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News: Standalone revenue came in at Rs 858 crore, down 2.3% YoY. Advertisement revenues was muted at Rs 338.4 crore (up 0.4% YoY). Subscription revenues were also muted YoY (down ~2.4% YoY) at Rs 406.1 crore, amid New Tariff Order (NTO) 2 implementation driven price hike restrictions. The company also reported IPL and South Africa T20 League revenues of Rs 37 crore. EBITDA came in at |488 crore, down 20.6% YoY with margins at 59.9%, down 650 bps YoY, owing to negative operating leverage and loss in SA T20 league. PAT came in at Rs 365.8 crore, down 9.5% YoY owing to lower margins.
View: The ad environment has remained challenging for TV space. Pushing back of OTT content spending remains a key concern for Sun TV. We also await management outlook/commentary on content strategy, growth outlook and capital allocation ahead.
Impact: Negative