Sun TV Network Q4 FY26 Results (NSE: SUNTV)
Signal: Revenue declined
The read
Q4FY26 consolidated PAT fell 37.4% YoY to ₹232 Cr, the steepest quarterly decline in the series, driven by a JV impairment of ₹68 Cr and weak cricket franchise income. For FY26, PAT dropped 15.4% to ₹1,440 Cr despite 7.8% revenue growth — margins compressed as content/depreciation costs rose faster. The company's core broadcasting business faces structural headwinds from cord-cutting and sports rights amortisation, partially offset by operating cash flow improvement.
| Metric | Value | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹882.51 Cr | -6.3% | +2.4% |
| EBIT | ₹294.97 Cr | -17.8% | |
| Net profit | ₹232.34 Cr | -37.4% | |
| EPS | ₹5.9 | -37.4% | |
| EBIT margin | 44% |
P&L walk
Consolidated revenue declined 6.3% YoY to ₹882.51 Cr, driven by fall in cricket franchise fees (₹34.52 Cr vs ₹34.52 Cr? no, ₹17.98 Cr vs ₹34.52 Cr YoY — the current Q4 includes only partial IPL season) and lower advertising. OPM held flat at 44% (0bps YoY) as cost cuts offset revenue decline — operational costs fell 2.4% YoY but depreciation jumped 17.8% YoY. PAT plunged 37.4% YoY to ₹232.34 Cr, hit by exceptional impairment of ₹67.89 Cr (JV investment write-down) vs ₹55.80 Cr last year. Full-year: revenue +7.8%, PAT -15.4%.
Key positives
- Operating cash flow improved 6.8% YoY to ₹1,736 Cr in FY26, signalling working capital efficiency.
- Quarterly OPM held at 44% (flat YoY) despite revenue decline, demonstrating cost discipline.
- Full-year revenue grew 7.8% to ₹4,335 Cr, aided by cricket franchise consolidation and IPL cycle.
Key concerns
- Q4 PAT plunged 37.4% YoY to ₹232 Cr, the weakest quarter in the prior-results series, with PAT declining YoY for four straight quarters.
- FY26 PAT fell 15.4% despite revenue growth, as content/depreciation costs outpaced topline.
- Exceptional impairment of ₹67.89 Cr on JV investment (Sunrisers Leeds) signals integration/performance risk in overseas cricket expansion.
- Cricket franchise fees collapsed 48% YoY to ₹17.98 Cr in Q4 (partial IPL season impact).
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