ITV

Tag: Phase III Digitisation

  • Q3-2016: Videocon d2h YoY revenue up 22% on subscriber additions, higher ARPU

    Q3-2016: Videocon d2h YoY revenue up 22% on subscriber additions, higher ARPU

    BENGALURU: Videocon d2h Limited reported 14.8 per cent YoY increase in net subscriber additions and 8.2 per cent YoY growth in ARPU for the quarter ended 31 December, 2015 (Q3-2016, current quarter). The company’s revenue from operations (TIO) increased 21.6 per cent YoY to Rs 731.49 crore in Q3-2016 as compared to Rs 601.53 crore. Subscriber addition brings in higher activation revenue.

     

    The company achieved strong subscription and activation YoY revenue growth of 26 per cent at Rs 665 crore as compared to Rs 527.9 crore in the corresponding year ago quarter.

     

    Videocon d2h added 6.7 lakh gross subscribers and 4.3 lakh net subscribers during the quarter. Gross subscribers totalled 149.5 lakh and net subscribers totalled 112.7 lakh as of 31 December, 2015. The company says that monthly churn came in at 0.73 per cent for the quarter and 0.80 per cent for the nine months ending 31 December, 2015, which was marginally ahead of the company guidance.

     

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

     

    Average revenue per user (ARPU) in Q3-2016 increased 8.2 per cent to Rs 211 as compared to Rs 195 in Q3-2015 and increased 2.9 per cent as compared to Rs 205 in Q2-2016.

     

    Videocon d2h reported 42.2 per cent YoY growth in adjusted EBITDA at Rs 201 crore for Q3- 2016 compared to Rs 141 crore in the corresponding year ago quarter. Net loss for the quarter declined to Rs 22.05 crore as compared to the net loss of Rs 79.8 crore in Q3-2015.

     

    Videocon d2h executive chairman Saurabh Dhoot said, “I am delighted the company reported EBITDA growth of over 42 per cent in the quarter compared to last year. This is a result of strong subscriber and ARPU growth and our continued focus on margin improvement, in line with our expectations. We believe we are amongst the fastest growing media companies in the world delivering exceptional performance quarter after quarter. During the quarter, we continued to strengthen our content offering and added new channels on our platform. We recently added two transponders ahead of schedule. This further strengthens our content offering, which is one of our key competitive advantages. With this additional bandwidth we will continue to add more regional and HD channels to our platform in times to come.”

     

    Speaking on the Phase III digitisation implementation, Videocon d2h CEO Anil Khera said, “Phase III digitisation has begun. The Ministry of Information & Broadcasting maintained their deadline and instructed broadcasters to switch off analogue signals in Phase III digitisation areas. In the first few days of January 2016, we saw strong pick up in subscriber additions in cities that come under Phase III digitisation. Recently, a few state high courts issued a stay order on implementation of Phase III digitisation for one – three months. This was in line with our expectations of the digitisation being a staggered process.”

     

    “We estimate around 50 million television homes come under Phase III digitisation, of which 24-25 million television homes are already on the digital platform. Thus, the target market under Phase III digitisation is the remaining 25-26 million television homes that are currently on analog cable,” he added.

  • Q3-2016: Videocon d2h YoY revenue up 22% on subscriber additions, higher ARPU

    Q3-2016: Videocon d2h YoY revenue up 22% on subscriber additions, higher ARPU

    BENGALURU: Videocon d2h Limited reported 14.8 per cent YoY increase in net subscriber additions and 8.2 per cent YoY growth in ARPU for the quarter ended 31 December, 2015 (Q3-2016, current quarter). The company’s revenue from operations (TIO) increased 21.6 per cent YoY to Rs 731.49 crore in Q3-2016 as compared to Rs 601.53 crore. Subscriber addition brings in higher activation revenue.

     

    The company achieved strong subscription and activation YoY revenue growth of 26 per cent at Rs 665 crore as compared to Rs 527.9 crore in the corresponding year ago quarter.

     

    Videocon d2h added 6.7 lakh gross subscribers and 4.3 lakh net subscribers during the quarter. Gross subscribers totalled 149.5 lakh and net subscribers totalled 112.7 lakh as of 31 December, 2015. The company says that monthly churn came in at 0.73 per cent for the quarter and 0.80 per cent for the nine months ending 31 December, 2015, which was marginally ahead of the company guidance.

     

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

     

    Average revenue per user (ARPU) in Q3-2016 increased 8.2 per cent to Rs 211 as compared to Rs 195 in Q3-2015 and increased 2.9 per cent as compared to Rs 205 in Q2-2016.

     

    Videocon d2h reported 42.2 per cent YoY growth in adjusted EBITDA at Rs 201 crore for Q3- 2016 compared to Rs 141 crore in the corresponding year ago quarter. Net loss for the quarter declined to Rs 22.05 crore as compared to the net loss of Rs 79.8 crore in Q3-2015.

     

    Videocon d2h executive chairman Saurabh Dhoot said, “I am delighted the company reported EBITDA growth of over 42 per cent in the quarter compared to last year. This is a result of strong subscriber and ARPU growth and our continued focus on margin improvement, in line with our expectations. We believe we are amongst the fastest growing media companies in the world delivering exceptional performance quarter after quarter. During the quarter, we continued to strengthen our content offering and added new channels on our platform. We recently added two transponders ahead of schedule. This further strengthens our content offering, which is one of our key competitive advantages. With this additional bandwidth we will continue to add more regional and HD channels to our platform in times to come.”

     

    Speaking on the Phase III digitisation implementation, Videocon d2h CEO Anil Khera said, “Phase III digitisation has begun. The Ministry of Information & Broadcasting maintained their deadline and instructed broadcasters to switch off analogue signals in Phase III digitisation areas. In the first few days of January 2016, we saw strong pick up in subscriber additions in cities that come under Phase III digitisation. Recently, a few state high courts issued a stay order on implementation of Phase III digitisation for one – three months. This was in line with our expectations of the digitisation being a staggered process.”

     

    “We estimate around 50 million television homes come under Phase III digitisation, of which 24-25 million television homes are already on the digital platform. Thus, the target market under Phase III digitisation is the remaining 25-26 million television homes that are currently on analog cable,” he added.

  • TRAI asks MSOs, b’casters to sign MoU on interconnect agreements in phase III

    TRAI asks MSOs, b’casters to sign MoU on interconnect agreements in phase III

    MUMBAI: The Telecom Regulatory Authority of India (TRAI) has given time till 30 April, 2015 to both broadcasters and multi system operators (MSOs) to enter into a memorandum of understanding (MoU) with regards to interconnect agreements in phase III of digital addressable system (DAS) areas.  

     

    During the seventh task force meeting for successful completion of phase III and IV of digitization, a representative from TRAI informed that in case the broadcasters and MSOs fail to reach any agreement, the Authority will intervene in the matter, as per regulations. “While broadcasters were asked to give report every fortnight, the same has not started coming,” said the TRAI representative.  

     

    The representative also mentioned that in the transition period both analogue as well as digital signals can be provided by the MSOs in phase III areas. “As per the regulations digital signal can be provided in areas undergoing transition without waiting for the cutoff date,” he added.

     

    The meeting was convened under the chairmanship of Information and Broadcasting Ministry additional secretary JS Mathur, who said, “While there has been some progress on the issue of interconnect agreements for phase III areas but there are still many areas which need to be addressed by broadcasters.”

     

    During the meeting, an IndusInd Media and Communication Limited (IMCL) representative said that while they had sent interconnect requests to all broadcasters, as per the TRAI directive, they had received response from only one broadcaster, while Siti Cable was still awaiting a response from all. A Siti Cable representative said, “Broadcasters are filing cases of piracy against MSOs if they start providing digital signal in the phase III areas.”

     

    MSOs pointed out that the situation is critical and TRAI must take immediate necessary action to resolve the issue. MSOs also want the entertainment tax, levied by State Governments, rationalised.

     

    Representatives of broadcasters said that they would approach TRAI for clarification on the interconnect agreements to be signed for the transition period. “No such issues of interconnect agreements were raised during phase I and phase II of digitisation and the set top boxes (STBs) were still seeded. Why are these issues being raised now?” questioned broadcasters.

     

    Broadcasters also raised concerns on the HITS (Headends In The Sky) platform of delivery with regard to addressability although it is mentioned that it is addressable from the day one. Broadcasters also opined that DAS regulations should apply from the date MSOs take digital signal.

     

    According to Mathur, consumers have the right to know what they have to pay for the digital signal and so, it is imperative that broadcasters and MSOs work out agreements between them without further loss of time. He added, “Channel package rates have to be in public domain. Broadcasters must now finalise all issues with MSOs so as to have a lead time of implementation.”

     

    While the universe for phase I and II was extremely limited, phase III has to cover all the urban areas of the country. This would thus require exhaustive planning along with suitable investments. “Both broadcasters and MSOs must now finalise their agreements and inform TRAI within the stipulated time period of 30 April,” said Mathur, while suggesting that TRAI should convene a meeting soon after the time period it has given for finalising the action plan for smooth and timely transition.

     

    Mathur also expressed dissatisfaction over the public awareness campaign for digitisation in phase III areas carried out by the stakeholders so far. He asked all stakeholders and particularly the broadcasters to start the publicity campaign forthwith.

     

    While the Ministry is still awaiting data on carriage fee and subscription revenue from both the Indian Broadcasting Foundation (IBF) and the News Broadcasters Association (NBA), an NBA representative assured that it will be sent before the next meeting.

     

    Mathur also enquired about the initiatives being taken by MSOs for using indigenously manufactured STBs. Responding to this, an MSO representatives said that the dialogue with indigenous STB manufacturers was on.

     

    Consumer Electronics and Appliances Manufacturers Association (CEAMA) representative informed that they had fruitful discussions with some MSOs in which they made some financing offers to MSOs for the supply of STBs.

     

    Representative of CEAMA further added that they were now facing a major competition from the suppliers of ASEAN countries since the government, as per the ASEAN agreement signed in 2009, has reduced the import duty on STBs imported from ASEAN countries to two per cent only against 10 per cent from other countries. He said, “MSOs may neglect local STB manufacturers and start importing from ASEAN countries, but this will be against ‘Make in India’ initiative of the Government.”

     

    Meanwhile a CEAMA representative requested the I&B Ministry to look into the issue, while informing that they were also in the process of writing to the Ministry of Commerce about this development. In order to know the use of indigenously manufactured STBs, Mathur directed that the information on utilisation of domestically manufactured STBs may also be sought from all MSOs along with the seeding plans.