Kasturi & Sons may take a hit in FY 14

According to market reports, the Chennai-based Kasturi & Sons Ltd's (KSL) will see marginal growth in its revenues. This is in spite of its profits taking a hit due to the launch of a Tamil newspaper.

28 Jan 2014 | By PrintWeek India

To rewind a bit, KSL clocked revenues of around Rs 1,100 crore in 2012-13. In 2013-14, the newspaper giant is expected to report a marginal growth of four to five per cent. This meant its profits are Rs 60-65 crore in 2012-13. Industry watchers are concerned; this number may take a hit in FY14.

According to a report in a prominent business daily, "The drop in bottom line was attributed to the recently launched Tamil daily by KSL, which did not take off as expected. "The Tamil paper launch has affected the bottom line and was not along estimated lines."

Meanwhile as our sister publication, Campaign India, has reported, The Hindu had increased advertisement rates by 15-20 per cent in August, but, on the other side, the past two years' discount levels were high. Industry sources have attributed the drop to the Tamil Daily which was launched by KSL last year.

Glimpses of the The Hindu plant in Bengaluru