Zee Entertainment’s President and Chief Technology Officer Resigns Amid Company Restructuring

Mar 19, 2024: Zee Entertainment Enterprises Ltd made a significant announcement on Friday, revealing the resignation of its president and group chief technology officer, Nitin Mittal, marking the end of his three-year tenure. This departure coincides with strategic alterations in the technology and data sector, led by managing director and CEO Punit Goenka.

Mittal’s exit closely follows the departure of Rahul Johri, the president of business, who left the company last week after a tenure of three and a half years.

In a statement released on Friday, Zee highlighted, “Under the guidance of the Board and in line with the strategic approach undertaken by the MD and CEO, significant steps are being implemented to build a new lateral structure that lays a sharper emphasis on accountability and results.”

During this transitional phase, Amrit Thomas, Kishore Krishnamurthy, Bhushan Kolleri, and Vishal Somani will temporarily take on key responsibilities within the organization, reporting to Amit Goenka, president – digital businesses and platforms.

The recent earnings call disclosed Zee’s strategic three-fold approach, focusing on cost reduction, business streamlining, and quality enhancement to recapture margins, following the collapse of its merger with Sony Pictures Entertainment.

Punit Goenka emphasized the company’s commitment to frugality, quality, and output optimization across technology, content, and marketing sectors. He also highlighted efforts to enhance value delivery to advertisers and explore alternative content monetization avenues.

Goenka expressed optimism regarding a gradual margin recovery, targeting an 18%-20% EBITDA margin by FY26, with anticipated earnings improvement in the second half of fiscal year 2025.

Zee Entertainment’s net profit witnessed a 6.4% year-on-year decline to ₹53.4 crore in the third quarter of FY24, with operating revenue standing at ₹2,045.7 crore compared to ₹2,108.8 crore a year ago.

The formal termination of the merger agreement with Sony Pictures Entertainment on 22 January further underscores Zee’s ongoing strategic realignment efforts.