Sun TV Network Limited (SUNTV) Q4 2021 earnings concall dated Jun. 11, 2021
Corporate Participants:
S.L. Narayanan — Group Chief Financial Officer
V.C. Unnikrishnan — Chief Financial Officer
R. Mahesh Kumar — Managing Director
Analysts:
Ankur Periwal — Axis Capital Limited — Analyst
Jiten Doshi — Enam Asset Management — Analyst
Neeraj Save — Sun Life Financial Services, LLP — Analyst
Venkatesh Subramanian — LogicTree — Analyst
Mohit Kumra — Kumra Investment Company — Analyst
Kunal Vora — BNP Paribas — Analyst
Dixit Doshi — Whitestone Financial Advisors — Analyst
Yogesh Kirve — B&K Securities — Analyst
Jaykumar Doshi — Kotak — Analyst
Arun Prasath — Spark Capital — Analyst
Presentation:
Operator
Ladies and gentlemen, good day and welcome to the Sun TV Q4 FY ’21 Results Conference Call hosted by Axis Capital Limited. [Operator Instructions] Please note that this conference is being recorded.
I now hand the conference over to Mr. Ankur Periwal from Axis Capital Limited. Thank you. And over to you, sir.
Ankur Periwal — Axis Capital Limited — Analyst
Yeah. Thank you, Ayesha. And good evening, friends and welcome to Sun TV Network Limited’s Q4 and FY ’21 earnings call. As usual, from the management side, we have with us Mr. R. Mahesh Kumar, Managing Director; Mr. S.L. Narayanan, Group CFO; and Mr. V.C. Unnikrishnan, CFO.
S.L., would you like to add any opening remarks or should we directly jump into the Q&A?
S.L. Narayanan — Group Chief Financial Officer
Yeah. I will take just a few minutes because a very important development has happened during the quarter, which is the Vivad se Vishwas scheme, which we have arrived. So I just need a couple of minutes to put that in perspective, because it will preempt a lot of questions. Because that would be of interest to every analyst on the call. So let’s start?
Ankur Periwal — Axis Capital Limited — Analyst
Yeah, S.L. Please go ahead.
S.L. Narayanan — Group Chief Financial Officer
Yeah. Good evening, ladies and gentlemen. Many of you are aware about the expensing policy of Sun TV with respect to satellite broadcast rights. We have always charged off the entire amount in full in the books in the year in which it has had. And that is consistent with the policy that’s been adopted without tax filings as well. And we’ve had some issues in the past where the tax department had treated these rights as long-lived assets and disputed our claim for full deduction. And it had gone into litigation. And consistently we’ve been winning at the Appellate Authority, whereby our claim of 100% tax reduction has been upheld. But because the department had gone on appeal to a higher Appellate Authority, we’ve been disclosing this as a contingent liability.
The Vivad se Vishwas scheme provided an opportunity for us to settle this and get rid of all the uncertainties and the potential risks of interest in case it goes against us at subsequent appellate stages. So we decided to settle this with the department. So we got rid of almost INR951 crores of contingent liabilities by paying the differential. And as a result of which, we’ve been able to create deferred tax assets of almost INR400 crores. The net — the total amount paid was INR250 crores, which is for the last three assessment years where it is…
V.C. Unnikrishnan — Chief Financial Officer
From 2003-’04 to ’19-’20.
S.L. Narayanan — Group Chief Financial Officer
Yeah, okay. So, the net impact is about INR38 crores of writeback in provisions for taxation. And that has been taken in the quarterly accounts. So that’s the only point I just want to mention before we get into the call.
Now we can start the Q&A.
Questions and Answers:
Thank you very much. [Operator Instructions] Thank you. The first question is from the line of Jiten Doshi from Enam Asset Management. Please go ahead.
Jiten Doshi — Enam Asset Management — Analyst
Yeah. Good evening, S.L. and team. Congratulations on a good result in a very challenging environment. I think you’ll have navigated the environment very well. There was no mention of any further dividends in your press release. So, what was the total dividend that you all paid out for the year?
S.L. Narayanan — Group Chief Financial Officer
We paid out 100% [Phonetic] last year.
Jiten Doshi — Enam Asset Management — Analyst
So, have you all changed the dividend policy?
S.L. Narayanan — Group Chief Financial Officer
Today, the Board has not made any fresh announcements. That is possible during the — current fiscal, they should take a call on.
Jiten Doshi — Enam Asset Management — Analyst
You mean, for the last year, the dividend paid out is only INR5?
S.L. Narayanan — Group Chief Financial Officer
Yes, sir.
Jiten Doshi — Enam Asset Management — Analyst
Okay. Any reason why there is a sudden change in the dividend distribution policy of the company?
S.L. Narayanan — Group Chief Financial Officer
It depends — actually we are living through some very tough times. And there is also some rumors of a third wave — potential third wave. So, we just were grappling these issues. I mean, I know you are a great watery for liberal distribution, which we have done in the past. But in the last 12 months, we have seen some extreme volatility in business sentiment. We thought by March, everything was over. Because from December to March, we saw a fairly good uptick in the traction for ad revenues. But then suddenly towards the end of the quarter and the beginning of the June quarter, we saw all kinds of volatility arising out of the second wave. So, primarily because of that, we just want to make sure that the company is in very safe ground. We just want to make sure that we’re getting out of the difficult situation and a firm trajectory is established, whereby we can see some degree of visibility that…
Jiten Doshi — Enam Asset Management — Analyst
So what is your cash balance today, S.L.?
S.L. Narayanan — Group Chief Financial Officer
About INR3,800 crores.
Jiten Doshi — Enam Asset Management — Analyst
And what are your gross total expenditure of the year — last year?
S.L. Narayanan — Group Chief Financial Officer
INR1,071 crores, sir.
Jiten Doshi — Enam Asset Management — Analyst
Sorry?
S.L. Narayanan — Group Chief Financial Officer
INR1,071 crores.
Jiten Doshi — Enam Asset Management — Analyst
INR1,071 crores is your gross total expenditure and INR3,800 crores is your cash. So, are you suggesting that even if the business to shut for three months, we will need so much of cash?
S.L. Narayanan — Group Chief Financial Officer
No. I mean, you have a point, Jiten. But also the last year has been an exceptional year because we haven’t…
Jiten Doshi — Enam Asset Management — Analyst
I understand. For all departments in India, it has been a very, very exceptional and challenging period. In fact, for some, they’ve also declared losses, etc. So you’re absolutely correct, that it’s a very, very exceptional period. But why this inconsistency?
S.L. Narayanan — Group Chief Financial Officer
The thing is, we are also — as you know, we have some major projects which are work-in-progress. We have two films which are work-in-progress, both with mega stars. And we have…
Jiten Doshi — Enam Asset Management — Analyst
What would those projects cost about? INR1,000 crores each or…?
S.L. Narayanan — Group Chief Financial Officer
I think, the eight movies together will be costing close to INR1,200 crores.
Jiten Doshi — Enam Asset Management — Analyst
So that would be — you have INR3,000 and odd crores, it’s a 13% payout ratio, which has never happened in the history of this company. Are we trying to also supplement this with the buyback of shares. That would be the only way we can actually distribute free cash. Because I remember in the last call, you all clearly mentioned that the ROE is impacted. And because of the impact of the ROE, you would like to distribute cash — ROI, ROE, etc, because of that. But somehow I think all the numbers are not adding, S.L. You have INR1,700 crores of expenses, assume there is pure revenue.
S.L. Narayanan — Group Chief Financial Officer
[Speech Overlap] I myself am a very strong watery of improving ROE.
Jiten Doshi — Enam Asset Management — Analyst
Yeah. But then how come — we were all completely taken aback, because INR1,700 crores expenditure in the year. If everybody of you don’t produce a single movie, don’t get one rupee in advertising, people stop paying you for your channels and there is no subscription revenue, no advertising revenue, no nothing that happens to you that will take care of INR1,700 crores. Another two movies you optimistically produce is another INR1,000 crores, they could have easily been a distribution of INR700 crores, INR800 crores. Unless you feel the — next three years, there is no — going to be no revenue in the company, and for the next three years, there is going to be a continuous pandemic and people are going to be shutting their operations or something of that sort. But does this now translate into rewarding shareholders through a buyback?
S.L. Narayanan — Group Chief Financial Officer
Certainly that is something that is there. In fact I will be — unfortunately we cannot speak at this point in time, because these are — I mean, on a conference call, I certainly don’t have the authority to say anything, because it’s a Board decision. But certainly…
Jiten Doshi — Enam Asset Management — Analyst
Why a 13% payout? I mean, this has come as a very rude shock. And in fact, all companies in India have stepped up their payouts. I can give several examples. I can — I know with a limited period of time, I don’t want to get into another — I have list of 30 companies that have increased their payouts, because people are looking at the future with jubilancy. And even if the third wave comes, it will come for two months. And in that two months, you assume zero advertising and zero — currently is there some subscription revenue expected in quarter one?
S.L. Narayanan — Group Chief Financial Officer
Yeah, yeah. Subscription revenues will come in.
Jiten Doshi — Enam Asset Management — Analyst
Okay. And is advertising you’re expecting zero in April/May/June quarter? If you can guide us, I mean in quarter one, are you expecting a decline of 95% or so in the advertisement revenues or so?
S.L. Narayanan — Group Chief Financial Officer
Not at all. Not at all.
Jiten Doshi — Enam Asset Management — Analyst
So then, what is keeping it back? I mean, there should be some explanation to shareholders. I think this has come as a very, very, very rude shock. And every time, you’re trying to be so unpredictable. And that is the reason the value is getting destroyed. The PE is getting destroyed continuously. I don’t know why there is no understanding of shareholder value creation for last 10 years. And since the pandemic is very dangerous, have you cut the commissions of the Senior Management — the promoters or have they taken the a regular commission?
S.L. Narayanan — Group Chief Financial Officer
No, it remains constant in the last six years — five years of so.
Jiten Doshi — Enam Asset Management — Analyst
No, no. But since there is a pandemic, are you cutting the commissions to zero? Because the pandemic is there, are you cutting the commissions to zero?
S.L. Narayanan — Group Chief Financial Officer
As of what we see in the announced results, the number which is there about four year back — four or five years back. The same number remains.
Jiten Doshi — Enam Asset Management — Analyst
I appreciate, but five years back there was no pandemic. Last year, there was a pandemic. Since you cut the dividend on last year’s profit, have you cut the commissions also? That’s my question.
S.L. Narayanan — Group Chief Financial Officer
That’s what I told you, sir. We’ve retained [Phonetic] the same numbers as in the last four years.
Jiten Doshi — Enam Asset Management — Analyst
But last year was a — then why is the dividend not been at the last year’s level?
S.L. Narayanan — Group Chief Financial Officer
I think, Macquarie [Phonetic] has given an explanation. So we’ll get back to the Board and keep them posted of the concerns which you have raised.
Jiten Doshi — Enam Asset Management — Analyst
It’s very disturbing. You see — I don’t know, sometimes why are we kind of torturing shareholders with unfortunate kind of a situation. If shareholders are not getting a dividend, then why should the promoters get a commission at the same rate? That’s a question that needs to be answered either at Board level or at your level. You are representing the company today. So if the company’s shareholders have actually seen this sort of a situation, then how come the promoters take away all the commissions and we only get INR5 dividend? And suddenly the payout ratio becomes 13%. We need a serious explanation and that cannot be avoided. That cannot be avoided right now that we don’t have a response. I think it’s a serious issue. It’s a challenge that — and I represent all the shareholders today, hundreds of thousands of shareholders in your company. And why this kind of unpredictability?
So, in case you are expecting zero revenue, I can understand. But nobody in this country is expecting zero revenue, including IndiGo Airlines, whose call I attended. They are — and now it’s a corporate governance issue, because even IndiGo Airlines — and I spoke to IndiGo Airlines, Indian Hotels, East India Hotels, all of these people are not predicting zero revenue for the year. I mean, they are in the worst impacted industries in India; airlines, hotels, organized malls, malls are not saying they’ll be shut down.
We just spoke to PVR. PVR is saying, revenues could there for the year, they are not expecting complete close down. They are in same industry as you, media, entertainment, exhibition of movies. So — and if you see the future so badly, then why produce any movies? Why produce movies of INR1,000 crores — two movies, blockbuster movies. If there is no future, there is not going to be any — if there is not going to be broadcasting of the movies, there is not going to be any exhibition of the movies, multiplexes are never going to open because of the next wave, why produce the movies? So, something the message that is coming is very, very controversial that one side promoter takes the commission, dividend is cut, cash is INR3,800 crores, business is as usual, two movies are being produced, but multiplexes will run. So what is the message? I mean, can you explain to us because it’s very serious. We are very, very disturbed. We have always reposed our faith. And it’s a serious issue of corporate governance. So can we have an answer for that, please?
S.L. Narayanan — Group Chief Financial Officer
Yeah. Jiten, just…
Jiten Doshi — Enam Asset Management — Analyst
Please, I think this requires some sort of an explanation. It cannot be just rubbed off on the side.
S.L. Narayanan — Group Chief Financial Officer
Certainly, we are not looking at a doomsday scenario. We will continue to…
Jiten Doshi — Enam Asset Management — Analyst
Last call, you were so confident. You spoke positively.
S.L. Narayanan — Group Chief Financial Officer
Yeah. See, we will continue to be positive on the business. There’s no way that you can misinterpret the lack of a dividend to a doomsday scenario. This is not an [Speech Overlap].
Jiten Doshi — Enam Asset Management — Analyst
That’s your explanation. But there is a COVID wave — third wave, so hence you have cut the dividend because of third wave. You yourself have stated it right now.
S.L. Narayanan — Group Chief Financial Officer
No. Jithin, it’s not so cut and right. I mean, there is some — I mean, this is a Board’s prerogative. The Board has decided to cut some [Phonetic] money at this point in time, nobody is saying that we are not going to pay dividend or not going to do any buyback.
Jiten Doshi — Enam Asset Management — Analyst
What sort of Board is this? In the Board, are they working in interest of minority shareholders or what? Because at the end of the day, if you have INR3,800 crores, was the Board aware of the cash balances when they took this call?
S.L. Narayanan — Group Chief Financial Officer
Of course. We present the entire portfolio. We analyzed everything. There is absolutely nothing that is held back, everybody knows what we are making even on the portfolio. [Speech Overlap]
Jiten Doshi — Enam Asset Management — Analyst
Then why should the promoters take the same commission? You please explain. Is the Board working for minority or working for promoter?
S.L. Narayanan — Group Chief Financial Officer
Please — please remember that there are some superstar companies which have lost money in all the bloody data asset. We haven’t written off INR1 in the treasury and Unni and I are very proud about this.
Jiten Doshi — Enam Asset Management — Analyst
We are also very proud of you. There is no question about that. We are not blaming your treasury management. We are proud of you. And I would like to say in front of this call, congratulations for that. But why deprive shareholders with the inconsistent policy? That’s what my question is, not about your capabilities. We are proud of you.
S.L. Narayanan — Group Chief Financial Officer
Jiten bhai, we are not depriving the shareholders. Unfortunately I can’t give a forward-looking statement on a conference call like this. It has to come from the Board. The Board is equally aware of the fact that our return on equity is the pits now, it used to be almost 30% a decade ago. It has now come to 21% or something, we don’t like it either. But I don’t think we’ve seen a pandemic of the kind that we’ve seen in the last year or so. I mean, if anything the management deserves praise, because in a pandemic year, we’ve actually increased PAT. We’ve derisked the balance sheet. We’ve used the [Speech Overlap].
Jiten Doshi — Enam Asset Management — Analyst
We are proud of you. I give your example to Corporate India that Sun TV is one of the most fantastically-managed companies. Mr. Narayanan, proud of you, I give your example on cost cutting, on the way you have accumulated cash and way you’ve managed working capital. I give your example to every company in Corporate India. We are proud of you and Mr. Unni and all of you, Mr. Mahesh and everybody. So, there is — please don’t mistake me. I take great pride in my association with you. But this is a very serious issue, because it is something that cannot be taken very lightly. I’m sorry, but this is very disturbing to the mind. And this is something that — like a joke.
S.L. Narayanan — Group Chief Financial Officer
Let me assure you. Till March 31, 2020, you’ve seen our distribution ratio. It’s only in 2021, it has come down. That is because we’ve seen a once-in-a-lifetime black swan event. And again, I’m saying that I don’t want to put out a forward-looking statement on a conference call. First of all, I don’t even have the authority to say, yes, we are going to do this. But the Board has extremely seized of this issue and they know that cutting down distribution is seen as an act of bad governance by any corporate Board. We are fully aware of the misgivings that you have. So please trust us. We will carry back this message. And let me assure you that our intent is not to deny minority shareholders of their rewards. I think every shareholder’s interests are best served when we have a rising top-line and a rising bottom line and run a company which is free or any kind of shenanigans or any kinds of landmines in the balance sheet. So…
Jiten Doshi — Enam Asset Management — Analyst
So, are we proposing in the current year that because of the pandemic, basically are we proposing or giving a commitment right now that promoters will not take a — management will not take the commission of INR175 crores in such a year? Because that line is remaining very normal, whether it’s a pandemic, it’s a non-pandemic, it’s a higher profit, a lower profit?
S.L. Narayanan — Group Chief Financial Officer
There is a contract which is sacro-signed [Phonetic]. Mr. Maran and Mrs. Maran work on that contract. And that’s absolutely as for the statute and the law of the land. And if anything, they have actually forgone additional compensation by voluntarily limiting it to the levels at which it was operating in 2017. So I don’t think we need to get into the legality or the correctness of that arrangement. Suffice it to say that we have all — doing an honest day’s work. And whatever compensation that’s due as per contract, let us get those compensation.
But that said, the point that you’re raising on the distribution of cash, I completely agree with your — I mean, if I was a minority shareholder, I’d say exactly what you just said. We will carry this feedback. And trust me, it is not our intent to keep the cash. In fact, there is a problem for us managing this kind of liquidity because rates are coming down. We are not able to generate these returns. [Speech Overlap]
Jiten Doshi — Enam Asset Management — Analyst
Then how do you justify a 13% payout? Something should have been mentioned in the press release. How do you justify? Because everybody is very disturbed. We are custodians of people’s money, just as you are custodians of our money and have done a great job in managing the treasury and we are very proud of you. That’s just — it’s something that you really, please, need to take back to management and Board, it is my request to you with folded hands in a humble manner. Please look into this issue and please revert in the coming quarter with something as an explanation or put out a note on why this has happened and what you need to do for shareholders. I’ll be very, very happy to hear back from all of you.
And I wish you, once again, many congratulations on a very strong performance to Mahesh, to you, to Unni, to all of you at the Sun TV team and to Mr. Maran also. But please do take care of what has been mentioned on a very serious note.
S.L. Narayanan — Group Chief Financial Officer
Certainly, sir. Thank you.
Jiten Doshi — Enam Asset Management — Analyst
Right. Thank you very much.
Operator
Thank you. [Operator Instructions] The next question is from the line of Neeraj Save [Phonetic] from Sun Life Financial Services, LLP. Please go ahead.
Neeraj Save — Sun Life Financial Services, LLP — Analyst
Yeah. Good afternoon, sir. Thanks for providing the opportunity. I wanted to understand. Sir, first of all, I second the view expressed by the analyst on the call, the investor who said that despite great growth in profit, we don’t find any corresponding increase in dividend. So, I second that and I would suggest you to take that matter. Probably you may call and declare interim dividend if your management agrees. So that’s the first part. Second part, we see a major — hello?
S.L. Narayanan — Group Chief Financial Officer
Yeah. Go ahead, please. Yeah, please go ahead. We have been hearing you.
Neeraj Save — Sun Life Financial Services, LLP — Analyst
Second part is, while you see a decline in depreciation and amortization expenditure, so standalone it was INR232 crores, Q3 FY ’20, INR2,168 crores, and it got increased to INR76 crores, but INR232 crores to INR76 crores, so what resulted in such INR140 crores drop into depreciation charge, if you can explain?
S.L. Narayanan — Group Chief Financial Officer
We didn’t have too many new movies to report. Last year there was no incremental movies coming because of COVID. Even though advances have been paid, no movies got released. So the number movies which got released during 2020-’21 were less. And consequently, conversion into a satellite right also are really limited. So all possibly should happen in the second half of this year.
Neeraj Save — Sun Life Financial Services, LLP — Analyst
[Speech Overlap] limited new content acquisitions, so limited depreciation and amortization expenditures, right?
S.L. Narayanan — Group Chief Financial Officer
Correct. You are right.
Neeraj Save — Sun Life Financial Services, LLP — Analyst
Yeah. The second point is on the finance cost. While we have INR3,000 crore kind of treasury and cash book, we find the finance cost of around INR17 crore per annum or like — and this is a INR21 crore for full year. So why there was kind of almost like, so if I say INR11 crore for every quarter and all of a sudden, I find INR17 crores jump in Q4. So what was the reason for this [Speech Overlap]?
V.C. Unnikrishnan — Chief Financial Officer
This is the interest from the tax provisions that we were carrying as part of the settlement.
S.L. Narayanan — Group Chief Financial Officer
Yeah. About INR15.76 crores is the interest provided during the March quarter in respect of the financial years ’17-’18 to ’19-’20.
Neeraj Save — Sun Life Financial Services, LLP — Analyst
Okay. So that is the interest, not on the normal business operations. Thanks.
S.L. Narayanan — Group Chief Financial Officer
Yeah.
V.C. Unnikrishnan — Chief Financial Officer
Sir, it’s a one-time one-off exceptional interest.
Neeraj Save — Sun Life Financial Services, LLP — Analyst
Okay. Fair enough. So that is also explained. Just requesting you what the opinion was given by first investor and analyst, please carry and consider this matter seriously because it empowers minority investors’ right significantly. And wish you all the best.
S.L. Narayanan — Group Chief Financial Officer
Certainly. Thank you very much.
Neeraj Save — Sun Life Financial Services, LLP — Analyst
And thanks for giving me the opportunity.
S.L. Narayanan — Group Chief Financial Officer
Thank you for the point. Thank you.
Operator
Thank you. The next question is from the line of Venkatesh Subramanian from LogicTree. Please go ahead.
Venkatesh Subramanian — LogicTree — Analyst
Thank you for the good results, sir. It’s the same question. It’s a continuation of that. While we understand that these things cannot be shared on a con call or on a public — this thing, but this is a absolutely recorded public call which will be also be put up as a transcript as well [Technical Issues] if there is any shareholder value creation this thing. It actually makes us wonder if there is cash in the books, sir?
S.L. Narayanan — Group Chief Financial Officer
Sorry?
Venkatesh Subramanian — LogicTree — Analyst
We would like to know why — how this would be communicated from the Board or I think this team is authorized by the Board to make certain kind of statements until the Board ratifies it. So, is there a block in not telling us how you intend to create shareholder value and what could be the timeline for it?
S.L. Narayanan — Group Chief Financial Officer
No, no. Actually this is — I mean, I think, severe exception to the insinuation that you’re suspecting if there’s any cash in the balance sheet. I think that’s going a bit too far. Let’s not get into that kind of street-level dialogue. So there is a Board…
Venkatesh Subramanian — LogicTree — Analyst
What street-level dialogue, sir, basically? Because this is street-level for sure because we are also talking about shareholding — we’ve been constantly guided that there is no value creation and then we don’t, so it is a big question to ask.
S.L. Narayanan — Group Chief Financial Officer
The thing is nothing is carved in stone. The Board has decided today that we will conserve cash for the time-being. It’s not like we are not going to — I mean, company which doesn’t have cash wouldn’t settle the vast income tax dues and then come out with a new financial statement this year, which will get rid of INR900 crores of contingent liability.
V.C. Unnikrishnan — Chief Financial Officer
Yeah, yeah. And this…
Venkatesh Subramanian — LogicTree — Analyst
Good morning, sir. On that issues, I think we are authorized by the Board to talk about potential actions going forward, right, sir. Can you give us some [Speech Overlap]
S.L. Narayanan — Group Chief Financial Officer
I don’t think — I don’t think any one of us here can speak out of turn. Whatever decision is taken will be communicated with proper authorization, proper resolutions passed in the Board. We just don’t want the second guess the Board. At this point in time, we should stay to the decisions that have been taken a few hours ago. And if…
Venkatesh Subramanian — LogicTree — Analyst
Has there been things…
S.L. Narayanan — Group Chief Financial Officer
Yeah, it’s not like — this is the same company that paid out INR1,200 crores in FY ’20 when we decided that we need to get rid of excess liquidity. So I don’t think anybody can fault us for not paying out liberal dividend. It’s just that starting March of 2020 to now, we’ve been through all kinds of volatility in the business environment.
V.C. Unnikrishnan — Chief Financial Officer
We’ve seen a drop of 65% ad revenue in the first quarter, which is now — for the full year is down only to 25%. So every business has gone through same. So we need to take care of that. And just by not declaring a dividend does not mean that the way — I mean you can make statements like what you have said.
S.L. Narayanan — Group Chief Financial Officer
I mean, at the end of the day, Deloitte Haskins & Sells are certifying it’s not some hole in the wall, it’s subject to all kinds of rigorous auditing standards. And certainly we don’t like the insinuation that it’s been due to wonder if there’s any cash in the balance sheet.
Venkatesh Subramanian — LogicTree — Analyst
But these kind of things happens because you’ve certainly been guiding for a very long time and suddenly say, so people express themselves.
S.L. Narayanan — Group Chief Financial Officer
The thing is, we will be guiding a lot of things based on certain expectations. At the end of December quarter and at the start of the March quarter, we were seeing a certain bullishness and that’s been completely put paid because of the second wave.
Venkatesh Subramanian — LogicTree — Analyst
Yeah.
S.L. Narayanan — Group Chief Financial Officer
So that’s the reason why we said, let’s not rush into anything in a hurry. And let’s just take stock, because it’s very easy to take a knee-jerk decision.
Venkatesh Subramanian — LogicTree — Analyst
This is what a matter of interest. I think it’s an insinuation. I’ll use another word for you.
S.L. Narayanan — Group Chief Financial Officer
No. Things are not going to fall if we delay this by a quarter. And that’s a decision that the [Indecipherable] we have to respect the decision taken by the collective consensus of the Board.
Venkatesh Subramanian — LogicTree — Analyst
That is a good guidance, sir. Because what we are talking about here is, if you’re going to say something, you could say that this word appropriately consider a buyback or a dividend at a later point of time, whatever. You could say that, but the question is…
S.L. Narayanan — Group Chief Financial Officer
In fact we tested that out. In fact, we have actually looked at those kind of possibilities. We can’t put out anything which is speculative or which is bordering on a conjecture on a forward-looking statement. So…
V.C. Unnikrishnan — Chief Financial Officer
We will communicate to the Board.
S.L. Narayanan — Group Chief Financial Officer
We are well aware of the fact that our net worth is approaching some INR7,000 crores and our PAT is at about INR1,500 crores. We are well aware of the implications of this. And we are also equally aware of the fact that there are dwindling opportunities for risk-free investing. I mean, we used to get 6.5%, 7%, now it is down to 5%, 5.5%. So it is going to become a challenge to even manage this kind of portfolio with the credit quality becoming scarce and the interest costs trending lower. So we’d rather pay it off to the shareholders and they can decide what to do with that money. And so, all those classical corporate finance theory is completely appreciative of all the logic. But please have belief in us. I mean, we ourselves don’t like the kind of bloated stockholder equity that we have and we will take an appropriate decision. And once the Board has approved, we will come back to you and tell you what it is.
Venkatesh Subramanian — LogicTree — Analyst
Fine. Thank you.
Operator
Thank you. [Operator Instructions] The next question is from the line of Ankur Periwal. Please go ahead.
Ankur Periwal — Axis Capital Limited — Analyst
Yeah. Hi, sir. Thank you. So, first question, on the overall market share for us, especially both in Tamil and Telugu, I recollect Mr. Mahesh do — had mentioned earlier that PRE taking the primetime slots as well as the new content being there. So just your thought there, while I appreciate probably given the structure that we are in the COVID-led impact on the content side, probably you can also touch on any challenges that you are facing if at all on the content creation side and how do you look that space going ahead?
S.L. Narayanan — Group Chief Financial Officer
Yeah. So basically on the content, if you look at from a relative share point of view, we are actually improved couple of percentage points in terms of the relative share of the viewership in Tamil. And like we had mentioned in the past, more specific to the primetime fiction slots, in the last three quarters, we have improved by close to 4 to 5 percentage points from 37% viewership share to 42% viewership share in April. So though we had a lot of challenges in terms of the original content, but I think once things opened up, we had a couple of launches and we also sort of rejigged FPC, which is yielding us very good result. So we are hopeful that we will further strengthen our position in the primetime in Sun TV in fiction.
In the other markets, like what we had mentioned in the past, we had lined up some big ticket launches, especially on the non-fiction, with some really big names, some superstars in the respective markets. But because of the pandemic, we are not able to — but we are all ready to launch, but it is waiting for the market to open up. So, in the next one or two months, we have lined up some huge launches in Telugu and also in Malayalam. But we are trending very well in Tamil. And even in Kannada market, our overall fiction share has gone up by 36% as compared to what we were in the last two, three quarters. So, I think we are in the right track once the market opens up, our focus is on the two markets to gain share.
Ankur Periwal — Axis Capital Limited — Analyst
Sure, sir. That’s helpful. And from a availability of fresh content perspective, given there will be restrictions in terms of overall production side, how are we placed here versus the rest of the industry?
S.L. Narayanan — Group Chief Financial Officer
It differs from market to market, like there are some markets still the shoots are affirmative, so we are going ahead with that. But the only thing is, we can’t do big ticket through. Till outdoor shoots are restricted, we just need to do shoots in-house or in indoor facilitation. So that’s the reason why we’re not able to launch big ticket shoots. But if you take Tamil as a market, still I think regarding one or two slots, I think in all the other shows, I think we are still continuing to provide original content.
V.C. Unnikrishnan — Chief Financial Officer
Maybe we’re just waiting for the next couple of weeks, three to four weeks, to get clarity across all the markets. So, I think then I think we will have a better understanding of the whole thing.
Ankur Periwal — Axis Capital Limited — Analyst
Sure, sir. And just one clarification. I think Unni sir, we had mentioned earlier on the movie side wherein we were planning some five movies in financial year ’22. But earlier in the comments, you did mention around INR10 billion to INR12 billion sort of capex on the movie side, but so if you can help some clarification there?
V.C. Unnikrishnan — Chief Financial Officer
Four movies are under production as shooting has started and in multiple stages, one movie is almost nearing completion. The couple of movies have gone through about 30% to 40%. The third movie is — fourth movie just about started. The remaining [Indecipherable], what we have signed up and lined up, but I think because of the delay in the first four movies being completed and also the present situation of shooting schedules being limited at various points in time. We need to take it up. Hopefully I think in the second half of this year, we should be starting that.
Ankur Periwal — Axis Capital Limited — Analyst
Sure. So, the aggregate spend which you highlighted at around INR1,000 crores or INR1,200 crores, that is not only for this year, that is maybe this year plus next year?
S.L. Narayanan — Group Chief Financial Officer
No. I think, it’s too big. It could move on to the next year as well, because of the — need to push some of the commencement of shootings to the next fiscal.
Ankur Periwal — Axis Capital Limited — Analyst
Sure. And for this fiscal also, this will be more back-ended, subject to how the pandemic plays out?
S.L. Narayanan — Group Chief Financial Officer
Exactly, exactly. Because again, one is completing the shooting, second is theatrical opening, that’s also a concern. So we have to ensure that there is sufficient gap between these two movies coming in so that — so we have to know on that. Because June has been — theaters are not filling until the — at least end of June, we don’t expect the theaters to come out. So even if the movies are ready, we’ll have to look at between the second and the third quarter.
Ankur Periwal — Axis Capital Limited — Analyst
Sure. That’s helpful. And sir, lastly, on the advertisement side, any comments how the market is looking like? Jan/Feb have been relatively better for us, but then again March onwards the pandemic impact. How are the local regional retailers behaving there? And your comments there. Thanks.
S.L. Narayanan — Group Chief Financial Officer
So, Q4, I think we saw some good traction, like I think we had very good bounce back with their business as compared to the first two quarters. In fact our utilization has jumped sharply during this Jan/Feb/March. And we were — actually were hopeful that maybe the fourth quarter of this year also will be more or less in par with the previous financial year, which was ’19-’20. But I think unfortunately because of the second wave, there has been an impact. I would say, to a limited extent, it is not as bad as what it was last year. But I think we just have to wait and see because I think whether if the overall wave comes down, I think we could see some good traction in Q2
Ankur Periwal — Axis Capital Limited — Analyst
Great, sir. That’s it from my side. I’ll get back into the queue. Ayesha, you can take up the other question please.
Operator
Thank you. The next question is from the line of Mohit Kumra from Kumra Investment Company. Please go ahead.
Mohit Kumra — Kumra Investment Company — Analyst
Yeah, hi. Good evening, sir. I wanted a little more color on this whole tax issue. You said that you had INR950 crores of tax pending, which you settled for INR250 crores, right?
S.L. Narayanan — Group Chief Financial Officer
Yeah. That’s because, see, as the years go by, even the department’s confidential it would be completed. So it’s only the last few years thing which will impact. So that’s why just the payment of INR250 crores was required to complete this.
Mohit Kumra — Kumra Investment Company — Analyst
And now, there’s deferred tax assets of INR338 crores on your balance sheet now, right?
S.L. Narayanan — Group Chief Financial Officer
Yeah. This has created a deferred tax asset of about INR400 crores.
V.C. Unnikrishnan — Chief Financial Officer
INR411 crores.
Mohit Kumra — Kumra Investment Company — Analyst
How INR400 crores is INR338 crores?
S.L. Narayanan — Group Chief Financial Officer
INR411.95 crore is deferred tax asset created as a result of opting to the scheme.
Mohit Kumra — Kumra Investment Company — Analyst
And you pay an average of INR1,500 crores in taxes every year?
S.L. Narayanan — Group Chief Financial Officer
Sorry? Can you be a bit louder?
Mohit Kumra — Kumra Investment Company — Analyst
You pay an average of INR1,500 crores in taxes, right, roundabout-ish?
S.L. Narayanan — Group Chief Financial Officer
No, no, no, no. I think, our average tax will be around INR500-odd-crores.
Mohit Kumra — Kumra Investment Company — Analyst
Half yearly?
V.C. Unnikrishnan — Chief Financial Officer
Yearly.
S.L. Narayanan — Group Chief Financial Officer
Yearly.
Mohit Kumra — Kumra Investment Company — Analyst
Okay. I’m so sorry, I’m so sorry. Yeah, INR500-odd crores. So this — so you have a whole year’s worth of taxes as assets now?
S.L. Narayanan — Group Chief Financial Officer
You are not audible my friend.
Mohit Kumra — Kumra Investment Company — Analyst
Hello?
S.L. Narayanan — Group Chief Financial Officer
Can you be a bit louder?
Mohit Kumra — Kumra Investment Company — Analyst
Can you hear me?
S.L. Narayanan — Group Chief Financial Officer
Yeah, this is much better.
Mohit Kumra — Kumra Investment Company — Analyst
Hello?
S.L. Narayanan — Group Chief Financial Officer
Yes. Again, we are not able to hear you. I think earlier it was fine. I think…
Mohit Kumra — Kumra Investment Company — Analyst
Okay. So I just wanted to understand that now you have a whole year’s worth of tax assets on your balance sheet now?
S.L. Narayanan — Group Chief Financial Officer
Sorry, we didn’t follow. We couldn’t understand.
V.C. Unnikrishnan — Chief Financial Officer
He is asking whether we have a full year of INR411 crores of deferred tax credit is equivalent to one full year of income tax outgo for the company?
Mohit Kumra — Kumra Investment Company — Analyst
Exactly.
S.L. Narayanan — Group Chief Financial Officer
Yeah. Correct.
V.C. Unnikrishnan — Chief Financial Officer
But it will accrue to us over a period of time. It did not go and happen immediately in the next financial year. This was the benefit which would accrue over a period of time as and when we start claiming depreciation on the movie asset.
Mohit Kumra — Kumra Investment Company — Analyst
Okay, okay. And how long should this take? This is what I want to understand.
S.L. Narayanan — Group Chief Financial Officer
Sir, depends on the number of movies we buy, right.
V.C. Unnikrishnan — Chief Financial Officer
It is on a WDD methodology prescribed by the income tax, which is a 25% ever year. So, the cumulative dissociation is around INR1,600 crores, so every year 25% of that is eligible for the tax benefit.
Mohit Kumra — Kumra Investment Company — Analyst
Okay, okay, okay. Thank you so much. Thank you so much.
S.L. Narayanan — Group Chief Financial Officer
Thanks.
Operator
Thank you. The next question is from the line of Kunal Vora from BNP Paribas. Please go ahead.
Kunal Vora — BNP Paribas — Analyst
Yeah. Thanks for the opportunity. First one on content, you are looking to significantly ramp up the content investment investing in non-fiction show, OTT Originals, movies, so what can we expect in FY ’22? And if you can share some thoughts on how we should be looking at ex-IPL margins?
S.L. Narayanan — Group Chief Financial Officer
Kunal, I really wish I had a crystal ball. At this point in time, we are looking at too many moving parts. Some places, we are still struggling to shoot, like Kerala and all had an extremely rigorous lockdown. And in some parts of Telangana, there were some issues. And we thought we were able to get all the approvals and we started something on shoots for the movies. And again, that got into a bit of — and so, I think Mahesh can give you a better color there.
R. Mahesh Kumar — Managing Director
Yeah. Like I mentioned in couple of minutes back, I think we have lined up some really big ticket shows, which we were supposed to launch during the Q1. But because of the lockdown, it got postponed. But otherwise, it is not that they’re going to restart the whole thing. We are almost ready, we have finalized the star, we have signed contracts with them, commercials are frozen, production houses are in place. Only thing is, if the overall, the COVID situation improves, if market opens up, I think we should have a very quick turnaround time in terms of launching the shows, which will help us and facilitate us to improve the overall positioning in the market.
And on the back office also, we have lined up at least six to eight fiction shows, which will ride on this big ticket non-fiction shows. So, everything is sort of ready, it is not at a drawing board stage, it is all finalized. Just the only thing is, the market has to open up. So we’re just waiting for that to happen. But specifically if you ask me in terms of the cost, I would say, in terms of the component cost, it could be more or less slightly marginally higher than what we had spent in ’19-’20, considering all the big ticket launches. So this year could be an exception, because literally majority of the last financial year has gone in lockdown. So there has been not much of shoots happening, there are a lot of repeat of content which has happened. But that could not be the reference of benchmark. I think if you take ’19-’20 as a year, there could be definitely increase in the content spend as compared to what it was in ’19-’20.
Kunal Vora — BNP Paribas — Analyst
Sure. That’s helpful. On OTT originals, when do we start seeing some spending? Like you were talking about INR150 crore, INR200 crore amount for quite some time, but we haven’t seen really any large spending so far. So can we expect something in FY ’22?
R. Mahesh Kumar — Managing Director
I think we should be able to answer this with greater clarity by next quarter call, because I don’t think at this point in time, we are able to get anything going because of so many dislocations. Because the first priority is to get rid of the backlog in the movie, which incidentally will also boost our content library on the OTT. Because we’re seeing that every time we put a new movie on Sun NXT, it drives up subscriptions immediately. So, at the current stage, our — all our focus is on movies, but we will certainly — we are in dialogue with a lot of potential producers for web series originals, but I don’t think we’re going to start anything before second quarter of this year.
Kunal Vora — BNP Paribas — Analyst
Okay. Okay. And any numbers you can provide for Sun NXT revenue, cost, customer base, active users, anything which you can provide on Sun NXT?
S.L. Narayanan — Group Chief Financial Officer
Sure. I think in terms of the, what do you call, MAUs, we are seeing some very good growth over a period of time. So I don’t want to give you the exact number. But we can say that it has grown by at least 40%, 50% over the last six months. And we’ve also tried at least three small-time movie releases which we have actually premiered first in Sun NXT and then only on television without safety reason. That has been pretty much very good success for us. So that’s the model which probably we might also recreate over a period of time. So, otherwise like what we are seeing in the other broadcasting group, we are anyway having some big ticket movies which are likely to come. So these are two things which probably we might do at least in the foreseeable future. But in terms of the overall downloads, we are seeing some good traction in Sun NXT.
Kunal Vora — BNP Paribas — Analyst
Okay. Just a feedback. The other listed broadcaster does provide a few numbers, so it will be good if you can also start providing at least make some numbers, but anyway. And lastly…
S.L. Narayanan — Group Chief Financial Officer
Kunal — Kunal, this is — I mean, we have agonized over this internally. See, at this point in time, if we put granular details for Sun NXT, because since Sun NXT largely uses the contents which is expensed in the linear broadcast business, we will be showing some outrageously high margins which we don’t want to do now. Because cost of sales is practically negligible, barring the small time movies that we had produced especially for OTT. So, let’s get to a stage where we are actually creating web series originals which can then provide a set of credible, because at this point in time Sun NXT is basically riding on the content which has been created by Sun TV. And it’s basically using recycled content with almost zero cost of sale. So we don’t want to start reporting on that basis at this point in time. Let’s start investing into OTT and then we will start providing these numbers.
Kunal Vora — BNP Paribas — Analyst
Lastly, the revenue break-up and depreciation and amortization, like last question from my side.
S.L. Narayanan — Group Chief Financial Officer
Yeah. Advertisement is INR315 crores, broadcast revenue is INR2 crores, international revenue stream INR36 crores, pay channel revenue is INR210 crores, DTH is INR218 crores, others is INR1 crore. In terms of depreciation, amortization, depreciation was INR28 crores and amortization was around INR49 crores.
Kunal Vora — BNP Paribas — Analyst
Great. That’s it from my side. Thank you, sir.
Operator
Thank you. The next question is from the line of Dixit Doshi from Whitestone Financial Advisors. Please go ahead.
Dixit Doshi — Whitestone Financial Advisors — Analyst
Yeah. Just a couple of questions. Firstly, in terms of ad revenue, so obviously there is some hit in the Q1, but how do you see the — expect the full year FY ’22? I mean, can we reach the level of FY ’20 in FY ’22?
S.L. Narayanan — Group Chief Financial Officer
So it all depends on, see, like I said, basically I think we were trending very well, that was reflected in the numbers in Q4. We are hopeful that this year more or less we will be in par with ’19-’20, but I think this second wave has hit us. We really don’t know how long this is going to last and whether there is going to be a third wave. We have no idea, so we just don’t want to guide. But the way things look like as of now, I think our endeavor is currently to reach the levels of ’19-’20.
Dixit Doshi — Whitestone Financial Advisors — Analyst
Okay. And just one last thing. You just provided the Q4 revenue breakup. Can you give us the same breakup for the full-year FY ’21?
S.L. Narayanan — Group Chief Financial Officer
Let’s do [Indecipherable]. I will give it in a minute. Maybe the next question can come in.
V.C. Unnikrishnan — Chief Financial Officer
I’ll just come back.
Dixit Doshi — Whitestone Financial Advisors — Analyst
Yeah, yeah. Thanks.
Operator
Thank you. The next question is from the line of Yogesh from B&K Securities. Please go ahead. Yogesh, your line is in talk mode. Please go ahead.
Yogesh Kirve — B&K Securities — Analyst
Yeah. Thanks a lot for the opportunity. Sir, if we have seen the south market, Tamil and Telugu, we have seen several movie releases and quite a few of them did well as well, something like Master, Vakeel Saab, Uppena, Robert, Krack, Jathi Ratnalu, all these kind of movies, above more than INR40 crores, INR50 crores collections. And if I look at who have bought the digital rights, and we see a lot of Amazon Prime Video, Netflix and some others. So why we are not seeing Sun NXT acquiring rights more aggressively? So there was a paucity of the content investment opportunities during last year, but these were the opportunities which were there in the market.
And also, we said that whenever we show new movie, there has been a corresponding increase in the views or viewership or the subscriptions. So, while we are not aggressive on acquiring the movie rights, I understand some of them we are producing ourselves, but even from the other producers. So that’s my question.
S.L. Narayanan — Group Chief Financial Officer
Yeah. See, it’s perhaps not the wisest thing to bid outrageous sums of money because we know some of our competitors who bought rights exclusively for a streaming release have actually burnt their fingers. I don’t want to name names, but it’s very easy to get into a bidding game and have what’s called the winner’s curse. We just don’t want to do that. Because at the end of the day, if I can use my existing content and still deliver reasonable results and in a pandemic year actually almost reached the same profits as they have been in FY ’20. I think we’ve done a decent job instead of just filtering away resources on opportunities which are suboptimal.
I think it’s best to get into these things when state of normalcy return and in the meantime do some cherry-picking on really like what Mr. Mahesh said on some of these big banners, some of the really innovative shows that we’ve been able to get through, association with some very reputed international producers. So those are the kind of opportunities which we are working on under the radar. And once those are done and we’ve launched, the whole industry is going to sit up and take notice. We have prided on our ability to stay away from this very wasteful bidding games. Even in the past, some of the blockbuster banners, we have walked away when we found that the asking price was too much. Because at the end of the day, every content investment has to answer certain basic financial criteria. It’s very easy to put some outrageous sums of money and win the bidding for satellite rights and streaming rights. But at the end of the day, if it doesn’t make any meaningful financial return, it’s money down the drain. So — and in a time like this, it is better to be safe than sorry.
And since we already have a treasure trove of content which we have reused, which is why even though our amortization numbers have fallen, we still grown our ad revenues by 8%, 9%, which is not a bad thing at all. And our subscription revenues in this year also grown by about 11%. So, the focus is on conserving money, making sure that you’re on a tight balance sheet and put some decent returns on invested capital. And there’s always the time to go into an aggressive mode and acquire a lot of these assets when time get back to normal, where there is also plentiful supply of new content.
Yogesh Kirve — B&K Securities — Analyst
And sir, just a thought on this, I understand where you’re coming from. And maybe in the hindsight, we can — we might decide in terms of this investment [Indecipherable] not generating enough returns, but don’t see this kind of content investment as an insurance that we don’t see it any ground for a player who’s trying to make inroads into the market. So actually from a tactical perspective, maybe you could step up the investment just to reach that provision. So we are very strong operator in the television business, so we have to replicate similar…
S.L. Narayanan — Group Chief Financial Officer
Actually, what — this is something which we run into very often. A few years back, I mean, again I won’t want to name names, a very reputed banner was available and we walked away from it. And rival bought it and after buying that asset, for the next several months, they didn’t show up in the market at all, because they wasted all their amount on a blockbuster banner. And once you wasted all your resources, the entire budget on one or two top-three [Phonetic] banners, the market then becomes wide open for others to come and take advantage of the lack of interest. So it’s a very smart game that needs to be played with a lot of care. And I think we’ve done a decent job in terms of identifying which one to go after and which one to leave.
R. Mahesh Kumar — Managing Director
Just to add to what SL is saying, it’s not that we have not picked up some big titles, like for example in Telugu we have this Ala Vaikunthapurramuloo, which is a super-duper hit. But I am saying that like what SL said, I think we know what is right value. We just don’t want to get into a bidding game and increase the benchmark prices, which will ultimately hit us very badly. So, I think we will — we just stay away from that. But I think if you look at the big titles of the south, I think it’s 90% of the titles are with us for satellite. And whenever we find the right value for digital, we also take digital rights. It’s not that we are not in the game, we are in the game but we know what is the price, but we know that some of the other guys are paying some outrageous money for which there is no value to it.
Yogesh Kirve — B&K Securities — Analyst
Okay. Fair enough, I’ll leave it at that. My second question is regarding your subscription revenue. So we have grown by about 10%, I guess, for the full year. So what’s the outlook on FY ’22-’23? Any ballpark or any sort of indicated number could be useful.
S.L. Narayanan — Group Chief Financial Officer
We should continue with the double-digit growth. That business is doing good because we get to see the traction in a group company which is associated with the Sun Group. So going by the numbers that we are seeing in terms of their own acquisition plans for set-top boxes, I can say with some confidence that we’ll continue to grow at double-digit.
Operator
Thank you. We would request the current participant to please come back in the question queue for any follow-up question.
S.L. Narayanan — Group Chief Financial Officer
One second. I think somebody wanted the breakup the revenues for the full year. I just run through it. Advertisement revenue is INR994 crores, broadcast revenue is about INR4 crores, international was INR140 crores, pay channel revenue is INR831 crores, DTH is INR891 crores, IPL is INR255 crores and others about INR2 crores.
Operator
The next question is from the line of Jaykumar Doshi from Kotak. Please go ahead.
Jaykumar Doshi — Kotak — Analyst
Hi. Thanks for the opportunity. Just couple of quick questions. First one is, should this INR1,200 crores that you’ve talked about in terms of — that will be movie production, right? So what will be the additional — what will be the capex that you think will need for the current year for satellite rights — procurement of satellite rights for regional movies?
S.L. Narayanan — Group Chief Financial Officer
Jay, you’re not really audible man, slightly louder.
Jaykumar Doshi — Kotak — Analyst
Okay. Let me repeat. What is your budget for procurement of satellite rights of movies for FY ’22?
S.L. Narayanan — Group Chief Financial Officer
I think, given the present trend, possibly it should be in the range of around INR200 crore to INR250 crores.
Jaykumar Doshi — Kotak — Analyst
Understood. So this INR200 crore to INR250 crores and [Speech Overlap]
S.L. Narayanan — Group Chief Financial Officer
First quarter has been a dampener. We do not know how quickly the theatres will restart in the second quarter. So hopefully majority should — I mean, assuming there is no other third wave or a major impact to the third wave, second half should be better. So we’re looking at a lower number of around INR200 crores to INR250 crores for the full fiscal.
Jaykumar Doshi — Kotak — Analyst
Correct. And the big budget shows that Mahesh was referring to earlier, can you give us some color in terms of — our understanding is that a regular production cost for a regular Tamil show — fiction show maybe about INR2.5 lakh per episode. So, the shows that you were looking forward to which you think will help the viewership, what is the extent of sort of investments that you’re likely to make in terms of — will it be 50% higher production costs than your regular shows? Will it be similar costs or 2 times, some color in terms of what will be quantum of it?
R. Mahesh Kumar — Managing Director
This is not actually the fiction show. We are looking at some international format non-fiction shows. So, I think fiction, we have — even if you want to really up the quality and give some really fantastic products, I think maybe there could be a 30%, 40% increase in the cost. But this impact on non-fiction shows, which are basically having some limited number of sort of episodes, this could be 40 to 50 episodes, that’s where I think we have contemplated and we have planned. So that will be approximately in one market, it could be around INR20 crores, INR25 crores is a total investment which will spread over three to four months.
Jaykumar Doshi — Kotak — Analyst
And this — one show you spent INR25 crores over a four-month period?
R. Mahesh Kumar — Managing Director
Yes.
Jaykumar Doshi — Kotak — Analyst
And how many such shows have you planned?
R. Mahesh Kumar — Managing Director
No, we are in the process of launching something in Telugu market and one show in Malayalam market.
Jaykumar Doshi — Kotak — Analyst
And nothing in the Tamil market?
R. Mahesh Kumar — Managing Director
Tamil, I think we are pretty much tracking well on the fiction. Like I said, I think we’ve improved our overall market share in the primetime, actually because we have done some complete research and we have already taken some steps to improve quality and also the overall narrative of the storytelling. So, I think we are on the right track now. So, primetime viewership share has improved from 37% to 42%. Our endeavor is always to somehow come close to 50%. So we have a plan in place. And I think we are tracking pretty much well on Tamil. So it doesn’t need some really big ticket investments by [Speech Overlap].
Jaykumar Doshi — Kotak — Analyst
I understand. I appreciate that, Mahesh. But I feel it’s about time that you have a show that kind of is in bracket as Big Boss Tamil. I don’t think, on the non-fiction side, your current sort of slate has that kind of content which creates.
R. Mahesh Kumar — Managing Director
Yeah, I know. So I think we have done, we have been compensating, we have done a lot of research on this, like we have also taken reference of how channels have turned around in other markets. So that’s why I think I don’t want to give too much of details now. But I think what we are doing now for Tamil, we’re pretty confident that I think that will give us improvement or definitely it will sustain and grow further. So, I understand where that’s coming but there is before more market-to-market and it is not necessary that Sun TV should launch a Big Boss because the profiling of audience is very different for Sun. So, I think you will see some improvements happening in the viewership of Sun over the next couple of quarters.
Jaykumar Doshi — Kotak — Analyst
Right. So to summarize, there are two big shows one in Telugu, one in Malayalam which will probably invest INR20 crores to INR25 crores per show for a limited time non-friction show. And in addition, there will be some more fiction shows because overall number you talked about some six or seven shows, right, that…
R. Mahesh Kumar — Managing Director
Yeah, yeah, yeah. So that is where [Speech Overlap].
Jaykumar Doshi — Kotak — Analyst
It will be like the replacement of existing friction shows with some new shows? Is that right way to think about?
R. Mahesh Kumar — Managing Director
Yeah.
Jaykumar Doshi — Kotak — Analyst
Okay. And on subscription, domestic subscription revenue, did I hear it correctly that the guidance for FY ’22 is double-digit growth? Are you guiding for a double-digit growth because there is some uncertainty around NTO 2, so just wanted to make sure if I heard it correctly?
R. Mahesh Kumar — Managing Director
No, no, I think we should still grow because we see enough visibility on that side.
Jaykumar Doshi — Kotak — Analyst
Okay. Double-digit growth, right?
R. Mahesh Kumar — Managing Director
Yeah, yeah.
Jaykumar Doshi — Kotak — Analyst
Okay. Thank you so much. Good luck.
R. Mahesh Kumar — Managing Director
Thank you.
Operator
Thank you. The next question is from the line of Arun Prasath from Spark Capital. Please go ahead.
Arun Prasath — Spark Capital — Analyst
Thank you. Sir, my question is on the recent event that happened at Sun Direct. I know it’s not a direct subsidiary, but there is some increase in the base pack most of the Tamil Value packs of the Sun Direct. So any views how this — any possibility that some kind of an ARPU improvement for Sun TV out of this event?
R. Mahesh Kumar — Managing Director
No, no, no. That is independent. That’s a normal growth in the overall ARPU, which Sun Direct is stating that it’s got no impact because we are all governed by the regulatory framework. So we just cannot randomly increase price. So, Sun Direct is saying, as per the MRP which Sun TV is eligible to charge.
Arun Prasath — Spark Capital — Analyst
Right. So, as a follow-up to that, is there any low-hanging fruit still left in the distribution side? And it can keep — you said there is a — 20% is the possible growth in the subscription, but what is the driver for that? You said, of course ARPU is, as you said, driven mostly by regulatory constraints. But from where this 20% is about to come or what is going to drive this, sir? If you can throw some light on it, it will be helpful?
R. Mahesh Kumar — Managing Director
I think the growth primarily is driven by the growth of the overall conversion from analog to digital in Tamil Nadu market. We have been, I think, talking for quite some time. And like what SL side, I think we have seen some very decent growth in the DTH numbers in the south. So, I think these are the two drivers in our view.
Arun Prasath — Spark Capital — Analyst
Okay. Thank you.
Operator
Thank you. That was the last question. I would now like to hand the conference over to the management for closing comments.
S.L. Narayanan — Group Chief Financial Officer
Okay. Thanks to everybody for dialing in. We remain committed to enhancing shareholder value and we count on your support. Thank you.
R. Mahesh Kumar — Managing Director
Thank you.
Operator
[Operator Closing Remarks]