Tag: ARPU

Q2-16: DISH Network reports 27% profit hike, loses 281K pay-TV subscribers

BENGALURU: DISH Network Corp. (DISH) reported 26.52 percent increase in its net profit for the quarter ended 30 June 2016 (Q2-16, current quarter) at $ 410.46 million as compared to $ 324.42 million in the corresponding year ago quarter. Despite activating approximately 527,000 gross new pay-TV subscribers, net pay-TV subscribers declined approximately 281,000 in Q2-16. Comparatively, in Q2-15 approximately 638,000 gross new pay-TV subscribers were added with a net loss of approximately 81,000 pay-TV subscribers.

DISH reported almost flat revenue (grew by 0.12 percent) in the current quarter of $ 3,837.04 million as compared to revenue of $ 3,832.29 million in Q2-15. Subscriber related revenue in Q2-16 grew 0.7 percent to $3,826.22 million as compared to $3,801.42 million in Q2-15.

EBIDTA in Q2-16 declined slightly (2.7 percent) to $ 899.54 million from $ 924.45 million in the corresponding year ago quarter.

Subscribers, ARPU, SAC

The company closed Q2-16 with 13.593 million pay-TV subscribers, compared to 13.932 million pay-TV subscribers at the end Q2-2015.

DISH lost approximately 15,000 net broadband subscribers in the second quarter, bringing its broadband subscriber base to approximately 613,000.

Pay-TV ARPU for Q2-16 totalled $89.98, compared to Q2-2015 pay-TV ARPU of $ 87.91. Pay-TV subscriber churn rate in the current quarter was higher at 1.96 percent versus 1.71 percent for Q2-2015.

Pay-TV subscriber acquisition cost (SAC) in Q2-16 was $353.08 million as compared to $ 405.70 million in Q2-15. Pay-TV SAC was $782 per subscriber during Q2-16 compared to $767 during Q2-15 an increase of $15 or 1.9 percent.

DISH says that this change was primarily attributable to an increase in advertising costs per activation, partially offset by a decrease in hardware costs per activation. The decrease in hardware costs per activation was primarily due to a higher percentage of remanufactured receivers being activated on new DISH branded pay-TV subscriber accounts and by a reduction in manufacturing costs related to certain receiver systems. This decrease was partially offset by an increase in the percentage of new DISH branded pay-TV subscriber activations with Hopper 3 receiver systems, which have a higher cost per unit than the prior generation Hopper receiver systems.

Notes

It may be noted that DISH includes all of its Sling TV subscribers in the company’s total pay-TV metrics, including in the pay-TV subscriber, pay-TV ARPU and pay-TV churn rate numbers set forth below. Sling TV subscribers are reported net of disconnects in DISH’s gross new pay-TV subscriber activations. The Sling branded pay-TV services consist of, among other things, live, linear streaming over-the-top (OTT) internet-based domestic, international and Latino video programming services.

DISH markets broadband services under the dishNET™ brand in the United States. In addition to the dishNET branded satellite broadband service, DISH also offers wireline voice and broadband services under the dishNET brand as a competitive local exchange carrier primarily to consumers living in a 14-state region in the western United States. It primarily bundles dishNET branded services with its DISH branded pay-TV service.

During Q1-2016 DISH made its next generation Hopper, the Hopper 3, availableto customers nationwide. Among other things, the Hopper 3 features 16 tuners, delivers an enhanced 4K Ultra HD experience, and supports up to seven TVs simultaneously says the company.

July 25, 2016
Q2-16: DISH Network reports 27% profit hike, loses 281K pay-TV subscribers

BENGALURU: DISH Network Corp. (DISH) reported 26.52 percent increase in its net profit for the quarter ended 30 June 2016 (Q2-16, current quarter) at $ 410.46 million as compared to $ 324.42 million in the corresponding year ago quarter. Despite activating approximately 527,000 gross new pay-TV subscribers, net pay-TV subscribers declined approximately 281,000 in Q2-16. Comparatively, in Q2-15 approximately 638,000 gross new pay-TV subscribers were added with a net loss of approximately 81,000 pay-TV subscribers.

DISH reported almost flat revenue (grew by 0.12 percent) in the current quarter of $ 3,837.04 million as compared to revenue of $ 3,832.29 million in Q2-15. Subscriber related revenue in Q2-16 grew 0.7 percent to $3,826.22 million as compared to $3,801.42 million in Q2-15.

EBIDTA in Q2-16 declined slightly (2.7 percent) to $ 899.54 million from $ 924.45 million in the corresponding year ago quarter.

Subscribers, ARPU, SAC

The company closed Q2-16 with 13.593 million pay-TV subscribers, compared to 13.932 million pay-TV subscribers at the end Q2-2015.

DISH lost approximately 15,000 net broadband subscribers in the second quarter, bringing its broadband subscriber base to approximately 613,000.

Pay-TV ARPU for Q2-16 totalled $89.98, compared to Q2-2015 pay-TV ARPU of $ 87.91. Pay-TV subscriber churn rate in the current quarter was higher at 1.96 percent versus 1.71 percent for Q2-2015.

Pay-TV subscriber acquisition cost (SAC) in Q2-16 was $353.08 million as compared to $ 405.70 million in Q2-15. Pay-TV SAC was $782 per subscriber during Q2-16 compared to $767 during Q2-15 an increase of $15 or 1.9 percent.

DISH says that this change was primarily attributable to an increase in advertising costs per activation, partially offset by a decrease in hardware costs per activation. The decrease in hardware costs per activation was primarily due to a higher percentage of remanufactured receivers being activated on new DISH branded pay-TV subscriber accounts and by a reduction in manufacturing costs related to certain receiver systems. This decrease was partially offset by an increase in the percentage of new DISH branded pay-TV subscriber activations with Hopper 3 receiver systems, which have a higher cost per unit than the prior generation Hopper receiver systems.

Notes

It may be noted that DISH includes all of its Sling TV subscribers in the company’s total pay-TV metrics, including in the pay-TV subscriber, pay-TV ARPU and pay-TV churn rate numbers set forth below. Sling TV subscribers are reported net of disconnects in DISH’s gross new pay-TV subscriber activations. The Sling branded pay-TV services consist of, among other things, live, linear streaming over-the-top (OTT) internet-based domestic, international and Latino video programming services.

DISH markets broadband services under the dishNET™ brand in the United States. In addition to the dishNET branded satellite broadband service, DISH also offers wireline voice and broadband services under the dishNET brand as a competitive local exchange carrier primarily to consumers living in a 14-state region in the western United States. It primarily bundles dishNET branded services with its DISH branded pay-TV service.

During Q1-2016 DISH made its next generation Hopper, the Hopper 3, availableto customers nationwide. Among other things, the Hopper 3 features 16 tuners, delivers an enhanced 4K Ultra HD experience, and supports up to seven TVs simultaneously says the company.

July 25, 2016
Siticable partners dittoTV; to push OTT to cable TV and broadband subscribers

MUMBAI: It was over the weekend that Zee Digital Convergence’s unleashed a TVC blitzkrieg, promoting its low priced over the top (OTT) service dittoTV. And now it has announced that it is partnering with Essel group cable TV MSO and sister company Siticable.

As part of this, Siticable will be pushing the authentication and subscription to dittoTV from its portal to the subscribers of its cable TV service. Its broadband customers will be able to subscribe to OTT service at no extra cost to them. Siticable and dittoTV will do joint promotions on the ground even as last mile operators will also work on further distributing the OTT platform and servicing those who subscribe to it.

Says dittoTV business head Archana Anand: “We are excited to be partnering with Siticable to give a push to our OTT service. We are looking at maximizing our distribution through the partnership. We launched our TVCs over the weekend and the response has been way beyond our expectations.”

Adds SitiCable CEO V.D. Wadhwa: “The partnership is an exclusive one for Siticable as an MSO. And it is going to be a win win for both of us.”

SitiCable has 12 million subscribers nationally to its cable TV service – an attractive potential captive audience for dittoTV.. Last mile operators who push the OTT service will benefit as a revenue share is being given to them.

The 132,000 Siti Broadband users in Kolkata and Delhi are another lucrative bunch of potential subscribers for dittoTV, especially since it is being bundled with it and being given away free to them. In Delhi, SitiCable delivers broadband using Docsis 3,0 modems to its 30,000 odd subscribers while in Kolkata the number is in excess of 100,000 but the delivery mode is Ethernet on cable. Average revenue per user (ARPU), according to Wadhwa, in Delhi is at Rs 600 while in Kolkata it is Rs 500. While the average bandwidth consumption is 30 GB in Delhi, the figure is half that in the eastern city.

“Broadband users will be able to watch dittoTV’s 100 channels on their laptops, tablets, and smart TVs in the comfort of their homes using our broadband,” says Wadhwa.

That probably should lead to a lift in bandwidth consumption, say observers, and an increase in broadband ARPU for Siticable once customers start using the dittoTV app and streaming the linear 100-odd channels that it is providing.

This apart, SitiCable’s cable TV subscribers, who are using other broadband services – dongles or Chromecast or what have you – will also be able to sign up and stream dittoTV on different devices.

Anand says the two of them will observe how the partnership is panning out in its Delhi pilot before rolling it out into other towns. Overall she has already said ZDCL was looking at 6 million subscribers in FY-2017. Of these, she says about a million should come courtesy its SitiCable partnership.

In all probability, dittoTV is going to serve as Siticable’s offering of an anywhere TV app – a la Tata Sky – as the operator says it is not interested in launching one of its own in the foreseeable future.

As a recap, dittoTV was relaunched last month with an offer of 100 + Hindi, English and regional language channels (excepting Sun TV and Star India) encompassing general entertainment, sports, movies, news and lifestyle following its relaunch last month. It has come in as a low price warrior with its price tag being Rs 20 for a month, Rs 50 for three months, Rs 90 for six months and Rs 170 for a year.

“We are definitely serious about OTT, hence we have priced it so low and are targeting large subscriber volumes,” says Anand. “We are investing in it for the future.”

July 19, 2016
Siticable partners dittoTV; to push OTT to cable TV and broadband subscribers

MUMBAI: It was over the weekend that Zee Digital Convergence’s unleashed a TVC blitzkrieg, promoting its low priced over the top (OTT) service dittoTV. And now it has announced that it is partnering with Essel group cable TV MSO and sister company Siticable.

As part of this, Siticable will be pushing the authentication and subscription to dittoTV from its portal to the subscribers of its cable TV service. Its broadband customers will be able to subscribe to OTT service at no extra cost to them. Siticable and dittoTV will do joint promotions on the ground even as last mile operators will also work on further distributing the OTT platform and servicing those who subscribe to it.

Says dittoTV business head Archana Anand: “We are excited to be partnering with Siticable to give a push to our OTT service. We are looking at maximizing our distribution through the partnership. We launched our TVCs over the weekend and the response has been way beyond our expectations.”

Adds SitiCable CEO V.D. Wadhwa: “The partnership is an exclusive one for Siticable as an MSO. And it is going to be a win win for both of us.”

SitiCable has 12 million subscribers nationally to its cable TV service – an attractive potential captive audience for dittoTV.. Last mile operators who push the OTT service will benefit as a revenue share is being given to them.

The 132,000 Siti Broadband users in Kolkata and Delhi are another lucrative bunch of potential subscribers for dittoTV, especially since it is being bundled with it and being given away free to them. In Delhi, SitiCable delivers broadband using Docsis 3,0 modems to its 30,000 odd subscribers while in Kolkata the number is in excess of 100,000 but the delivery mode is Ethernet on cable. Average revenue per user (ARPU), according to Wadhwa, in Delhi is at Rs 600 while in Kolkata it is Rs 500. While the average bandwidth consumption is 30 GB in Delhi, the figure is half that in the eastern city.

“Broadband users will be able to watch dittoTV’s 100 channels on their laptops, tablets, and smart TVs in the comfort of their homes using our broadband,” says Wadhwa.

That probably should lead to a lift in bandwidth consumption, say observers, and an increase in broadband ARPU for Siticable once customers start using the dittoTV app and streaming the linear 100-odd channels that it is providing.

This apart, SitiCable’s cable TV subscribers, who are using other broadband services – dongles or Chromecast or what have you – will also be able to sign up and stream dittoTV on different devices.

Anand says the two of them will observe how the partnership is panning out in its Delhi pilot before rolling it out into other towns. Overall she has already said ZDCL was looking at 6 million subscribers in FY-2017. Of these, she says about a million should come courtesy its SitiCable partnership.

In all probability, dittoTV is going to serve as Siticable’s offering of an anywhere TV app – a la Tata Sky – as the operator says it is not interested in launching one of its own in the foreseeable future.

As a recap, dittoTV was relaunched last month with an offer of 100 + Hindi, English and regional language channels (excepting Sun TV and Star India) encompassing general entertainment, sports, movies, news and lifestyle following its relaunch last month. It has come in as a low price warrior with its price tag being Rs 20 for a month, Rs 50 for three months, Rs 90 for six months and Rs 170 for a year.

“We are definitely serious about OTT, hence we have priced it so low and are targeting large subscriber volumes,” says Anand. “We are investing in it for the future.”

July 19, 2016
MPA: APAC pay TV growth to slowdown 2016-2025

MUMBAI: Slowdown. After years of dizzying speedy growth, the Asia-Pacific pay-TV industry is expected to grow at a very sedate average 5.8 per cent annually between 2016 and 2021, says leading industry analyst Media Partners Asia (MPA in its new report Asia Pacific Pay-TV & Broadband Markets, published today.

MPA projects pay-TV industry sales across 18 major markets in APAC to climb from $54 billion in 2016 to US$72 billion by 2021, rising thereafter to US $81 billion by 2025. The pace of pay-TV subscriber and revenue growth is slowing however, weakened by an economic slowdown and increasing competition from both legal and illegal alternatives. Pay-TV subscriber growth has declined or substantially decelerated in Hong Kong, Indonesia, Malaysia and Singapore in particular.

At the same time however, India and Korea remain two of the region’s largest and most scalable pay-TV opportunities. Revenue growth will also accelerate in Australia and the Philippines, largely thanks to subscriber growth.

However, MPA analysts have lowered subscriber growth forecasts across much of Southeast Asia, especially for Indonesia, Malaysia and Singapore, although ARPU (average revenue per user) should remain resilient in both Malaysia and Singapore.

The pay-TV industry in China, meanwhile, remains the largest in the region and is becoming increasingly digitalized. Pay-TV growth opportunities for broadcasters are limited however, due to increasing regulation as well as competition from free and paid online video services.

Elsewhere in the region, subscription-based video-on-demand (SVOD) services have had a negligible impact on pay-TV so far, despite the global launch of Netflix earlier this year, in addition to increasing competition among lower-priced regional and local SVOD services.

Most pay-TV subscribers downgrading or canceling pay-TV services are moving instead to illegal services, as well as to free, ad-supported options across both TV and online video.

At the same time, more pay-TV operators are rolling out connected set-top boxes that can incorporate OTT video services. In addition, some operators (telcos in particular) are aggressively hard-bundling video content, including pay-TV channels, with high-speed broadband. This is helping drive subscriber growth, especially in a number of Southeast Asian markets.

Commenting on the report, MPA executive director Vivek Couto said:

“Pay-TV providers are increasingly focused on repackaging and re-pricing both linear and on-demand services. Local and regional Asian programming is also becoming increasingly important. At the same time, sports, kids, infotainment and Hollywood movies will remain mainstays of the pay-TV bundle, although channels offering Hollywood TV series are being disrupted by both legal and illegal OTT. Few pay-TV operators have been able to capture or monetize large-scale online video viewing so far, although early results in Hong Kong and Korea are encouraging. The goal is driving the next cycle of customer growth and consumer spend. Pay-TV user interfaces and data analytics are improving, although often too slowly to effectively compete with legal and illegal OTT rivals. Increasingly, viable pay-TV operators will become drivers and targets for M&A and consolidation, as the worlds of pay-TV, broadband and OTT collide and converge in the wider context of media and telecoms.”

Ex-China, which remains a utility-oriented and highly regulated pay-TV market, Asia Pacific added 9.6 million net new pay-TV customers last year, the slowest pace of growth since 1997-98. MPA analysts project a spike to 10.4 million net additions ex-China this year, driven by government-mandated cable digitalization in India. Subscriber growth should decelerate again from next year onwards, moderating to between 4 million to 8 million net adds per annum between 2018 and 2022.

Including China, MPA sees total pay-TV subscribers in Asia Pacific growing from 567 million in 2016 to 764 million by 2025. Adjusted for multiple connections in a household, pay-TV penetration in Asia Pacific will grow from 55 per cent of TV households in 2016 to 61 per cent by 2025.

Digital pay-TV penetration in Asia Pacific will increase from 80 per cent of pay-TV subs in 2016 to 91 per cent by 2025, as pay-TV networks in most markets go 90-100 per cent digital, with the exception of India (70 per cent) and Pakistan (32 per cent) in the 18 markets covered in the report. HD penetration of digital pay-TV subs in Asia Pacific will grow from 30 per cent in 2016 to 46 per cent in 2025.

The fastest growing segment within the Asia Pacific pay-TV industry over 2016-21 will be value-added services (VAS), driven by VOD, as revenues climb at an 11 per cent CAGR over the next five years. Australia, China, Japan and Korea will be the biggest markets for VOD revenue growth. Malaysia will lead amongst smaller markets.

In standout pay-TV markets such as India and Korea, pay-TV subscription revenue growth will be driven by high volumes and a level of ARPU upside (partially offset by price competition). Higher yields will also boost subscription revenue growth in Hong Kong, Malaysia, the Philippines, Singapore and Vietnam.

Pay-TV advertising will expand from US$11.6 billion in spend in 2016 to US$16.2 billion by 2021, with growth driven by markets with high levels of pay-TV penetration such as India and Korea, along with China. Meanwhile, pay-TV ad spend in Australia, Japan and Taiwan will remain material, although growth in each of these markets will soften. Malaysia and the Philippines will remain the standout markets for pay-TV advertising in Southeast Asia.

July 14, 2016
MPA: APAC pay TV growth to slowdown 2016-2025

MUMBAI: Slowdown. After years of dizzying speedy growth, the Asia-Pacific pay-TV industry is expected to grow at a very sedate average 5.8 per cent annually between 2016 and 2021, says leading industry analyst Media Partners Asia (MPA in its new report Asia Pacific Pay-TV & Broadband Markets, published today.

MPA projects pay-TV industry sales across 18 major markets in APAC to climb from $54 billion in 2016 to US$72 billion by 2021, rising thereafter to US $81 billion by 2025. The pace of pay-TV subscriber and revenue growth is slowing however, weakened by an economic slowdown and increasing competition from both legal and illegal alternatives. Pay-TV subscriber growth has declined or substantially decelerated in Hong Kong, Indonesia, Malaysia and Singapore in particular.

At the same time however, India and Korea remain two of the region’s largest and most scalable pay-TV opportunities. Revenue growth will also accelerate in Australia and the Philippines, largely thanks to subscriber growth.

However, MPA analysts have lowered subscriber growth forecasts across much of Southeast Asia, especially for Indonesia, Malaysia and Singapore, although ARPU (average revenue per user) should remain resilient in both Malaysia and Singapore.

The pay-TV industry in China, meanwhile, remains the largest in the region and is becoming increasingly digitalized. Pay-TV growth opportunities for broadcasters are limited however, due to increasing regulation as well as competition from free and paid online video services.

Elsewhere in the region, subscription-based video-on-demand (SVOD) services have had a negligible impact on pay-TV so far, despite the global launch of Netflix earlier this year, in addition to increasing competition among lower-priced regional and local SVOD services.

Most pay-TV subscribers downgrading or canceling pay-TV services are moving instead to illegal services, as well as to free, ad-supported options across both TV and online video.

At the same time, more pay-TV operators are rolling out connected set-top boxes that can incorporate OTT video services. In addition, some operators (telcos in particular) are aggressively hard-bundling video content, including pay-TV channels, with high-speed broadband. This is helping drive subscriber growth, especially in a number of Southeast Asian markets.

Commenting on the report, MPA executive director Vivek Couto said:

“Pay-TV providers are increasingly focused on repackaging and re-pricing both linear and on-demand services. Local and regional Asian programming is also becoming increasingly important. At the same time, sports, kids, infotainment and Hollywood movies will remain mainstays of the pay-TV bundle, although channels offering Hollywood TV series are being disrupted by both legal and illegal OTT. Few pay-TV operators have been able to capture or monetize large-scale online video viewing so far, although early results in Hong Kong and Korea are encouraging. The goal is driving the next cycle of customer growth and consumer spend. Pay-TV user interfaces and data analytics are improving, although often too slowly to effectively compete with legal and illegal OTT rivals. Increasingly, viable pay-TV operators will become drivers and targets for M&A and consolidation, as the worlds of pay-TV, broadband and OTT collide and converge in the wider context of media and telecoms.”

Ex-China, which remains a utility-oriented and highly regulated pay-TV market, Asia Pacific added 9.6 million net new pay-TV customers last year, the slowest pace of growth since 1997-98. MPA analysts project a spike to 10.4 million net additions ex-China this year, driven by government-mandated cable digitalization in India. Subscriber growth should decelerate again from next year onwards, moderating to between 4 million to 8 million net adds per annum between 2018 and 2022.

Including China, MPA sees total pay-TV subscribers in Asia Pacific growing from 567 million in 2016 to 764 million by 2025. Adjusted for multiple connections in a household, pay-TV penetration in Asia Pacific will grow from 55 per cent of TV households in 2016 to 61 per cent by 2025.

Digital pay-TV penetration in Asia Pacific will increase from 80 per cent of pay-TV subs in 2016 to 91 per cent by 2025, as pay-TV networks in most markets go 90-100 per cent digital, with the exception of India (70 per cent) and Pakistan (32 per cent) in the 18 markets covered in the report. HD penetration of digital pay-TV subs in Asia Pacific will grow from 30 per cent in 2016 to 46 per cent in 2025.

The fastest growing segment within the Asia Pacific pay-TV industry over 2016-21 will be value-added services (VAS), driven by VOD, as revenues climb at an 11 per cent CAGR over the next five years. Australia, China, Japan and Korea will be the biggest markets for VOD revenue growth. Malaysia will lead amongst smaller markets.

In standout pay-TV markets such as India and Korea, pay-TV subscription revenue growth will be driven by high volumes and a level of ARPU upside (partially offset by price competition). Higher yields will also boost subscription revenue growth in Hong Kong, Malaysia, the Philippines, Singapore and Vietnam.

Pay-TV advertising will expand from US$11.6 billion in spend in 2016 to US$16.2 billion by 2021, with growth driven by markets with high levels of pay-TV penetration such as India and Korea, along with China. Meanwhile, pay-TV ad spend in Australia, Japan and Taiwan will remain material, although growth in each of these markets will soften. Malaysia and the Philippines will remain the standout markets for pay-TV advertising in Southeast Asia.

July 14, 2016
DTT could be thrown open for pvt sector companies

NEW DELHI: The Indian government is exploring possibilities of throwing open the digital terrestrial transmission or DTT services for private sector participation.

Broadcast carriage and telecoms regulator TRAI is poised to start a public consultation in this regard soon.

Presently, terrestrial transmission, analogue or digital, is a monopoly game with India’s pubcaster Doordarshan being the only player.

A senior level source in Ministry of Information & Broadcasting (MIB) admitted that in near future DTT could see involvement of private sector companies as seen in the area of cable and satellite broadcasting.

The MIB source also pointed out that in this connection TRAI has already been consulted and the regulator is in the process of fine-tuning a background paper on DTT that will form part of the consultation with industry stakeholders.

Some of the issues that could be put up for discussion include whether it’s correct in this age of fast-evolving technology to keep DTT a playing arena for only DD; whether DTT services with private sector involvement would be in an encrypted or unencrypted form and technologies to be used.

Quite a few Asian countries like Hong Kong, Thailand and Singapore — considered more sophisticated media markets in terms of ARPUs in comparison to India — have private sector companies providing DTT services.

According to ViaSat magazine, telco PCCW, for example, in Hong Kong recently announced launch of a new set-top box (STB) that will be an all-in-one, 4K-ready device providing IPTV, DTT and over-the-top (OTT) services to subscribers.

However, it must be remembered that even if TRAI comes out with a consultation paper on DTT and finally recommends that private sector companies be allowed to provide DTT services, along with DD, the final say on the matter would be with MIB.

In an earlier story Indiantelevision.com had reported that DD, one of the largest broadcasting organisations in the world in terms of the studios and transmitters, has commenced DTT services in 16 cities.

DD move to also replace its analogue transmitters with digital transmitters will allow up to 8 channels to be carried from a single transmitter.

Interestingly, while listing the many advantages of DTT services, Doordarshan on its website points out that “DTT secures greater plurality in Platform ownership, ensuring that no single platform owner is so powerful that they can exert undue influence on public opinion or political agendas.”

ALSO READ:

Doordarshan launches Mobile TV in India, needs no internet

http://www.indiantelevision.com/television/tv-channels/terrestrial/doordarshan-launches-mobile-tv-in-india-needs-no-internet-160404

DD moving to digitisation through Freedish and DTT: Rathore

http://www.indiantelevision.com/regulators/i-and-b-ministry/dd-moving-to-digitisation-through-freedish-and-dtt-rathore-141202

June 6, 2016
DTT could be thrown open for pvt sector companies

NEW DELHI: The Indian government is exploring possibilities of throwing open the digital terrestrial transmission or DTT services for private sector participation.

Broadcast carriage and telecoms regulator TRAI is poised to start a public consultation in this regard soon.

Presently, terrestrial transmission, analogue or digital, is a monopoly game with India’s pubcaster Doordarshan being the only player.

A senior level source in Ministry of Information & Broadcasting (MIB) admitted that in near future DTT could see involvement of private sector companies as seen in the area of cable and satellite broadcasting.

The MIB source also pointed out that in this connection TRAI has already been consulted and the regulator is in the process of fine-tuning a background paper on DTT that will form part of the consultation with industry stakeholders.

Some of the issues that could be put up for discussion include whether it’s correct in this age of fast-evolving technology to keep DTT a playing arena for only DD; whether DTT services with private sector involvement would be in an encrypted or unencrypted form and technologies to be used.

Quite a few Asian countries like Hong Kong, Thailand and Singapore — considered more sophisticated media markets in terms of ARPUs in comparison to India — have private sector companies providing DTT services.

According to ViaSat magazine, telco PCCW, for example, in Hong Kong recently announced launch of a new set-top box (STB) that will be an all-in-one, 4K-ready device providing IPTV, DTT and over-the-top (OTT) services to subscribers.

However, it must be remembered that even if TRAI comes out with a consultation paper on DTT and finally recommends that private sector companies be allowed to provide DTT services, along with DD, the final say on the matter would be with MIB.

In an earlier story Indiantelevision.com had reported that DD, one of the largest broadcasting organisations in the world in terms of the studios and transmitters, has commenced DTT services in 16 cities.

DD move to also replace its analogue transmitters with digital transmitters will allow up to 8 channels to be carried from a single transmitter.

Interestingly, while listing the many advantages of DTT services, Doordarshan on its website points out that “DTT secures greater plurality in Platform ownership, ensuring that no single platform owner is so powerful that they can exert undue influence on public opinion or political agendas.”

ALSO READ:

Doordarshan launches Mobile TV in India, needs no internet

http://www.indiantelevision.com/television/tv-channels/terrestrial/doordarshan-launches-mobile-tv-in-india-needs-no-internet-160404

DD moving to digitisation through Freedish and DTT: Rathore

http://www.indiantelevision.com/regulators/i-and-b-ministry/dd-moving-to-digitisation-through-freedish-and-dtt-rathore-141202

June 6, 2016
FY-16: Videocon d2h adds 16.8 lakh subs, Op Profit up 32.5 percent

BENGALURU: Videocon d2h Limited (Videocon d2h) led by executive chairman Saurabh Dhoot reported 16.8 lakh net subscriber additions during the year ended 31 March 2016 (FY-16, current year). The company reported a subscriber base of 118.6 lakh at the end of the current year as compared to 101.8 at the end of the previous fiscal (FY-15), hence a growth of 16.5 percent in FY-16 as compared to FY-15. Gross subscribers increased by 26.5 lakh in FY-16. Incremental subscriber churn in the current year reduced by 7 basis points to 0.73 percent as compared to 0.80 percent in FY-16.The company claims to have added the largest number of subscribers amongst its peers in India for the sixth year in a row in FY-16.

Videocon d2h reported simple EBIDTA (Operating Profit, Earnings before Interest-Depreciation-Tax-Amortisation) of Rs 789.52 crore (EBIDTA margin of 27.6 percent) for FY-16 which was 32.5 percent more than the Rs 595.64 crore (25.5 percent EBIDTA margin) in FY-16.

Revenue in the current year increased 22.2 percent to Rs 2,855.86 crore from Rs 2,337.71 crore in the previous year. Subscription and Activation revenue in FY-16 grew 26.4 percent to Rs 2,607 crore compared to Rs 2,063 crore in FY-15.

Note: 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.

Average Revenue per User (ARPU) in FY-16 increased by Rs 11 from Rs 196 in the previous year to Rs 207 in FY-16.

The DTH major reported a lower loss in FY-16 at Rs 92.21 crore as compared to a loss of Rs 272.66 crore in FY-15.

Total Expenditure (TE) in FY-16 increased 17.8 percent to Rs 2,675.19 crore (93.7 percent of revenue) from Rs 2,270.75 crore (97.1 percent of revenue) in FY-15.

Videocon d2h reported higher content costs for FY-16, which increased to 37.8 percent of revenue as compare to 36.2 percent of revenue in the previous year.

Fourth Quarter of 2016 numbers

The fourth quarter – quarter ended 31 March 2016 (Q4-16, current quarter), has been a great quarter for the company in terms of financial and operational performance.

For Q4-16 Videocon d2h added 5.9 lakh net subscribers. The company reported 5.2 percent quarter-over-quarter (q-o-q) growth in subscribers for Q4-16 at 118.6 lakh as compared to 112.7 lakh in the immediate trailing quarter Q3-16. Gross subscribers increased by 7.9 lakh in Q4-16. Incremental subscriber churn in Q4-16 increased 16 basis points to 0.58 percent year-over-year (y-o-y) from 0.42 percent but declined 15 basis points q-o-q from 0.73 percent.

Simple EBIDTA in the current quarter increased 33.7 percent y-o-y to Rs 216.20 crore (28 percent EBIDTA margin) from Rs 161.71 crore (25.9 percent margin) and increased 9.4 percent q-o-q from Rs 197.71 crore.

Subscription and activation revenue in the current quarter grew 20.9 percent y-o-y to Rs 706 crore and grew 6.2 percent q-o-q from Rs 665 crore. SAC in the form of hardware subsidies at Rs 1,776 per subscriber during Q4-16 was higher than the Rs 1,726 in the immediate trailing quarter. SAC in FY-15 averaged Rs 1,984

ARPU in the current quarter increased by Rs 12 y-o-y from Rs 202 in the corresponding year ago quarter to Rs 214 in Q4-16. ARPU in Q4-16 increased q-o-q by Rs 3 from Rs 211 in Q3-16.

Videocon d2h reported lower y-o-y and q-o-q loss in Q4-16. Loss in the current quarter declined to Rs 21.18 crore as compared to a loss of Rs 75.74 crore in the corresponding year ago quarter and a loss of Rs 22.05 crore in the immediate trailing quarter.

TE in Q4-16 increased 19.4 percent y-o-y to Rs 721.77 crore (93.6 percent of revenue) from Rs 605.55 crore (96.7 percent of revenue) and increased 5.4 percent q-o-q from Rs 684.58 crore (93.6 percent of revenue)

Content cost in Q4-16 was lower in terms of percentage of revenue at 37.5 percent as compared to 38.4 percent in Q4-15 and 38.5 in Q3-16.

Company speak

Videocon d2h executive chairman Dhoot said, “Fiscal 2016 has been a landmark year for Videocon d2h, as it was the first fiscal year after our NASDAQ listing, and it has been a great journey. I am delighted to share that our strong net subscriber additions, rising revenue realization and operating leverage benefit resulted in 31.5 percent Adjusted EBITDA growth for fiscal 2016, in spite of increases in service tax rates and the implementation of a new ‘clean India initiative’ tax during the year.”

“During the year, we accomplished numerous technological advancements, such as the development of HD Smart Connect Set Top Box, our new connected set-top box which allows customers to view normal DTH services as well as internet and over-the-top content and applications. This development demonstrates our expertise and innovation in creation, delivery and execution of technologically advanced products,” revealed Dhoot.

Speaking on the business outlook for the DTH sector, Videocon d2h CEO Anil Khera said “There have been a series of industry developments in fiscal 2016, which we believe will provide for growth opportunities in the DTH sector in India. The implementation of Phase III digitization of the Digital Addressable Cable TV System program of the government of India that began in January 2016 was an example of such a development. It led to a surge in new subscriber additions for various distribution platforms. While the momentum slowed down as many state high courts issued a temporary stay order against digitization, we are still seeing higher subscriber additions from Phase III markets as compared to previous years.”

“In addition, the deadline for Phase IV digitization is December 31, 2016, which we believe covers approximately 80 million (8 crore) television homes,” added Khera.

May 25, 2016
FY-16: Videocon d2h adds 16.8 lakh subs, Op Profit up 32.5 percent

BENGALURU: Videocon d2h Limited (Videocon d2h) led by executive chairman Saurabh Dhoot reported 16.8 lakh net subscriber additions during the year ended 31 March 2016 (FY-16, current year). The company reported a subscriber base of 118.6 lakh at the end of the current year as compared to 101.8 at the end of the previous fiscal (FY-15), hence a growth of 16.5 percent in FY-16 as compared to FY-15. Gross subscribers increased by 26.5 lakh in FY-16. Incremental subscriber churn in the current year reduced by 7 basis points to 0.73 percent as compared to 0.80 percent in FY-16.The company claims to have added the largest number of subscribers amongst its peers in India for the sixth year in a row in FY-16.

Videocon d2h reported simple EBIDTA (Operating Profit, Earnings before Interest-Depreciation-Tax-Amortisation) of Rs 789.52 crore (EBIDTA margin of 27.6 percent) for FY-16 which was 32.5 percent more than the Rs 595.64 crore (25.5 percent EBIDTA margin) in FY-16.

Revenue in the current year increased 22.2 percent to Rs 2,855.86 crore from Rs 2,337.71 crore in the previous year. Subscription and Activation revenue in FY-16 grew 26.4 percent to Rs 2,607 crore compared to Rs 2,063 crore in FY-15.

Note: 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.

Average Revenue per User (ARPU) in FY-16 increased by Rs 11 from Rs 196 in the previous year to Rs 207 in FY-16.

The DTH major reported a lower loss in FY-16 at Rs 92.21 crore as compared to a loss of Rs 272.66 crore in FY-15.

Total Expenditure (TE) in FY-16 increased 17.8 percent to Rs 2,675.19 crore (93.7 percent of revenue) from Rs 2,270.75 crore (97.1 percent of revenue) in FY-15.

Videocon d2h reported higher content costs for FY-16, which increased to 37.8 percent of revenue as compare to 36.2 percent of revenue in the previous year.

Fourth Quarter of 2016 numbers

The fourth quarter – quarter ended 31 March 2016 (Q4-16, current quarter), has been a great quarter for the company in terms of financial and operational performance.

For Q4-16 Videocon d2h added 5.9 lakh net subscribers. The company reported 5.2 percent quarter-over-quarter (q-o-q) growth in subscribers for Q4-16 at 118.6 lakh as compared to 112.7 lakh in the immediate trailing quarter Q3-16. Gross subscribers increased by 7.9 lakh in Q4-16. Incremental subscriber churn in Q4-16 increased 16 basis points to 0.58 percent year-over-year (y-o-y) from 0.42 percent but declined 15 basis points q-o-q from 0.73 percent.

Simple EBIDTA in the current quarter increased 33.7 percent y-o-y to Rs 216.20 crore (28 percent EBIDTA margin) from Rs 161.71 crore (25.9 percent margin) and increased 9.4 percent q-o-q from Rs 197.71 crore.

Subscription and activation revenue in the current quarter grew 20.9 percent y-o-y to Rs 706 crore and grew 6.2 percent q-o-q from Rs 665 crore. SAC in the form of hardware subsidies at Rs 1,776 per subscriber during Q4-16 was higher than the Rs 1,726 in the immediate trailing quarter. SAC in FY-15 averaged Rs 1,984

ARPU in the current quarter increased by Rs 12 y-o-y from Rs 202 in the corresponding year ago quarter to Rs 214 in Q4-16. ARPU in Q4-16 increased q-o-q by Rs 3 from Rs 211 in Q3-16.

Videocon d2h reported lower y-o-y and q-o-q loss in Q4-16. Loss in the current quarter declined to Rs 21.18 crore as compared to a loss of Rs 75.74 crore in the corresponding year ago quarter and a loss of Rs 22.05 crore in the immediate trailing quarter.

TE in Q4-16 increased 19.4 percent y-o-y to Rs 721.77 crore (93.6 percent of revenue) from Rs 605.55 crore (96.7 percent of revenue) and increased 5.4 percent q-o-q from Rs 684.58 crore (93.6 percent of revenue)

Content cost in Q4-16 was lower in terms of percentage of revenue at 37.5 percent as compared to 38.4 percent in Q4-15 and 38.5 in Q3-16.

Company speak

Videocon d2h executive chairman Dhoot said, “Fiscal 2016 has been a landmark year for Videocon d2h, as it was the first fiscal year after our NASDAQ listing, and it has been a great journey. I am delighted to share that our strong net subscriber additions, rising revenue realization and operating leverage benefit resulted in 31.5 percent Adjusted EBITDA growth for fiscal 2016, in spite of increases in service tax rates and the implementation of a new ‘clean India initiative’ tax during the year.”

“During the year, we accomplished numerous technological advancements, such as the development of HD Smart Connect Set Top Box, our new connected set-top box which allows customers to view normal DTH services as well as internet and over-the-top content and applications. This development demonstrates our expertise and innovation in creation, delivery and execution of technologically advanced products,” revealed Dhoot.

Speaking on the business outlook for the DTH sector, Videocon d2h CEO Anil Khera said “There have been a series of industry developments in fiscal 2016, which we believe will provide for growth opportunities in the DTH sector in India. The implementation of Phase III digitization of the Digital Addressable Cable TV System program of the government of India that began in January 2016 was an example of such a development. It led to a surge in new subscriber additions for various distribution platforms. While the momentum slowed down as many state high courts issued a temporary stay order against digitization, we are still seeing higher subscriber additions from Phase III markets as compared to previous years.”

“In addition, the deadline for Phase IV digitization is December 31, 2016, which we believe covers approximately 80 million (8 crore) television homes,” added Khera.

May 25, 2016