Zee Entertainment Q1 Results: PAT falls 48% YoY to Rs 74 crore; ad revenue hit by Middle East crisis

Zee Entertainment Enterprises reported a 48% year-on-year decline in profit after tax (PAT) to Rs 74.3 crore in the first quarter of FY27, compared with Rs 143.7 crore in the corresponding quarter of the previous fiscal year. The company said advertising revenue was impacted by the Middle East crisis, while the impact was partially offset by FIFA World Cup performance.

Revenue from operations increased 5% year-on-year to Rs 1,907.3 crore in Q1 FY27, compared with Rs 1,824.8 crore in Q1 FY26, according to the company’s exchange filing.

Earnings before interest, taxes, depreciation and amortisation (EBITDA) declined 65% year-on-year to Rs 78.9 crore from Rs 228 crore in the year-ago quarter. The EBITDA margin stood at 4.1%, compared with 12.5% in Q1 FY26.

Zee Entertainment said domestic advertising revenue was impacted by the Middle East crisis and cricket during the quarter, with overall revenue down 11% year-on-year.

Advertising revenue witnessed a recovery in June following the acquisition of FIFA digital and broadcasting rights, the company said.

Subscription revenue was driven by higher linear subscription pricing and growth in digital subscribers, along with higher average revenue per user (ARPU).

The company reported international advertising revenue of Rs 46 crore, subscription revenue of Rs 103.5 crore and Other Sales & Services revenue of Rs 15.5 crore in Q1 FY27.The company said growth in its studios business was driven by other-language movies, including “Tumbbad Chi Manjula” and “Rakaasa.”

On the operating cost front, programming expenses increased on account of FIFA 2026 and expanded content offerings across platforms.

Zee Entertainment also continued to selectively invest in growth initiatives, including KidZ, Bullet and Live.

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Independent director re-appointments

Zee Entertainment announced the re-appointment of four independent directors for a second term of five years, subject to approval by shareholders at the ensuing Annual General Meeting.

Deepu Bansal has been re-appointed as an Independent Director for a second term of five years from October 13, 2026, to October 12, 2031, both days inclusive.

Uttam Prakash Agarwal has been re-appointed as an Independent Director for a second term of five years from December 17, 2026, to December 16, 2031, upon the recommendation of the Nomination and Remuneration Committee.

Venkata Ramana Murthy Pinisetti has also been re-appointed as an Independent Director for a second term of five years from December 17, 2026, to December 16, 2031, upon the recommendation of the Nomination and Remuneration Committee.

Shishir Babubhai Desai has also been re-appointed as an Independent Director for a second term of five years from December 17, 2026, to December 16, 2031, upon the recommendation of the Nomination and Remuneration Committee.

All the re-appointments are subject to approval by the shareholders at the ensuing Annual General Meeting.

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