Category: DTH

  • Dish TV adds 8.1 lakh subscribers in FY-2014; ARPU up from Rs 158 to Rs 170

    Dish TV adds 8.1 lakh subscribers in FY-2014; ARPU up from Rs 158 to Rs 170

    BENGALURU:  Dish TV Limited (Dish TV) in its earnings release for FY-2014 says that it has added about 8.1 lakh net subscribers in FY-2014 and 2.26 lakh subscribers in Q4-2014 to take its total subscriber base to 1.14 crore net subscribers during the period.

     

    The company also claims that it has increased ARPU (Average Revenue Per User) from Rs 158 during the previous year to Rs 170 in FY-2014. It says that it has managed to contain the subscriber churn to 0.6 per cent per month.

     

    Note: (1) 100,00,000=100 lakh = 1 crore = 10 million.

    (2) Standalone figures in this report 

     

    FY-2014 standalone revenues stood at Rs 2508.98 crore recording 15.79 per cent growth over the Rs 2166.80 crore in FY-2014. Dish TV reported standalone operating revenue of Rs 636.91 crore, recording 14.68 per cent growth over the Rs 555.40 crore in corresponding period last fiscal and 2.10 per cent more than the Rs 623.81 crore in immediate trailing quarter.

     

    Dish TV’s net loss for FY-2014, impacted by a prior period adjustment of Rs 116.4 crore, was Rs (-154.2) crore as compared to a loss of Rs (-66.75) crore in FY-2013. Net loss for Q4-2014, impacted by the above mentioned prior period adjustment of Rs 116.4 crore, increased to Rs (-149.05) crore compared to Rs (- 43.62) crore in Q4-2013 and a loss of Rs (-28.36) crore in Q3-2014, says the company.

     

    Let us look at the other numbers reported by Dish TV for FY-2014 and Q4-2014

     

    Dish TV’s Total Expense (Tot Exp) in FY-2014 at Rs 2482.30 crore (98.94 per cent of Total standalone revenue) was 12.07 per cent more than the Rs 2214.96 crore (102.22 per cent of Total standalone revenue) in FY-2013. Q4-2014 Tot Exp at Rs 657.05 crore (103.16 per cent of Total standalone revenue) was 4 per cent more than the Rs 631.78 crore (101.28 per cent of Total standalone operating income) in Q3-2014 and 13.21 per cent more than the Rs 580.36 crore (104.49 per cent of Total standalone operating income) in Q4-2013.

     

    The company’s finance cost increased 3.37 per cent in FY-2014 to Rs 132.68 crore (5.29 per cent of Total standalone operating income) from Rs 128.36 crore (5.92 per cent of Total standalone operating income) in FY-2013. Dish TV’s Q4-2014 finance cost at Rs 32.63 crore (5.12 per cent of Total standalone operating income) was 8.41 per cent more than the Rs 30.10 crore (4.83 per cent of Total standalone operating income) in Q3-2014 and (-5.01) per cent lower than the Rs 35.85 crore (6.18 per cent of Total standalone operating income) in Q4-2013.

     

    Dish TV’s Programming/content and other cost (Content cost) in FY-2014 at Rs 261.38 crore (10.42 per cent of Total standalone operating income) was 15.81 per cent higher than the Rs 225.70 crore (10.42 per cent of Total standalone operating income). Q4-2014 content cost was 2.29 per cent more at Rs 66.98 crore (10.52 per cent of Total standalone operating income) as compared to the Rs 65.48 crore (10.5 per cent of Total standalone operating income) in the immediate trailing quarter and 15.3 per cent more than the Rs 58.09 crore (10.46 per cent of Total standalone operating income) in the year ago quarter Q4-2013.

     

    The company paid Rs 288.48 crore (11.5 per cent of Total standalone operating income) as licence fees in FY-2014 which was 25.49 per cent more than the Rs 229.89 crore (10.61 per cent of Total standalone operating income) in FY-2013. Dish TV paid Rs 82.38 crore (12.93 per cent of Total standalone operating income) towards licence fees in Q4-2014 which was 10.96 per cent more than the Rs 74.24 crore (11.90 per cent of Total standalone operating income) in Q3-2014 and 34.34 per cent higher than the Rs 61.32 crore (11.04 per cent of Total standalone operating income) in Q4-2013.

     

    Dish TV’s selling and distribution expense is made up of two parts – ‘commission’ and ‘other selling and distribution expense’ (distribution exp).

     

    Commission expense in FY-2014 at Rs 183.67 crore (7.32 per cent of Total standalone operating income) was 17.84 per cent more than the Rs 155.87 crore (7.19 per cent of Total standalone operating income) in FY-2013. Q4-2014 commission expense at Rs 50.65 crores (7.95 per cent of Total standalone operating income) was 0.56 per cent more than the Rs 50.37 crore (8.07 per cent of Total standalone operating income) in Q3-2014 and 31.94 per cent more than the Rs 38.39 crore (6.91 per cent of Total standalone operating income) in Q4-2013.

     

    Distribution Exp in FY-2014 at Rs148.42 crore (5.92 per cent of Total standalone operating income) was 0.44 per cent more than the Rs 147.77 crore (6.82 per cent of Total standalone operating income) in FY-2013. In Q4-2014, Dish TV paid (-5.85) per cent lower towards distribution exp at Rs 32.66 crore (5.13 per cent of Total standalone operating income) as compared to the Rs 34.69 crore (5.56 per cent of Total standalone operating income) in Q3-2014 and (-8.9) per cent lower than the Rs 35.85 crore (6.45 per cent of Total standalone operating income) in Q4-2013.

     

    Dish TV’s take

     

    Dish TV chairman Subhash Chandra said, “The Media industry had its share of opportunities and challenges all through the year. Digitisation kept the industry on its toes. In an uncertain macro environment, Dish TV pursued its strategy of self-funded growth; deleveraging the business while being selective about its subscriber additions notwithstanding the noise around digitisation. The result, a healthier Balance Sheet coupled with the largest subscriber base in the industry and a free cash positive business which is much better equipped to capitalize on the opportunities ahead.”

     

    Dish TV managing director Jawahar Goel added, “Unlike fiscal 2013, fiscal 2014 was a disruptive period where we had to choose between immediate benefits and long term sustainability in the hyper competitive DTH industry. Choosing the later, we continued to deleverage while maintaining our subscriber acquisition price point. With a much manageable and scalable debt profile now, we have started 2014 with a significant positive overhaul to our macro parameters.”

     

    “With a new government at the Centre, the DTH industry is optimistic about rationalisation in the tax regime. As notification of the Goods and Services Tax (GST) is taking time, we look forward to allowance of abatement in Service Tax along with moderation in Entertainment Tax in line with the prevailing structure in Gujarat and other forward looking states. We are also hopeful of an early resolution of the DTH license renewal and payment of license fees matter in the industry’s favour. We also expect a firm push to digitisation and are confident that encryption, packaging, billing and other critical requirements will be implemented at the last mile,” he added.

     

    “Dish TV’s fourth quarter subscriber adds are a result of some serious strategic initiatives taken earlier. The ‘Zing’ sub-brand launched as part of a differentiated strategy to cater to the Phase III & IV markets got a tremendous response and even bolstered the flagship brand’s sales. We exited the fourth quarter bagging the highest incremental market share while keeping a check on our churn, which remained at 0.6 per cent per month. Making further headway on our Sri Lanka Project, we launched test signals as per plan,” said Goel.

  • Sun Direct to add 9 transponders by June

    Sun Direct to add 9 transponders by June

    MUMBAI: Direct to home (DTH) operator Sun Direct is looking at increasing its high definition (HD) and standard definition (SD) channel offering. The DTH operator that currently has four transponders will soon add nine more transponders to its kitty, thanks to the deal signed between Sun Direct and MEASAT Satellite Systems.

    The announcement comes after Sun Direct got a nod from Antrix Corporation for additional capacity. The platform currently has 11 HD and 210 SD channels. “We had applied to Antrix and have got its approval. With this, we will be shifting to MEASAT 3b and hence, will get nine transponders by first week of June. Our HD offering is currently low, but with the extra capacity we aim to take it to 30, while we expect the number of SD channels to go up to 350,” informs Sun Direct MD Mahesh Kumar.

    With this, the total number of transponders will go up to 13. “While we are currently focused on the south market, we can think of targeting other regions after this boost. We will first fill the gaps in our south offering and the HD channel offering,” he adds.

    The increase in the capacity is not the only change the DTH platform is looking at. It was in October 2013 that Sun Direct had announced that it would be launching 500 ‘Sunshine’ centers across south India to improve its customer’s service needs. “Of the 500 ‘Sunshine’ centers, we have already launched 200 centers in eight months,” says Kumar.

    The core aim of these ‘Sunshine’ stores will be to provide customer service, while new connections, demo and recharges will also be available. The stores that have been set up in every district are based on franchisee model. “While the cost for setting up of these stores is being borne by the franchisee, we will be investing for the backend support,” informs Kumar.

    The DTH operator has also introduced a tri-partite conference call service. This 24X7 service hotline number: 076010-12345 which will be manned round the clock will ensure that customer grievances are addressed within 48 hours. “We have started a conference call facility between the company, engineer and the customer. Post the grievance is registered and dealt with, a customer satisfaction survey will also be conducted,” he says.

    Sun Direct is spending approximately Rs 25 crore ($4 million) on the backend support.  According to Kumar, currently the ‘Sunshine’ centre witnesses 50 customers per day per store. The revenue model for the business will depend on the business each store generates.

    The ‘Sunshine’ centers that have been designed by JWT, have a standard format, with store dimensions ranging between 150 and 300 sq ft, depending upon the requirements of the specific town. “The stores have standard colour code which is in line with Sun Direct,” informs Kumar.

    Will we see such centers in other parts of the country as well? Says Kumar, “Currently we are looking at strengthening our service in south, once we get the extra transponders and hence more channels, we can think of other region as well.”

  • Technicolor announces 4K Set Top Box deal with Tata Sky

    Technicolor announces 4K Set Top Box deal with Tata Sky

    Paris (France) May 14, 2014 Technicolor (Euronext Paris: TCH; OTCQX: TCLRY) announces an agreement with Tata Sky, India’s leading direct to home (DTH) service provider and HD market leader, to provide 4K Set Top Boxes in volume early 2015. The Technicolor product is the first 4K Set Top Box to be shipped in volume and underscores Technicolor’s leadership in delivering content with the highest image quality.

     

    This agreement is the result of a long, strategic relationship with Tata Sky dating back to 2005, and a Technicolor 4K roadmap of solid technical innovation including 4K trials that have gone on around the globe. Technicolor is gearing up to deliver the most immersive 4K experience on the market. Technicolor is building on its compression and color science to deliver an augmented content experience capable of delivering Hollywood-grade picture quality to viewers.

     

    “Technicolor once again leads the market in landing the first high-volume deal to deliver 4K Set Top Boxes to consumers. This deal further solidifies our leadership in the 4K marketplace,” said Michel Rahier, President Connected Home. “With the promise of an unparalleled immersive viewing experience and the predicted rapid growth of the 4K market, this agreement is a valuable strategic business opportunity for Technicolor and our long term partner, Tata Sky.”

     

    “4K is an important milestone in Tata Sky’s product portfolio and we are confident of the timing and quality of delivery because of our partnership with Technicolor” said Harit Nagpal, CEO Tata-Sky.

  • Election result fever grips Tata Sky

    Election result fever grips Tata Sky

    MUMBAI: Elections 2014 has gripped not only the News channels, but also the direct to home (DTH) players. One such is Tata Sky that has in yet another customer friendly initiative announced that it will air all News channels to its subscribers free of cost with immediate effect, for next seven days.

     

    The offer  also  includes news channels available on Tata Sky’s  Everywhere TV  service  which  will  allow viewing on  smart phones and tablets  as well.

     

    The move will give Tata Sky subscribers an upper hand on the ‘breaking news’ during the week of the election results.

     

    A bouquet of 13 English News channels, 18 Hindi News channels and 38 regional News channels will be offered free this week, irrespective of the pack that the subscriber has opted for. Regional language News channels include Gujarati, Marathi, Punjabi, Bengali, Odia, Telugu, Tamil, Kannada and Malayalam.

  • Videocon d2h adds Naxatra News on its platform

    Videocon d2h adds Naxatra News on its platform

    MUMBAI: Videocon d2h is on a spree to strengthen its regional channel profile. The platform has now added another Odia channel Naxatra News on its platform. The Odia News channel will be available in the Super Gold pack. 

     

    With this addition, Videocon d2h now offers 12 Odia channels and services.   

     

    Videocon d2h offers 500 channels and services, 27 Asli “HD” channels and a host of regional channels. Naxatra News will be available on the d2h platform on Channel Number:  788

     

     

     

  • Tata Sky pays license fees of Rs 383 crore, Dish TV prefers to wait for court orders

    Tata Sky pays license fees of Rs 383 crore, Dish TV prefers to wait for court orders

    NEW DELHI: The direct-to-home (DTH) operator Tata Sky today made a payment of Rs 383 crore to the Information and Broadcasting Ministry (I&B) to cover its license fee and other dues.

     
    A demand draft of the amount was submitted to the Ministry, even as a petition to this regard is pending in the Telecom Disputes Settlement and Appellate Tribunal (TDSAT) in this regard.

     
    This amount covers license fee for the year 2013-14 according to the rate specified for license as well as past dues, for which the Ministry had raised a demand note recently.

     
    TataSky MD and CEO Harit Nagpal said in a statement: “We hope that this will end the long standing dispute on the subject and pave the way forward for a constructive rationalisation of taxes with the support of our parent Ministry.”

     
    However, Dish TV CEO R C Venkateish told indiantelevision that the TDSAT in its hearing on 4 April had taken an assurance from the government that it would not pressurise the DTH operators in this regard until the next date of hearing on 6 May.

     
    He said that the government had been asked by TDSAT to respond to the petitions by the operators by the next date of hearing.

     
    Although TDSAT is expected to give time to the operators to file their respective rejoinders to the government’s reply, DTH industry sources said the Tribunal may give a directive with regard to the payment.

  • Airtel DTH services y-o-y growth 23%, EBIDTA up 226%, ARPU up 10% in Q4-2014

    Airtel DTH services y-o-y growth 23%, EBIDTA up 226%, ARPU up 10% in Q4-2014

    BENGALURU: Indian and international mobile services giant Bharati Airtel Limited’s DTH (Airtel DTH) services business total revenue has grown 23 per cent to Rs 541.5 crore in Q4-2014 as compared to the Rs 441.9 crore in the year ago quarter (Q4-2013).  During FY-2014, total revenue at Rs 2077.1 crore was 27 per cent more than the Rs 1629.4 crore in FY-2013.

     

    Airtel DTH has reported higher EBIDTA at Rs 96.3 crore in Q4-2014, 226 per cent more than the Rs 29.6 crore in Q4-2013. During the current financial year, EBIDTA was even higher (by 638 per cent) at Rs 333.8 crore as compared to the Rs 45.2 crore in FY-2013.

     

    Airtel DTH’s operating margin (EBIT) loss reduced by 38 per cent to Rs (-111.1) crore in Q4-2014 from Rs (-178.4) crore in Q4-2013. Over the year EBIT reduced by 41 per cent to Rs (-482.1) crore in FY-2014 from Rs (-810.5) crore in FY-2013.

     

    Capex at Rs 177.9 crore went up 34 per cent in Q4-2014 from Rs 132.6 crore y-o-y. However the company’s capex in FY-2014 was (-18) per cent lower at Rs 617 crore as compared to the Rs 754.8 crore in FY-2013.

     

    The company’s DTH business’s cumulative investments in Q4-2014 and FY-2014 went up 15 per cent to Rs 4646.8 crore from Rs 4036.6 crore in Q4-2013 and FY-2013.

     

    Airtel DTH q-o-q customer base went up 2 per cent in Q4-2014 to 90.12 lakhs from 88.07 lakhs, with net additions of 2.05 lakhs new subscribers during Q4-2014. This is (-13) per cent lower than the 235000 net additions the company had declared during Q4-2013. Y-o-y the customer base was 11 per cent more than the 81 lakhs subscribers in Q4-2014, but net new subscriptions during Q4-2014 was less by (-1) per cent than the 207000 net new subscriptions in Q4-2013.

     

    Average Revenue Per User (ARPU) in Q4-2014 has gone down (-2) per cent to Rs 203 in Q4-2014 as compared to the Rs 207 in the immediate trailing quarter, but was 10 per cent more than the Rs 184 in the year ago quarter (Q4-2013).

     

    Airtel DTH’s monthly churn was also higher at 0.9 per cent in Q4-2014 as compared to the 0.8 per cent in Q3-2014, but was lower than the 1.1 per cent in Q4-2013.

     

    It became the first DTH player in the country to showcase a feature film on the same day of its theatrical release with the showcase of Telugu movie ‘Minukumanna Minugurulu’ on its Pay Per View (PPV) platform.

     

    In line with company’s initiatives to associate with events, shows and initiatives that resonate well with the preferences of today’s India, Bharati Airtel co-sponsored the popular TV show ‘Satyamev Jayate’ again this year. The brand integration with the show included innovations like in-show calls on Airtel 3G and use of Airtel money for donations along with access to exclusive show content to customers.

     

    In an effort to provide a world-class experience to the customers, the company launched Airtel ‘Pocket TV’ – a mobile app which will enable customers to watch their favourite TV programs on the move while also being the first player to release a feature film on digital TV platform.

  • Videocon d2h adds Jai Hind on its platform

    Videocon d2h adds Jai Hind on its platform

    MUMBAI: Videocon d2h has added another Malayalam channel Jai Hind on its platform. Jai Hind is a Malayalam language News channel, and is available in the basic pack South Silver pack onwards. With this addition the DTH platform now offers 25 Malayalam channels and services.  

    The newly added channel is available on the d2h platform on Channel Number:  859. Videocon d2h offers 500 channels and services, 27 Asli “HD” channels and host of regional channels.

     

    The platform now has 132 South channels and services on its platform. Videocon d2h offers 1000 GB High Definition Digital Video Recorder and claims to be the first DTH service provider to have Radio Frequency Remote for DTH service, which is available with High Definition Digital Set Top Box with unlimited recording.  Powered by the MPEG-4 and DVB-S2 technology, Videocon d2h offers services like 12 PIP Mosaic, d2h Cinema, weather updates and multiple tickers to transform your TV into a hub of entertainment and knowledge. It offers High Definition channels in 1080p, HDD sound and 16: 9 aspect ratio. “Apart from these, the platform has Active Music which includes 41 Audio / Video active music channels, 24 hours a day,” says a statement from the DTH player.

     

    Videocon d2h has a customer support system which offers services in eight languages from the customer care team present in six locations.

  • DEN Networks appoints Gaurav Tikoo as GM, Brand

    DEN Networks appoints Gaurav Tikoo as GM, Brand

    MUMBAI: DEN Networks has appointed Gaurav Tikoo as general manager, Brand to accelerate its transformation from a B2B business into a leading consumer facing digital cable and broadband company.

     

    Tikoo joins DEN from HCL Infosystems where he was the head of Global Marketing Mobility Solutions. Prior to HCL, he has worked with Samsung India Electronics as lead, marketing communications for its Home Appliances Division. He has previously been associated with companies like Radico Khaitan, Max New York Life Insurance and LG Electronics.

     

    Gaurav brings with him over a decade’s experience in the field of strategic brand management and establishing brand identities. He was instrumental in creating and managing HCL’s “ME” tablet brand globally. His work on ME tablets helped HCL win prestigious awards like Marketing Campaign of the Year, Emerging Brand, Best use of Social Media, Brand Excellence at the CMO Asia forum. He has also been conferred with the Star Youth Achiever award by the Global Youth Marketing Forum for his work at HCL.

     

    Commenting on the appointment DEN Networks chairman and managing director Sameer Manchanda said, “It is my pleasure to welcome Gaurav to the DEN team. DEN is at the cusp of a rapid evolution into a B2C company serving digital cable and high speed broadband to millions of Indians. We are very happy to have Gaurav on board to take charge of DEN’s transformation into a leading digital entertainment brand.”

  • Dish TV adds ‘Zing’ to Tripura market

    Dish TV adds ‘Zing’ to Tripura market

    KOLKATA: A month after launching its sub-brand ‘Zing’ in West Bengal and Orissa, direct-to-home (DTH) TV services provider, Dish TV, has introduced it in Tripura. The move is in keeping with Dish TV’s plans to expand its footprint in the eastern region of the country.

     

    “Zing digital TV has been launched in Tripura with 27 Bengali channels including Khobor 365 Din, the only satellite channel of Tripura,” said a Dish TV official, pointing out that at the time of its launch, Zing offered only 26 channels. More than 80 per cent of the population in Tripura speaks Bengali, he added.

     

    The official further said that Zing was a part of Dish TV’s strategy to search for newer ways to reach out to viewers through relatable content. “Besides content, all above-the-line (ATL) and below-the-line (BTL) advertising, packaging and other marketing activities will be available in Bangla in Tripura as it is mainly a Bengali-speaking market,” he added.

     

    Apparently, Dish TV has earmarked an investment of Rs 7 crore for the 360-degree marketing campaign.

     

    Meanwhile, users can buy Zing from any Dish TV retailer for Rs 1,099, with packages available for Rs 175, Rs 249 and Rs 349.

     

    Going forward, Dish TV is likely to look at Gujarat and Maharashtra for expansion of its Zing sub-brand, as was reported by this website last month.