Earnings: UTV Net Profit More Than Doubles Helped By Gaming Acquisition

Media and entertainment company UTV Software Communications Ltd (UTVSOF.BO, UTVSOF.NS) posted a 168 percent jump in Q2 earnings as a jump in gaming revenues following an acquisition offset a steep fall in film revenues. The company reported earnings of Rs.91 million from Rs. 34 million in the year-ago quarter. Revenues rose 9 percent to Rs 571 million.

UTV completed its US$13 million acquisition of a 70 percent stake in UK-based game developer Ignition Entertainment in March. This quarter, UTV has integrated its interactive business comprising animation, gaming, post-production & VFX activities into the company.

Revenues from the interactive business climbed to Rs.208 million, nearly six times the Rs. 35 million in the prior year, and its share of revenue rose to 37 percent from a mere 7 percent a year earlier. What the release plays down is a 63 percent drop in film revenues to Rs. 101 million from Rs. 274 million in the year-ago quarter, which pushed down the contribution from this segment to 18 percent from 52 percent.

Earnings release | Financials

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