Upside:26%) :: Angel Model Portfolio: November 2011

Please Share:: India Equity Research Reports, IPO and Stock News
Visit http://indiaer.blogspot.com/ for complete details �� ��


􀂄 Jagran Prakashan (JPL) continues to remain a leader in UP, the largest state of
India, and stands No. 2 in the second largest state, Bihar, with a readership of
~5.4cr and covers ~70% of Hindi speaking readers. Also, the company's presence
in tier-II cities provides opportunity to create a strong foothold in the faster growing
markets. The company successfully launched Punjabi Jagran (now JPL caters to
five different languages). JPL launched the 11th edition of The Inquilab, the largest
read Urdu newspaper in UP and New Delhi, through its subsidiary Mid-Day
Infomedia Ltd. City Plus launched four more editions, now totaling 30 editions.
􀂄 We expect JPL to post a 9% CAGR in its top line over FY2011-13E, driven by the
~10% CAGR in advertising revenue and a ~3% CAGR in circulation revenue. The
other businesses and MML are estimated to record a CAGR of ~11% and 13%,
respectively, during the mentioned period on better traction. In terms of earnings,
we expect JPL to report a CAGR of 7% over FY2011-13E, driven by top-line growth,
various cost-curtailment measures and improving profitability in the nascent businesses.
􀂄 The underperformance of the stock and attractive valuations (at the CMP, the stock
trades at 14.3x FY2013E EPS) provide a good entry point for investors. Hence, we
maintain our Buy view on the stock with a target price of `137.

Jagran Prakashan 2Q FY12: Ad growth slowing further; cut PT to Rs125 ::JP Morgan

Please Share:: India Equity Research Reports, IPO and Stock News
Visit http://indiaer.blogspot.com/ for complete details �� ��


Following a tepid 1Q, JAGP reported disappointing 2Q results. Management
cut its FY12 ad growth guidance to 12% (vs. 15% earlier) and expects
newsprint costs to stabilize (or come down) going forward. Maintain Neutral
with a revised price target of Rs125.
 Weak ad growth, guidance cut further: JAGP ad revenues continued its
weak trend with 2Q revenue growth at 9.5% YoY vs. 1Q at 7.7% YoY.
However, unlike 1Q, 2Q ad growth was driven mostly by volumes.
Managment cut its FY12 ad revenue growth target to 12% from 14%-15%
guidance earlier. Despite muted 1H ad growth, management appears
confident of achieving 2H ad growth rate of ~15% driven by UP state
elections in 4Q. Management also indicated that recently launched Punjabi
Jagran should benefit from Punjab state elections in 4Q.
 Rising newsprint prices and increasing circulation driving up costs:
JAGP’s 2Q newsprint costs increased 34.2% YoY, of which 18.5% was on
account of higher prices and remainder due to increased circulation
(including launches of Punjabi Jagran and Inquilab). Management
indicated that the impact of high newsprint costs should abate going forward
due to the high base effect. Further, management noted that most of its
major expansion has been completed and it expects the pace of new
launches to decline going forward.
 2Q FY12 result highlights: Revenues increased 10% driven by circulation
revenues (+12% YoY), ad revenues (+10% YoY) and event & outdoor
revenues (+9% YoY). EBITDA margin declined 700bp YoY primarily on
account of higher raw material costs (+650bp YoY). Net profit declined 18%
YoY on MTM FX losses. Excluding the FX impact, net profit rose 3% YoY.
 Remain N: With HTML expanding in UP and Uttarkhand, we expect JAGP
to continue to face headwinds in these states. We reduce our FY12/FY13
estimates by 12%/10% assuming higher newsprint costs. As a result of these
changes and rolling forward our timeframe to Sep-12, our PT falls to Rs125
(from Rs135), based on 18x Sep-13E P/E. Key downside/upside risks
include rising competitive intensity, failure to scale up in new markets, an
increase/decrease in newsprint costs, and an economic growth slowdown.

Jagran Prakashan: In-line 2QFY12:Kotak Sec,

Please Share:: India Equity Research Reports, IPO and Stock News
Visit http://indiaer.blogspot.com/ for complete details �� ��


Jagran Prakashan (JAGP)
Media
In-line 2QFY12. JAGP reported weak 2QFY12 EBITDA of Rs794 mn (-13% yoy), in line
with expectations. Surprisingly, reported 2QFY12 PAT of Rs461 mn (-17% yoy) was also
largely in line despite (1) Rs135 mn forex losses (buyers credit, un-hedged ECBs) given
(2) ~Rs105 mn FMP interest/profit income; JAGP has well-defended its defensive
characteristic in a challenging environment despite renewed investments. Retain BUY
with FV of Rs160 (unchanged) led by robust leadership position in UP market, attractive
valuations (13X FY2013E) and high dividend yield (~3.3% FY2011).

Jagran Prakashan:Concall -, October 24, 2011 at 12.00 noon :: 2QFY2012, Result review: Angel Broking

Please Share:: India Equity Research Reports, IPO and Stock News
Visit http://indiaer.blogspot.com/ for complete details �� �


Jagran Prakashan
For 2QFY2012, Jagran Prakashan (JPL) reported a weak performance on the
revenue and earnings front. Ad revenue grew by ~9.5% yoy and muted 3.7% qoq
and circulation growth stood at ~11.6% yoy and ~5.2% qoq. Non-publishing
business revenue which comprises event, outdoor and digital businesses grew by

13% yoy, though declined by 27.1% qoq. During the quarter readership for Dainik
Jagran and I-Next increased by 4.82lakh 0.37lakh respectively. Circulation during
2QFY2012 for Dainik Jagran and I-Next increased by 9.6% yoy and 30% yoy
respectively. A detailed note would be released post the conference call with the
management today. The stock is currently under review.
Concall is scheduled on Monday, October 24, 2011 at 12.00 noon IST, dial in
numbers: 022 6629 0034, 022 3065 0034