Sun TV Network Jumps as Results Beat Expectations

Share of Sun TV Network jumped as much as 8.2 per cent in morning deals on Monday after the TV channel reported that its third quarter net profit jumped 15 per cent to Rs 214 crore from Rs 186 crore on year on year basis. 

 

Third quarter sales rose 8.7 per cent to Rs 552 crore from Rs 428 crore annually.

 

The results were in line with what the Street had estimated.
 

Meanwhile, the management of the company told NDTV that going ahead it looks to benefit from growing advertising revenues and exit from the aviation business will also be positive for the company.

 

S L Narayanan group CFO, Sun Group said, "The advertisement revenues are growing better than the industry average. With the Finance Minister saying that government should not regulate the number of advertising minutes and it should be left up to the channels to decide on slotting advertisements, it will be positive for the channels."

 

He also said that with digitisation yet to happen in Chennai and Coimbatore, the revenues are likely to increase further.

 

Sun TV Network ended higher by 9 per cent at Rs 416. Over 4 lakh shares changed hands on the Bombay Stock Exchange compared to average of 79,000 shares traded daily in the past two weeks.