For 2QFY2016, Jagran Prakashan (JPL)s consolidated top-line grew by 19% yoy, mainly due to strong growth in the advertisement segment. The acquisition of the Radio City business in 1QFY2016 added to the advertising revenue. However, circulation revenue showed lower growth during the quarter. The company reported strong profitability on a consolidated basis due to falling news print costs and with contribution from Radio City. Ad revenue up ~27% yoy, Circulation revenue up ~4% yoy: The companys advertising revenue growth for the quarter was healthy at ~27% yoy to ~Rs520cr, primarily driven by increase in print revenue and radio advertisement revenue. Circulation revenue was up 4% yoy to Rs100cr due to increase in cover prices. However, income from other businesses declined by ~7% yoy to ~Rs31cr. Consequently, the consolidated top-line grew by ~19% yoy to~ Rs520cr. OPM improves: The consolidated operating profit grew by ~38% yoy to Rs147cr and the OPM expanded by 393bp yoy to 28.2% owing to lower raw material cost. This led to a strong reported net profit growth of ~61% yoy to Rs91cr (including profits from the radio business). Outlook and valuation: Considering Dainik Jagrans status as the most read Hindi newspaper in the country and its...