Tag: activation

Hathway back on growth trajectory, reports consolidated profit of Rs 68 cr in Q3

MUMBAI: After facing consecutive losses, Hathway Cable and Datacom has reported a consolidated profit of Rs 68.18 crore in the third quarter of the financial year 2019-20. The multi-system operator (MSO) had posted consolidated loss of Rs 57.87 crore in the corresponding quarter of the last financial year.

The cable network improved his revenue from operations by 12.3 per cent to Rs 450.82 crore in Q3 of FY20 as compared to Rs 401.43 crore in a corresponding quarter of last year.

Whereas, the consolidated total income for the December-ended quarter rose by 23.2 per cent to Rs 512.61 crore compared to Rs 416.07 crore in the corresponding quarter of the last financial year.

The company reported consolidated EBITDA of Rs 128.8 crore up by 52 per cent against Rs 84.5 crore in the corresponding quarter last financial year. Meanwhile, the EBITDA margin grew by 29 per cent against 8 per cent in the same quarter of FY19.

In the segment revenue, the broadband business grew by 2.8 per cent to Rs 143.2 crore and cable television grew by 15.4 per cent to Rs 307.62 crore in the December-ended quarter of FY20.

The subscription revenue grew by 18 per cent to 354.8 crore against Rs 300.8 cr whereas activation revenue shrunk by 8 per cent to Rs 14.7 crore compared to Rs 16 crore and placement revenue also slumped by 6 per cent to Rs 74.7 crore versus Rs 79.1 crore in Q3 last financial year.

January 17, 2020
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

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:

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.

May 29, 2018
Den Networks consolidated numbers grow in Q2-17; tests OTT platform

BENGALURU: Indian multi system operator (MSO) Den Networks Ltd (Den) Cable business segment consolidated total revenue (pre-activation) increased 18 percent in in the quarter ended 30 September 2016 (Q2-17, current quarter) to Rs 258 crore from Rs231 crore in Q2-16. The company reported consolidated EBIDTA of Rs 34 crore in Q2-17 as compared to Rs 1 crore in the corresponding year ago quarter.

Consolidated net loss in Q2-17 more than halved to Rs 48 crore as compared to a loss of Rs 99 crore in Q2-16.

Twomain segments currently contribute to Den’s revenue: Cable distribution network segment (Cable, Cable business) and Broadband internet segment (Boomband). It has two other segments – TV Commerce and soccer. Den says that its OTT platform is undergoing tests and will be launched soon. The company says further that it has divested another 25 percent of its soccer business.

Cable segment

Cable subscription revenue increased 31 percent y-o-y to Rs140 crore in Q2-17 from Rs115 crore in Q2-16. Cable activation revenue increased 17 percent y-o-y to Rs 32 crore from Rs 27 crore. Placement revenue declined 13 percent y-o-y to Rs86 crore from Rs98 crore.

The company reported 101 lakh DAS subscribers, of which 51 lakh were from DAS phases III and IV for Q2-17. The company had 76 lakh digital subscribers in Q2-16.Den has a cable subscriber base of 1.3 crore.

Broadband segment

Den’s Broadband segment revenue more than doubled (2.6 times) in Q2-17 to Rs 21 crore from Rs 8 crore in Q2-16. Please refer to the figure below for Den’s revenue break-up for Q2-17 and Q2-16.

The company says that it has added about 25,000 subscribers in the current quarter, hence bringing its broadband internet subscriber base to 140,000.

Broadband segment’s operating loss (EBIDTA) in Q2-17 was lower at Rs 2 crore as compared to an operating loss of Rs 11 crore in Q2-16 and an operating loss of Rs 9 crore in the immediate trailing quarter.

Other numbers for Q2-17

Den’s consolidated total expenditure in the current quarter declined 4 percent to Rs 244 crore from Rs 256 crore in Q2-16.

Content costs are a major component of Den’s expenditure- Content costs in the current quarter declined 8 percent in the current quarter to Rs 118 crore from Rs 128 crore in the corresponding year ago quarter.

Employee(Personnel) costs increased2 percent in the current quarter to Rs33 crore from Rs 34 crore in Q2-16. Other operating expenses in Q2-17 declined4 percent to Rs 84 crore from Rs88 crore.

Note: (1.1) The above report is based on Den’s investor presentation for Q2-17.
(1.2) All numbers mentioned are consolidated unless stated otherwise.
(1.3) The figures mentioned above have been rounded off and based on the numbers presented by Den in the public domain.
(2) The numbers in this paper are as per Indian Accounting System. (Ind AS)
(3) The unit of currency in this report is the Indian rupee – Rs (also conventionally represented by INR). The Indian numbering system or the Vedic numbering system has been used to denote money values. The basic conversion to the international norm would be:
(a) 100,00,000 = 100 lakh = 10,000,000 = 10 million = 1 crore.
(b) 10,000 lakh = 100 crore = 1 arab = 1 billion.

December 15, 2016
Den Networks consolidated numbers grow in Q2-17; tests OTT platform

BENGALURU: Indian multi system operator (MSO) Den Networks Ltd (Den) Cable business segment consolidated total revenue (pre-activation) increased 18 percent in in the quarter ended 30 September 2016 (Q2-17, current quarter) to Rs 258 crore from Rs231 crore in Q2-16. The company reported consolidated EBIDTA of Rs 34 crore in Q2-17 as compared to Rs 1 crore in the corresponding year ago quarter.

Consolidated net loss in Q2-17 more than halved to Rs 48 crore as compared to a loss of Rs 99 crore in Q2-16.

Twomain segments currently contribute to Den’s revenue: Cable distribution network segment (Cable, Cable business) and Broadband internet segment (Boomband). It has two other segments – TV Commerce and soccer. Den says that its OTT platform is undergoing tests and will be launched soon. The company says further that it has divested another 25 percent of its soccer business.

Cable segment

Cable subscription revenue increased 31 percent y-o-y to Rs140 crore in Q2-17 from Rs115 crore in Q2-16. Cable activation revenue increased 17 percent y-o-y to Rs 32 crore from Rs 27 crore. Placement revenue declined 13 percent y-o-y to Rs86 crore from Rs98 crore.

The company reported 101 lakh DAS subscribers, of which 51 lakh were from DAS phases III and IV for Q2-17. The company had 76 lakh digital subscribers in Q2-16.Den has a cable subscriber base of 1.3 crore.

Broadband segment

Den’s Broadband segment revenue more than doubled (2.6 times) in Q2-17 to Rs 21 crore from Rs 8 crore in Q2-16. Please refer to the figure below for Den’s revenue break-up for Q2-17 and Q2-16.

The company says that it has added about 25,000 subscribers in the current quarter, hence bringing its broadband internet subscriber base to 140,000.

Broadband segment’s operating loss (EBIDTA) in Q2-17 was lower at Rs 2 crore as compared to an operating loss of Rs 11 crore in Q2-16 and an operating loss of Rs 9 crore in the immediate trailing quarter.

Other numbers for Q2-17

Den’s consolidated total expenditure in the current quarter declined 4 percent to Rs 244 crore from Rs 256 crore in Q2-16.

Content costs are a major component of Den’s expenditure- Content costs in the current quarter declined 8 percent in the current quarter to Rs 118 crore from Rs 128 crore in the corresponding year ago quarter.

Employee(Personnel) costs increased2 percent in the current quarter to Rs33 crore from Rs 34 crore in Q2-16. Other operating expenses in Q2-17 declined4 percent to Rs 84 crore from Rs88 crore.

Note: (1.1) The above report is based on Den’s investor presentation for Q2-17.
(1.2) All numbers mentioned are consolidated unless stated otherwise.
(1.3) The figures mentioned above have been rounded off and based on the numbers presented by Den in the public domain.
(2) The numbers in this paper are as per Indian Accounting System. (Ind AS)
(3) The unit of currency in this report is the Indian rupee – Rs (also conventionally represented by INR). The Indian numbering system or the Vedic numbering system has been used to denote money values. The basic conversion to the international norm would be:
(a) 100,00,000 = 100 lakh = 10,000,000 = 10 million = 1 crore.
(b) 10,000 lakh = 100 crore = 1 arab = 1 billion.

December 15, 2016
Viacom18’s Rishtey Cineplex now in Europe, N America

MUMBAI: Viacom18 has announced its plans to launch its Hindi movie channel, Rishtey Cineplex’ in the international markets.

Kicking off with high-impact launches in Europe and North America (US and Canada), the channel is an extension of the well-established Rishtey brand, and will be targeted at global film enthusiasts.

To be launched in Europe on 29 September and in North America in October, Rishtey Cineplex will appeal to the sensibilities of global film enthusiasts with its blockbuster content.

The channel will showcase the best from Viacom18’s wide library of films as well as newly acquired movies from across genres. The channel will air audience favourites like, Bajirao Mastani, Airlift, Pyaar Ka Punchnama 2, Kapoor and Sons, Ki & Ka and upcoming films like, Force 2, Ae Dil Hai Mushkil amongst others.

Viacom18 group CEO Sudhanshu Vats said, “The Indian film industry has grown in terms of both reach and revenue and is now the largest producer of movies in the world. Our cinema, led by Bollywood movies, continues to increase its pull with the overseas Indian diaspora. Rishtey Cineplex, Viacom18’s first premium Hindi movie channel, has curated an impressive repertoire of Indian titles. It is our endeavour, to take Indian cinema, as a holistic entertainment package, to our loyal viewers in Europe and North America; allowing us to further strengthen our presence in these regions.”

Viacom18 Hindi mass entertainment, CEO Raj Nayak said, “Rishtey Cineplex has every ingredient that a movie buff would want to be engaged with. Global audiences today celebrate Indian films, and with the channel’s launch in Europe and North America, we are bringing this celebration to their living rooms. Indian films now have a universal appeal, as a result of which they taste tremendous success in International markets. The trend in consumption has been extremely encouraging and we are certain that the viewers will lap-up our content offering with great zeal.”

Along with films, the channel will showcase many interesting concepts including vignettes from various Film Festivals, behind-the-scenes trivia and coverage of exclusive Red Carpet extravaganzas amongst others.

IndiaCast gorup CEO Anuj Gandhi said, “After Colors and Rishtey, we now introduce our brand new offering, Rishtey Cineplex for the viewers in Europe and North America. The Indian and the South Asian expatriate population is growing across the world, and so is their love for Indian films. Our offerings have always resonated with such audiences catering to their intrinsic viewing needs. With Rishtey Cineplex we are looking forward to strengthening our relationship with our partners along with our audiences.”

Viacom18 has planned an extensive marketing blitzkrieg with a high-decibel launch for Rishtey Cineplex in these markets. A focused 360-degree marketing plan is being orchestrated tapping mediums such as print, radio, outdoor, cinema, digital, cross-channel promotions,and on-ground activations in select locations.

September 30, 2016
Viacom18’s Rishtey Cineplex now in Europe, N America

MUMBAI: Viacom18 has announced its plans to launch its Hindi movie channel, Rishtey Cineplex’ in the international markets.

Kicking off with high-impact launches in Europe and North America (US and Canada), the channel is an extension of the well-established Rishtey brand, and will be targeted at global film enthusiasts.

To be launched in Europe on 29 September and in North America in October, Rishtey Cineplex will appeal to the sensibilities of global film enthusiasts with its blockbuster content.

The channel will showcase the best from Viacom18’s wide library of films as well as newly acquired movies from across genres. The channel will air audience favourites like, Bajirao Mastani, Airlift, Pyaar Ka Punchnama 2, Kapoor and Sons, Ki & Ka and upcoming films like, Force 2, Ae Dil Hai Mushkil amongst others.

Viacom18 group CEO Sudhanshu Vats said, “The Indian film industry has grown in terms of both reach and revenue and is now the largest producer of movies in the world. Our cinema, led by Bollywood movies, continues to increase its pull with the overseas Indian diaspora. Rishtey Cineplex, Viacom18’s first premium Hindi movie channel, has curated an impressive repertoire of Indian titles. It is our endeavour, to take Indian cinema, as a holistic entertainment package, to our loyal viewers in Europe and North America; allowing us to further strengthen our presence in these regions.”

Viacom18 Hindi mass entertainment, CEO Raj Nayak said, “Rishtey Cineplex has every ingredient that a movie buff would want to be engaged with. Global audiences today celebrate Indian films, and with the channel’s launch in Europe and North America, we are bringing this celebration to their living rooms. Indian films now have a universal appeal, as a result of which they taste tremendous success in International markets. The trend in consumption has been extremely encouraging and we are certain that the viewers will lap-up our content offering with great zeal.”

Along with films, the channel will showcase many interesting concepts including vignettes from various Film Festivals, behind-the-scenes trivia and coverage of exclusive Red Carpet extravaganzas amongst others.

IndiaCast gorup CEO Anuj Gandhi said, “After Colors and Rishtey, we now introduce our brand new offering, Rishtey Cineplex for the viewers in Europe and North America. The Indian and the South Asian expatriate population is growing across the world, and so is their love for Indian films. Our offerings have always resonated with such audiences catering to their intrinsic viewing needs. With Rishtey Cineplex we are looking forward to strengthening our relationship with our partners along with our audiences.”

Viacom18 has planned an extensive marketing blitzkrieg with a high-decibel launch for Rishtey Cineplex in these markets. A focused 360-degree marketing plan is being orchestrated tapping mediums such as print, radio, outdoor, cinema, digital, cross-channel promotions,and on-ground activations in select locations.

September 30, 2016
Den Networks consolidated cable, broadband numbers up in Q1-17

BENGALURU: Indian multi system operator (MSO) Den Networks Ltd (Den) Cable business segment consolidated total revenue post activation increased 9 percent in in the quarter ended 30 June 2016 (Q1-17, current quarter) to Rs 251 crore from Rs 230 crore in Q1-16. Pre-activation revenue in the current quarter increased 3 percent to Rs 215 crore from Rs 209 crore in the corresponding year ago quarter.

Two segments contribute to Den’s revenue: Cable distribution network segment (Cable, Cable business) and Broadband segment (Boomband).

Den’s Broadband segment revenue more than tripled (3.55 times) in Q1-17 to Rs 18 crore from Rs 5 crore in Q1-16.

Cable segment

Cable subscription revenue increased 13.3 percent y-o-y to Rs 111 crore in Q1-17 from Rs 98 crore in Q1-16. Cable activation revenue increased 69 percent y-o-y to Rs 36 crore from Rs 21 crore. Placement revenue declined 15 percent y-o-y to Rs 87 crore from Rs 102 crore.

Cable segment reported EBIDTA of Rs 53 crore in Q1-17 as against and EBIDTA of Rs 14 crore in the corresponding quarter of the previous year. Please refer to the figure below for Den’s revenue break-up for Q1-7 and Q1-16.

The company reported 98 lakh DAS subscribers for Q1-17, as compared to 72 lakh in the corresponding year ago quarter and 94 lakh in the immediate trailing quarter (Q4-16). Den has a cable subscriber base of 1.3 crore.

Broadband segment

Den reported 329 percent growth in broadband customers in Q1-17 as compared to the corresponding year ago quarter Q1-16. Den reported 1,15,000 broadband customers in the current quarter as compared to 35,000 in Q1-16.

In Q4-16 Den had a broadband subscriber base of about 95,000, hence quarter-over-quarter (q-o-q) broadband subscriber base growth in Q1-17 was 21 percent. Q-o-q broadband revenue increased 20 percent in the current quarter from Rs 15 crore in Q4-16.

Broadband segment’s operating loss (EBIDTA) in Q1-17 was lower at Rs 9 crore as compared to an operating loss of Rs 18 crore in Q1-16.

Consolidated numbers

Den’s consolidated revenue increased 14 percent year-over-year (y-o-y) in the current quarter to Rs 269 crore from Rs 236 crore in Q1-16.

Consolidated loss before tax in Q1-17 was lower at Rs 35 crore as compared to a loss of Rs 48 crore in Q1-16. Net loss in Q1-17 was slightly higher at Rs 52 crore as compared to a net loss of Rs 50 crore in Q1-16.

The company reported positive post activation consolidated EBIDTA of Rs 44 crore for the current quarter as against a negative (operating loss) of Rs 4 crore in Q1-16.

Den’s consolidated total expenditure in the current quarter declined 6.3 percent to Rs 225 crore from Rs 240 crore in Q1-16.

Content costs are a major component of Den’s expenditure – Content costs in the current quarter declined 7.4 percent in the current quarter to Rs 112 crore from Rs 121 crore in the corresponding year ago quarter.

Employee (Personnel) costs declined 19.4 percent in the current quarter to Rs 25 crore from Rs 31 crore in Q1-16. Other operating expenses in Q1-17 increased 2.5 percent to Rs 81 crore from Rs 79 crore.

Goldman Sachs to pick up 1.58 crore Den equity shares

As reported, the company’s existing shareholder Goldman Sachs is picking up 1.58 crore equity shares at a price of Rs 90 per share via a preferential allotment. This will take Goldman Sachs’ equity stake in DEN up from 17.79 per cent to 24.49 per cent and involve an injection of much needed capital to the tune of Rs 142.43 crore.

Note: (1) All numbers mentioned are consolidated unless stated otherwise.

(1.1) The figures mentioned above have been rounded off and based on the numbers presented by Den in the public domain.

(2) The numbers in this paper are as per Indian Accounting System. (Ind AS)

(3) The unit of currency in this report is the Indian rupee – Rs (also conventionally

represented by INR). The Indian numbering system or the Vedic numbering system has been used to denote money values. The basic conversion to the international norm would be:

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

(b) 10,000 lakh = 100 crore = 1 arab = 1 billion.

September 21, 2016
Den Networks consolidated cable, broadband numbers up in Q1-17

BENGALURU: Indian multi system operator (MSO) Den Networks Ltd (Den) Cable business segment consolidated total revenue post activation increased 9 percent in in the quarter ended 30 June 2016 (Q1-17, current quarter) to Rs 251 crore from Rs 230 crore in Q1-16. Pre-activation revenue in the current quarter increased 3 percent to Rs 215 crore from Rs 209 crore in the corresponding year ago quarter.

Two segments contribute to Den’s revenue: Cable distribution network segment (Cable, Cable business) and Broadband segment (Boomband).

Den’s Broadband segment revenue more than tripled (3.55 times) in Q1-17 to Rs 18 crore from Rs 5 crore in Q1-16.

Cable segment

Cable subscription revenue increased 13.3 percent y-o-y to Rs 111 crore in Q1-17 from Rs 98 crore in Q1-16. Cable activation revenue increased 69 percent y-o-y to Rs 36 crore from Rs 21 crore. Placement revenue declined 15 percent y-o-y to Rs 87 crore from Rs 102 crore.

Cable segment reported EBIDTA of Rs 53 crore in Q1-17 as against and EBIDTA of Rs 14 crore in the corresponding quarter of the previous year. Please refer to the figure below for Den’s revenue break-up for Q1-7 and Q1-16.

The company reported 98 lakh DAS subscribers for Q1-17, as compared to 72 lakh in the corresponding year ago quarter and 94 lakh in the immediate trailing quarter (Q4-16). Den has a cable subscriber base of 1.3 crore.

Broadband segment

Den reported 329 percent growth in broadband customers in Q1-17 as compared to the corresponding year ago quarter Q1-16. Den reported 1,15,000 broadband customers in the current quarter as compared to 35,000 in Q1-16.

In Q4-16 Den had a broadband subscriber base of about 95,000, hence quarter-over-quarter (q-o-q) broadband subscriber base growth in Q1-17 was 21 percent. Q-o-q broadband revenue increased 20 percent in the current quarter from Rs 15 crore in Q4-16.

Broadband segment’s operating loss (EBIDTA) in Q1-17 was lower at Rs 9 crore as compared to an operating loss of Rs 18 crore in Q1-16.

Consolidated numbers

Den’s consolidated revenue increased 14 percent year-over-year (y-o-y) in the current quarter to Rs 269 crore from Rs 236 crore in Q1-16.

Consolidated loss before tax in Q1-17 was lower at Rs 35 crore as compared to a loss of Rs 48 crore in Q1-16. Net loss in Q1-17 was slightly higher at Rs 52 crore as compared to a net loss of Rs 50 crore in Q1-16.

The company reported positive post activation consolidated EBIDTA of Rs 44 crore for the current quarter as against a negative (operating loss) of Rs 4 crore in Q1-16.

Den’s consolidated total expenditure in the current quarter declined 6.3 percent to Rs 225 crore from Rs 240 crore in Q1-16.

Content costs are a major component of Den’s expenditure – Content costs in the current quarter declined 7.4 percent in the current quarter to Rs 112 crore from Rs 121 crore in the corresponding year ago quarter.

Employee (Personnel) costs declined 19.4 percent in the current quarter to Rs 25 crore from Rs 31 crore in Q1-16. Other operating expenses in Q1-17 increased 2.5 percent to Rs 81 crore from Rs 79 crore.

Goldman Sachs to pick up 1.58 crore Den equity shares

As reported, the company’s existing shareholder Goldman Sachs is picking up 1.58 crore equity shares at a price of Rs 90 per share via a preferential allotment. This will take Goldman Sachs’ equity stake in DEN up from 17.79 per cent to 24.49 per cent and involve an injection of much needed capital to the tune of Rs 142.43 crore.

Note: (1) All numbers mentioned are consolidated unless stated otherwise.

(1.1) The figures mentioned above have been rounded off and based on the numbers presented by Den in the public domain.

(2) The numbers in this paper are as per Indian Accounting System. (Ind AS)

(3) The unit of currency in this report is the Indian rupee – Rs (also conventionally

represented by INR). The Indian numbering system or the Vedic numbering system has been used to denote money values. The basic conversion to the international norm would be:

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

(b) 10,000 lakh = 100 crore = 1 arab = 1 billion.

September 21, 2016
TDSAT rejects 3 LCOs’ application for STB deposit refund from Indusind

NEW DELHI: The Telecom Disputes Settlement & Appellate Tribunal (TDSAT) has rejected applications by three local cable operators (LCOs) seeking refund from IndusInd Media & Communications Ltd of Rs 1100 per Set Top Box (STB). Of the Rs 1100, Rs 500 for each STB is allegedly the amount towards security deposit paid by respondents and another sum of Rs 600 per STB allegedly charged from the respondents from its customers as activation fee.

While noting that evidence in this regard would be examined in the three main cases by IndusInd against R S Cable, OM Cable, and Vipin Sehrawat and others, the clause of the agreement relating to security deposit shows it was at the discretion of Indusind.

Though the security deposit is refundable, as regards installation and activation charges, there is no clause for the refund of same. The only receipt produced by the applicants mentions a payment of Rs 1,00,000 for 200 STBs.

TDSAT chairman Justice Aftab Alam and members Kuldip Singh and B B Srivastava said, “There is nothing to indicate that this payment was for security deposit. On the other hand, the statement annexed by the petitioner (Indusind) in its reply to the applications indicates this to be otherwise.”

Rejecting the LCOs’ applications, the Tribunal said, “In view of the contrary stands taken by the parties on facts, we feel that evidences will be required in this regard. At this stage, in the absence of sufficient material to support the claim of the applicants/respondents, we do not find that a sufficient case is made for direction to refund any amount. We, however, leave this question open for determination at the time of the trial.”

Indusind is a multi system operator (MSO) with a pan India presence, the respondents are LCOs. The petitioner came to the Tribunal challenging the migration of applicants/respondents to the network of another MSO.

In its interim appeal, it had asked for a direction to the LCOs to jointly return the STBs provided by it.

The Tribunal, by an order dated 5 November 2015, directed the LCOs to return all the STBs to Indusind. However, the question whether Indusind might be liable to make any payment for the returned STBs to the LCOs or to deposit an equal amount before the Tribunal, was left expressly open. The return of the STBs was to be overseen by an Advocate Commissioner that was appointed for the purpose. The advocate commissioner said the LCOs had returned 2290 STBs.

It was the case of the LCOs that they had paid a sum of Rs 1100 per STB and for the STBs that have been returned by them, these charges must be refunded by Indusind.

The reply to the application filed by Indusind says it only received installation charges of Rs 500 per STB from the LCOs on which it has even paid the service tax and the same is not refundable. In support of its pleadings, the MSO has annexed a statement titled “STB installation charge account” with its reply.

The LCOs have not provided any material to substantiate their claim except for a receipt of Rs 1,00,000 for 200 STBs in case of Bunny Cable (respondent no. 1 in one of the three petitions). Indusind said the receipt of Rs 1,00,000 in regard of Bunny Cable is also towards installation charges and already accounted for in the statement annexed by it.

The LCOs argued that the agreement provides for a security deposit of Rs 500 per STB and the MSO would not have supplied the STBs without taking this.

According to clause 3.4 of the agreement between the MSO and the LCOs in all these petitions, the LCO was to collect rent, installment and security deposit in respect of the hardware/STBs from the subscribers and hand over the same to the petitioner.

In terms of the “Schedule A II. Standard Terms and Conditions,” the LCOs were required to deposit at the discretion of the MSO, an interest free and refundable security deposit of Rs 500 per STB.

January 24, 2016
TDSAT rejects 3 LCOs’ application for STB deposit refund from Indusind

NEW DELHI: The Telecom Disputes Settlement & Appellate Tribunal (TDSAT) has rejected applications by three local cable operators (LCOs) seeking refund from IndusInd Media & Communications Ltd of Rs 1100 per Set Top Box (STB). Of the Rs 1100, Rs 500 for each STB is allegedly the amount towards security deposit paid by respondents and another sum of Rs 600 per STB allegedly charged from the respondents from its customers as activation fee.

While noting that evidence in this regard would be examined in the three main cases by IndusInd against R S Cable, OM Cable, and Vipin Sehrawat and others, the clause of the agreement relating to security deposit shows it was at the discretion of Indusind.

Though the security deposit is refundable, as regards installation and activation charges, there is no clause for the refund of same. The only receipt produced by the applicants mentions a payment of Rs 1,00,000 for 200 STBs.

TDSAT chairman Justice Aftab Alam and members Kuldip Singh and B B Srivastava said, “There is nothing to indicate that this payment was for security deposit. On the other hand, the statement annexed by the petitioner (Indusind) in its reply to the applications indicates this to be otherwise.”

Rejecting the LCOs’ applications, the Tribunal said, “In view of the contrary stands taken by the parties on facts, we feel that evidences will be required in this regard. At this stage, in the absence of sufficient material to support the claim of the applicants/respondents, we do not find that a sufficient case is made for direction to refund any amount. We, however, leave this question open for determination at the time of the trial.”

Indusind is a multi system operator (MSO) with a pan India presence, the respondents are LCOs. The petitioner came to the Tribunal challenging the migration of applicants/respondents to the network of another MSO.

In its interim appeal, it had asked for a direction to the LCOs to jointly return the STBs provided by it.

The Tribunal, by an order dated 5 November 2015, directed the LCOs to return all the STBs to Indusind. However, the question whether Indusind might be liable to make any payment for the returned STBs to the LCOs or to deposit an equal amount before the Tribunal, was left expressly open. The return of the STBs was to be overseen by an Advocate Commissioner that was appointed for the purpose. The advocate commissioner said the LCOs had returned 2290 STBs.

It was the case of the LCOs that they had paid a sum of Rs 1100 per STB and for the STBs that have been returned by them, these charges must be refunded by Indusind.

The reply to the application filed by Indusind says it only received installation charges of Rs 500 per STB from the LCOs on which it has even paid the service tax and the same is not refundable. In support of its pleadings, the MSO has annexed a statement titled “STB installation charge account” with its reply.

The LCOs have not provided any material to substantiate their claim except for a receipt of Rs 1,00,000 for 200 STBs in case of Bunny Cable (respondent no. 1 in one of the three petitions). Indusind said the receipt of Rs 1,00,000 in regard of Bunny Cable is also towards installation charges and already accounted for in the statement annexed by it.

The LCOs argued that the agreement provides for a security deposit of Rs 500 per STB and the MSO would not have supplied the STBs without taking this.

According to clause 3.4 of the agreement between the MSO and the LCOs in all these petitions, the LCO was to collect rent, installment and security deposit in respect of the hardware/STBs from the subscribers and hand over the same to the petitioner.

In terms of the “Schedule A II. Standard Terms and Conditions,” the LCOs were required to deposit at the discretion of the MSO, an interest free and refundable security deposit of Rs 500 per STB.

January 24, 2016