Zee Entertainment Enterprises Limited (ZEEL), a leading content and technology powerhouse, has announced significant changes in its senior management team, focusing on strengthening its advertisement revenue vertical.

Leadership Transition in Ad Revenue

ZEEL has promoted Laxmi Shetty to the position of Head – Advertisement Revenue, Broadcast & Digital. This strategic move comes as Ashish Sehgal, who previously held the role of Chief Growth Officer - Ad Sales, Broadcast & Digital, steps down from his position.

Laxmi Shetty's New Role

In her new capacity, Shetty will be responsible for driving a holistic monetization strategy across ZEEL's business. Her role will involve:

• Enhancing revenue generation across linear and digital businesses
• Tapping into newer revenue streams
• Expanding the advertiser base by delivering unique solutions
• Maximizing synergies between content and technology

Shetty brings over two decades of experience with ZEEL to this role. She has been recognized for implementing sustainable creative solutions and enhancing revenue generation opportunities. Her expertise lies in driving strategic excellence across the sales ecosystem through innovative cross-platform solutions.

Ashish Sehgal's Departure

Ashish Sehgal, who has been with ZEEL for nearly 20 years, has resigned due to personal reasons. In his resignation letter, Sehgal expressed gratitude for the support and mentorship he received during his tenure, describing his time at ZEEL as an "incredible experience" that allowed him to learn every nuance of the trade and grow through challenges.

Company's Perspective

Punit Goenka, to whom Shetty will now report directly, emphasized the company's focus on augmenting its human capital capabilities. This management change aligns with ZEEL's strategy to empower its team and build leaders for the future.

ZEEL, with its presence in over 190 countries and a reach of more than 1.3 billion people globally, continues to focus on delivering diverse stories through various platforms, including linear television, digital platforms, movies, and music across languages.

This leadership transition underscores ZEEL's commitment to nurturing talent and adapting to the evolving media landscape, as it strives to maintain its position as a leading content and technology powerhouse in the entertainment industry.

Zee Entertainment Enterprises Limited (ZEEL) has reported a robust performance for the first quarter, with a 14% year-on-year increase in profit after tax (PAT) to ₹1,437.00 crore. The company's strategic initiatives and content focus have yielded positive results, driving viewership share and digital growth.

Viewership Share Reaches New Heights

ZEEL's linear viewership share improved to 16.8% during the quarter, with a significant uptick to 17.8% in June. The company's CEO, Punit Goenka, highlighted that viewership share has crossed 18% in July, indicating a strong growth trajectory. Key markets contributing to this growth include Hindi, Marathi, Kannada, Odia, and Bangla.

Digital Business Shows Promise

ZEE5, the company's digital streaming platform, demonstrated steady growth with revenues increasing by 30% year-on-year. The platform's performance was bolstered by digital syndication revenue and a new pricing strategy implemented across language-specific subscription packs. Notably, ZEEL has managed to reduce EBITDA losses in its digital business by ₹111.90 crore year-on-year, aligning with its objective to achieve breakeven for ZEE5.

Cost Optimization and Margin Maintenance

Despite a soft advertising environment, ZEEL maintained its EBITDA margin at 12.5%. This was achieved through efficient programming execution and continuous cost optimization efforts, resulting in a 14% year-on-year decline in overall operating costs. The company's focus on fiscal discipline has strengthened its balance sheet, with cash and treasury investments standing at ₹2,190.00 crore as of the end of the quarter.

Strategic Initiatives and Partnerships

ZEEL has entered into strategic partnerships to enhance its content offerings and tap into new market segments. A collaboration with content and tech start-up Bullet aims to launch a micro-drama app, while a partnership with Ideabaaz Technology Private Limited will help showcase innovations from Tier 2 and Tier 3 markets.

Outlook and Guidance

Despite the challenging market conditions, ZEEL maintains its 8% advertising growth guidance for the year. The company expects benefits from new retail advertiser initiatives and improved ratings in the second half of the fiscal year. Management remains cautiously optimistic about advertising revenue growth, citing early onset of monsoons and potential recovery in consumption.

Financial Highlights

Punit Goenka, CEO of Zee Entertainment, commented on the results: "We have stepped into the new fiscal with determination and action-oriented steps. As our efforts continue to showcase the desired results, we remain confident of building a robust growth trajectory centered around content, technology, and fiscal discipline."

With a strong content lineup, strategic partnerships, and focus on profitability, Zee Entertainment appears well-positioned to capitalize on the evolving media landscape and drive growth in the coming quarters.