MUMBAI: In our continuing series, India's Best Kept Secrets, we turn our focus towards the company that owns the highest selling English newspaper in the world Bennett Coleman & Co.  No wonder, then, that Bennett Coleman is India's most profitable media company with what it claims is a 47% market share of English dailies in the urban markets.

Bennett Coleman closed FY08 with sales of over Rs 4,000 crore, net profit of close to Rs 900 crore and an earnings per share (EPS) of Rs 271. A healthy jump over FY07 figures...

There is one big change on its liability side of the balance sheet... from almost a zero debt company in FY07, Bennett Coleman now has over Rs 1,000 crore of loans on its books, though it has not specified the purpose of this borrowing.

Not surprisingly, advertising sales made up over 80% of the company's revenue. The directors report of Bennett Coleman gives more insights into its FY08 operating performance: Flagship brand Times of India grew 11% with average daily net sales up five lakh from FY07 to almost 37 lakh. Most of this growth is coming from the East and South.

Business news daily The Economic Times grew by a modest 6.7% with average daily net sales up by a lakh to 7.75 lakh copies. Mumbai mirror's circulation grew by 16% to almost seven lakh copies.

The directors report acknowledges that it is not an entirely rosy picture.. the report says:  "There is sustained competitive pressure in the general interest English dailies and also the business dailies segments in several markets. However, the inherent strengths of the company's publications, and the marketing, display and brand strategies, should enable registering of decent growth in the coming year."
 
The salary bill for FY08 increased marginally to over Rs 400crore. The top three salaried employees, not surprisingly the promoters of the company - Jain brothers and their mother Shrimati Indu Jain, drew a whopping Rs 16 crore per annum in remuneration.

Bennett Coleman FY08
Total Income - Rs 4,203cr (Up 26%)
Net Profit   - Rs   864cr (Up 52%)
EPS - Rs 271
General Reserves - Rs 4,221cr

Advertising Revenue
FY08 - Rs 3,549cr (up 26% )

Daily Newspaper Sales
Times of India - 37 lakh
Economic Times - 7.7 lakh
Mumbai Mirror - 6.98 lakh

FY08 Remuneration
Ms Indu Jain (chairman) - Rs 15.68cr
Mr Samir Jain (VC & MD ) - Rs 16.05cr
Mr Vineet Jain ( MD ) - Rs 16.41cr

FY08 Debt
Secured Loans - Rs 521cr
Unsecured Loans - Rs 830cr

Also Read: Best Kept Secrets: Tata Sons - 2