Sony Pictures Networks India has reported a loss in spite of an increased revenue in the financial year 2016-17.
The multiple genre broadcaster, which until last year held the broadcast rights for the Indian Premier League, has reported 24.5% gains in company’s revenue from operations. However, on account of increased depreciation, the SPNI has reported a 4.5% decline in its profits.
The company reported an increase of Rs 978.691 crore in revenue from operations from the year 2016. Revenue from operations in FY 2017 was Rs 4969.233 crore compared to previous year, which was Rs 3990.542 crore.
The company has accounted for a 50.5% increase in depreciation expense as against to 2016. The expenditure on production, transportation and other expenditure pertaining to exploration and production activities has also gone up from the previous year’s figures.
The company has registered other income of ₹95.504 crore in 2017 as against ₹123.276 crore in 2016.
SPNI has also reported an 18.9 increase in its profit before tax this year. The finance cost has declined by 22.9 per cent in 2017 as compared to 2016.
The company, however, will struggle further to match these revenue and profit figures in the current financial year as Sony has lost the broadcast rights of the Indian Premier League – the key revenue source of the broadcasters Sports Business – to Star India. IPL has been the key revenue driver for Sony’s Sports Cluster for the past ten years. The broadcaster had earned around ₹1,200 crore from the IPL sales last year.