Category: Cable TV

  • Jayanta Pani Resigns as CFO of GTPL Hathway

    Jayanta Pani Resigns as CFO of GTPL Hathway

    MUMBAI: Jayanta Pani chief financial officer (CFO) of GTPL Hathway has decided to part ways with the company. Pani’s last working day at GTPL, where he joined in November 2008, will be 30th June.

    “Jayanta Kumar Haribandhu Pani, Chief Financial Officer (Key Managerial Personnel) of GTPL Hathway Ltd, has tendered his resignation and his resignation will be effective from June 30, 2018 i.e. closing working hours on June 30, 2018 will be his last working day in the Company,” read GTPL Hathway’s filling with the Bombay Stock Exchange (BSE).

    Pani was appointed as CFO on 28th September 2016. He was earlier associated with GTPL Hathway Limited as Vice President of Finance.

    At GTPL, his responsibilities included dealing with overall finance and accounts department as well as the subsidiary companies

    Pani has 15 years experience in the field of account and finance.

  • VITEC and ATX join hands for distribution of IPTV content

    VITEC and ATX join hands for distribution of IPTV content

    MUMBAI: VITEC, a worldwide leader in advanced video encoding and streaming solutions, and ATX Networks, a technology leader of optical and media access platforms, has announced a strategic partnership to provide a fully secure architecture for distribution of IPTV content throughout the enterprise network.

    ATX’s UCrypt family of cable gateways enables MSOs and service providers to secure and convert content for a variety of applications, including the secure delivery of content to commercial and hospitality locations. UCrypt’s any-to-any capabilities extend across all formats, including analog, IP, and QAM

    ATX chief product officer Ian Lerner said, “The addition of AES output encryption support allows partners like VITEC to have a more practical and cost-effective way to ensure encrypted streams from the UCrypt IP video gateway can only be viewed by authorized users.” He added that together with VITEC’s EZ TV Platform for managing DRM workflows, it is able to offer a secure, enterprise-grade, multiscreen experience with AES decryption for desktop users via a browser player, for TV and signage displays utilising EZ TV end-points, and for Android and iOS users using EZ TV’s mobile app.

    VITEC VP Eli Garten said, “IP-based video distribution of live cable and satellite TV content brings a broad range of advantages for any organisation seeking to cost-effectively and securely deliver high-quality content to any screen and any user in the organisation.” He added that this latest integration enables customers to achieve maximum protection with a simple, reliable setup that is approved by leading service providers.

    IPTV, digital signage, and advanced video solution, VITEC’s EZ TV IPTV and digital signage platform automates video streaming workflows and campaigns over existing IP networks, allowing any organisation to centrally manage IPTV and content from a single interface. With easy-to-use tools for signage authoring, administration, and analytics, the future-proof platform supports both H.264 and H.265 (HEVC) formats in resolutions up to 4K. 

  • Obit: Remembering InCable’s Ram T Hingorani

    Obit: Remembering InCable’s Ram T Hingorani

    MUMBAI: “Hi I am Ram Hingorani,” said the squeaky but very amiable voice. I looked around and saw this short bespectacled man dressed in a safari suit, with his hair slicked back. “I am here to show you around and I am with the media business of the Hindujas.”

    The time was the mid to late nineties and I was at the Hinduja office in Worli, Mumbai, just diagonally opposite the Haji Ali Dargah and next to the NSCI to meet up with the group of young men that had set up InCable – the Hinduja foray into the cable TV business.

    He was kind, gracious and over welcoming to a fault, Ram. He then went on to tell me how he had worked at The Times Of India for almost 30 years, retiring if I am right as a general manager or something like that. He then told me about being involved with the Ambanis in the nineties and the acquisition and relaunch of the quickly aborted Observer of Politics and Business and the Sunday Observer. He finally hopped onto the Hinduja group which had expanded into India by acquiring Gulf Oil, Ashok Leyland, apart from other companies.

    He talked about the group moving into the business of media by introducing newspapers, magazines, TV stations, cable TV networks, among other initiatives.

    The Hindujas had formed Induslnd Media & Communications company, which in turn would float four subsidiaries – In Cablenet, In Vision, In Movies and In Print. In Print was slated to publish magazines for specific niche markets, beginning with What’s In, a city entertainment and leisure guide which hit the stands and was distributed to its cable TV subscribers. RTH was in charge of In Print, which ran for a few years and then was phased out.

    He was the Hinduja man as they shopped around for their media ambitions reaching out to the existing media houses along with Sudheendra Kulkarni, the then vice-president of the Hinduja group’s media wing.

    Of all the ventures only one has survived the turbulent media times: the cable TV venture and part of the credit for that must go to RTH as he used to be called. He often played foil to the four musketeers as they were labeled– Yogesh Radhakrishnan, Jagjit Singh Kohli, Yogesh Shah, and Ram Punjabi –by working as a mediator between the Hindujas and them, easing out thorny issues. 

    Along with them, he expanded InCable into 14 cities over 10 years. With the network set up, he moved out, new executives replaced him and he went back to the Ambanis’ Reliance Communications in a bid to set up a triple play venture using the existing infrastructure of independent cable TV operators.

    RTH then retired in 2008 and lived a relatively sedate life – though he mixed around with the cable TV trade from time to time handing out advice – until he passed away on 24 May 2018.  

    The industry came out singing his praises. Said Ashok Mansukhani who currently runs InCable: “He was a giant of a man. He also helped ‘corporatise cable’ and was very hands-on in a world of armchair CEOs.”

    Added Dubai based president & CEO Mediastream FZE (an independent channel and content distribution company)  Rohinton Kapadia: “RTH was always positive even in the face of severe situations at critical times in our cable business. Having worked closely with him for many years I found him to be an inspiration for all of us and an invigorating leader at InCable. We all looked up to him as more of a father figure than our boss.”

    Like the rest of the cable TV trade, Indiantelevision.com sends out condolences to his family. And may his soul rest in peace.

  • GTPL revenue up as subs base, ARPU increase in fiscal 2018

    GTPL revenue up as subs base, ARPU increase in fiscal 2018

    BENGALURU: As mentioned by us earlier, Indian multi-system operator and internet service provider GTPL Hathway Ltd’s(GTPL) consolidated total revenue for FY 2018 (fiscal 2018, yearunder review, year ended 31 March 2018) had increased 18.2 percent as compared to the previous year (FY 2017). The company’s investor presentation for FY 2018 says that its active cable TV subscriber base in fiscal 2018 increased 1.42 million (0.142 crore) in the year under review to 7.4 million (0.74 crore) from 5.98 million (0.598 crore) in the previous year. The company says that it seeded 1.8 million (0.18 crore) digital set top boxes in the FY 2018. In FY 2018, GTPL’s cable TV digital paying subscriber base increased by 2.07 million (0.207 crore) to 7.0 million (0.7 crore). 

    Average revenue per user (ARPU) in phase II, phase III and phase IV by 6.25 percent, 1.64 percent and 1.96 percent respectively during the quarter ended 31 March 2018 Q4 2018 as compared to the quarter ended 31 December 2017 (Q3 2017). Phase-wise ARPU increased in FY 2018 as compared to FY 2017 as follows: phase I increased to Rs 103 from Rs 100; phase II increased from Rs 95 to Rs 105; phase III increased from Rs 54 to Rs 62; phase IV increased from Rs 41 to Rs 52.

    Over 38 percent of the company’s subscriber base in phase IV areas, which for GTPL has seen the highest increase in ARPU during FY 2018, both in terms of absolute rupees and in terms of percentage growth. Arising from the above, share of GTPL’s cable TV business to revenues and profits has gone up. 
    Please refer to the figure below

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    Further, the company says that it has added 40,000 broadband internet subscribers in fiscal 2018, taking its broadband subscriber base to 0.28 million (0.028 crore). The company’s broadband ARPU remained the same in FY 2018and FY 2017 at Rs 480. Hence broadband revenue will have increased to an extent on account of the increased broadband subscriber base in fiscal 2018. The company has revealed that data consumption per user has increased from 38GB per month in March 2017 to 62 GB per month in March 2018.

    The company’s consolidated total income increased 18.2 percent during the year under review to Rs 1,113.35 crore from Rs 941.83 crore in the previous year. GTPL’s consolidated operating revenue for fiscal 2018 at Rs 1,091.27 crore was 20.2 percent higher than the Rs 907.70 crore for FY 2017. Other income reduced 35.3 percent in FY 2018 to Rs 22.09 crore from Rs 34.13 crore in FY 2017.

    Please refer to the figures below the company’s total revenue breakup in FY 2018 and FY 2017:

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    public://g3.jpg

    Consolidated operating profit (EBIDTA) excluding other income increased 29.6 percent in FY 2018 to Rs 383.12 crore (35.1 percent of operating or op revenue) from Rs 295.71 crore (32.6 percent of op revenue) in the previous fiscal. Consolidated EBIDTA including other income increased 30.7 percent to Rs 314.43 crore (28.2 percent of total revenue) in FY 2018 from Rs 240.56 crore (25.5 percent of total revenue) in the previous year. 

    However, the company’s profit numbers still depend upon placement and activation revenue. It is heartening to note that the shares of placement and activation revenue to total revenue in FY 2018 as compared to FY 2017 have gone down as is obvious from the above figures.  If one were to calculate EBIDTA without placement and activation revenue, the company has incurred a lower operating loss of about Rs 35 crore in FY 2018 as compared to an operating loss of about Rs 72 crore in the previous year.

    The board of directors of GTPL has mooted dividend of Re 1 or 10 percent per equity share of face Rs 10 each subject to approval from shareholders for the year ended FY 2018. The outstanding capital of GTPL as on 31 March 2018 was Rs 112.463 crore.

  • Hathway reports improved numbers

    Hathway reports improved numbers

    BENGALURU: The demerged Hathway Cable and Datacom Ltd (Hathway) reported standalone profit after tax (PAT) of Rs 12.62 crore (8.7 per cent of operating revenue) for the quarter ended 31 March 2018 (Q4 2018, quarter under review), 47.1 per cent lower as compared PAT of Rs 23.87 crore (17.2 per cent of operating revenue) in the immediate trailing quarter Q3 2018 (q-o-q).  It may be noted that Hathway’s numbers for Q4 2017 include both cable television and broadband numbers and hence cannot be compared with Q4 2018 revenues that include only broadband revenue. Hence, Hathway’s numbers for the quarter under review have been compared to its numbers from the immediate trailing quarter Q3 2018 (quarter ended 31 December 2017). As a matter of fact, after the transfer of the Hathway’s cable television business as a slump sale since Q1 2018, the company has reported standalone profits after tax for each quarter as well as for fiscal 2018.

    Hathway’s standalone total revenue of Rs 149.24 for Q4 2018 was 5.1 per cent more q-o-q then Rs 144.53 crore for Q3-2081. Revenue from operations in Q4 2018 was 5.1 per cent higher q-o-q at Rs 145.74 crore than Rs 138.65 crore.

    Hathway’s total comprehensible income (TCI) for the quarter under review was 43.9 per cent lower q-o-q at 13.47 crore than Rs 24.01 crore. Simple operating EBITDA for Q4 2018 at 59.04 crore (40.5 per cent of operating revenue) was 1.7 per cent lower q-o-q than Rs 60.6 crore (43.3 per cent of operating revenue).

    Hathway’s total expenditure in the quarter under review increased 12.4 per cent q-o-q to Rs 135.70 crore from Rs 120.70 crore. Finance costs in Q4 2018 increased 17.1 per cent q-o-q to Rs 23.37 crore from Rs 17.54 crore. Employee Benefits Expense in Q4 2018 reduced 1.7 per cent q-o-q to Rs 11.14 crore from Rs 11.33 crore. Other expenses in the quarter increased 26.6 per cent q-o-q to Rs 43.32 crore from Rs 34.20 crore. Other operational costs reduced 2.5 per cent q-o-q in Q4 2018 to Rs 32.25 crore from Rs 33.06 crore in Q3 2018.

    Hathway’s standalone numbers for FY 2018

    Hathway’s standalone operating revenue or broadband revenue for the year ended 31 March 2018 (year under review, FY 2018) was Rs 544.54 crore. Standalone total revenue for FY 2018 was Rs 556.51 crore. The company reported standalone TCI of Rs 78.92 crore. Standalone PAT for 2018 was Rs 77.66 (14.3 per cent of operating revenue). Total expenditure for the year under review was Rs 495.06 crore.

    Hathway’s consolidated numbers for FY 2018

    Hathway reported consolidated total revenue of Rs 1,544.33 crore for the year ended 31 March 2018 (year or fiscal under review, FY 2018) was 12.9 per cent more than Rs 1,368.25 crore in FY 2017. Revenue from operations including other operating revenue in FY 2018 was 14.1 per cent higher in FY 2018 at Rs 1,534.62 crore than Rs 1,344.40 crore in the previous year. The company reported a lower total comprehensible loss (TCL) of Rs 105.21 crore for FY 2018 as compared to TCL of Rs 193.19 crore for FY 2017. Net loss for the year under review was also lower at Rs 108.30 crore as compared to Rs 193.79 crore in FY 2017.

    Consolidated total expenditure for FY 2018 at Rs 1,686.45 crore was 7.8 per cent higher than Rs 1,564.17 crore in FY 2017. Consolidated pay channel cost during the year under review was 20.7 per cent higher at Rs 569.35 crore as compared to Rs 471.69 crore in FY 2017. Consolidated other operating costs in FY 2018 were 2.9 per cent higher at Rs 263.90 crore as compared to Rs 256.47 crore in FY 2017. Consolidated employee benefits expense during the period under review reduced 17.3 per cent to Rs 76.99 crore from Rs 93.15 crore in the previous year. Consolidated finance cost in FY 2018 was 37.9 per cent higher at Rs 152.76 crore as compared to Rs 110.75 crore in the previous fiscal. Consolidated other expenses reduced 11.5 per cent in FY 2018 to Rs 288.75 crore from Rs 326.26 crore in FY 2017.

    Hathway’s consolidated numbers include revenue from two segments – broadband business and cable TV. The standalone numbers mentioned above were for Hathway’s broadband business. Cable television revenue for FY 2017 was Rs 990.08 crore and an operating loss of Rs 129.33 crore.

    Also Read :

    GTPL Hathway board okays additional stake buy in subsidiaries

    Hathway reports improved standalone Q3 results

    IndiaCast, Hathway fail to concur on carriage, subscription fees

  • GTPL Hathway board moots 10% dividend for fiscal 2018

    GTPL Hathway board moots 10% dividend for fiscal 2018

    BENGALURU: The board of directors of Indian multi-system operator and internet service provider GTPL Hathway Limited (GTPL) has mooted dividend of Re 1 or 10 per cent per equity share of face Rs 10 each subject to approval from shareholders for the year ended 31 March 2018 (FY 2018, year or fiscal under review). The outstanding capital of GTPL Hathway as on 31 March 2018 was Rs 112.463 crore.

    GTPPL’s consolidated profit after tax (PAT) more than doubled (increased 114.9 per cent) in FY 2018 to Rs 56.40 crore from Rs 26.24 crore in FY 2018. Consolidated total comprehensive income for the year increased 118.3 per cent to Rs 56.72 crore from Rs 25.98 crore. Consolidated operating profit (EBITDA) excluding other income increased 29.6 per cent in FY 2018 to Rs 383.12 crore (35.1 per cent of operating or op revenue) from Rs 295.71 crore (32.6 per cent of op revenue) in the previous fiscal.

    GTPL has two segments – cable TV business and internet service. Cable TV business operating result more than quadrupled (increased 302.6 per cent) to Rs 39.65 crore in FY 2018 from Rs 9.85 crore in the previous year. Operating revenue of GTPL’s cable TV business increased 21.7 per cent to Rs 947.87 crore from Rs 778.85 crore.

    GTPL’s internet service operating revenue in FY 2018 increased 13 per cent to Rs 143.40 crore from Rs 126.85 crore. Internet service segment’s operating results for fiscal 2018 increased 2.2 per cent in FY 2018 to Rs 16.75 crore from Rs 16.39 crore in the previous year.

    Let us look at the other numbers reported by GTPL Hathway

    The company’s consolidated total income increased 18.2 per cent during the year under review to Rs 1,113.35 crore from Rs 941.83 crore in the previous year. Consolidated operating revenue for fiscal 2018 at Rs 1,091.27 crore was 20.2 per cent higher than the Rs 907.70 crore for FY 2017. Other income reduced 35.3 per cent in FY 2018 to Rs 22.09 crore from Rs 34.13 crore in FY 2017.

    Consolidated total expenditure increased 12.3 per cent during the year under review to Rs 1,009.34 crore from Rs 898.79 crore in FY 2017. Pay channel cost in fiscal 2018 increased 15.3 per cent to Rs 440.61 crore from Rs 382.11 crore in the previous year. Other operational costs increased 1.7 per cent to Rs 90.77 crore from Rs 89.29 crore.

    Employee benefits expense in FY 2018 increased 16.3 per cent to Rs 126.12 crore from Rs 108.44 crore in the previous fiscal. Finance costs reduced 32.2 per cent during the year under review to Rs 39.35 crore from Rs 58.08 crore. Other expenses in the period increased 16.5 per cent to Rs 141.42 percent to Rs 121.44 crore in the previous year.

    Also Read :

    GTPL Hathway board okays additional stake buy in subsidiaries

    GTPL Hathway reports higher numbers and flat q-o-q ARPUs

     

  • Competition, provision for doubtful receivables paint Ortel’s bottom line red

    Competition, provision for doubtful receivables paint Ortel’s bottom line red

    BENGALURU: Higher competitive intensity in the market, delay in collections and issues pertaining to debt repayment are some of the reasons that Indian regional cable and broadband player Ortel Communications Ltd (Ortel) says that it has incurred a loss of Rs 95.28 crore for the year ended 31 March 2018 (FY 2018, year, fiscal under review).

    Ortel president and CEO Bibhu Prasad Rath said, “Our FY 2018 was very challenging for the company due to delay in collections, higher competitive intensity in the marketplace as well as issues pertaining to debt repayment. We have been working on all these parameters with an objective to improve our overall performance in the future. As intimated in the previous quarter, the management reviewed the details of receivables and took a firm step by creating provision of Rs 679.4 million (Rs 67.94 crore) against doubtful receivables. This amount is primarily on account of disruption of services during the process of digitisation and acquisition of local operators. This significantly impacted our P&L in FY 2018.”

    However, Rath is confident of a brighter 2019. He added, “We want to start afresh in FY2019 and restore our business momentum. We have also taken many steps for increasing the net growth of our broadband business. This will result in lesser churn and higher sales thereby increasing our subscriber base and broadband revenue.”

    Segment numbers

    Three segments contribute to Ortel’s revenue. They are cable TV; broadband; and infrastructure leasing. Revenues from both cable TV and broadband segments declined in FY 2018 as compared to FY 2017.

    Ortel’s cable TV segment’s revenue declined 5.1 per cent in fiscal 2018 to Rs 145.41 crore from Rs 153.19 crore. The segment reported an operating loss of Rs 15.54 crore in FY 2018 as compared to an operating profit of Rs 61.48 crore in FY 2017.

    Broadband segment’s revenue declined 35.5 per cent in FY 2018 to Rs 23.16 crore from Rs 35.91 crore in FY 2017. The segment’s operating profit declined to less than a sixth (declined 83.5 per cent) in FY 2018 to Rs 3.13 crore as compared to Rs 18.96 crore in the previous fiscal.

    Ortel’s infrastructure and leasing segment had operating revenue of Rs 11.72 crore in FY 2018 which was 5.6 per cent more than the Rs 11.10 crore in FY 2017. The segment’s operating profit declined 15.5 percent in FY 2018 to Rs 8.92 crore from R 10.55 crore in FY 2017.

    Let us look at the other numbers reported by Ortel

    Ortel operating revenue for the year under review declined 9.4 per cent in FY 2018 to Rs 184.04 crore as compared to Rs 203.21 crore in the previous year. Total income including other income for fiscal 2018 reduced 10.1 per cent to Rs 186.20 crore as compared to Rs 207.07 crore in the previous fiscal. The company incurred an operating loss (negative EBITDA including other income) of Rs 34.85 crore in FY 2018 as compared to a positive EBITDA including other income of Rs 53.88 crore in the previous fiscal. As mentioned above, net loss for the period under review was Rs 95.28 crore as compared to a profit after tax of Rs 0.50 crore in FY 2017.

    Ortel’s total expenditure in FY 2018 declined two per cent to Rs 202.63 crore from Rs 206.81 crore in fiscal 2017. Programming costs increased 17.7 per cent in FY 2018 to Rs 45.26 crore from Rs 38.45 crore in FY 2017. Bandwidth costs in the year under review increased 6.1 per cent to Rs 18.03 crore from Rs 16.99 croreFinance costs in FY 2018 increased 9.7 per cent to Rs 29.19 crore from Rs 26.62 crore in FY 2017.

    Also Read: Ortel takes on competition with new broadband plans

    Ortel to issue shares worth Rs 8.75 cr to promoters

    Ortel to move broadband business to new entity

  • Den Networks reports higher revenue, operating profit

    Den Networks reports higher revenue, operating profit

    BENGALURU: Indian multi system operator (MSO) Den Networks (Den) reported growth in revenue and operating profit (EBITDA) for the quarter ended 31 March 2018 (FY 2018, fiscal 2018, year under review) as compared to the previous year FY 2017. Den’s operating revenue for fiscal 2018 increased 11 per cent to Rs 1,285.10 crore from Rs 1,157.34 crore in FY 2017. Total consolidated revenue including other income grew 9.7 per cent in FY 2018 to Rs 1,314.98 crore from Rs 1,198.67 crore in FY 2017. Consolidated simple EBITDA including activation revenue during the year under revenue increased 41.7 per cent to Rs 324.52 crore (25.3 per cent of revenue from operations) from Rs 229.01 crore (19.8 per cent of revenue from operations).

    The company’s net consolidated loss for FY 2018 reduced to Rs17.11 crore, which was less than a tenth of the loss of Rs 187.76 crore in the previous year. Consolidated total comprehensive loss for the year declined to Rs 16.77 crore from Rs 187.24 crore in FY 2017.

    Segment revenue

    The company has two segments – cable distribution networks (cable); and broadband. Cable segment revenue increased 12.5 per cent in FY 2018 to Rs 1,209.75 crore from Rs 1,075.54 crore in FY 2017. Den reported that segment had an operating profit of Rs 61.63 crore as compared to an operating loss of Rs 60.98 crore in FY 2017.

    Den reported 7.9 per cent decline in operating revenue for its broadband segment in FY 2018 at Rs 73.75 crore as compared to Rs 81.80 crore in the previous year. The segment’s operating loss reduced to Rs 31.91 crore in FY 2018 from Rs 36.31 crore in FY 2017.

    Let us look at the other numbers reported by Den

    Consolidated total expenditure for the year was almost flat – it increased by 0.1 per cent in FY 2018 to Rs 1,321.43 crore (102.8 per cent of operating value) from Rs 1319.79 crore (114 per cent of operating value) in the previous year. The company has seen a rise in content cost in actual value as well as in terms of percentage of operating revenue over the past quarters and fiscal 2018. Consolidated content cost increased 14.1 per cent in FY 2018 to Rs 539.80 crore (42 per cent of operating revenue) as compared to Rs 473.28 crore (40.9 per cent of operating revenue) in the previous fiscal. Consolidated placement fees reduced 7.9 per cent in FY 2018 to Rs 46.21 crore (3.6 per cent of operating revenue) from Rs 50.20 crore (4.3 per cent of operating revenue).

    Consolidated employee benefits expense during the year under review declined 12.5 per cent to Rs 107.99 crore (8.4 per cent of operating value) from Rs 123.37 crore (10.7 per cent of operating value) in FY 2017. Consolidated other expenses in 2018 reduced 5.7 per cent to Rs 312.79 crore (24.3 per cent of operating value) in FY 2018 from Rs 331.68 crore (28.7 per cent of operating value) in the previous year.

    Also Read :

    Aim to take phase 3 ARPU to phase 1 value: Den Networks’ SN Sharma

    DEN expands broadband services; plans Rs 100 cr capex

  • Siti Networks revenue, operating profit up in fiscal 2018

    Siti Networks revenue, operating profit up in fiscal 2018

    BENGALURU: Backed by higher subscription revenue and a 95 per cent collection efficiency, Indian multi-system operator (MSO) Siti Networks Ltd (Siti) posted 16.8 per cent higher consolidated total income for the year ended 31 March 2018 (FY 2018, year under review) as compared to the previous fiscal year FY 2017. Siticable has clarified that the revenue numbers for FY 2017 reflect gross billing that included LCO share to the extent of Rs 16-17 crore. Based on a figure of Rs 16 crore, Siticable’s consolidated total income for fiscal 2018 grew 18.4 percent as compared to the previous year.

    Siticable’s operating profit (simple EBITDA including activation revenue) for FY 2018 increased 52.1 per cent as compared to FY 2017. Total comprehensive loss (TCL) for the year was lower as compared to the previous year. It must be noted that all numbers mentioned in this report are consolidated unless stated otherwise.

    Siti’s consolidated total income in FY 2018 was Rs 1,426.37 crore as compared to Rs 1220.81 crore in FY 2017. Consolidated operating revenue in fiscal 2018 increased 18 per cent to Rs 1,410.40 crore from Rs 1,194.92 crore in FY 2017. Siti’s consolidated operating EBITDA (including activation revenue) during the year under review increased 52.1 per cent to Rs 308.55 crore (21.9 per cent of operating revenue) from Rs 202.81 crore (17 per cent of operating revenue) in FY 2017. The company reports that excluding activation revenue, operating EBITDA in FY 2018 grew 2.6 times to Rs 151 crore as compared to Rs 59 crore in the previous year. EBITDA including other income and activation fee in FY 2018 grew 41.9 per cent to Rs 324.52 crore (22.8 per cent of total income) from Rs 228.70 crore (18.7 per cent of total income) TCL including non-controlling interest during the year under review was lower at Rs 169.51 crore as compared to Rs 179.01 crore in FY 2017.

    Siti claims that it added industry leading 3.1 million (0.31 crore or 31 lakh) digital cable households in FY 2018 taking its active digital subscriber base to 11.5 million (1.15 crore or 115 lakh). Siti says in its earnings release that subscription revenue in FY 2018 increased 41 per cent y-o-y to Rs 800 crore and was the main driver for revenue growth.  

    Let us look at the other numbers reported by Siti

    Siti’s consolidated total expenditure (TE) increased 15.2 per cent in FY 2018 to Rs 1,567.56 crore from Rs 1,360.74 crore in fiscal 2017. Adjusting the Rs 16 crore payout to LCOs in FY 2017, TE in FY 2018 increased 16.6 per cent as compared to FY 2017. Carriage sharing, pay channels and related costs are the highest expense head for the company. Carriage sharing, pay channels and related costs in FY 2018 increased 6.8 per cent to Rs 637.90 crore from Rs 597.13 crore in FY 2017. Employee benefit expense during the year under review increased 8.6 per cent to Rs 90.49 crore from Rs 83.29 crore in the previous year. Other expense in fiscal 2018 increased 25.3 per cent to Rs 370.13 crore from Rs 295.47 crore in FY 2017.

    Company speak

    While commenting on the results, Siti chief business transformation officer, Rajesh Sethi said, “We at Siti are proud of our performance for this past year as we enter FY 2019 with significant momentum. In FY 2018 we have achieved strong operational and financial results while also delivering superlative customer experience and must-see content to our approximately 55 million strong consumer base across the country. Our continued focus on customer experience drove exceptional EBITDA growth (2.6x) coupled with industry leading subscriber additions (3.1 million, 0.31 crore, 31 lakh).”

    “We continue to maintain our steady increase in customer additions, driving efficiencies through war on waste, balanced with solid EBITDA growth and expanding margins. We continue to transform into a process driven organisation with customer experience at its heart. As we achieve more from less, our year-over-year growth rates of revenue and EBITDA continue to accelerate, which is a testament of our transformation efforts across SITI,” added Sethi.

  • SITI delivers Strong Profitable Growth

    SITI delivers Strong Profitable Growth

    • Full Year Consolidated Revenues at Rs 1426.4 Cr and EBITDA at Rs 324.5 Cr
    • SITI crosses 11.5 Mn active digital subscriber base
    • EBITDA jumps 2.6x from Rs 58.6 Cr to Rs 151 Cr
    • EBITDA Margins leap 2.1x from 5.7% to 12%
    • Subscription Revenue up 41% to Rs 800 Cr
    • Collection efficiency surpasses 95%

    MUMBAI: SITI Networks Limited (BSE: 532795, NSE: SITINET), has released their audited Consolidated Financial Results for the Fourth Quarter and Full Year, ending March 31, 2018.

    The Company announced a 2.6 times YoY Operating EBITDA growth in FY18 to Rs 151 Cr while the Operating EBITDA Margin expanded by 636 bps, growing 2.1 times.

    Subscription Revenue took a significant leap of 41% in FY18 to Rs 800 Cr driving Total Revenue growth of 19% YoY to Rs 1426 Cr. This along-with focus on cost efficiencies, led to Total EBITDA growing by 42% YoY to Rs 325 Cr. The Company has also accelerated its overall collection efficiency surpassing 95% in Q4FY18.

    The Company added industry leading 3.1 Mn Digital Cable households in FY18 taking active digital subscriber base to 11.5 Mn.

    In Q4FY18, Operating EBITDA Margins significantly expanded by 900 bps YoY to 16.2%, while Operating EBITDA improved significantly by 145% YoY to Rs 51.5 Cr.

    As an effort to drive this high-performance culture across the organization, the company also rolled out SITI Values. These core values act as a guiding light and focus on building a SITI ready for the future.

    The base contribution of lock-in plans in Broadband increased to 37% exit FY18. The Company’s broadband operations with a total footprint to 16.8 lakh homes, have a base of 2.5 lakh customers. The company is working on building a growth strategy in the sector.

    The Company has a national footprint across 580+ locations and ensures seamless delivery of content to its ~55 million consumers. As testament to this and how it brings together families and friends, “Zindagi Ka Network”, SITI’s online and on-screen campaign launched in January 2018 received an overwhelming response from across the industry and Social Media.

    While commenting on the results, Mr. Rajesh Sethi, Chief Business Transformation Officer, SITI Networks Limited mentioned –

    “We at SITI are proud of our performance for this past year as we enter FY19 with significant momentum. In FY18 we have achieved strong operational and financial results while also delivering superlative customer experience and must-see content to our ~55 Mn strong consumer base across the country. Our continued focus on Customer Experience drove exceptional EBITDA growth (2.6x) coupled with industry leading subscriber additions ( 3.1 Mn).

    We continue to maintain our steady increase in customer additions, driving efficiencies through war on waste, balanced with solid EBITDA growth and expanding Margins. We continue to transform into a process driven organization with Customer experience at its heart.

    As we achieve more from less, our year-over-year growth rates of Revenue and EBITDA continue to accelerate, which is a testament of our transformation efforts across SITI.”