Motilal Oswal Financial Services

Sector Update

Telecom | Update

| 16 April 2020

Media

Non-prime time clocks higher

consumption growth

All day

India

HSM

South

43%

49%

33%

Non-

Prime

Time

81%

97%

60%

Prime

Time

Lockdown a blessing in disguise?

News/movies see disproportionate gains

The COVID-19 outbreak has led to a nation-wide lockdown and hampered economic

11%

growth; however, the broadcasting industry has been witnessing a huge uptick in TV

viewership. In this report, we discuss viewership growth of broadcasters and factors

13%

driving it, FCT trend, smartphone usage benefit to news channels and OTT, and impact on

our coverage universe.



Ramayan’s viewership reached

546m in Week-13



The lockdown has positively impacted TV viewership in week-13 (starting 28

Mar’20).

According to a Broadcast Audience Research Council (BARC) report, viewership is up a

significant 43% since the pre COVID-19 period.

News, sports and movie genres have seen majority increase in viewership, while GEC,

given the lack of new content, have seen limited gains.

Amongst advertisers, spends are not broad-based. Only specific categories like the

government, FMCG companies and Ecommerce players are spending on

advertisements.

The time spent on smartphones has also increased with proportionate increase for

video streaming platform (VOD); original content and movies have seen

disproportionate gains.

Listed players like Zee TV, which are focused on GEC, have seen limited gains, while

Sun TV has seen improvement in market share.

Viewership grows across segments

Movies and news clocking growth in

Week-13 over pre COVID-19 period

Due to the nation-wide lockdown, TV viewership in India has increased by 43% (v/s

the pre COVID-19 period) owing to a higher number of channels and rise in average

daily time spent watching (up 27%). This is seen across regions (Hindi/South

markets) and across age groups (especially children and middle-aged consumers).

Viewership is no more restricted to prime time as non-prime time slots too have

clocked 81% growth. In week-13, across languages, viewership growth of

news/movies/sports channels have spurted 251%/77%/35% while for GEC, it was a

limited 9%.

FCT growth primarily in news and sports channels

During such economic uncertainty when nation-wide activities have halted, free

commercial time (FCT) has recorded overall growth of 9% in week-13, mainly led by

news/sports channel. GEC has seen limited growth of a mere 2%, which is in line

with viewership trends. This growth has been led by increase in social ads by the

government/NGOs to promote COVID-19 awareness and certain FMCG categories

that come under essentials (note that ads for toiletries have grown a massive 190x).

Research Analyst: Aliasgar Shakir(Aliasgar.Shakir@motilaloswal.com);

+91 22 6129 1565

Suhel Shaikh

(Suhel.Ahmad@MotilalOswal.com); +91 22 5036 2611;

Anshul Aggarwal

(Anshul.Aggarwal@motilaloswal.com); +91 22 5036 2511

Investors are advised to refer through important disclosures made at the last page of the Research Report.

Motilal Oswal research is available on www.motilaloswal.com/Institutional-Equities, Bloomberg, Thomson Reuters, Factset and S&P Capital.

Media | Update

Increase in smartphone usage drives VOD

Smartphone usage has increased in mid-teens with VOD seeing corresponding

benefits. Increased OTT consumption toward ‘Original’ series and movies has seen

disproportionate growth while ‘Non-Original’ series and sports have seen a decline

(due to no new live events). Smartphones have also seen increased use of news

apps in line with TV viewership.

Limited benefit to Zee TV; Sun TV sees market share gains

GEC witnessed a mere 2% increase in ad volumes. Zee TV’s viewership in Hindi GEC

along with its market share has declined, highlighting DD National’s gain with the

return of ‘Old Classics’. However, this trend could change post-lockdown. Sun TV has

also been able to grow its market share with the return of ‘Old Classics’; its Tamil

region has garnered ~50% market share in week-13.

16 April 2020

Media | Update

COVID-19 led improvement in viewership

Week 13 (starting 28

Mar’20) witnesses nation-wide surge in viewership

Due to the nation-wide lockdown, people are spending more time at home. This has

led to a surge in viewership across the country. According to BARC’s report, weekly

television minutes has increased 37%/43% in week-12/week-13 (week starting 21

Mar’20) to 1,215b/1,266b v/s the pre COVID-19 period (11

- 31

Jan’20). Number of

channels watched per week per user has also increased to 23 in week-13 (v/s 16 in

pre COVID-19 period). Further, average daily time spent per user has increased by

27% in week-13 along with a rise in proportion of users spending more than 3 hours

daily.

While all regions contributed to viewership growth, the North and Central India

have seen higher level of growth, led by Hindi-speaking markets (49% in week-13 v/s

43% nation-wide). In southern markets, Tamil Nadu and Kerala clocked growth of

over 40% while Andhra Pradesh (AP)/Telangana witnessed lower growth of 21%.

Viewership saw an uptick across age groups. Children between the ages 2-14 years

reported the highest growth of 52%, mainly due to school shutdown. Ages above 61

years (senior age group) comprise mostly of retired people, and thus, has reported

the lowest growth of 36%. Other age groups still have people occupied with work

from home who have less time to watch television; and thus, these have shown

moderate growth of ~40%.

Exhibit 1: Weekly viewing minutes rose 43% in Week-13

Weekly viewing minutes (b)

Growth over Pre COVID-19 (%)

43%

Exhibit 2: Channels watched/user/week increased to 23 by

Week-13

Channels watched/user/week

38%

Growth over Pre COVID-19 (%)

44%

37%

887

1,215

1,266

Pre COVID-19

Week 12

Week 13

Pre COVID-19

Week 12

Week 13

Note: Week 13 – week starting 28 Mar, Week 12 – week starting 21

Mar, Pre COVID-19 – 11 Jan to 31 Jan, Source: Nielsen & BARC

Note: Week 13 – week starting 28 Mar, Week 12 – week starting 21

Mar, Pre COVID-19 – 11 Jan to 31 Jan, Source: Nielsen & BARC

Exhibit 3: Average daily reach increased 12% in Week-13

Average daily reach (m)

Growth over Pre COVID-19 (%)

11%

12%

Exhibit 4: Daily time spent/user grew 27% in Week-13

Daily time spend/user (minutes)

27%

23%

622

560

Pre COVID-19

Week 12

627

226

279

288

Week 13

Pre COVID-19

Week 12

Week 13

Note: Week 13 – week starting 28 Mar, Week 12 – week starting 21

Mar, Pre COVID-19 – 11 Jan to 31 Jan, Source: Nielsen & BARC

Note: Week 13 – week starting 28 Mar, Week 12 – week starting 21

Mar, Pre COVID-19 – 11 Jan to 31 Jan, Source: Nielsen & BARC

16 April 2020

Media | Update

Exhibit 5: Users spending 3hrs+ increased to 63% in Week-13

Pre COVID-19

61%

52%

30%

63%

Week 12

Week 13

25%

24%

18%

14%

13%

3 hrs+

1 hr - 3hrs

Up to 1 hr

Note: Week 13 – week starting 28 Mar, Week 12 – week starting 21 Mar, Pre COVID-19 – 11 Jan to 31

Jan, Source: Nielsen & BARC

Exhibit 6: TV consumption in Week-13 has increased across regions

Increase in TV consumption in Week 13 over Pre COVID-19(%)

76%

64%

50%

38%

33%

45% 44%

30%

57% 56%

38%

52%

43%

34%

21%

Note: Week 13 – week starting 28 Mar, Pre COVID-19 – 11 Jan to 31 Jan, Source: Nielsen & BARC

Exhibit 7: Both genders are contributing to viewership

growth

Increase in viewing minutes in Week 13 over pre-COVID

Exhibit 8: Viewership growth has risen across age groups

Increase in viewing minutes in Week 13 over pre-COVID

52%

42%

48%

38%

42%

43%

42%

36%

Male

Female

2-14

15-21

22-30

31-40

41-50

51-60

61+

Note: Week 13 – week starting 28 Mar, Pre COVID – 11 Jan to 31

Jan, Source: Nielsen & BARC

Note: Week 13 – week starting 28 Mar, Pre COVID – 11 Jan to 31

Jan, Source: Nielsen & BARC

16 April 2020

Media | Update

Non-Prime time, return of Classics and different genres

driving viewership growth

Non-prime time clocks 81% growth in week-13

Major growth was recorded during the non-prime time slot (from early-morning to

evening 6.00pm). Growth during the early-morning slot was driven by higher news

consumption as consumers are keen on latest COVID-19 updates, while late-night

growth was driven by higher movie/news consumption. In line with overall growth,

Hindi-speaking markets (HSM) reported higher growth in non-prime time too.

Further, southern markets continued following earlier timings of television

consumption.

Exhibit 9: Non-prime time clocks higher consumption growth Exhibit 10: Early-morning to evening slots are driving growth

All day

India

HSM

South

43%

49%

33%

Non-Prime

Time

81%

97%

60%

Prime Time

11%

13%

Note: wk 13 – week starting 28 Mar, Pre COVID-19 – 11 Jan to 31 Jan,

Source: Nielsen & BARC

Note: wk 13 – week starting 28 Mar, wk 12 – week starting 21 Mar,

Pre COVID-19 – 11 Jan to 31 Jan, Source: Nielsen & BARC

Exhibit 11: News driving early morning consumption

Exhibit 12: Movies & News driving late night consumption

Note: wk 13 – week starting 28 Mar, wk 12 – week starting 21 Mar,

Pre COVID-19 – 11 Jan to 31 Jan, Source: Nielsen & BARC

Note: wk 13 – week starting 28 Mar, wk 12 – week starting 21 Mar,

Pre COVID-19 – 11 Jan to 31 Jan, Source: Nielsen & BARC

Return of ‘Old Classics’ provides unconventional boost to DD channels

As shootings for new serials have come to a standstill due to COVID-19, players have

brought back ‘Old Classics’ such as Ramayan, Mahabharat, etc. DD channels have

gained huge surge in viewership with Ramayan clocking the highest viewership than

any other genre in HSM during its telecast in both morning and evening time bands

(refer exhibit 19 & 20). Ramayan/Mahabharat witnessed 60x/208x growth from pre

COVID-19 period to week-13. Although other channels such as Star Plus have also

brought back old shows, they have not been able to emulate DD’s growth.

16 April 2020

Media | Update

Sun TV also brought back its previous classic shows such as Metty Oil and Thangham

and received good response. Metty Oil/Thangham reported growth of 23%/11% in

week-13 (refer exhibit 17 & 18). However, the quantum of growth is not as

significant as witnessed in HSM.

Exhibit 13: Ramayan’s viewership reached 546m in Week-13

Viewership of Ramayan on DD National (m)

545.8

145.8

60x

Exhibit 14:

Mahabharat’s viewership reached 146m in Week-13

Viewership of Mahabharat on DD Bharati (m)

208x

454x

365x

0.7

Week 13

Pre COVID-19

0.4

Week 12

Week 13

Pre COVID-19

1.2

Week 12

Note: Week 13 – week starting 28 Mar, Week 12 – week starting 21

Mar, Pre COVID-19 – 11 Jan to 31 Jan, Source: Nielsen & BARC

Note: Week 13 – week starting 28 Mar, Week 12 – week starting 21

Mar, Pre COVID-19 – 11 Jan to 31 Jan, Source: Nielsen & BARC

Exhibit 15: Shaktiman’s viewership reached 21m in Week-13

Viewership of Shaktimaan on DD National (m)

20.8

Exhibit 16:

Byomkesh Bakshi’s viewership reached 5m in Week-13

Viewership of Byomkesh

Bakshi on DD National (m)

4.5

12x

52x

2.6x

1.7

11x

0.4

1.7

Pre COVID-19

0.4

Week 12

Week 13

Pre COVID-19

Week 12

Week 13

Note: Week 13 – week starting 28 Mar, Week 12 – week starting 21

Mar, Pre COVID-19 – 11 Jan to 31 Jan, Source: Nielsen & BARC

Note: Week 13 – week starting 28 Mar, Week 12 – week starting 21

Mar, Pre COVID-19 – 11 Jan to 31 Jan, Source: Nielsen & BARC

Exhibit 17: Metty Oil’s viewers grew 23% v/s pre COVID-19

period

Viewership of Metty Oil on Sun TV (000s)

Exhibit 18:

Thangham’s viewers grew 11% v/s pre COVID-19

period

Viewership of Thangham on Sun TV (000s)

3694

3573

23%

4004

3034

4934

11%

3225

63%

Pre COVID-19

Week 12

Week 13

Pre COVID-19

Week 12

Week 13

Note: Week 13 – week starting 28 Mar, Week 12 – week starting 21

Mar, Pre COVID-19 – 11 Jan to 31 Jan, Source: Nielsen & BARC

Note: Week 13 – week starting 28 Mar, Week 12 – week starting 21

Mar, Pre COVID-19 – 11 Jan to 31 Jan, Source: Nielsen & BARC

16 April 2020

Media | Update

Exhibit 19: DD National clocked highest viewership during

Ramayan’s morning telecast than any other genre in HSM…

Slot : Morning (09:00-10:30)

Channel

Total TV

Hindi GEC

DD National

Rest Of Hindi GEC

Hindi Movies

Hindi News

Kids

Music & Youth

Marathi Channels

Bangla Channels

Punjabi Channels

Hindi Regional News

Oriya Channels

Assam Channels

Pre COVID-19 Week 12 Week 13

940

203

200

146

112

162

1,776

292

291

346

306

200

142

126

Growth over

Week 12

2,202

24%

840

187%

580

39006%

259

-11%

320

-7%

277

-10%

185

-7%

138

-3%

111

-12%

-1%

-8%

-26%

-12%

Exhibit 20: …same story was seen in evening time band

Slot : Evening (21:00-22:30)

Channel

Total TV

Hindi GEC

DD National

Rest Of Hindi GEC

Hindi Movies

Hindi News

Bangla Channels

Marathi Channels

Kids

Oriya Channels

Punjabi Channels

Music & Youth

Hindi Regional News

Assam Channels

Pre COVID-19 Week 12 Week 13

2,943

1,209

1,203

656

150

212

239

3,316

948

946

783

516

241

260

Growth over

Week 12

3,719

12%

1,552

64%

835

45834%

717

-24%

831

399

-23%

224

-7%

209

-19%

-4%

-16%

-42%

Note: Week 13 – week starting 28 Mar, Week 12 – week starting 21

Mar, Pre COVID-19 – 11 Jan to 31 Jan, Source: Nielsen & BARC

Note: Week 13 – week starting 28 Mar, Week 12 – week starting 21

Mar, Pre COVID-19 – 11 Jan to 31 Jan, Source: Nielsen & BARC

News, movies and sports driving growth

Although all genres have witnessed viewership surge, news channels and movies are

the major drivers with growth of 251%/77% while GEC showed 9% growth in week-

13. In our view, people are keen to know the latest developments on COVID-19,

which is driving news consumption. Further, people in the working age group (18-60

years) are either working from home/not working and are more inclined toward

news channels, leading to a sharp surge in their growth. Movies’ viewership has

witnessed higher growth with Bangla/Gujarati language channels reporting the

highest growth of 138%/117% and Bhojpuri the lowest at 46%. This is mainly led by

surge in viewership during the non-prime time slot. Further, all southern markets

witnessed an uptick in viewership of movies aired on top GEC’s along with aired

duration, except for Kannada language due to lower duration of movies aired.

In week-13, viewership of sports channels saw huge growth led by old re-runs of

India’s World Cup classic matches such as India vs. Pakistan semi-final 2011 WC and

launch of WWE blockbuster matches on 1

Apr’20. We believe such initiatives could

further boost consumption of sports channels in the absence of any new sports

event.

16 April 2020

Media | Update

Exhibit 21: Movies and news clocking growth in Week-13 over pre COVID-19 period

GEC

Teleshoping

Lifestyle

Devotional/Spiritual

Youth

Kids

Infotainment

Business News

Movies

News

26%

32%

38%

42%

44%

57%

70%

77%

Growth in Week 13 as

compared to pre COVID-19

251%

Note: Week 13 – week starting 28 Mar, Pre COVID-19 – 11 Jan to 31 Jan, Source: Nielsen & BARC

Exhibit 22: All language movies have witnessed growth in Week-13

Movies growth over Pre COVID-19 (%)

138%

117%

77%

89%

51%

46%

90%

72%

82%

80%

81%

79%

Note: Week 13 – week starting 28 Mar, Pre COVID-19 – 11 Jan to 31 Jan, Source: Nielsen & BARC

Exhibit 23: Movies’ viewership in South on top GECs has also increased except Karnataka

(m)

Viewership

Duration

Growth (%)

Telugu Top 4 GECs

134

152

14%

20%

Kannada Top 5 GECs

-15%

-9%

Tamil Top 4 GECs

153

128%

45%

Malayalam Top 5 GECs

10%

Note: Week 13 – week starting 28 Mar, Week 12 – week starting 21 Mar, Pre COVID-19 – 11 Jan to 31

Jan, Source: Nielsen & BARC

Channels

Week 12

Week 13

Exhibit 24: Sports witnessed huge growth in Week-13 over pre COVID-19 period

ICC CWC 2011

Ind vs. Pak 2011 SF

Weekly viewership growth in Sports (%)

Launch of "WWE Blockbusters" on 1st

April

ICC CWC 2011

IND vs. SL 2011 Final

87%

52%

Monday

Tuesday

23%

Wednesday

Thursday

Friday

Week 13 days

Note: Week 13 – week starting 28 Mar, Pre COVID-19 – 11 Jan to 31 Jan, Source: Nielsen & BARC

16 April 2020

Media | Update

News and sports channel witnessing FCT growth led by

surge in social and FMCG ads

During such a time of economic uncertainty when all nation-wide activities have

halted, free commercial time (FCT) has recorded overall growth of 9% in week-13,

mainly led by news and sports channel. GEC also posted growth of 2%; however, the

quantum of growth is significantly lower compared to news and sports. This is in line

with our viewership growth drivers where news and sports channels have driven huge

growth in week-13. This growth has been led by an increase in social ads by the

government/NGOs to promote awareness regarding COVID-19. Further, FMCG

companies have also increased promotion of their products as they fall in the

essential category, with toiletries growing 190x in week-13 over the pre COVID-19

period. Furthermore, brands have also changed their logos/taglines to promote their

products by leveraging the current norm of social distancing (refer exhibit 29).

Exhibit 25: News/Sports register highest FCT growth in Week-13

FCT growth in channels over Pre COVID-19 (%)

86%

44%

26%

-8%

-4%

-2%

-3%

11%

-21%

-15%

Note: Week 13 – week starting 28 Mar, Pre COVID-19 – 11 Jan to 31 Jan, Source: Nielsen & BARC

Exhibit 26: Social ads/FMCG ads driving FCT growth in Week-13

628%

FCT growth in categories over Pre COVID-19 (%)

244%

183%

55%

32%

-5%

-1% -10%

47%

93% 101%

31%

155%

17% 46% 0%

-37%

166%

-48%

99% 68%

37%

91%

20%

-35%

-50%

Note: Week 13 – week starting 28 Mar, Pre COVID-19 – 11 Jan to 31 Jan, Source: Nielsen & BARC

16 April 2020

Media | Update

Exhibit 27: Categories with highest growth in Week-13

190x

FCT growth in categories over Pre COVID-19

66x

11x

Toiletries

Associations/Social/Cultural

Organizations

Ice-Creams/Frozen Desserts

Note: Week 13 – week starting 28 Mar, Pre COVID-19 – 11 Jan to 31 Jan, Source: Nielsen & BARC

Exhibit 28: 11 of 19 categories witnessed surge in creative counts

75%

85%

55%

27%

Change in Creative Count post COVID-19 (16 - 27 Mar'20) vs Pre COVID-19 (Jan)

68%

120%

15%

-2%

-48%

-12% -21%

-20%

-9%

-39%

-58%

Source: Nielsen & BARC

Exhibit 29: Brands changed logos/taglines to promote products amidst social distancing

Source: Nielsen & BARC

16 April 2020

Media | Update

Consumption growth led by surge in smartphone usage

Video streaming platforms (VOD) growth in line with surge in smartphone

usage

Along with TV, the lockdown has also increased smartphone usage with

weekly/daily time spent per user on smartphone increasing 13%/12% after 3 weeks

of COVID-19 outbreak. Daily time spent per user on video streaming platforms

(VOD) has also increased in line with smartphone usage (12% in week-13). The surge

in time spent on VOD has been seen globally with the US reporting growth of 45% in

total minutes spent on VOD from 2

- 23

Mar’20. Lower growth in India could be

attributed to lower penetration of OTT platforms with major user base lying in the

working age group. Apart from surge in minutes of usage, consumer pattern of OTT

consumption has also changed with ‘Original’ series and movies witnessing growth

while ‘Non-Original’ series and sports seeing a decline (due to no new live events).

Exhibit 30: Time spent/user/week on smartphone increased

by 13% 3-Weeks post COVID-19

Time spent/user/week on Smartphone (min)

Growth over Pre COVID-19 (%)

12%

1584

1416

13%

Exhibit 31: Time spent/user/day on smartphone increased

by 12% 3-Weeks post COVID-19

Time spent/user/day on Smartphone (min)

Growth over Pre COVID-19 (%)

12%

228

204

1596

Pre COVID-19

Week 2 post COVID- Week 3 post COVID-

Source: Nielsen & BARC

Pre COVID-19

Week 3 post COVID-19

Source: Nielsen & BARC

Exhibit 32: Time spent/user/week on VOD in line with surge in Smartphone usage

Time spent/user/week on VOD (min)

Growth over Pre COVID-19 (%)

12%

11%

236

213

Pre COVID-19

Week 2 post COVID-19

Week 3 post COVID-19

Source: Nielsen & BARC

239

16 April 2020

Media | Update

Exhibit 33: Viewers of original series more than doubled

during COVID period

Change in % Users/Week

123%

56%

-21%

Exhibit 34: Time spent/user/day on movies/original series

grew by 52%/32% during COVID-19

Change in Time Spent/user/week

52%

-17%

32%

-98%

Non-Original

Series

Movies

Original Series

Sports

Non-Original

Series

Movies

Original Series

-83%

Sports

Source: Nielsen & BARC

Exhibit 35: US also witnessed surge in streaming minutes (b)

Amazon

Hulu

Netflix

Youtube

14.7

15.8

45.4

31.6

48.5

Others

20.9

53.3

11.2

10.5

37.3

25.9

31.5

11.4

12.4

38.4

29.1

36.3

34.7

46.8

23 Mar 2020

Source: Nielsen & BARC

02 Mar 2020

09 Mar 2020

16 Mar 2020

New apps/websites clocking growth via smartphones similar to TV

People are using smartphones more currently to access news apps or websites similar

to users’ behavior for TV consumption. Both time spent and number of visits on news

websites/apps saw an uptick. Users prefer to watch news on smartphone from early-

morning to late-evenings – a similar trend is observed in TV consumption. Again, we

believe that this is led by users’ increasing curiosity to know the latest development

on COVID-19 and cheap access to internet.

Exhibit 36: Time spent/user/week grew 39% in 3-Weeks

post COVID-19

Growth in time spent/user/week (%)

141%

101%

31%

Exhibit 37: Number of visits/week also grew in 3-Weeks

post COVID-19

Growth in number of visits/week (%)

28%

39%

36%

News

Aggregators

Hindi

English

Regional

News Aggregators

Hindi

English

Source: Nielsen & BARC

16 April 2020

Media | Update

Exhibit 38: Consumption of news on TV/Smartphone remains high until evening

Source: Nielsen & BARC

16 April 2020

Media | Update

Limited benefit to our coverage universe

Sun TV witnessed some benefit of viewership surge

Sun TV witnessed surge in usage of its channels in week-13 similar to other

networks. However, the quantum of growth is lower as compared to the national

level as southern markets grew at a slower place. Further, Sun TV’s initiative to bring

back ‘Old Classics’ has performed well, albeit not as much as DD National, which saw

a huge spike in its viewership. However, Sun TV has been able to grow its market

share in the Tamil region ~50% in week-13. In addition, the company has been

successful in gaining market share in Malayalam/Kannada markets, while its share in

Telugu market has largely remained constant as compared to pre COVID-19 period.

But, in terms of growth potential, GEC witnessed a mere 2% increase in FCT; thus,

there should be limited revenue growth opportunity for the company.

Exhibit 39: Sun TV’s weekly impression (m) grew 28% in

week-13

Sun TV

1400.0

1200.0

1000.0

800.0

600.0

400.0

KTV

STAR Vijay

Zee Tamil

60%

50%

40%

30%

20%

10%

Exhibit 40: Sun TV gaining share in Tamil market (%)

Sun TV

KTV

STAR Vijay

Zee Tamil

200.0

0.0

04-Jan-20

04-Feb-20

04-Mar-20

Note: Week 13 – week starting 28 Mar, Source: BARC

Exhibit 41: Sun TV’s market share remained constant in

Telugu market (%)

Gemini TV

40%

30%

ETV Telugu

STAR Maa

Zee Telugu

Exhibit 42: Sun TV gaining share in Malayalam market (%)

Flowers TV

Surya TV

80%

60%

Mazhavil Manorama

Asianet

20%

10%

40%

20%

Note: Week 13 – week starting 28 Mar, Source: BARC

16 April 2020

Media | Update

Exhibit 43: Sun TV gaining market share in Kannada market (%)

Udaya TV

50%

40%

30%

20%

10%

Zee Kannada

Star Suvarna

Colors Kannada

Note: Week 13 – week starting 28 Mar, Source: BARC

Zee’s viewership declining; Surge in OTT platform could provide some

cushion

Zee’s viewership in Hindi GEC market along with its market share has declined

significantly, highlighting that DD National has gained viewership at the expense of

other players. However, this trend should change post the lockdown as previous

shows (before lockdown) will again start running on television. Currently, we believe

its OTT platform Zee5 could provide it some cushion as consumption of OTT

platforms has been increasing. Further, Zee has its original series along with new

Bollywood movies on its platform that could drive consumption (in line with

previous observation). However, OTT forms a smaller portion of the company’s

revenue, therefore, this would not be able to offset the revenue loss from GEC.

Exhibit 45: DD National saw huge spike in market share in

Week-13 (%)

Star Plus

Zee TV

DD National

30%

25%

20%

15%

10%

500.0

0.0

04-Jan-20

Colors

Sony Entertainment

Exhibit 44: Zee’s weekly impression declining (m)

STAR Plus

Zee TV

DD National

2000.0

1500.0

1000.0

Colors

Sony Sab

04-Feb-20

04-Mar-20

Note: Week 13 – week starting 28 Mar, Source: BARC

16 April 2020

Media | Update

NOTES

16 April 2020

Media | Update

Explanation of Investment Rating

Investment Rating

Expected return (over 12-month)

BUY

>=15%

SELL

< - 10%

NEUTRAL

< - 10 % to 15%

UNDER REVIEW

Rating may undergo a change

NOT RATED

We have forward looking estimates for the stock but we refrain from assigning recommendation

*In case the recommendation given by the Research Analyst is inconsistent with the investment rating legend for a continuous period of 30 days, the Research Analyst shall within

following 30 days take appropriate measures to make the recommendation consistent with the investment rating legend.

Disclosures

The following Disclosures are being made in compliance with the SEBI Research Analyst Regulations 2014 (herein after referred to as the Regulations).

Motilal Oswal Financial Services Ltd. (MOFSL) is a SEBI Registered Research Analyst having registration no. INH000000412. MOFSL, the Research Entity (RE) as defined in the

Regulations, is engaged in the business of providing Stock broking services, Investment Advisory Services, Depository participant services & distribution of various financial

products. MOFSL is a subsidiary company of Passionate Investment Management Pvt. Ltd.. (PIMPL). MOFSL is a listed public company, the details in respect of which are

available on www.motilaloswal.com. MOFSL (erstwhile Motilal Oswal Securities Limited - MOSL) is registered with the Securities & Exchange Board of India (SEBI) and is a

registered Trading Member with National Stock Exchange of India Ltd. (NSE) and Bombay Stock Exchange Limited (BSE), Multi Commodity Exchange of India Limited (MCX) and

National Commodity & Derivatives Exchange Limited (NCDEX) for its stock broking activities & is Depository participant with Central Depository Services Limited (CDSL) National

Securities Depository Limited (NSDL),NERL, COMRIS and CCRL and is member of Association of Mutual Funds of India (AMFI) for distribution of financial products and Insurance

Regulatory & Development Authority of India (IRDA) as Corporate Agent for insurance products.

Details of associate entities of Motilal Oswal Financial Services Limited are

available on the website at

http://onlinereports.motilaloswal.com/Dormant/documents/List%20of%20Associate%20companies.pdf

MOFSL and its associate company(ies), their directors and Research Analyst and their relatives may; (a) from time to time, have a long or short position in, act as principal in, and

buy or sell the securities or derivatives thereof of companies mentioned herein. (b) be engaged in any other transaction involving such securities and earn brokerage or other

compensation or act as a market maker in the financial instruments of the company(ies) discussed herein or act as an advisor or lender/borrower to such company(ies) or may have

any other potential conflict of interests with respect to any recommendation and other related information and opinions.; however the same shall have no bearing whatsoever on the

specific recommendations made by the analyst(s), as the recommendations made by the analyst(s) are completely independent of the views of the associates of MOFSL even

though there might exist an inherent conflict of interest in some of the stocks mentioned in the research report

MOFSL and / or its affiliates do and seek to do business including investment banking with companies covered in its research reports. As a result, the recipients of this report

should be aware that MOFSL may have a potential conflict of interest that may affect the objectivity of this report. Compensation of Research Analysts is not based on any specific

merchant banking, investment banking or brokerage service transactions. Details of pending Enquiry Proceedings of Motilal Oswal Financial Services Limited are available on the

website at

https://galaxy.motilaloswal.com/ResearchAnalyst/PublishViewLitigation.aspx

A graph of daily closing prices of securities is available at

www.nseindia.com, www.bseindia.com.

Research Analyst views on Subject Company may vary based on Fundamental

research and Technical Research. Proprietary trading desk of MOFSL or its associates maintains arm’s length distance with Research Team as all the activities are segregated

from MOFSL research activity and therefore it can have an independent view with regards to Subject Company for which Research Team have expressed their views.

Regional Disclosures (outside India)

This report is not directed or intended for distribution to or use by any person or entity resident in a state, country or any jurisdiction, where such distribution, publication, availability

or use would be contrary to law, regulation or which would subject MOFSL & its group companies to registration or licensing requirements within such jurisdictions.

For Hong Kong:

This report is distributed in Hong Kong by Motilal Oswal capital Markets (Hong Kong) Private Limited, a licensed corporation (CE AYY-301) licensed and regulated by the Hong

Kong Securities and Futures Commission (SFC) pursuant to the Securities and Futures Ordinance (Chapter 571 of the Laws of Hong Kong) “SFO”. As per SEBI (Research Analyst

Regulations) 2014 Motilal Oswal Securities (SEBI Reg No. INH000000412) has an agreement with Motilal Oswal capital Markets (Hong Kong) Private Limited for distribution of

research report in Hong Kong. This report is intended for distribution only to “Professional Investors” as defined in Part I of Schedule 1 to SFO. Any investment or investment activity

to which this document relates is only available to professional investor and will be engaged only with professional investors.” Nothing here is an offer or solicitation of these

securities, products and services in any jurisdiction where their offer or sale is not qualified or exempt from registration. The Indian Analyst(s) who compile this report is/are not

located in Hong Kong & are not conducting Research Analysis in Hong Kong.

For U.S.

Motilal Oswal Financial Services Limited (MOFSL) is not a registered broker - dealer under the U.S. Securities Exchange Act of 1934, as amended (the"1934 act") and under

applicable state laws in the United States. In addition MOFSL is not a registered investment adviser under the U.S. Investment Advisers Act of 1940, as amended (the "Advisers

Act" and together with the 1934 Act, the "Acts), and under applicable state laws in the United States. Accordingly, in the absence of specific exemption under the Acts, any

brokerage and investment services provided by MOFSL , including the products and services described herein are not available to or intended for U.S. persons. This report is

intended for distribution only to "Major Institutional Investors" as defined by Rule 15a-6(b)(4) of the Exchange Act and interpretations thereof by SEC (henceforth referred to as

"major institutional investors"). This document must not be acted on or relied on by persons who are not major institutional investors. Any investment or investment activity to which

this document relates is only available to major institutional investors and will be engaged in only with major institutional investors. In reliance on the exemption from registration

provided by Rule 15a-6 of the U.S. Securities Exchange Act of 1934, as amended (the "Exchange Act") and interpretations thereof by the U.S. Securities and Exchange

Commission ("SEC") in order to conduct business with Institutional Investors based in the U.S., MOFSL has entered into a chaperoning agreement with a U.S. registered broker-

dealer, Motilal Oswal Securities International Private Limited. ("MOSIPL"). Any business interaction pursuant to this report will have to be executed within the provisions of this

chaperoning agreement.

The Research Analysts contributing to the report may not be registered /qualified as research analyst with FINRA. Such research analyst may not be associated persons of the U.S.

registered broker-dealer, MOSIPL, and therefore, may not be subject to NASD rule 2711 and NYSE Rule 472 restrictions on communication with a subject company, public

appearances and trading securities held by a research analyst account.

For Singapore

In Singapore, this report is being distributed by Motilal Oswal Capital Markets Singapore Pte Ltd (“MOCMSPL”) (Co.Reg. NO. 201129401Z) which is a holder of a capital markets

services license and an exempt financial adviser in Singapore.As per the approved agreement under Paragraph 9 of Third Schedule of Securities and Futures Act (CAP 289) and

Paragraph 11 of First Schedule of Financial Advisors Act (CAP 110) provided to MOCMSPL by Monetary Authority of Singapore. Persons in Singapore should contact MOCMSPL

in respect of any matter arising from, or in connection with this report/publication/communication. This report is distributed solely to persons who qualify as “Institutional Investors”,

of which some of whom may consist of "accredited" institutional investors as defined in section 4A(1) of the Securities and Futures Act, Chapter 289 of Singapore (“the

SFA”). Accordingly, if a Singapore person is not or ceases to be such an institutional investor, such Singapore Person must immediately discontinue any use of this Report and

inform MOCMSPL.

Specific Disclosures

1 MOFSL, Research Analyst and/or his relatives does not have financial interest in the subject company, as they do not have equity holdings in the subject company.

2 MOFSL, Research Analyst and/or his relatives do not have actual/beneficial ownership of 1% or more securities in the subject company

3 MOFSL, Research Analyst and/or his relatives have not received compensation/other benefits from the subject company in the past 12 months

4 MOFSL, Research Analyst and/or his relatives do not have material conflict of interest in the subject company at the time of publication of research report

5 Research Analyst has not served as director/officer/employee in the subject company

6 MOFSL has not acted as a manager or co-manager of public offering of securities of the subject company in past 12 months

7 MOFSL has not received compensation for investment banking/ merchant banking/brokerage services from the subject company in the past 12 months

8 MOFSL has not received compensation for other than investment banking/merchant banking/brokerage services from the subject company in the past 12 months

9 MOFSL has not received any compensation or other benefits from third party in connection with the research report

10 MOFSL has not engaged in market making activity for the subject company

16 April 2020

Media | Update

********************************************************************************************************************************

The associates of MOFSL may have:

- financial interest in the subject company

- actual/beneficial ownership of 1% or more securities in the subject company

- received compensation/other benefits from the subject company in the past 12 months

- other potential conflict of interests with respect to any recommendation and other related information and opinions.; however the same shall have no bearing whatsoever on the

specific recommendations made by the analyst(s), as the recommendations made by the analyst(s) are completely independent of the views of the associates of MOFSL even

though there might exist an inherent conflict of interest in some of the stocks mentioned in the research report.

- acted as a manager or co-manager of public offering of securities of the subject company in past 12 months

- be engaged in any other transaction involving such securities and earn brokerage or other compensation or act as a market maker in the financial instruments of the

company(ies) discussed herein or act as an advisor or lender/borrower to such company(ies)

- received compensation from the subject company in the past 12 months for investment banking / merchant banking / brokerage services or from other than said services.

The associates of MOFSL has not received any compensation or other benefits from third party in connection with the research report

Above disclosures include beneficial holdings lying in demat account of MOFSL which are opened for proprietary investments only. While calculating beneficial holdings, It does not

consider demat accounts which are opened in name of MOFSL for other purposes (i.e holding client securities, collaterals, error trades etc.). MOFSL also earns DP income from

clients which are not considered in above disclosures.

Analyst Certification

The views expressed in this research report accurately reflect the personal views of the analyst(s) about the subject securities or issues, and no part of the compensation of the

research analyst(s) was, is, or will be directly or indirectly related to the specific recommendations and views expressed by research analyst(s) in this report.

Terms & Conditions:

This report has been prepared by MOFSL and is meant for sole use by the recipient and not for circulation. The report and information contained herein is strictly confidential and

may not be altered in any way, transmitted to, copied or distributed, in part or in whole, to any other person or to the media or reproduced in any form, without prior written consent

of MOFSL. The report is based on the facts, figures and information that are considered true, correct, reliable and accurate. The intent of this report is not recommendatory in

nature. The information is obtained from publicly available media or other sources believed to be reliable. Such information has not been independently verified and no guaranty,

representation of warranty, express or implied, is made as to its accuracy, completeness or correctness. All such information and opinions are subject to change without notice. The

report is prepared solely for informational purpose and does not constitute an offer document or solicitation of offer to buy or sell or subscribe for securities or other financial

instruments for the clients. Though disseminated to all the customers simultaneously, not all customers may receive this report at the same time. MOFSL will not treat recipients as

customers by virtue of their receiving this report.

Disclaimer:

The report and information contained herein is strictly confidential and meant solely for the selected recipient and may not be altered in any way, transmitted to, copied or

distributed, in part or in whole, to any other person or to the media or reproduced in any form, without prior written consent. This report and information herein is solely for

informational purpose and may not be used or considered as an offer document or solicitation of offer to buy or sell or subscribe for securities or other financial instruments. Nothing

in this report constitutes investment, legal, accounting and tax advice or a representation that any investment or strategy is suitable or appropriate to your specific circumstances.

The securities discussed and opinions expressed in this report may not be suitable for all investors, who must make their own investment decisions, based on their own investment

objectives, financial positions and needs of specific recipient. This may not be taken in substitution for the exercise of in dependent judgment by any recipient. Each recipient of this

document should make such investigations as it deems necessary to arrive at an independent evaluation of an investment in the securities of companies referred to in this

document (including the merits and risks involved), and should consult its own advisors to determine the merits and risks of such an investment. The investment discussed or views

expressed may not be suitable for all investors. Certain transactions -including those involving futures, options, another derivative products as well as non-investment grade

securities - involve substantial risk and are not suitable for all investors. No representation or warranty, express or implied, is made as to the accuracy, completeness or fairness of

the information and opinions contained in this document. The Disclosures of Interest Statement incorporated in this document is provided solely to enhance the transparency and

should not be treated as endorsement of the views expressed in the report. This information is subject to change without any prior notice. The Company reserves the right to make

modifications and alternations to this statement as may be required from time to time without any prior approval. MOFSL, its associates, their directors and the employees may from

time to time, effect or have effected an own account transaction in, or deal as principal or agent in or for the securities mentioned in this document. They may perform or seek to

perform investment banking or other services for, or solicit investment banking or other business from, any company referred to in this report. Each of these entities functions as a

separate, distinct and independent of each other. The recipient should take this into account before interpreting the document. This report has been prepared on the basis of

information that is already available in publicly accessible media or developed through analysis of MOFSL. The views expressed are those of the analyst, and the Company may or

may not subscribe to all the views expressed therein. This document is being supplied to you solely for your information and may not be reproduced, redistributed or passed on,

directly or indirectly, to any other person or published, copied, in whole or in part, for any purpose. This report is not directed or intended for distribution to, or use by, any person or

entity who is a citizen or resident of or located in any locality, state, country or other jurisdiction, where such distribution, publication, availability or use would be contrary to law,

regulation or which would subject MOFSL to any registration or licensing requirement within such jurisdiction. The securities described herein may or may not be eligible for sale in

all jurisdictions or to certain category of investors. Persons in whose possession this document may come are required to inform themselves of and to observe such restriction.

Neither the Firm, not its directors, employees, agents or representatives shall be liable for any damages whether direct or indirect, incidental, special or consequential including lost

revenue or lost profits that may arise from or in connection with the use of the information.

The person accessing this information specifically agrees to exempt MOFSL or any of its

affiliates or employees from, any and all responsibility/liability arising from such misuse and agrees not to hold MOFSL or any of its affiliates or employees responsible for any such

misuse and further agrees to hold MOFSL or any of its affiliates or employees free and harmless from all losses, costs, damages,

expenses that may be suffered by the person

accessing this information due to any errors and delays.

Registered Office Address: Motilal Oswal Tower, Rahimtullah Sayani Road, Opposite Parel ST Depot, Prabhadevi, Mumbai-400025; Tel No.: 022 71934200/ 022-71934263;

Website

www.motilaloswal.com.CIN

no.: L67190MH2005PLC153397.Correspondence Office Address: Palm Spring Centre, 2nd Floor, Palm Court Complex, New Link Road,

Malad(West), Mumbai- 400 064. Tel No: 022 7188 1000.

Registration Nos.: Motilal Oswal Financial Services Limited (MOFSL)*: INZ000158836(BSE/NSE/MCX/NCDEX); CDSL and NSDL: IN-DP-16-2015; Research Analyst:

INH000000412. AMFI: ARN - 146822; Investment Adviser: INA000007100; Insurance Corporate Agent: CA0579;PMS:INP000006712. Motilal Oswal Asset Management Company

Ltd. (MOAMC): PMS (Registration No.: INP000000670); PMS and Mutual Funds are offered through MOAMC which is group company of MOFSL. Motilal Oswal Wealth

Management Ltd. (MOWML): PMS (Registration No.: INP000004409) is offered through MOWML, which is a group company of MOFSL. Motilal Oswal Financial Services Limited is

a distributor of Mutual Funds, PMS, Fixed Deposit, Bond, NCDs,Insurance Products and IPOs.Real Estate is offered through Motilal Oswal Real Estate Investment Advisors II Pvt.

Ltd. which is a group company of MOFSL. Private Equity is offered through Motilal Oswal Private Equity Investment Advisors Pvt. Ltd which is a group company of MOFSL.

Research & Advisory services is backed by proper research. Please read the Risk Disclosure Document prescribed by the Stock Exchanges carefully before investing. There is no

assurance or guarantee of the returns. Investment in securities market is subject to market risk, read all the related documents carefully before investing. Details of Compliance

Officer: Name: Neeraj Agarwal, Email ID: na@motilaloswal.com, Contact No.:022-71881085.

* MOSL has been amalgamated with Motilal Oswal Financial Services Limited (MOFSL) w.e.f August 21, 2018 pursuant to order dated July 30, 2018 issued by Hon'ble National

Company Law Tribunal, Mumbai Bench.

16 April 2020