CyberMedia Records 40% YoY Increase in Net Profit for FY’06

New Delhi, Delhi, India , 2006-05-18


-- Total Income up by 21% YoY
-- EBITDA margin at 15.3%

Financial Highlights (Consolidated) - FY’06 v/s FY’05

Revenue Analysis

Gross Income up by 21% YoY to Rs 805.5mn compared to Rs 667.7mn

Media segment revenue increased by 29% to Rs 637.9mn due to:

-- Increase in revenues from publishing business by 43% YoY to Rs 559.6mn driven by 18.5% increase in number of ad pages as well as increase in ad rates.
-- Increase in revenues from online business by 42% YoY to Rs 55.7mn with increase in monthly page views to 45.3mn from 12.5mn.
-- Revenue from events business down to Rs 22.7mn from Rs 62.5mn due to planned strategy to exit low margin events.

Media Services revenue increased by 2% to Rs 198.5mn

-- Revenue from research business increased by 47% YoY to Rs 121.8mn
-- New Business initiatives contributed Rs 16.7mn in FY’06
- Content Services - Rs 14.9mn with 33 clients
- Job Board business - Rs 1.8mn
-- Revenue from Digital business down to Rs 60.0mn from 111.8mn due to planned strategy of reduced focus in low value added multimedia business.

Margin Analysis

EBITDA up by 37% YoY to Rs 123.2mn from Rs 89.9mn

EBITDA margin increased to 15.3% YoY from 13.5% due to:

-- Increase in margin in publication business to 20.2% YoY from 16.9% on account of growth in ad pages and increase in ad rates.
-- Increase in margin in online business to 24.0% YoY from 13.9% on account of economies of scale.
-- Planned, phased exit from low margin event and multimedia businesses, which contributed 9.9% to the total revenue in FY’06 from 25.3% in FY’05.

Margin increase was despite start up losses in new business initiatives:

-- Operating loss of Rs 12.3mn in job board business
-- Operating loss of Rs 16.8mn in Content Services business

Net Profit up by 40% YoY to Rs 60.2mn from Rs 43.1mn due to:

-- Higher sales and improved EBIDTA margin

CyberMedia records 12% YoY increase in net profit for Q4 2005-06

-- Total Income up by 35% YoY.
-- EBITDA margins at 11.9%.

Financial Highlights (Consolidated)

-- Gross Income up by 35% YoY to Rs 218.8mn compared to Rs 162.0mn
-- EBITDA increased by 31% YoY to Rs 25.9mn from Rs 19.8mn in Q4 2004-05
-- EBITDA margin decreased to 11.9% from 12.2% in Q4 2004-05, due to the investment phase of new businesses.
-- Net Profit up by 12% to Rs 12.3mn from Rs 11.0mn in Q4 2004-05.

Operational Highlights

Acquired a strategic stake of 20% for $1mn in Sx2 Media Labs LLC, the publishers of Computer Shopper, Digital Living and College Buying Guide, for strengthening synergies in the international market.

-- The business has a revenue of $16mn and EBITDA of $2mn.
-- The Computer Shopper Magazine, with a circulation in excess of 450,000, is amongst the top three B2C computer magazines in the world.

Good response to global initiatives:

-- Global Services, launched in Feb’06, recorded opt-ins of 16,000 in the first 2 months. Signed up with marquee clients including Infosys, Genpact and HCL.
-- BioSpectrum Asia, launched in Jan’06, reaches 5,000 members. Signed up with marquee clients including Invitrogen, Agilent and Applied Bio Systems.

-- Additional investment of $1mn in Job Board by Cyber Media and Dice Inc. Clients of Job Board totalled 95, with number of registered users aggregating to 251,000.

About CyberMedia (India) Ltd.

CyberMedia is South Asia's first and largest specialty media house with:

-- Twelve publications (including Dataquest and PCQuest) in the infotech, telecom, consumer electronics and biotech areas
-- An end-to-end Media value chain including the internet (www.ciol.com), events and television
-- Media Services include market research (IDC India), job board (CyberMedia Dice), content outsourcing, multimedia, and media education

CyberMedia’s products reach out to 1.2mn readers and 0.7mn online community. Its publications are leaders in their respective categories.

For further information on company please visit www.cybermedia.co.in

Forward Looking Statement

Certain statements in this document with words or phrases such as “will”, “should”, etc., and similar expressions or variation of these expressions or those concerning our future prospects are forward looking statements. Actual results may differ materially from those suggested by the forward looking statements due to a number of risks or uncertainties associated with the expectations. These risks and uncertainties include, but are not limited to, our ability to successfully implement our strategy and changes in government policies. The company may, from time to time, make additional written and oral forward looking statements, including statements contained in the company’s filings with the stock exchanges and our reports to shareholders. The company does not undertake to update any forward-looking statements that may be made from time to time by or on behalf of the company.


Contact

Pramiti Bhargava, Cyber Media (India) Ltd, +91 (0124) 2384816
[email protected]