Industry Profile: India is the home of the world’s largest film industry. The Indian Media and Entertainment (M&E) industry is a sunrise sector for the economy and is making high growth strides. Proving its resilience to the world, the Indian M&E industry is on the cusp of a decisive phase of growth, backed by rising consumer demand and improving advertising revenues. Over the last decade, the industry has been largely driven by increasing digitization and higher internet usage. As a result, the Internet has almost become a mainstream media for entertainment for most people. Indian media and entertainment (M&E) industry grew at a CAGR of 18.55 percent from 2011-2017; it is expected to grow at a CAGR of 13.9 percent to touch US$ 37.55 billion by 2021 from US$ 22.75 billion in 2017. The industry employs 3.5-4 million people, including direct and indirect employment, as of 2017.
The following five years will see digital technologies increase their influence across the industry-leading to a sea change in consumer behavior across all segments. The entertainment industry is projected to be more than US$ 62.2 billion by FY25. The entertainment industry continues to be dominated by the television segment, accounting for 44.24 percent of revenue share in 2016, which is expected to grow further to 48.18 percent by 2021. The Indian advertising industry is projected to be Asia’s second-fastest advertising market after China. Currently, advertising revenue accounts for around 0.38 percent of India’s gross domestic product.
Company Profile: Sun TV is Asia’s most prominent media house. The company owns a variety of television channels and radio stations in multiple languages. Its flagship channel is Sun TV, India’s first privately owned Tamil channel. Sun group also holds ownership of the IPL team Sunrisers Hyderabad.
It operates television channels in approximately four South Indian languages to viewers in India and Sri Lanka, Singapore, Malaysia, the United Kingdom, Europe, the Middle East, the United States, Australia, South Africa, and Canada. In addition, it operates the Sun TV channel. Its other satellite channels are Surya TV, Gemini TV, and Udaya TV. It is also in the business of frequency modulation (FM) radio broadcasting in Chennai, Coimbatore, and Tirunelveli. In addition, it has a presence across various genres, such as general entertainment, movies, music, news, kids, action, and life.
Shareholding Pattern: BSE Data
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Future Prospects: IPL is a very significant brand value. The brand value of Sunrisers Hyderabad is the third biggest among IPL, with 46.5 million. Media is a powerful force in ttoday’slife. But as Internet speed increases, there is more risk emerging. DTH is one big part, but reliance on jio is making a threat as 5G is ready to enter India, and Youtube, Amazon Prime, Hotstar, NetFlix, and ZEE5 are their online ways to see TV.
