Jagran Revenue Rises 6% as Q2 Profit After Tax Falls 25%

Jagran Prakashan Limited reported Q2FY27 consolidated operating revenue of Rs 493.44 crore, up 6% year on year, but profit after tax fell 25% to Rs 42.82 crore as raw-material expense increased 27% to Rs 136.37 crore and operating margin declined to 11.62% from 14.25%.

Why did Jagran’s profit fall despite revenue growth in Q2FY27?

Jagran’s profit fell because operating expenses rose faster than revenue in Q2FY27, with raw-material costs accounting for the largest disclosed increase. Consolidated operating revenue increased by Rs 26.08 crore from Rs 467.36 crore in Q2FY26, while operating profit declined by Rs 9.26 crore to Rs 57.32 crore. Profit before tax decreased 18% to Rs 58.18 crore, and profit after tax declined by Rs 14.12 crore from Rs 56.94 crore.

Raw-material expense rose to Rs 136.37 crore from Rs 107.31 crore, a 27% increase, whereas total operating revenue grew 6%. Jagran attributed the increase in operating expenses primarily to higher raw-material prices. Manpower cost also rose by Rs 6.06 crore to Rs 116.44 crore, while other expenses increased by Rs 1.25 crore to Rs 173.22 crore. Other income fell to Rs 22.52 crore from Rs 30.60 crore, adding to the reduction in profit before tax.

What happened to Jagran’s revenue mix during the quarter?

Jagran’s revenue growth came primarily from advertising and other operating income, while circulation revenue declined. Advertisement revenue rose by Rs 20.00 crore to Rs 346.69 crore in Q2FY27, compared with Rs 326.69 crore a year earlier. Other operating income increased by Rs 6.83 crore to Rs 66.50 crore, while circulation revenue slipped by Rs 0.75 crore to Rs 80.25 crore.

On a sequential basis, operating revenue was 1% lower than Rs 499.35 crore in Q1FY27. Advertisement revenue was Rs 343.56 crore in Q1FY27, so the Q2FY27 figure was higher by Rs 3.13 crore, but circulation revenue declined by Rs 4.53 crore from Rs 84.78 crore. Other operating income fell by Rs 4.51 crore from Rs 71.01 crore quarter on quarter.

For the first half, operating revenue rose 7% to Rs 992.79 crore from Rs 927.41 crore in H1FY26. H1 advertisement revenue increased to Rs 690.25 crore from Rs 638.27 crore, while circulation revenue was lower at Rs 165.03 crore versus Rs 165.85 crore. The presentation said the entire festive season shifted to Q3FY27, affecting the timing of print and radio advertising demand in Q2.

Which Jagran businesses gained or lost profitability in Q2FY27?

Jagran’s radio and digital operations improved year on year, but print and other publications recorded lower operating profit. Dainik Jagran’s operating profit fell to Rs 50.17 crore from Rs 68.87 crore, reducing its operating margin to 16.09% from 23.01%. The presentation linked print profitability pressure to higher newsprint prices amid geopolitical disruption to supply chains.

The radio business moved to an operating profit of Rs 6.15 crore from an operating loss of Rs 5.49 crore, although its revenue of Rs 40.96 crore was below Rs 44.54 crore in Q1FY27. Radio City’s market share was 19% in Q2FY27, and the share of the top 25 radio spenders increased to 21.5% from 16.3%. Jagran attributed the profitability improvement to cost-rationalisation and operational-efficiency measures.

Digital (Print) revenue increased 24% to Rs 26.81 crore and the business made an operating profit of Rs 1.16 crore, compared with an operating loss of Rs 2.90 crore a year earlier. Outdoor and Event revenue rose to Rs 57.42 crore from Rs 52.40 crore, but operating profit declined to Rs 1.55 crore from Rs 2.05 crore. Jagran said new outdoor inventories were in a gestation period, while asset-based outdoor and activation businesses supported segment revenue.

How did Jagran’s first-half earnings and financial position change?

Jagran’s H1FY27 profit after tax fell 16% to Rs 104.05 crore despite 7% revenue growth, extending the quarterly margin pressure into the first half. Operating profit declined 2% to Rs 127.35 crore from Rs 130.37 crore, and operating margin reduced to 12.83% from 14.06%. Profit before tax decreased 14% to Rs 139.20 crore from Rs 161.50 crore.

Net cash inflow from operating activities was Rs 59.22 crore in H1FY27, compared with Rs 123.28 crore in H1FY26. Cash generated from operations declined to Rs 90.61 crore from Rs 157.55 crore, while investing activities produced a net cash inflow of Rs 183.23 crore, compared with an outflow of Rs 14.41 crore a year earlier. Cash and cash equivalents at the end of the period were Rs 36.70 crore, versus Rs 49.81 crore at the beginning of H1FY27.

Jagran reported total assets of Rs 2,676.25 crore at September 2026, compared with Rs 2,709.16 crore at March 2026. Current borrowings decreased to Rs 16.75 crore from Rs 35.66 crore, while trade payables other than those due to micro and small enterprises rose to Rs 202.25 crore from Rs 127.89 crore. The group also stated that it had net cash of more than Rs 1,000 crore.

Conclusion

Taken together, Q2FY27 showed a split in Jagran’s operating performance. Radio and Digital (Print) returned to operating profit, while Dainik Jagran, Other Publications and Outdoor and Event reported lower operating profit year on year. The decline in consolidated operating margin to 11.62% reflected the effect of higher raw-material costs, including newsprint, alongside lower other income.

The next period will show the effect of the festive season moving to Q3FY27, which management said affected Q2 print and radio demand. Management also expects circulation initiatives to support improvement, while Jagran’s digital-platform investments remain part of its stated long-term growth plan after Digital (Print) generated Rs 26.81 crore of Q2FY27 revenue.