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Scholars Journal of Economics, Business and Management | Volume-4 | Issue-04
A Study on the Profitability Analysis of Media and Entertainment Industry in India - With Special Reference to Select Companies
G. Priyanga, Dr. L. Ganesamoorthy
Published: April 30, 2017 | 117 70
DOI: 10.36347/sjebm.2017.v04i04.009
Pages: 291-295
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Abstract
The study has been undertaken to analyse the performance of two media and entertainment companies namely, Sun Network Ltd. and Zee Entertainment Ltd. for the period of eleven years from 2005-06 to 2015-16. The researchers used ratio analysis as financial tool and percentage, mean, standard, deviation, co-efficient of variation and compounded annual growth rate (CAGR) as statistical tools. The study used secondary data (accounting data), which were collected from annual reports of the respected companies retrieved from the official websites of the companies. The study found that both the companies are found to be progressing in terms of size based on its total income. CAGR of total income of these two companies are very high. Net profit of these two companies also increased at very high rate during the study period. Eventhough the growth rate of total income of Sun network was higher than Zee Entertainment Ltd., growth rate of net profit was higher for Zee than Sun. Advertisement income of both the companies contributed more than 50 per cent to the total income. Profitability of Sun was found to be good than Zee in terms of net profit ratio, operating profit ratio, Return on Equity, Return on assets and Earnings per share.