Zee Entertainment Q2 revenue rises 13% as digital drives revenue growth

Zee Entertainment has recorded a 13% jump in its total income to ₹2,2246 million in Q2 FY27, from ₹1,995.6 million in the corresponding quarter of the preceding fiscal. Zee 5 recorded its highest-ever quarterly revenues at ₹6260 million, a YoY growth of 101%, despite the volatile geopolitical conditions due to the conflicts in Europe and West Asia.

Digital driving revenue growth

The revenue growth was driven by massive subscriptions to FIFA 2026 broadcasting, reaching over 400 million+ viewers and 50 billion+ minutes of watch time. The broadcast of FIFA 2026 also boosted a sequential increase of nearly 20% in advertising revenue for the second quarter, recovering from the previous quarter. Year-on-year domestic advertising revenue remained flat at ₹803 crore. This sports-led strategy successfully transformed the OTT segment's economics, pushing ZEE5 into a positive EBITDA of ₹416 million for the quarter, compared with a loss of ₹312 million in Q2 FY26. Zee Music also grew stronger, garnering over 59 billion total video views during the quarter and registering over 179 million subscribers on YouTube alone.

“Despite the volatile geopolitical environment and macroeconomic headwinds that led to a subdued sentiment, the Company’s entrepreneurial spirit, pioneering vision and prudent approach, enabled it to stay ahead of the curve,” said CEO Punit Goenka.

"I am glad to share that Zee 5’s revenues doubled, year on year, charting a strong growth trajectory. Multi-lingual entertainment offerings and global sports content have led to a healthy gain in the overall subscription revenues, with a 30% increase, year on year," he added.

Costs and liquidity

Total expenditure rose 18% year-on-year to ₹21,538 million, outpacing revenue growth. Zee attributed the increase to programming costs for FIFA 2026 and expanded content, as well as higher advertising and marketing spend on FIFA, Bullet and its music business. It also released fewer movies during the quarter.

For the first half of FY27, operating revenue rose 9% to ₹41,319 million, but EBITDA fell 60% to ₹1,497 million, and PAT declined 46% to ₹1,199 million. Zee said the West Asia crisis affected the advertising environment, while investments in new strategic initiatives reduced profitability.

The company maintained a strong liquidity position, with cash and treasury investments of ₹25,694 million as of September 2026. Zee said the upcoming festive season is expected to support advertising revenue growth, while its FIFA rights run through 2034, giving it a multi-year sports and digital monetisation platform.