HT Media Limited has approved the allotment of 3,87,87,137 warrants on a preferential basis at an issue price of ₹24.57 per warrant. The Share Allotment Committee of the Board of Directors passed the resolution via circulation on August 20, 2026, following member approval at the Extraordinary General Meeting held on August 7, 2026.

The total consideration for the warrant issue is ₹95,29,99,956.09. The company has received ₹23,82,49,989.02, which represents 25% of the total consideration payable, from the proposed allottees. Each warrant carries the right to subscribe to one fully paid-up equity share of face value ₹2 upon payment of the remaining 75% of the consideration.

Allotment Details

The warrants were allotted to six entities and individuals. The Hindustan Times Limited is the largest allottee, receiving 1,34,31,013 warrants with a total consideration of ₹32,99,99,989.41. Tremis Consultancy LLP follows as the second-largest recipient with 1,24,13,512 warrants.

Regulatory Compliance

The company intimated the allotment under Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The issue was conducted in accordance with Chapter V of the SEBI (Issue of Capital and Disclosure Requirements) Regulations, 2018. In-principle approvals were obtained from both BSE Limited and National Stock Exchange of India Limited prior to the allotment.

HT Media reported a consolidated net profit of ₹435 crore for the quarter ended June 30, 2026, marking a 991% year-on-year increase from a loss of ₹11 crore in Q1FY26. The strong turnaround was driven by an 11% rise in operating revenue to ₹4,373 crore and significant margin expansion, with EBITDA growing 224% to ₹900 crore. On August 5, 2026, the company held its Q1FY27 earnings webinar for analysts and investors, with management discussing financial results, segment performance, the preferential warrant issue, and newsprint cost pressures. The Board of Directors had approved the unaudited financial results on August 05, 2026, pursuant to Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, with S.R. Batliboi & Co. LLP issuing an unmodified review conclusion.

Financial Performance Overview

Consolidated total income reached ₹4,970 crore in Q1FY27, up from ₹4,331 crore in the corresponding period of the previous year. Operating revenue grew 11% to ₹4,373 crore, while other income rose 52% to ₹60 crore from ₹39 crore. Employee costs declined by 11% to ₹988 crore, aiding margin improvement despite a 15% increase in raw material expenses to ₹1,167 crore. Group CFO Piyush Gupta highlighted that total revenue grew 15% to ₹497 crore, EBITDA rose nearly 3x to ₹90 crore with a margin expansion of 12 points, PAT improved to ₹47 crore with a PAT margin of 9%, and the net cash position stood at a healthy ₹922 crore.

Note: Net Profit figures above are rounded for readability; exact PAT is ₹435 crore.

Segment-Wise Performance

Print remained the anchor of the business, with segment operating revenue growing 16% year-on-year to ₹376 crore. Advertising revenue within the print segment rose 15% to ₹295 crore, while circulation revenue remained broadly flat at ₹52 crore. The print segment's operating EBITDA improved substantially to ₹50 crore, with a margin of 13%. Management attributed the advertising revenue growth to a combination of volume and pricing, including a government rate revision implemented in November of the prior year after seven years, as well as ongoing yield improvement initiatives.

Digital revenue moderated by 28% as the company deliberately reset its portfolio around leaner, more focused offerings to drive sustainable profitability. Radio revenue remained broadly flat year-on-year, with the segment operating on a more sustainable footprint following the surrender of licenses for certain non-viable stations.

Preferential Warrant Issue: Management Clarifies

On July 11, 2026, the Board approved the issuance of up to 38.79 million warrants on a preferential basis at ₹24.57 per warrant, subject to shareholder and regulatory approvals. During the earnings call, shareholders raised concerns about the pricing of the issue relative to the company's book value of approximately ₹70 per share, and questioned why a rights issue was not pursued instead. Group CFO Piyush Gupta explained that while the consolidated net cash position stands at ₹922 crore, this cash is held within Hindustan Media Ventures Limited (HMVL), whereas HT Media Limited and Digicontent Limited carry net debt positions. The preferential issue is therefore being conducted only in the indebted entities to retire debt, with management indicating that 30% to 50% of the debt is expected to be retired using the proceeds.

Management further clarified that the issue has been priced strictly in accordance with the SEBI formula based on the higher of the 10-day or 90-day VWAP, without any additional premium. Deputy CFO Anna Abraham noted that a preferential issue offers a faster process—approximately two to three months quicker than a rights issue—with greater certainty of fundraising and no risk of undersubscription. Management acknowledged shareholder concerns and confirmed that votes against the resolution would be duly noted and introspected by the Board.

Newsprint Costs and Margin Outlook

Newsprint was highlighted as the single largest cost line item for the Print business, accounting for between 25% to 40% of the total bill of material depending on prevailing prices. Management noted that newsprint prices are currently at approximately $650 to $700 per metric ton—the highest level seen since the post-COVID period—compounded by the rupee being at a lifetime low against the US dollar, as all newsprint is priced in US dollars. Management expressed the view that prices have likely peaked and should plateau before declining, and indicated that if prices do not deteriorate further, the company should be able to maintain its Print operating EBITDA margin around the current 13% level. Anna Abraham added that Q2 newsprint prices are slightly higher than Q1, and that exact margins will depend on advertiser category mix and achievable pricing. Management also noted that further cover price hikes on Hindi papers would be difficult given recent increases, though volume-side actions remain an option.

Other Income and Cost Efficiency

In HMVL, the increase in other income was attributed to treasury gains from mutual fund NAV movements and realized profit on asset sales. Management clarified that these are not mark-to-market valuations but reflect actual realized gains, noting that treasury performance is subject to yield curve movements and global market conditions. On the cost side, consolidated employee costs declined from ₹111 crore to ₹99 crore year-on-year, reflecting ongoing organizational right-sizing across both HT Media and HMVL. The increase in other operating income in HMVL—rising from approximately ₹10 crore to ₹20 crore—was attributed to higher job work income and scrap sales.