Fair value measurement
The Company obtains valuation report from independent valuer for its radio business at least once in a year.
Independent valuation is done by the registered valuer as defined under rule 2 of Companies (Registered Valuers
and Valuation) Rules, 2017. The intangible assets of radio business have been classified as “Assets-held-for sale”
as at March 31,2025. Refer note 25.1 for details.
(ii) Revaluation of intangible assets
The Company has not revalued its intangible assets during the years ended March 31, 2025 and March 31,2024
except as mentioned in note 25.
(iii) All the intangible assets are the separately acquired assets.
Note 5.2: Intangible assets under development
©Accounting Policy
Intangible assets under development includes cost of intangible assets under development as at the reporting date.
Intangible assets under development is stated at cost, net of accumulated impairment loss, if any. Intangible assets
under development largely comprises of production software not yet ready to use.
NOTE 6: LEASES
Company’s leasing activities as a lessee:
©Accounting Policy
The Company applies a single recognition and
measurement approach for all leases, except for short¬
term leases and leases of low-value assets (which are
recognised on a straight-line basis as an expense in
profit or loss). The Company recognises lease liabilities
to make lease payments and right-of-use assets
representing the right to use the underlying assets.
The Right-of-use assets is depreciated using the
straight-line method from the commencement date to
the earlier of:
• the end of the useful life of the Right-of-use assets;
or
• the end of the lease term.
The estimated useful lives of Right-of-use assets are
determined on the same basis as those of property
and equipment. In addition, the Right-of-use assets
are periodically reduced by impairment losses, if any,
and adjusted for certain re-measurements of the lease
liability.
The lease liability is initially measured at the present
value of the lease payments that are not paid at the
commencement date, discounted using the interest
rate implicit in the lease or, if that rate cannot be
readily determined, the Company uses an incremental
borrowing rate specific to the Company, term, and
currency of the contract. Generally, the Company uses
its incremental borrowing rate as the discount rate.
After the commencement date, the amount of lease
liabilities is increased to reflect the accretion of
interest and reduced for the lease payments made and
remeasured (with a corresponding adjustment to the
related Right-of-use assets) when there is a change in
future lease payments in case of renegotiation, changes
of an index or rate or in case of reassessment of options.
Critical judgements in determining the lease term
In determining the lease term, management considers
all facts and circumstances that create an economic
incentive to exercise an extension option, or not exercise
a termination option. Extension options (or periods after
termination options) are only included in the lease term
if the lease is reasonably certain to be extended (or not
terminated).
For leases of property and equipment, the following
factors are normally the most relevant:
•If there are significant penalties to terminate (or not
extend), the Company is typically reasonably certain
to extend (or not terminate).
• If any leasehold improvements are expected to have
a significant remaining value, the Company is typically
reasonably certain to extend (or not terminate).
• Otherwise, the Company considers other factors
including historical lease durations and the costs
and business disruption required to replace the
leased asset. Most extension options in offices,
equipment and vehicles leases have not been
included in the lease liability, because the Company
could replace the assets without significant cost or
business disruption.
Company’s leasing activities as a lessor:
©Accounting Policy
Lease income from operating lease is recognised as income on a straight-line basis over the lease term unless
the receipts are structured to increase in line with expected general inflation to compensate for the expected
inflationary cost increases. The respective leased assets are included in the balance sheet based on their nature.
Note 6.4: Operating lease as a lessor
The Company has one on-going and three new operating leases on part of its office building during the current
year. This lease has term of 10 years. Lease include a clause to enable upward revision of the rental charge on
periodic basis.
The total rent recognised as income during the year is '1.40 crores (March 31, 2024: '0.89 crores). Future
minimum rentals receivable under operating leases as at year end are as follows:
Financial Assets
©Accounting Policy
Classification
The classification of financial assets at initial recognition
depends on the financial asset’s contractual cash flow
characteristics and the Company’s business model for
managing them.
Financial assets are classified as:
• Subsequently measured at amortised cost,
• Fair value through other comprehensive income
(FVTOCI), and
• Fair value through profit or loss (FVTPL).
Debt instruments
(i) at Amortised Cost
A debt instrument is measured at the amortised cost if
both the following conditions are met:
• The asset is held within a business model whose
objective is to hold assets for collecting contractual
cash flows, and
• Contractual terms of the asset give rise on specified
dates to cash flows that are solely payments
of principal and interest (SPPI) on the principal
amount outstanding.
(ii) at FVTOCI
A debt instrument is classified as at the FVTOCI if
both of the following criteria are met:
• The objective of the business model is achieved
both by collecting contractual cash flows and
selling the financial assets, and
• The asset’s contractual cash flows represent SPPI
on the principal amount outstanding.
(iii) at FVTPL
FVTPL is a residual category for debt instruments.
Any debt instrument, which does not meet the criteria
for categorisation as at amortised cost or as FVTOCI,
is classified as at FVTPL.
Equity Instruments
Investment in Subsidiaries, Associates and Joint
ventures are out of scope of Ind AS 109 "Financial
instruments” and hence, the Company accounts for
its investment in Subsidiaries, Associates and Joint
venture at cost less impairment losses, if any.
All other equity investments are measured at fair
value. Equity instruments which are held for trading are
classified as at FVTPL. For equity instruments other
than held for trading, the Company has irrevocable
option to present in Other Comprehensive Income
subsequent changes in the fair value. The Company
makes such election on an instrument-by-instrument
basis. The classification is made on initial recognition
and is irrevocable.
Initial recognition and measurement
With the exception of trade receivables that do not
contain a significant financing component or for which
the Company has applied the practical expedient,
the Company measures a financial asset at its fair
value plus, in the case of a financial asset not at fair
value through profit or loss, transaction costs that are
directly attributable to the acquisition of the financial
asset. Transaction costs of financial assets carried
at fair value through profit or loss are expensed in
statement of profit and loss.
Trade receivables that do not contain a significant
financing component or for which the Company has
applied the practical expedient are measured at
the transaction price determined under Ind AS 115
"Revenue from contracts with customers”.
Subsequent recognition
Subsequent measurement of financial assets depends
on the Company’s business model for managing the
asset and the cash flow characteristics of the asset.
There are three measurement categories into which
the Company classifies its debt instruments:
(i) Amortised cost: After initial measurement, such
financial assets are subsequently measured at
amortised cost using the effective interest rate (EIR)
method. Amortised cost is calculated by taking into
account any discount or premium on acquisition and
fees or costs that are an integral part of the EIR. The
EIR amortisation is included in finance income in the
profit or loss. The losses arising from impairment are
recognised in the profit or loss.
(ii) Fair value through other comprehensive
income (FVTOCI): Financial assets included within
the FVTOCI category are measured initially as well
as at each reporting date at fair value. Fair value
movements are recognised in the other comprehensive
income (OCI). However, the Company recognises
interest income, impairment losses & reversals
and foreign exchange gain or loss in the Statement
of Profit and Loss. On de-recognition of the asset,
cumulative gain or loss previously recognised in OCI
is re-classified from the equity to Statement of Profit
and Loss. Interest earned whilst holding FVTOCI debt
instrument is reported as interest income using the
EIR method.
(iii) Fair value through profit or loss (FVTPL): A
gain or loss on a financial assets that is subsequently
measured at fair value through profit or loss and is not
part of a hedging relationship is recognised in profit
or loss and presented net in the statement of profit
and loss within other gains/(losses) in the period in
which it arises. Interest earned whilst holding FVTPL
debt instrument is reported as interest income using
the EIR method.
Derecognition of financial assets
A financial asset is derecognised only when:
• The Company has transferred the rights to receive
cash flows from the financial asset or
• retains the contractual rights to receive the
cash flows of the financial asset, but assumes a
contractual obligation to pay the cash flows to one
or more recipients.
Where the Company has transferred an asset,
the Company evaluates whether it has transferred
substantially all risks and rewards of ownership of the
financial asset. In such cases, the financial asset is
derecognised. Where the entity has not transferred
substantially all risks and rewards of ownership
of the financial asset, the financial asset is not
derecognised.
Where the entity has neither transferred a financial
asset nor retains substantially all risks and rewards of
ownership of the financial asset, the financial asset is
derecognised if the Company has not retained control
of the financial asset. Where the Company retains
control of the financial asset, the asset is continued to
be recognised to the extent of continuing involvement
in the financial asset.
Impairment of financial assets other than
investment in Subsidiaries, Associates and Joint
ventures
The company assesses on a forward looking basis
the expected credit losses associated with its
assets carried at amortised cost. The impairment
methodology applied depends on whether there has
been a significant increase in credit risk. Note 7.11
details how the Company determines whether there
has been a significant increase in credit risk.
For trade receivables, the Company applies
the simplified approach permitted by Ind AS 109
"Financial Instruments”. The Company calculates the
expected credit losses on trade receivables using a
provision matrix on the basis of its historical credit loss
experience.
Impairment of investment in Subsidiaries,
Associates and Joint ventures
An impairment loss is recognised for the amount
by which the asset’s carrying amount exceeds its
recoverable amount. The recoverable amount is the
higher of an asset’s fair value less costs of disposal
and value in use.
The impairment testing is conducted at the end of
every year. If indicators are identified, the valuation is
recalculated based on revised indicators. Conversely, if
no indicators are found, no impairment is recognised.
(ii) No trade or other receivable are due from directors or other officers of the company either severally or jointly with
any other person, nor any trade or other receivable are due from firms or private companies respectively in which
any director is a partner, a director or a member other than '0.00 crores (March 31,2024: '0.00 crores).
(iii) Trade receivables are non-interest bearing and are generally on terms of 0 to 90 days. For terms and conditions
relating to related party receivables, refer note 21.
Financial Liabilities
©Accounting Policy
Classification
Financial liabilities of the Company are classified, at initial recognition, as trade and other payables, loans and
borrowings (including bank overdraft), as appropriate.
Initial recognition and measurement
All financial liabilities of the Company are recognised initially at fair value, net of directly attributable transaction
costs.
Subsequent measurement
Financial liabilities of the Company are subsequently carried at amortized cost using the effective interest method.
For trade and other payables maturing within one year from the Balance Sheet date, the carrying amounts
approximate fair value due to the short maturity of these instruments.
Derecognition
A financial liability is derecognised when the obligation under the liability is discharged or cancelled or expires.
(ii) Fair value hierarchy
This section explains the judgments and estimates made in determining the fair values of the financial instruments
that are recognised and measured at fair value to provide an indication about the reliability of the inputs used in
determining fair value, the Company has classified its financial instruments into the three levels prescribed under
the accounting standard. An explanation of each level follows underneath the table.
Level 1: Level 1 hierarchy includes financial instruments measured using quoted prices (for example listed equity
instruments, traded bonds and mutual funds that have quoted price).
Level 2: The fair value of financial instruments that are not traded in an active market (for example, over-the-
counter derivatives) is determined using valuation techniques which maximise the use of observable market data
and rely as little as possible on entity-specific estimates. If all significant inputs required to fair value an instrument
are observable, the instrument is included in level 2.
Level 3: If one or more of the significant inputs is not based on observable market data, the instrument is included
in level 3. This is the case for unquoted equity securities shown in the financial statements.
(iii) Valuation technique used to determine fair value
Value of unquoted equity investments (other than investment in subsidiaries) included in Level 3 above has been
determined using discounted cash flow analysis.
(iv) Fair value measurements using significant unobservable inputs (level 3)
The following table presents the changes in level 3 items:
(v) Valuation processes
The finance department of the Company includes a team that performs the valuations of financial assets and
liabilities required for financial reporting purposes, including level 3 fair values. This team reports directly to the
Chief Financial Officer (CFO) and the Audit Committee (AC). Discussions of valuation processes and results are
held between the CFO, AC and the finance team at least once in every three months, in line with the Company’s
quarterly reporting periods.
The senior management of the Company oversees the management of these risks. The Company’s senior
management is supported by a financial risk team that advises on financial risks and the appropriate financial
risk governance framework for the Company. The financial risk team provides assurance to the Company’s senior
management that the Company’s financial risk activities are governed by appropriate policies and procedures
and that the financial risks are identified, measured and managed in accordance with the Company’s policies and
risk objectives.
(A) Credit risk
Credit risk arises from cash and cash equivalents, bank balances other than cash and cash equivalents, loans and
other financial assets, as well as credit exposures to customers including outstanding receivables. The carrying
value of such financial assets represents the maximum credit risk. The maximum exposure to credit risk was
'770.17 crores as at March 31,2025 (March 31,2024: '755.08 crores).
Credit risk management
(1) Cash and cash equivalents, bank balances other than cash and cash equivalents and deposits with
bank
The Company maintains current accounts and deposits, only with nationalised banks or private sector banks
listed on stock exchange in India with decent credit ratings. Accordingly, there is no credit risk involved in cash and
cash equivalents, bank balances other than cash and cash equivalents and deposits with bank..
(2) Trade receivables
The Company evaluates credit worthiness of each customer and basis which credit limit for each customer is
defined.
The Company applies the simplified approach permitted by Ind AS 109 Financial Instruments. The Company
tracks changes in credit risk of trade receivable using simplified approach as per Ind AS 109. The Company
calculates the expected credit losses on trade receivables using a provision matrix on the basis of its historical
credit loss experience.
Trade receivables are written off when there is no reasonable expectation of recovery, such as a debtor declaring
bankruptcy or failing to engage in a repayment plan with the Company.
Where trade receivables have been written off, the Company continues to engage in enforcement activity to
attempt to recover the receivable due. Where recoveries are made, these are recognised in profit or loss.
(3) Financial assets other than (1) and (2) above
For other financial assets, the Company assesses and manages credit risk based on internal credit rating system.
The finance function consists of a separate team who assess and maintain an internal credit rating system. Internal
credit rating is performed for each class of financial instruments with different characteristics. The Company
assigns the following credit ratings to each class of financial assets based on the assumptions, inputs and factors
specific to the class of financial assets.
VL 1: High-quality assets, negligible credit risk
VL 2: Quality assets, low credit risk
VL 3: Standard assets, moderate credit risk
VL 4: Substandard assets, relatively high credit risk
VL 5: Low quality assets, very high credit risk
VL 6: Doubtful assets, credit-impaired
The Company considers the probability of default upon initial recognition of asset and whether there has been a
significant increase in credit risk on an ongoing basis throughout each reporting period. To assess whether there
is a significant increase in credit risk, the Company compares the risk of a default occurring on the asset as at
the reporting date with the risk of default as at the date of initial recognition. It considers available reasonable and
supportive forwarding-looking information. Especially the following indicators are incorporated:
• Internal credit rating
• external credit rating (as far as available)
• actual or expected significant adverse changes in business, financial or economic conditions that are expected
to cause a significant change to the party’s ability to meet its obligations.
Prudent liquidity risk management implies maintaining sufficient cash and marketable securities and the availability
of funding through an adequate amount of committed credit facilities to meet obligations when due. Due to the
dynamic nature of the underlying businesses, the Company treasury maintains flexibility in funding by maintaining
availability under committed credit lines.
Management monitors rolling forecasts of the Company’s liquidity position (comprising the undrawn borrowing
facilities below) and cash and cash equivalents on the basis of expected cash flows. This is generally carried out in
accordance with practice and limits set by the Company. In addition, the Company’s liquidity management policy
involves projecting cash flows and considering the level of liquid assets necessary to meet cash requirements,
monitoring balance sheet liquidity ratios against internal and external regulatory requirements and maintaining
debt financing plans.
(i) Financing arrangements
The Company had access to the following undrawn borrowing facilities at the end of the reporting years:
(i) Foreign currency risk
The Company operates internationally also, along with operations in India, and is exposed to foreign exchange
risk arising from foreign currency transactions, primarily with respect to the GBP and USD. Foreign exchange risk
arises from future commercial transactions and recognised assets and liabilities denominated in a currency that
is not the Company’s functional currency (INR). The risk is measured through a forecast of highly probable foreign
currency (FC) cash flows.
(a) Foreign currency risk exposure:
The Company exposure to foreign currency risk at the end of the reporting year, is as follows:
(ii) Interest rate risk
Interest rate risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of
changes in market interest rates. The Company’s exposure to the risk of changes in market interest rates relates
primarily to the Company’s short-term borrowings with variable interest rates. Since there are no borrowings
outstanding as at the end of both the years, sensitivity analysis for interest rate risk is not presented here.
(iii) Other price risk
The Company’s unquoted equity investments are insignificant values, those are managed by monitoring the
financial performance and discounted cash flow analysis of investees. Accordingly, no sensitivity for such
investments has been presented here.
Note 7.12: Offsetting financial assets and financial liabilities
Offsetting of financial instruments
Financial assets and liabilities are offset and the net amount is reported in the balance sheet where there is a
legally enforceable right to offset the recognised amounts and there is an intention to settle on a net basis or
realise the asset and settle the liability simultaneously. The legally enforceable right must not be contingent on
future events and must be enforceable in the normal course of business and in the event of default, insolvency or
bankruptcy of the Company or the counterparty.
The following table presents the recognised financial instruments that are offset.
©Accounting Policy
The income tax expense or credit for the period is the tax payable on the current period’s taxable income based on
the applicable income tax rate adjusted by changes in deferred tax assets and liabilities attributable to temporary
differences and to unused tax losses.
Current income tax
The current income tax charge is calculated on the basis of the tax laws enacted or substantively enacted at the
end of reporting period in India where the Company operates and generates taxable income.
Deferred tax
Deferred income tax is provided in full, using the liability method, on temporary differences arising between the
tax bases of assets and liabilities and their carrying amounts in the financial statements. However, deferred
tax liabilities are not recognised if they arise from the initial recognition of goodwill. Deferred income tax is also
not accounted for if it arises from initial recognition of an asset or liability in a transaction other than a business
combination that at the time of the transaction affects neither accounting profit nor taxable profit (tax loss). Deferred
income tax is determined using tax rates (and laws) that have been enacted or substantively enacted by the end
of the reporting period and are expected to apply when the related deferred income tax asset is realised or the
deferred income tax liability is settled.
As required by Ind AS 12 "Income taxes”, deferred tax assets are recognised for all deductible temporary
differences and unused tax losses only if it is probable that future taxable amounts will be available to utilise those
temporary differences and losses.
The carrying amount of deferred tax assets is reviewed at each reporting date and reduced to the extent that it
is no longer probable that sufficient taxable profit will be available to allow all or part of the deferred tax asset to
be utilised. Unrecognised deferred tax assets are re-assessed at each reporting date and are recognised to the
extent that it has become probable that future taxable profits will allow the deferred tax asset to be recovered.
Deferred tax liabilities are not recognised for temporary differences between the carrying amount and tax bases
of investments in subsidiaries, where the Company is able to control the timing of the reversal of the temporary
differences and it is probable that the differences will not reverse in the foreseeable future.
Deferred tax assets are not recognised for temporary differences between the carrying amount and tax bases of
investments in subsidiaries, where it is not probable that the differences will reverse in the foreseeable future and
taxable profit will not be available against which the temporary difference can be utilised.
Deferred tax assets and liabilities are offset when there is a legally enforceable right to offset current tax assets
and liabilities and when the deferred tax balances relate to the same taxation authority. Current tax assets and tax
liabilities are offset where the entity has a legally enforceable right to offset and intends either to settle on a net
basis, or to realise the asset and settle the liability simultaneously.
Current tax expense and deferred tax charge/credit is recognised in profit or loss, except to the extent that it
relates to items recognised in other comprehensive income or directly in equity. In this case, the tax is also
recognised in other comprehensive income or directly in equity, respectively.
©Accounting Policy
Unbilled revenue
Contract assets (i.e. unbilled revenue) are recognised when there is excess of revenue earned over billings on
contracts with customers. Unbilled revenue is classified as contract assets (only act of invoicing is pending) when
there is unconditional right to receive cash, and only passage of time is required, as per contractual terms.
Contract assets are considered as non-financial assets as the contractual right to consideration is dependant
on the completion of contractual milestone.
Other assets considered Doubtful
The impairment testing is conducted at the end of every year or whenever the events or changes in circumstances
indicate that carrying amount may not be recoverable.
Terms and rights attached to equity shares
The Company has one class of equity shares having a par value of '5 per share. Each shareholder is eligible
for one vote per share held. The dividend proposed by the Board of Directors is subject to the approval of
the shareholders in the ensuing Annual General Meeting, except in case of interim dividend. In the event of
liquidation, the equity shareholders are eligible to receive the remaining assets of the Company after distribution
of all preferential amounts, in proportion to their shareholding.
Nature and purpose of reserves and surplus
Securities premium
Securities Premium represents the amount received
in excess of par value of equity shares. Section 52
of Companies Act, 2013 specify restrictions and
utilisation of security premium.
Capital reserve
Capital reserve has arisen on account of acquisition
of digital business from Living Media India Limited
(Parent Company) w.e.f. January 1, 2018 through
Common Control Business Combination. It further
includes adjustments on account of amalgamation
of newspaper business of Mail Today Newspapers
Private Limited and India Today Online Private Limited
made in earlier years w.e.f. January 1, 2017 through
Common Control Business Combination as well.
General reserve
General reserve represents the statutory reserve, in
accordance with The Companies Act, 1956, wherein a
portion of profit is apportioned to it. Under Companies
Act, 1956 it was mandatory to transfer amount before
a company can declare dividend, however under
Companies Act, 2013 transfer of any amount to
General reserve is at the discretion of the Company.
Retained earnings
Retained earnings represent the undistributed profits
of the Company.
NOTE 11: EMPLOYEE BENEFITS
©Accounting Policy
Short-term obligation
Liabilities for salaries, including non-monetary benefits
that are expected to be settled wholly within 12 months
after the end of the period in which the employees
render the related service are recognised in respect
of employee's services upto the end of the reporting
period and are measured at the amounts expected to
be paid when the liabilities are settled.
The Company operates the following post-employment
schemes:
(a) defined benefit plan, i.e., gratuity
(b) defined contribution plans such as provident fund.
Gratuity plan
The liability or asset recognised in the balance sheet in
respect of defined benefit gratuity plans is the present
value of the defined benefit obligation at the end of
the reporting period less the fair value of plan assets.
The defined benefit obligation is calculated annually
by actuaries using the projected unit credit method.
The present value of the defined benefit obligation is
determined by discounting the estimated future cash
outflows by reference to market yields at the end of
the reporting period on government bonds that have
terms approximating to the terms of the related
obligation.
The net interest cost is calculated by applying the
discount rate to the net balance of the defined benefit
obligation and the fair value of plan assets. This cost is
included in employee benefit expense in the statement
of profit and loss.
Remeasurement gains and losses arising from
experience adjustments and changes in actuarial
assumptions are recognised in the period in which they
occur, directly in other comprehensive income. They
are included in retained earnings in the statement of
changes in equity and in the balance sheet.
Changes in the present value of the defined benefit
obligation resulting from plan amendments or
curtailments are recognised immediately in profit or
loss as past service cost.
Defined contribution plans
The Company pays provident fund and employee
state insurance contributions to government adminis¬
tered Employee Provident Fund Organisation and
Employee State Insurance Corporation respectively.
The Company has no further payment obligations once
the contributions have been paid. The contributions
are accounted for as defined contribution plans and the contributions are recognised as employee benefit
expense when they are due. Prepaid contributions are recognised as an asset to the extent that a cash refund or
a reduction in the future payments is available.
Bonus plans
The Company recognises a liability and an expense for bonuses. The Company recognises a provision where
contractually or statutorily obliged or where there is a past practice that has created a constructive obligation.
Other employee benefits
Compensated absences
The liabilities for earned leave are not expected to be settled wholly within 12 months after the end of the period
in which the employees render the related service. They are therefore measured as the present value of expected
future payments to be made in respect of services provided by employees up to the end of the reporting period using
the projected unit credit method. The benefits are discounted using the market yields at the end of the reporting
period on government bonds that have terms approximating to the terms of the related obligation. Remeasurements
as a result of experience adjustments and changes in actuarial assumptions are recognised in profit or loss.
The obligations are presented as current liabilities in the balance sheet if the entity does not have an unconditional
right to defer settlement for at least twelve months after the reporting period, regardless of when the actual
settlement is expected to occur.
The Company participates in defined contribution and benefit plans, the assets of which are held (where funded)
in separately administered funds.
For defined contribution plans the amount charged to the statement of profit and loss is the total amount of
contributions payable in the year.
For defined benefit plans, the cost of providing benefits under the plans is determined by actuarial valuation
separately each year for each plan using the projected unit credit method by independent qualified actuaries as at
the year end. Remeasurement gains and losses arising in the year are recognised in full in other comprehensive
income for the year.
(i) Defined benefit plans
Gratuity plan
The Company provides for gratuity for employees as per the Payment of Gratuity Act, 1972. The employees who are
in continuous service for a period of 5 years are eligible for gratuity. The amount of gratuity payable on retirement/
termination is the employee's last drawn basic salary per month computed proportionately for 15 day's salary multiplied
with the number of years of service. The gratuity plan is a funded plan and the Company makes contributions to
recognised funds in India. The Company does not fully fund the liability and maintains a target level of funding to be
maintained over a period of time based on estimations of expected gratuity payments. As the estimated payout in next
12 months, from the balance sheet date, for the defined benefit obligation is less that the fair value of plan assets,
hence, the net liability has been considered as non-current.
Sensitivity analysis
The sensitivity of the defined benefit obligation to changes in the weighted principal assumptions is:
Significant actuarial assumptions for the determination of the defined benefit obligation are discount rate, expected
salary increase and mortality. The sensitivity analysis below have been determined based on reasonably possible
changes of the assumptions occurring at the end of the reporting period, while holding all other assumptions
constant.
Sensitivities due to mortality rate and attrition rate are not material & hence impact of change due to these not
calculated.
The Company ensures that investment positions are managed within an asset/liability matching (ALM) framework
that has been developed to achieve long term investments that are in line with the obligations under employee
benefit plans. Within this framework, the Company’s ALM objective is to match assets to the gratuity obligations
by investing in plan assets with recognised gratuity trust which has taken a gratuity policy with the Life Insurance
Corporation of India (LIC) with maturities that match the benefit payments as they fall due.
The Company actively monitors how the duration and the expected yield of the investments are matching
the expected cash outflows arising from the employee benefit obligations. The Company has not changed the
processes to manage its risk from previous periods.
The Company believes the LIC policy offers reasonable returns over the long-term with an acceptable level of risk.
The plan asset mix is in compliance with the requirements of the local regulations.
Defined benefit liability and employer contributions
The Company has agreed that it will aim to eliminate the deficit in defined benefit gratuity plan over the coming
years. Funding levels are monitored on an annual basis and the current agreed contribution rate as advised by the
LIC. The Company considers that the contribution rates set at the last valuation date are sufficient to eliminate the
deficit over the coming years and that regular contributions, which are based on service costs, will not increase
significantly.
Expected contribution to post-employment benefit plan for the year ending March 31,2026 is '4.56 crores.
The weighted average duration of the defined benefit obligation as at March 31,2025 is 7.77 years (March 31,
2024: 7.92 years). The expected maturity analysis of gratuity is as follows:
(ii) Defined contribution plans
The Company also has certain defined contribution plans. Contributions are made to provident fund, employee
pension scheme and employee's state insurance scheme for employees as per regulations. The contributions are
made to registered funds administered by the government. The obligation of the Company is limited to the amount
contributed and it has no further contractual or any constructive obligation. The expense recognised during the
period towards defined contribution plan is '14.03 crores and '0.28 crores (March 31,2024 '13.82 crores and
'0.29 crores) for continuing operations and discontinued operations respectively.
©Accounting Policy
Contract balances
A contract liability includes advance from customer and deferred revenue. Advance from customers is recognised
if a payment is received from a customer before the Company renders the related services. Billing in excess of
revenues is classified as deferred revenue. Contract liabilities are subsequently recognised as revenue when the
Company renders the services under the contract (i.e. transfers control of the related services to the customer).
NOTE 13: REVENUE FROM OPERATIONS
©Accounting Policy
Revenue from operations
The Company’s revenue from operations is mainly from advertisement services. It further includes subscription
income, advertisement income from exchange of services, income from production support services and fees
from training etc.
NOTES FORMING PART OF THE STANDALONE FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2025
Revenue is recognised as per Ind AS 115 "Revenue from contracts with customers”, upon transfer of control of
promised services ("performance obligations”) to customers at transaction price. When there is uncertainty as to
collectability, revenue recognition is postponed till the resolution of such uncertainty.
The Company assesses the services promised in a contract and identifies distinct performance obligations in the
contract. The Company also enters into certain multiple element revenue arrangements for performance of multiple
services including free/ bonus spots along with paid spots. In all cases, the total transaction price for a contract is
allocated amongst the various performance obligations based on their relative stand-alone selling prices.
The transaction price could be either a fixed amount of customer consideration or variable consideration with
elements such as agency incentive, discount etc. Any consideration payable to the customer is adjusted to the
transaction price, unless it is a payment for a distinct service from the customer. The estimated amount of variable
consideration is adjusted in the transaction price only to the extent that it is highly probable that a significant
reversal in the amount of cumulative revenue recognised will not occur and is reassessed at the end of each
reporting period. Revenue is stated exclusive of Goods and Service tax and other taxes and amount collected on
behalf of other parties.
Revenue is recognised:
• when the performance obligation in the contract has been performed (‘point in time’ recognition) or
• as the performance obligation in the contract is performed (‘over time’ recognition).
Following are the streams of business and their revenue recognition principles:
(i) Income from advertisement and other related operations
The Company provides advertisement space on its television news channels Aaj Tak, India Today, Good News
Today and Aaj Tak HD (India and overseas), various websites, mobile apps and social media platforms. Revenue
from such services is recognised at a point in time when the advertisements are displayed/ aired.
(ii) Subscription income
The Company earns subscription income from news channels’ broadcast through various distribution mediums in
India and overseas. This income is recognised over the period of subscription.
(iii) Advertisement income from exchange of services
The Company enters in arrangements for sale of advertisement space on various platforms as mentioned in point
above in exchange of non-cash consideration. Revenue from such services is recognised at a point in time on
actual performance of the contract to the extent of performance completed by the Company against its part of
contract and is measured at standalone selling price of the services of the Company.
(iv) Income from production support services
The Company has formed a content hub which provides support services for producing original series and
features in the non-fiction and fiction space for streaming & audio platforms. Revenue from such production
support services is recognised on completion of each service milestone as per agreement with the customer.
(v) Other miscellaneous revenues
Other miscellaneous revenues include sale of tickets, food & beverages and sponsorships etc. for events and
other miscellaneous activities. Income from all such activities are recognised at a point in time on performance
of obligation.
13(d) The remaining performance obligation disclosure provides the aggregate amount of the transaction price
yet to be recognized as at the end of the reporting period and an explanation as to when the Company expects to
recognize these amounts in revenue. Applying the practical expedient as given in Ind AS 115, the Company has
not disclosed the remaining performance obligation related disclosures for contracts where:
(i) The contract has an original expected duration of not more than 1 year; or
(ii) t he revenue recognized corresponds directly with the value to the customer of the entity’s performance
completed to date, typically those contracts where invoicing is on time and unit of work-based contracts
There are no contracts with the customers where the above mentioned practical expedients are not applicable.
Hence, no additional disclosure have been made in this regard.
©Accounting Policy
Income recognition on financial assets
Interest income from debt instruments is recognised using the effective interest rate method. The effective interest
rate is the rate that exactly discounts estimated future cash receipts through the expected life of the financial
asset to the gross carrying amount of a financial asset. When calculating the effective interest rate, the Company
estimates the expected cash flows by considering all the contractual terms of the financial instrument (for example,
prepayment, extension, call and similar options) but does not consider the expected credit losses.
(v) Reasons for shortfall - Most projects were of long-term in nature and hence funds were utilized based on the need and progress of each project
activities.
(vi) The corporate social responsibility projects undertaken during the year were focussed on the following:
(1) Plantation of trees
(2) Promoting and providing education support
(3) Livelihood enhancing projects
(4) Promoting nationally recognised sports projects
(5) Disaster management
(6) Setting up of public library
(7) Environment sustainability
(vii) The Company has made no provision with respect to a liability incurred by entering into a contractual obligation. Hence, movement in the
provision is not applicable.
* It refers contribution made to Care Today Fund (i.e. the entity over which key managerial personnel exercise significant influence). (note 21)
** The unspent amount as on March 31,2025 out of the amount required to be spent during the year, has been transferred to unspent CSR
account within 30 days from the end of the financial year, in accordance with the Companies Act, 2013 read with the Companies (Corporate Social
Responsibility Policy) Rules, 2014.
NOTE 19: CONTINGENT LIABILITIES
©Accounting Policy
Contingent liability of the Company is a possible obligation arising from past events and whose existence will be
confirmed only by the occurrence or non-occurrence of one or more uncertain future events not wholly within the
control of the entity or a present obligation that arises from past events but is not recognized because it is not
(I) The Company’s pending litigations comprise of claims pertaining to proceedings pending with various direct tax
and other authorities. The Company has adequately provided for where provisions are required or disclosed
as contingent liabilities where applicable, in its standalone financial statements. The Company does not expect
the outcome of these proceedings to have a materially adverse effect on its standalone financial statements.
(II) It is not practicable for the Company to estimate the timings of cash outflows, if any, in respect of the above
pending resolution of the respective proceedings as it is determinable only on receipt of decisions pending
with various authorities.
(g) Terms and conditions of transactions with related parties
(i) Transactions with related parties are made in the normal course of business and on terms equivalent to those
that prevail in arm’s length transactions.
(ii) Transactions relating to dividends were on the same terms and conditions that applied to other shareholders.
(iii) Contribution to gratuity trust and expenses towards Corporate Social Responsibility activities were in
accordance with the applicable laws and regulations.
(iv) All outstanding balances are unsecured and settled in cash, except those against exchange of services, as
mentioned above, which are settled on receipt or provision of service by the parties.
NOTE 22: CAPITAL MANAGEMENT
(a) Risk management
The Company’s objectives when managing capital are to:
- Safeguard its ability to continue as a going concern, so that it can continue to provide returns for shareholders
and benefits for other stakeholders, and
- Maintain an optimal capital structure to reduce the cost of capital.
In order to maintain or adjust the capital structure, the Company may adjust the amount of dividends paid to
shareholders, return capital to shareholders, issue new shares or sell assets to reduce debt.
Net debt (total borrowings amounts net of cash and cash equivalents) divided by total ‘equity’ (as shown in the
balance sheet).
The Company’s strategy is to maintain a gearing ratio within 0% to 10%. The gearing ratios were as follows:
NOTE 25: RADIO BROADCASTING OPERATIONS
The Board of Directors, at its meeting held on January 9, 2025, approved the closure of 104.8 FM Radio Broadcasting
operations comprising three FM radio stations located in Mumbai, Delhi, and Kolkata ("Radio Business”) of the
Company, subject to applicable regulatory approvals and compliance requirements. Subsequently, the Company
received a Letter of Intent from M/s Creative Channel Advertising and Marketing Private Limited ("Creative
Channel”) for purchase of the Radio Business.
On February 25, 2025, the Company entered into a Memorandum of Understanding (MoU) with Creative Channel
for the proposed sale of its Radio Business for a total consideration of '20 crores, on a going concern basis. The
transaction may be executed either directly or through a wholly owned subsidiary of the Company (i.e., Vibgyor
Broadcasting Private Limited or any other wholly owned entity), subject to the fulfilment of agreed contractual
obligations and receipt of requisite regulatory approvals, including those from the Ministry of Information and
Broadcasting, Government of India (MIB). Subsequent to year end, Company has filed application with MIB for
transfer of radio business to Vibgyor Broadcasting Private Limited.
Management has assessed that sale of Radio business is ‘highly probable’ as the regulatory approvals involved
are largely administrative in nature. Hence, in accordance with Ind AS 105 - Non-current Assets Held for Sale and
Discontinued Operations, the operations of the Radio Business have been reclassified and reported as "Profit/
(Loss) from Discontinued Operations” in the Statement of Profit and Loss. Tangible and Intangible Assets of the
Radio Business, which are part of proposed sale to Creative Channel, have been presented as "Assets held
for sale” in the Balance Sheet. The liabilities and other assets pertaining to the Radio Business continue to be
recognized by the Company and have not been transferred as part of the proposed transaction.
Note 25.1: Assets-held-for sale
©Accounting Policy
Non-current assets are classified as held for sale if their carrying amount will be recovered principally through a
sale transaction rather than through continuing use and a sale is considered highly probable. They are measured
at the lower of their carrying amount and fair value less costs to sell, except for assets such as deferred tax assets,
assets arising from employee benefits, financial assets and contractual rights under insurance contracts, which
are specifically exempt from this requirement.
An impairment loss is recognised for any initial or subsequent write-down of the asset to fair value less costs to
sell.
Note 25.2: Discontinued operations
©Accounting Policy
A discontinued operation is a component of the Company that either has been disposed of, or is classified as held
for sale and that represents a separate major line of business.
Discontinued operations are excluded from the results of continuing operations and are presented separately as
‘profit or loss before tax from discontinued operations', ‘tax expense/(income) of discontinued operations', and
‘profit or loss after tax from discontinued operations', in the statement of profit and loss.
NOTE 27: OTHER STATUTORY INFORMATION
(i) The Company does not have any Benami property, where any proceeding has been initiated or pending against
the Company for holding any Benami property under the Benami Transactions (Prohibition) Act, 1988 and rules
made thereunder.
(ii) The Company does not have any transactions with struck off companies under section 248 of Companies Act,
2013 or section 560 of Companies Act, 1956.
(iii) The Company does not have any charges or satisfaction which is yet to be registered with ROC beyond the
statutory period.
(iv) The Company has not traded or invested in Crypto currency or Virtual Currency during the financial year.
(v) The Company has not advanced or loaned or invested funds to any other person(s) or entity(is), including
foreign entities (Intermediaries) with the understanding that the Intermediary shall:
(a) directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on
behalf of the company (Ultimate Beneficiaries)or
(b) provide any guarantee, security or the like to or on behalf of the Ultimate Beneficiaries
(vi) The Company has not received any fund from any person(s) or entity(is), including foreign entities (Funding
Party) with the understanding (whether recorded in writing or otherwise) that the Company shall:
(a) directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on
behalf of the Funding Party (Ultimate Beneficiaries) or
(b) provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries,
(vii) The Company does not have any such transaction which is not recorded in the books of accounts that has
been surrendered or disclosed as income during the year in the tax assessments under the Income Tax Act,
1961 (such as, search or survey or any other relevant provisions of the Income Tax Act, 1961).
(viii) The Company has used the borrowings from banks and financial institution for the specific purpose for which
it was taken.
(ix) Quarterly returns or statements of current assets filed by the Company with banks or financial institutions are
in agreement with the books of accounts.
(x) The Company has not been declared as wilful defaulter by any bank or financial institution or other lender.
NOTE 28:
The Company has used accounting software - SAP for maintaining its books of account which has a feature of
recording audit trail (edit log) facility and the same has operated throughout the year for all relevant transactions
recorded in the software, except that audit trail feature was enabled at the application level for certain specific
tables from June 11, 2024. Further, the audit trail feature is not enabled at database level, which has been
confirmed by the software product owners (SAP) as well. Further, the Company is using certain sub-system for
maintaining and processing of revenue records where audit trail feature is not enabled at a database level.
Additionally, there are no instance of audit trail feature being tampered with and the audit trail has been preserved
as per the statutory requirements for record retention to the extent it was enabled and recorded in respect of
accounting software and sub-system.
NOTE 29:
Certain amounts (currency value or percentages) shown in various tables and paragraphs included in these
financial statements have been rounded off or truncated as deemed appropriate by the management of the
company. The figures for the previous year have been regrouped/ reclassified, wherever necessary, to conform
classification in current year.
NOTE 30: EVENTS AFTER THE REPORTING PERIOD
The board of directors has proposed dividend after the balance sheet date, which is subject to approval by the
shareholders at the annual general meeting. Refer note 22(b) for details. There were no other significant events
after the reporting period.
As per our report of even date
For S.R. Batliboi & Associates LLP For and on behalf of the Board of Directors of T.V. Today Network Limited
Chartered Accountants
ICAI Firm registration No. 101049W / E300004 A?™ Purie„(ur n t KaMiChl,rie [Jhanda,'... d. t
a Chairman and Whole Time Director Vice-Chairperson and Managing Director
DIN:00002794 DIN:00105318
Place: Noida Place: Noida
per Amit Virmani Dinesh Bhatia Yatender Kumar Tyagi Ashish Sabharwal
Partner Group Chief Executive Officer Chief Financial Officer Group Head - Secretarial
Membership No. 504649 PAN: AAJPB8788K ICAI Membership No. 091569 and Company Secretary
Place: Noida Place: Noida Place: Noida Membership No. F4991
Date: May 22, 2025 Date: May 22, 2025 Place: Noida
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