Zee Entertainment reported a 14% year-on-year decline in consolidated revenue for Q1 FY26, with total income at ₹1,820 crore. The drop was mainly driven by ongoing pressure on advertising and subscription revenues.
Advertisement revenue fell 17% YoY, with domestic ad income down 19%. The company cited weaker FMCG ad spending and a packed sports calendar as key contributors to the slowdown. Subscription revenue slipped 1% YoY to ₹980 crore, as growth in digital subscriptions was offset by continued declines in linear TV.
Revenue from other sales and services plummeted 64%, primarily due to reduced earnings from movies and content syndication.
Operating expenses declined 14%, reflecting tighter cost controls across content creation and production. EBITDA stood at ₹230 crore, down 16% year-on-year, with EBITDA margins at 12.5%.
Zee5, the company’s digital platform, showed strong performance with a 30% increase in revenue to ₹290 crore. Operating losses narrowed significantly to ₹66 crore from ₹180 crore a year earlier, indicating improved efficiency.
Despite near-term headwinds, Zee maintained its full-year guidance:
- 8–10% annual revenue growth
- 18–20% EBITDA margin
- Zee5 breakeven by end of FY26
Management expressed cautious optimism, pointing to early signs of an advertising recovery aided by the upcoming festive season and improving macroeconomic indicators.
