Digitization- A game changer for TV18?

I have some contacts in TV18 and I get the impression that they receive instruction from Reliance house regarding content strategy. Nobody is clear if they are really bothered about marketcap. Their entire focus is on making Jio a success and TV18 content is vital. I completely agree with you that this whole group is very valuable. The argument was valid 3 yrs ago too but the stock hasn’t done anything. Mr market will wait for confirm signals of earnings recovery. BTW Colors Tamil is a cash guzzler so no new initiative doesn’t mean big change in the short term.

Trying to find the reasons behind the following changes in data points as per consolidated Balance Sheet of the Company:

  1. Jump in Trade Receivables from Rs.246 cr in FY17 to Rs.1210 cr in FY 18 .

  2. Increase in Goodwill from Rs.877 cr in FY17 to Rs.1927 cr in FY18

Would request anyone tracking the Company help me with the same.

Thnx

One reason is they acquired some stake in Viacom18 to make it 51% subsidiary company so that they could publish consolidated accounts. Effectively they are not comparable.

Told you that they are hardly worried about market cap as of now. Network18 is mostly an empty cell. On their part it is better to run one company and save admin costs.

Big Bull topped his stake here. It has come out with good result after a long time and outlook for the next few look very good given the boost from elections, released movies and Big Boss etc. I think they are not launching new initiatives as overhang of earlier ones is seen on leverage which has gone up substantially but at manageable level.

Disc: in watchlist

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Q3 fy19 results interview

Hi All,

I am doing a bit of deep research in the company and not able to understand the current risks associated with the company.

Looks like the company is finally improving its profitability as majority of the investments are behind and the operating leverage going to play its role.

Is the market discounting the slowdown in advertisement because of slowdown in economy?

Would be very helpful if someone can throw some light here.

Thanks Much

Hello mukul,

I have been following this sector from last few years and observed… Whenever there is some issues related to growth… first thing they are going to cut is Ad spend…most recent examples was demonetisation… and revenue lost can never be recovered.

News Share

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Is there a big impact of the recent merger that Mukesh Ambani is proposing.

somtime back i asked our cycle expert @jitenp Commodity and Cyclical Plays - #955 by yourraj and he answered in very good way that the streaming is the way forward . Why i consider this is is going to be disruptive player because of foolwing key triggers .

Quality content First they have a good database of content and as with the cheapest data in the world in the hands of Indian consumer they look forward to spend more time in entertainment . i am not sure how much . But if one see the battery usage we find more battery is pend on the internet activities rather than making call or receiving calls . So the product is cheap and within the reach of customer nd at disposal of time as and when required by the customers .

Enlarging subscription : Money control has also started offering premium services some time back and it is also good value for he money on top of the revenue generated from the advertisements .we have seen a qantum jump in the subscription of the TV 18 broadcast.

Rumours Fuel the growth : a couple of weeks there were news that sony may acquire the stack in the TV18 but the mangment has declined the rumors but wo know what is going to happen in future .

Expanding boundaries : the digital landscape has diminish the effect of geographic boundaries and the Indian living abroad are mostly stream the content through the net boxes ( IP TV ) such as Real TV . the company have additional stream of revenue apart form conventional .

Underdog Topper TV : They have good content ( peer is byju’s ) but the company has not tapped it’s full potential . My kids enjoying and easy to learn .There is huge market one can see the KOTA magic in IIT -JEE exams .

Most important is Change of Jockey in 2017 i.e Mr. RAGHAV BHAL is not a part of the COMAPNY NOW he is OUT - He was founder of the company ( one can search his profile )

Regards
Disc: invested from lower levels so my views may be biased , This is not any recommendation to buy sell of hold i am not any sebi approved analyst . Please study and consult registered advisors before making any decision .

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Presentation for Merger

Not sure why is there such a huge disparity between the swap values of Den, Hathway and TV18. At CMP with the swap ratio Den would value Network 18 much higher than what TV18 would and still stock prices of Den keep climbing higher compared to TV18.

tv18.pdf (151.6 KB)

does anyone still track this company. chart looks intersting. also may be after jio disinvestment their focus will turn to degital media as relaince will be more flush with funds

HI All,

All these companies Network18, tv18, Den and Hathway cables are showing good traction.I think once they are merged to one entity of network 18 that will be a good business with long term growth prospect. And it is also driven by Reliance,that will be a good plus point.
So anyone seeing any risk here,or any views?

Disc: I am invested,views can be biased.

Thanks,
Deb

Looks good for long term but valuation wise it has gone up very much .
Disc : sold my holding for trading gain

The news of Netflix joining hands with Viacom18 (JV of Network18) to produce local content is fueling the run.
Gone up from the lows of 12ish to 38, 3 times growth in 3 months. but in my experience whenever it crosses 30 it goes down. (not suggesting anything, I’m new here)

Disc:- Invested.
(my first comment in this forum. yeaahh!!!)

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It’s not just Netflix that’s fueling the rally.

  1. Fb along with other marquee investors have invested heavily in Jio platforms which is likely to benefit Network18’s digital contents.
  2. After the merger is completed it will be a debt free Mid cap company with strong promoter holdings.
  3. The merger will bring cost saving benefits due to economies of scale and a huge and growing user base of Den and Hathaway together with Network18
  4. Profit’s and margins have been improving for the past few quarters.
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