Zee: digital revenue doubles as EBITDA reaches Rs 41.6 crore

Zee Entertainment Enterprises Limited reported Rs 626 crore of digital revenue in Q2 FY27, a 101% year-on-year increase, while disclosed digital EBITDA reached Rs 41.6 crore against a Rs 31.2 crore loss in Q2 FY26. Zee said FIFA 2026 aided revenue growth, alongside 34 shows and movies released during the quarter.

How did Zee's digital business perform in Q2 FY27?

Zee's digital business more than doubled revenue and reported positive EBITDA in Q2 FY27. Revenue rose from Rs 310.8 crore in Q2 FY26 to Rs 626 crore in Q2 FY27, an increase of Rs 315.2 crore that Zee reported as 101% year-on-year growth. The presentation described digital as its fastest-growing vertical during the quarter.

Digital EBITDA improved by Rs 72.8 crore from Q2 FY26, moving from a loss of Rs 31.2 crore to a positive Rs 41.6 crore in Q2 FY27. Revenue also increased by Rs 168.9 crore from Rs 457.1 crore in Q1 FY27, while EBITDA rose from Rs 4.4 crore. The Q4 FY26 EBITDA figure includes a change in the estimated amortisation pattern for movie-rights inventory.

The reported measures cover more than the ZEE5 service. Zee states that its digital revenue and EBITDA include other digital businesses, while EBITDA excludes costs incurred by the business on the ZEEL network. The Rs 41.6 crore figure is therefore the presentation's disclosed digital EBITDA measure rather than a fully allocated digital-business profit figure.

What drove Zee's Q2 FY27 digital revenue growth?

Zee attributed the Q2 FY27 acceleration to FIFA 2026, content releases and operating leverage. It said usage and engagement metrics remained stable during the quarter, and it released 34 shows and movies, including nine originals. The highlighted Q2 FY27 releases included Param Sundari, Jaat, Mangal Blockbuster, The Great ... and Bandar.

The Rs 626 crore result exceeded every quarterly revenue figure shown for the previous four quarters. Revenue rose from Rs 310.8 crore in Q2 FY26 to Rs 418 crore in Q3 FY26 and Rs 470 crore in Q4 FY26, before declining to Rs 457.1 crore in Q1 FY27. Q2 FY27 reversed that Q1 movement and was Rs 156 crore above the prior high of Rs 470 crore in Q4 FY26.

Management described the business as having sustained positive unit economics, driven by growth and operating leverage. The presentation does not provide subscriber numbers, advertising yields, content costs or a split between advertising and subscription revenue. It also does not quantify the revenue contribution from FIFA 2026 or any individual title within the Rs 626 crore total.

How did FIFA 2026 support Zee's digital monetisation?

FIFA 2026 aided digital revenue growth, according to Zee, and live matches accounted for 83% of FIFA watch time on Z5. The company reported about 50 billion minutes of watch time across platforms and reach of more than 400 million across live and non-live viewing. These operating measures were presented alongside the 101% year-on-year digital revenue increase in Q2 FY27.

Zee also reported that 73% of Indians felt highly positive about the Z brand for bringing the FIFA World Cup 2026 to viewers in India. Its FIFA slide cites Meltwater and displays 24 million and 33 million social mentions with a stated 38% growth figure. The presentation does not specify the periods or calculation that link each of those social-mention figures.

Zee said it will showcase key FIFA events for eight consecutive years from 2026 to 2034. That plan establishes a continuing sports-content programme beyond Q2 FY27, but the presentation gives no rights-cost figure, revenue target or profitability forecast for future FIFA events. It also does not separately disclose how much of the Q2 FY27 digital revenue came from FIFA viewing.

What does digital EBITDA mean for Zee's wider results?

Zee's Rs 41.6 crore digital EBITDA was reported in a Q2 FY27 in which consolidated EBITDA was Rs 70.8 crore and the consolidated EBITDA margin was 3.2%. Operating revenue was Rs 2,224.6 crore, up 13% year on year. The company said it continued to invest in new strategic initiatives during the quarter.

Cash and cash equivalents stood at Rs 2,570 crore as of September 2026. Separately, the Z network recorded a 20% all-India TV network share in Week 24 of 2026, compared with 17.9% in Q1 FY27 and 17.4% in FY26. The digital metric includes other digital businesses, whereas the TV-share metric is presented for the Z network.

The digital improvement should also be read against uneven EBITDA outcomes in prior quarters. Disclosed EBITDA was Rs 56.4 crore in Q3 FY26, then a loss of Rs 8.4 crore in Q4 FY26, before turning positive at Rs 4.4 crore in Q1 FY27 and reaching Rs 41.6 crore in Q2 FY27. The presentation's exclusion of ZEEL network costs limits comparison with a fully cost-allocated operating result.

Conclusion

Zee's Q2 FY27 digital result marked a material change from the year-earlier period: revenue rose 101% to Rs 626 crore and disclosed EBITDA moved from a Rs 31.2 crore loss to a Rs 41.6 crore positive figure. FIFA 2026 viewing, 34 releases and management's cited operating leverage were the disclosed mechanisms behind the increase.

The next test is the Q3 FY27 slate, which includes Pooja Meri Jaan, Sumo Didi and Corporate Love Story. Zee's plan to showcase key FIFA events from 2026 to 2034 is also a longer-term factor to watch, although the presentation does not disclose targets for revenue, cost or profitability from that programme.