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Diligent Media Corporation
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Diligent Media Corporation Ltd was incorporated in the State of Maharashtra on 17th February 2005, as a Joint Venture between Essel Group and Bhaskar Group, India's leading media giants and began its journey with launch of Mumbai edition of Daily News Analysis (DNA), an English daily broadsheet, in July 2005. Bhaskar group exited the JV in 2012, after which the Company was consolidated under Zee Media Corporation Limited, an Essel Group Company, as a step-down subsidiary. With the changes in regulatory landscape and considering the scale achieved, the Print media business was demerged and consolidated independently under the Company as a part of strategic move. The company is presently involved in printing, publication and distribution of newspapers and printing of books and other periodicals businesses.
The restructuring was affected through a Scheme of Arrangement and Amalgamation that was approved by the Mumbai Bench of Hon'ble National Company Law Tribunal (NCLT) by its order dated 8th June 2017. Under the scheme, the Print Media Undertaking of Zee Media Corporation Limited along with its equity investment in 2 print media subsidiaries viz. Mediavest India Pvt Ltd and Pri-Media Services Pvt Ltd, was demerged and vested with the Company and upon such vesting, the said print Media subsidiaries viz. Mediavest India Private Limited and Pri-Media Services Private Limited got amalgamated with the Company with effect from Appointed Date of April 1, 2017. Accordingly, the entire Print Media business comprising of Printing & Publication of DNA' Newspaper and Marathi Magazine Zee Marathi Disha' along with Digital News Media business was vested with the Company. As per the Scheme, the entire pre-Scheme Paid-up Equity Share Capital of the Company was cancelled and in consideration of the Demerger of Print Media Undertaking, then Company had issued and allotted an aggregate of 11,77,08,018 Equity Shares of Re.1 each to the Shareholders of Zee Media Corporation Limited. The shares of the Company got listed and commenced trading on BSE Limited and National Stock Exchange of India Limited on and from December 11, 2017.
The Company discontinued its printing and publication business since October 2019. During the year 2021, the Company had arrived at settlement with the workers at the printing press and initiated steps for completion of necessary formalities for executing such Settlement Agreement. Now the company concentrates its efforts to build and grow its Online News Media business.
Pursuant to the Shareholders approval at the AGM held on September 19, 2019, the Company management has taken active steps for selling Printing Press assets including Land, Building and Plant & Machinery. During the year 2021, the Company had arrived at settlement with the workers at the printing press and initiated steps for completion of necessary formalities for executing such Settlement Agreement.
During the year 2021, Zee Media Corporation Limited, the Corporate Guarantor for Company's outstanding Non-convertible Debentures (NCDs) & erstwhile Holding Company of the Company, discharged Company's NCD liability at total consideration of Rs. 290 Crores. Consequently, the said NCDs stood redeemed, and Company is now liable to pay Rs. 290 Crores to Zee Media Corporation Ltd. As a part of business strategy, the Company proposes to enter into Revenue Sharing Arrangement for Digital Media business with Rapidcube Technologies Pvt Ltd, a related party. Other than content creation, it proposes to avail the services from Essel Infraprojects Limited and Digital Subscriber Management and Consultancy Services Private Limited, respectively.
Diligent Media Corporation share price reflects investor sentiment toward the company and is impacted by various factors such as financial performance, market trends, and economic conditions. Share price is an indicator which shows the current value of the company's shares at which buyers or sellers can transact.
Market capitalization of Diligent Media Corporation indicates the total value of its outstanding shares. Marketcap is calculated by multiplying share price and outstanding shares of the company. It is a helpful metric for assessing the company's size and market Valuation. It also helps investors understand how Diligent Media Corporation is valued compared to its competitors.
Diligent Media Corporation PE ratio helps investors understand what is the market value of each stock compared to Diligent Media Corporation 's earnings. A PE ratio higher than the average industry PE could indicate an overvaluation of the stock, whereas a lower PE compared to the average industry PE could indicate an undervaluation.
The PEG ratio of Diligent Media Corporation evaluates its PE ratio in relation to its growth rate. A PEG ratio of 1 indicates a fair value, a PEG ratio of less than 1 indicates undervaluation, and a PEG ratio of more than 1 indicates overvaluation.
Return on Equity (ROE) measures how effectively Diligent Media Corporation generates profit from shareholders' equity. A higher ROE of more than 20% indicates better financial performance in terms of profitability.
Return on Capital Employed (ROCE) evaluates the profitability of Diligent Media Corporation in relation to its capital employed. In simple terms, ROCE provides insight to investors as to how well the company is utilizing the capital deployed. A high ROCE of more than 20% shows that the business is making profitable use of its capital.
Total debt of Diligent Media Corporation shows how much the company owes to either banks or individual creditors. In simple terms, this is the amount the company has to repay. Total debt can be a very useful metric to show the financial health of the company. Total debt more than equity is considered to be a bad sign.
The Debt-to-Equity (DE) ratio of Diligent Media Corporation compares its total debt to shareholders' equity. A higher Debt to Equity ratio could indicate higher financial risk, while a lower ratio suggests that the company is managing its debt efficiently.
CAGR shows the consistent growth rate of Diligent Media Corporation over a specific period, whether it is over a month, a year, or 10 years. It is a key metric to evaluate the company’s long-term growth potential. Main metrics for which CAGR is calculated are net sales, net profit, operating profit, and stock returns.
Technical analysis of Diligent Media Corporation helps investors get an insight into when they can enter or exit the stock. Key components of Diligent Media Corporation Technical Analysis include:
There are usually multiple support levels, but the main support levels for a stock are S1, S2, S3. Support levels indicate price points where stock might get support from buyers, helping the stock stop falling and rise.
There are usually multiple resistance levels, but the main resistance levels for a stock are R1, R2, R3. Resistance levels represent price points where Diligent Media Corporation shares often struggle to rise above due to selling pressure.
Dividends refer to the portion of the company’s profits distributed to its shareholders. Dividends are typically paid out in cash and reflect Diligent Media Corporation ’s financial health and profitability.
Bonus shares are usually given by companies to make the stock more affordable, increase liquidity, boost investor confidence, and more.
Stock split increases the number of its outstanding shares by dividing each existing share into multiple shares. When the company offers a stock split, the face value of the stock reduces in the same proportion as the split ratio.
The financials of Diligent Media Corporation provide a complete view to investors about its net sales, net profit, operating profits, expenses, and overall financial health. Investors can analyze financial data to assess the company’s stability and also understand how the company has been growing financially.
The profit and loss statement of Diligent Media Corporation highlights its net sales, net profit, total expenditure, and operating profits in the current financial year. This Profit and Loss statement is crucial for evaluating the profitability and financial stability of Diligent Media Corporation .
The balance sheet presents a snapshot of Diligent Media Corporation ’s assets, liabilities, and equity of shareholders, providing insights into the financials of the company.
Cashflow statements track the company's cash inflows and outflows over a period. It is an essential tool for understanding how well the company manages its liquidity and finances.