Account Presentation

Entertainment Industry -Leveraging FIIs

Indian entertainment industry is among the

fastest growing sectors in the country. According to an estimate by FICCI and

Ernst and Young Indian entertainment industry would worth more than Rs.81,500 crores in 2010

Entertainment industry in India is presently in a

consolidation phase as boundary lines between films, music and television are fast disappearing. In terms of employment, an estimated 6 million people earn their livelihood from the entertainment industry and this number is all set to grow. India has the third largest television market in the world behind only china and the USA.

Three Best Media Companies  Zee Entertainment PVR Cinemas TV 18

Zee Entertainment Zee Entertainment Enterprises Limited (ZEEL) was

previously known as Zee Telefilms Limited (ZTL) which got de-merged into 4 companies in 2006. Zee TV, the flagship channel of Zee Network was launched in October 1992. With over sixteen years of its launch, Zee TV has driven the growth of the satellite and cable industry in India. Realizing its strength in programming and the need for Indian entertainment in the overseas market, the company launched Zee TV in the UK / Europe (1995), the USA (1998), Africa (1998) and today is available across five continents.

Growth Of ZEE Entertainment Soaring Stock Prices in last one year

RATIO ANALYSIS EARNING PER SHARE = PROFIT AFTER

TAX/NO. OF EQUITY SHARES ISSUED ZEE ENT.

TV18

PVR

7.13

2.55

5.43

RETURN ON EQUITY

PAT/SHAREHOLDERS FUND*100 ZEE ENT.

TV 18

PVR

13.22%

5.89%

6.01%

SHAREHOLDERS EQUITY RATIO TOTAL SHAREHOLDERS EQUITY/TOTAL ASSETS Here total assets means the assets in which the shareholder’s have claim

ZEE ENT.

TV 18

PVR

1480%

600%

112.11%

DIVIDEND PER SHARE = DIVIDEND/NO. OF

EQUITY SHARES ISSUED ZEE ENT.

TV18

PVR

2.0

1.95

1.0

PAYOUT RATIO = DPS/EPS ZEE ENT.

TV18

PVR

0.28

0.76

0.18

EARNING YEILD = EPS/MV ZEE ENT.

TV18

PVR

0.07

0.034

0.07

DIVIDEND YEILD = DPS/MV ZEE ENT.

TV18

PVR

0.02

0.026

0.01

P/E RATIO = MV/EPS ZEE ENT.

TV18

PVR

14.9

10.58

13.66

CURRENT FACTS  The company has posted a net profit after tax of Rs 71.27 crore for

the quarter ended June 30, 2009 as compared to Rs 130.97 crore for the quarter ended June 30, 2008.  Zee Entertainment Enterprises galloped 8.81% to Rs 247 after the

net profit rose 77.1% to Rs 102.48 crore on a 7.6% decline in sales to Rs 279.94 crore in Q2 September 2009 over Q2 September 2008.  Revenues are seen going up 11% to Rs 527 crore versus Rs 475.9

crore and OPM is seen improving to 25% versus 24.6%.

Key Stats And Current Ratios RATIO

COMPANY

INDUSTRY

Earnings per Share

10.37

15.51

Dividends yield

1.03

1.04

Pay out ratio

22.26

14.29

P/E ratio

27

18.91

Net Profit margin

16.38

-2.92

Return on Investments

11.38

6.05

The main objective behind EPS is to find that the

capital that is required to generate the earning came from where ?????  Using less Equity Using more Equity For ZEE ENT. They did not issue any further share the share capital was same rather than other two issued share.

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