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Hindustan Times Media (HT Media) has posted a 44% increase in its net profit for the first quarter ending June 30, 2010. The net profit after tax for the period stood at 414 million against a net profit of Rs 287 million in the corresponding quarter last year.

The positive rise in the financial is backed b greater volume growth coupled with higher advertising and circulation revenues.

Commenting on the performance for Q1 FY2011, Mrs. Shobhana Bhartia, Chairperson and Editorial Director, HT Media, said, “We are encouraged by a strong start to FY2011. Our revenues have grown on the back of expanding readership base, strong product innovation and visible improvement in the advertising environment. A strengthening macro environment combined with a focused approach across all our key businesses gives us the confidence in continued strong performance going forward.”

Total revenues for the Q1 FY11 were registered at Rs 4042 million. The figure highlights a 20% rise compared to total revenues of Rs 3366 million in Q1 FY10.

The advertising revenues of print segment were reported at Rs 3286 million marking an increase of 22% from Rs 2694 million. The circulation revenues rise 6% from Rs 444 million last year to Rs 468 million in the current quarter.

The radio business of the company, operated under the brand name Fever FM, has posted 39% increase in the revenues at Rs 123 million from Rs 88 million.

EBITDA increased to Rs. 857 million from Rs. 644 million and the EBIDTA margin expands to 21% from 19%. HT credits the improvement in EBITDA to robust advertising revenue, lower newsprint prices and continuing impact of various cost optimization measures adopted by the Company. Besides, contribution from businesses of Radio and Firefly e-Ventures has also increased.

During the quarter, Hindustan Media Ventures Limited (HMVL), the 98.5% subsidiary of the company which houses the Hindi publication business of the Group, was listed on the bourses. The proceeds from the IPO for HMVL will be utilised in expansion, upgradation and prepayment of loans.

The Hindi business of HT Media has witnessed robust growth with 20% increase in revenues to Rs 1328 million from Rs 1104 million. Advertising revenues grew by 24% and circulation revenues increased by 4%. The EBITDA for the quarter stood at Rs. 332 million.

During the quarter, HT Media also expanded the footprint of it English business newspaper, Mint. The company has established a new printing facility for the Berliner newspaper in the city of Ahmedabad (Gujarat).

For the future, HT Media would continue investments in the digital space to build new long term growth engines. The media firm also seeks to increase returns in new businesses like Radio, Burda JV and ‘Mint’ to contribute towards revenue growth and improved profitability.