ITV

Tag: Q2 2019

  • Sun Tv subscription revenue up; declares 150% interim dividend

    Sun Tv subscription revenue up; declares 150% interim dividend

    BENGALURU: Kalanathi Maran’s regional telecaster and FM radio broadcaster Sun Tv Network (Sun TV) reported that subscription revenues was up 18  percent y-o-y at Rs 411.85 crore for the quarter ended 31 December 2019 (Q3 2020, period or quarter under review) as compared to the corresponding year ago quarter (Q3 2019). The company reported consolidated profit after taxes or PAT growth at 7.2 percent to Rs 384.69 crore for Q3 2020 as compared to Rs 359.01 crore for Q3 2019. Standalone PAT increased 6.3 percent y-o-y to Rs 373.45 crore from Rs 351.33 crore.

    The board of directors of the company has announced the third interim dividend in the year of Rs 7.50 per share (150 percent) on a face value of Rs 5 per share.

    Sun TV is one of the largest networks in the country that has channels across the four major South Indian languages.

    Sun Tv reported 9.7 percent y-o-y decrease in consolidated operating revenue for Q3 2020 as compared to the corresponding year ago quarter Q3 2019. Consolidated operating revenue for the period was Rs 8547.81 crore as compared to Rs 939.31 crore for Q3 2019. Total income (revenue) for Q3 2020 reduced 67.9 percent y-o-y to Rs 914.71 crore as compared to Rs 992.58 crore in Q3 2019.

    Standalone operating revenue declined 9.9 percent to Rs 814.97 crore in Q3 2020 to Rs 904.45 crore in Q3 2019. Standalone Total income (revenue) for the period declined 8.1 percent y-o-y to Rs 878.56 crore from Rs 956.04 crore.

    Calculated simple consolidated EBITDA for Q3 2020 at Rs 595.27 crore was 12.3 percent lower y-o-y than the Rs  678.80 crore. Simple standalone EBITDA for the period declined 13 percent y-o-y to Rs 580.36 crore from Rs 667.20 crore in Q3 2019.

    Let us look at the other numbers reported by the company for Q3 2020

    Consolidated Total expenditure in Q3 2020 declined 8.5 y-o-y percent to Rs 404.35 crore as compared to Rs 441.86 crore in the corresponding quarter of the previous year.

    Consolidated Operating expense in Q3 2020 declined 10.6 percent y-o-y to Rs 117.02 crore from Rs 130.87 crore in the corresponding quarter of the previous year. Consolidated Employee benefits expense in Q3 2020 declined 1 percent y-o-y to Rs 79.40 crore as compared to Rs 80.23 crore in Q3 2019. Consolidated Other expenses (OE) in the Q3 2020 increased 13.6 percent y-o-y to Rs 56.12 crore as compared to Rs 49.41 crore  in Q3 2020.

    Standalone Total expenditure in Q3 2020 declined 8.2 y-o-y percent to Rs 380.1 crore as compared to Rs 414.04 crore in the corresponding quarter of the previous year.

    Standalone Operating expense in Q3 2020 declined 9.9 percent y-o-y to Rs 110.06 crore from Rs 122.77 crore in the corresponding quarter of the previous year. Standalone  Employee benefits expense in Q3 2020 decline 1.1 percent y-o-y to Rs 70.95 crore as compared to Rs 71.71 crore in Q3 2019. Standalone Other expenses in the Q3 2020 increased 24.1 percent y-o-y to Rs 53.06 crore as compared to Rs 42.77 crore  in Q3 2020.

    SunRisers Hyderabad numbers

    Sun Tv says for the nine months ended 31 December 2019 (9M 2020) income from the company's IPL franchise SunRisers Hyderabad for season 2019 (partial) was Rs 244 44 crore as compared to Rs 386.29 crore for IPL 2018., hence a decline of 36.7 percent. Corresponding costs in 9M 2019 declined 26.8 percent y-o-y to Rs 138 46 crore from Rs 189 15 crore for 9M 2019. Hence the net operating profit for Sun Tv’s IPL franchise declined 46.2 percent y-o-y in 9M 2020 to Rs 105.98 crore from Rs 197.14 crore.

  • Eros Now partly assuages Eros International’s syndication declines

    Eros Now partly assuages Eros International’s syndication declines

    BENGALURU: Eros International Plc (Eros) reported 49.1 percent decline in aggregate revenue to $23.1 million for the quarter ended 30 September 2019 (Q2 2019, quarter or period under review) as compared to the corresponding year ago quarter’s $63.4 revenue. Eros explains that lower revenue was mainly due to lower syndication revenue for Q2 2020, which was partially offset by increase in revenues from the Eros Now business. “Our Eros Now business continues to ramp up and grow its paid user base worldwide, supported by one of the largest libraries of Indian movies, along with its unparalleled market position and brand name,” says a statement by Eros.

    In Q2 2020, the Eros film slate comprised 11 films of which 11 were low budget as compared to 17 films in Q2 2019, of which four were medium budget and 13 were low budget. In Q2 2020, the company’s slate of 11 films comprised two Hindi films and nine regional films as compared to the same period last year where its slate of 17 films comprised five Hindi films and 11 regional films and one Tamil/Telugu regional film.

    Operating adjusted EBITDA declined to less than a third (declined by 2.53 times)  y-o-y to $7.8 million in Q2 2020 as compared to $27.5 million in Q2 2019. Eros claims that the decrease in Adjusted EBITDA was on account of increase in administrative costs due to expected credit loss expense accounted as per default method under IFRS 9.

    Gross profit for the period under review declined 38.7 percent y-o-y to $15.5 million from $25.3 million in Q2 2019. Eros reveals that the decrease was mainly due to lower amortisation, marketing, advertising and distribution costs for Q2 2020 which was partially offset by increase in administrative cost.

    The company reported a lower operating loss of $13.6 million for Q2 2020 as compared to an operating loss of $261.9 million in the year ago quarter.

    The company says that cost of sales decreased by 55.6 percent to $16.9 million in Q2 2020 compared to $38.1 million in Q2 2019. Eros says that the decrease was mainly due to lower amortisation costs. Administrative cost increased by 72.2 percent in Q2 2020 to $29.1 million compared to $ 16.9 million in Q2 2019. The increase was mainly due to increase in expected credit loss accounted as per default method under IFRS 9.

    For Q2 2020, Eros’s net finance costs increased by 866.7 percent to $2.3 million, compared to $(0.3) million in Q2 2019 mainly due to increase in finance costs and reduction in interest income on account of unwinding of credit impairment loss.

    Eros says that as of 30 September 2019, Trade Receivables decreased to $189.8 million from $196.4 million as of March 31, 2019 after considering expected credit loss reserve upon adoption of new accounting standards during the period.

    Company speak

    Excerpts of a statement made by the company:

    “This quarter we generated $32.3 million of top-line revenue and $7.8 million in adjusted EBITDA. Our Eros Now business continues to ramp up and grow its paid user base worldwide, supported by one of the largest libraries of Indian movies, along with its unparalleled market position and brand name. As of 30 September 2019 our Eros Now OTT platform reached 23.5 million paid monthly subscribers and 177.7 million registered users, increases of 81percent and 39 percent, respectively, over the same period last year. This represents net additions of 4.7 million paid subscribers and 23 million registered users during the first half of Fiscal Year 2020. Eros Now currently garners viewership from over 150 countries around the world. Eros has a strong slate of films and original series scheduled for release over the coming quarters, and we expect this to help drive continued growth in our Eros Now business as well as box-office revenue.

    “For the full fiscal year 2020, we are reiterating our consolidated revenue guidance in the range of $200-220 million, and Adjusted EBITDA of $80-$95 million. We have a healthy balance sheet with net debt of $112.6 million and $99.4 million of cash and cash equivalents.”

  • Production rakes in numbers for Balaji Telefilms; Alt Balaji numbers up

    Production rakes in numbers for Balaji Telefilms; Alt Balaji numbers up

    BENGALURU: One of the most successful television content production houses in India, the Shobha Kapoor and Ektaa Kapoor-led Balaji Telefilms Ltd (Balaji) reported more than double standalone profit after tax or PAT (up 117.6 percent) y-o-y for the quarter ended 30 September 2019 (Q2 2019, quarter or period under review) as compared to the corresponding year ago quarter Q2 2019. Standalone revenue from operations increased 58.7 percent y-o-y in Q2 2020. Though it has yet to become profitable, Balaji’s OTT platform ALTBalaji operating revenue increased 40.8 percent y-o-y at Rs 20.11 crore during the period under review as compared to Rs 14.28 crore in Q2 2019. The company reported an operating loss for ALT Balaji at Rs 28.71 crore for Q2 2020 as compared to an operating loss of Rs 23.23 crore for Q2 2019.

    Balaji’s Standalone PAT for Q2 2020 and Q2 2019 was Rs 15.50 crore and Rs 7.12 crore respectively. The company incurred a lower consolidated loss in Q2 2020 at Rs 10.73 crore as compared to a consolidated loss of Rs 15.44 crore in Q2 2019. Standalone EBITDA almost quintupled (increased by 389.5 percent y-o-y in Q2 2020 to Rs 30.83 crore from Rs 6.30 crore.

    Standalone operating revenue for Q2 2020 and Q2 2019 was Rs 179.35 crore and Rs 119.07 crore respectively. Consolidated operating revenue in Q2 2020 increased 57.4 percent y-o-y to Rs 187.46 crore from Rs 119.07 crore.

    Though Balaji produced more programming hours during the quarter under review at 210.5 hours as compared to 193 hours in Q2 2019, lower realisation per hour in Q2 2020 at Rs 0.36 crore as compared to Rs 0.40 crore in Q2 2019 resulted in a revenue decline according to the company’s investor presentation. Revenue from the company’s television business declined 1.9 percent y-o-y to Rs 75.6 crore in Q2 2020 as compared to Rs 77.1 crore in Q2 2019.

    Consolidated operating revenue in Q2 2020 increased 57.4 percent y-o-y to Rs 187.46 crore from Rs 119.07 crore. Revenue from commissioned programmes declined 4.7 percent y-o-y to Rs 84.29 crore from Rs 88.42 crore. Operating profit  for Commissioned Programmes segment almost doubled (up 98.4 percent) y-o-y to Rs 25.89 crore from Rs 13.05 crore.

    Revenue from Films segment almost quadrupled (increased 270.7 percent) y-o-y in Q2 2020 to Rs 93.89 crore from Rs 25.33 crore. Films segment reported operating profit of Rs 16.25 crore as compared to an operating profit of Rs 1.32 crore in Q2 2019.

    Company Speak

    Balaji Telefilms managing director Shobha Kapoor said in the investor release, ”This quarter we created good, compelling and entertaining content across all our business verticals and this has resulted in a very strong financial performance. Apart from driving the top line, we remain focused on cost-saving measures that allow us to leverage economies of scale in content production, yielding an improved bottom line. We will continue to focus on growing the business profitably and utilising our existing cash reserves prudently, as we have been doing.”

    Let us look at the other numbers reported by Balaji

    Consolidated total income for Q2 2020 at Rs 192.63 crore was 53.2 percent higher y-o-y as compared to Rs 125.76 crore. Consolidated total expenses for the period under review increased 37.3 percent y-o-y to Rs 192.58 crore from Rs 140.22 crore.

    Consolidated cost of production declined 5.9 percent y-o-y in Q2 2020 to Rs 92.76 crore from Rs 98.57 crore. Consolidated marketing and distribution expenses in Q2 2020 more than tripled (up 233.6 percent) y-o-y to Rs 37.22 crore from Rs 11.16 crore. Consolidated employee benefits expense in Q2 2020 declined 50.1 percent y-o-y to Rs 6.53 crore from Rs 13.08 crore. Consolidated other expenses in Q2 2020 increased 96.2 percent y-o-y to Rs 20.56 crore from Rs 10.48 crore.

  • Airtel Digital TV revenue and profit up as Bharti Airtel reports record loss

    Airtel Digital TV revenue and profit up as Bharti Airtel reports record loss

    BENGALURU: Indian telecom major Bharti Airtel reported 17 percent y-o-y increase in revenue for its Digital TV Services for the quarter ended 30 September 2019 (Q2 2020, quarter or period under review) as compared to the corresponding year-ago quarter Q2 2019. The company says that with the adoption of IndAS 116, effective 1 April 2019, the results and ratios of periods commencing 1 April  2019 are not comparable with previous periods.

    Further, pursuant to reporting changes in DTH effective April 1, 2019 (content cost becoming a Pass through expense) on comparable basis, the y-o-y revenue growth for the period ended 30 Sep 2019 is 17 percent (Quarter ended) and 16 percent (six months ended). EBITDA/ Total revenues is 43.3 percent for the quarter ended 30 Sep 2019 and 42.8 percent for the six months ended 30 Sep 2019 adjusting for the reporting changes.

    Without taking into accounting the adoption of IndAS 116, Airtel’s Digital Services revenue declined 22.9 percent y-o-y to Rs 789.3 crore in Q2 2020 from Rs 1,024.2 crore. Operating profit or EBIDTA for Airtel’s Digital TV Services increased 41.6 percent y-o-y in Q2 2020 to Rs 560.7 crore from Rs 396 crore. EBIT for the period under review increased 70 percent y-o-y to Rs 3,243 crore from Rs 1,905 crore.

    The company reported 14.2 percent increase in capex for Q2 2020 at Rs 205.2 crore as compared to Rs 179.7 crore in Q2 2019.

    Digital TV Services subscription numbers

    Airtel Digital TV Services subscribers increased 9.7 percent y-o-y in Q2 2020 to 1.62 crore from 1.48 crore in Q2 2019. Airtel Digital TV Services had 1.6 crore subscribers in the immediate trailing quarter Q1 2018. The company reported net additions of 181,000 Digital TV subscribers in Q2 2020. Average revenue per user (ARPU) in Q2 2020 increased to Rs 162 from Rs 157 in the immediate trailing quarter, but was far lower than the Rs 232 in Q2 2019. In US$ terms, the company reported ARPU of $2.3, $2.2 and $3.3 for Q2 2020, Q1 2020 and Q2 2019 respectively. Monthly churn in Q2 2020 was higher at 1.6 percent as compared to 1.0 percent in the immediate trailing quarter Q1 2020 and 1.3 percent in the corresponding year ago quarter.

    Bharti Airtel Numbers

    Bharti Airtel consolidated revenues for Q2 2020 at Rs 21,131 crore grew 6.9 percent y-o-y (reported increase of 4.9Percent) on an underlying basis. India revenues for Q2 2020 at Rs 15,361 crore increased by 5.7 y-o-y (reported increase of 3.0percent) on an underlying basis. Mobile revenues witnessed a y-o-y growth of 7.1 percent. Mobile data traffic has nearly doubled to 4,497 PBs in the quarter as compared to 2,478 PBs in the corresponding quarter last year. Mobile 4G data customers increased by 56.9 percent to 10.31 crore from 6.57 crore in the corresponding quarter last year. Digital TV revenue witnessed a growth of 17.1 percent y-o-y on an underlying basis (decline of 22.9 percent on reported basis due to reporting changes in DTH pursuant to the new tariff order). Airtel Business has sustained its performance on ay-o-y basis.

    Bharti Airtel’s consolidated EBITDA at Rs 8,936 crore increased 40.9 percent y-o-y. Consolidated EBITDA margin increased by 10.8 percent to 42.3 percent in the quarter as compared to 31.5 percent in the corresponding quarter last year. Consolidated EBIT increased by 85.2 percent y-o-y to Rs 1,993 crore. Consolidated Net Loss before exceptional items for the quarter was  Rs 1,123 crore. The consolidated net loss after exceptional items for the quarter was Rs 23,045 crore.

    Company Speak

    Bharti Airtel MD and CEO Gopal Vittal said in a press release, “Despite being a seasonally weak quarter, we witnessed positive revenue growth in Q2 on the back of various initiatives aimed at providing superior differential services through our Thanks platform. We continue to witness strong data traffic growth of approximately 81 percent y-o-y and added about 0.8 crore 4G customers on our network during the quarter. We remain committed to strengthening our network and providing a superior experience to our customers. On the AGR verdict of the Hon’ble Supreme Court, we continue to engage with the government and are evaluating various options available to us. We are hopeful that the government will take a considerate view in this matte given the fragile state of the industry.”

  • Dish TV adds 42K subscribers in Q2 2020

    Dish TV adds 42K subscribers in Q2 2020

    BENGALURU: India DTH major Dish TV India Ltd (Dish TV) reported 42,000 net subscriber additions for the quarter ended 30 September 2019 (Q2 2020, quarter or period under review), During the six-month period ended 30 September 2020 (H1 2020), the company says that it added 251,000 net subscribers. The company reported  subscription revenue of Rs 79.2 crore for the quarter under review.

    With programming cost becoming a pass-through item in the New Tariff Regime, subscription and operating revenues for the quarter are not comparable with the corresponding period last year.

    Dish TV’s operating revenue in Q2 2020 declined 44 percent to Rs 893.18 crore from Rs 1,594.29 crore. The company reported a net loss of Rs 96.37 crore for Q2 2020 as compared to a profit of Rs 19.73 crore in the corresponding year ago quarter. EBITDA for Q2 2020 was Rs 540.46 crore, which was 3.7 percent lower than the Rs 540.62 crore in Q2 2019.

    Company Speak

    The company claims in a media release, that the seasonally weak second quarter came bundled with other external challenges this time. Slowing subscriber additions due to a not so robust macro-economic environment, price undercutting by peers, along with heavy rains and flooding in many parts of the country made subscriber acquisitions and retention a challenging task. Dish TV India however chose to be resilient making the best

    of every opportunity coming its way.

    “Setting aside the price undercutting resorted to by some peers in parts of the country, Dish TV India maintained a fine balance between subscriber acquisition and the cost of such acquisition. The company intentionally avoided adding extremely value conscious subscribers,” said Dish TV group CEO Anil Dua.

    Dish TV CMD Jawahar Goel said, “It is evident that even in the New Regime, there has been a propensity to push low rated channels into bouquets with the objective of increasing the viewership of high rated channels. If the Regulation gets implemented in entirety, there would be better pricing that would ensure wider consumption of channels. Content would be subject to subscriber’s filtration and as a distributor we would only be procuring popular content that sells.”

    Let us look at the other numbers reported by Dish TV

    Total Income for Q2 2020 declined 44.3 percent y-o-y to Rs 896.77 crore from Rs 1,609.96 crore. Total Expenditure for the period under review declined 44.3 percent y-o-y to Rs 879.67 crore from Rs 1,580.35 crore.

    Operating expenses in Q2 2020 declined 77.6 percent y-o-y to Rs 193.48 crore from Rs 864.77 crore. Employee benefits expenses in Q2 2020 declined 29.7 percent y-o-y to Rs 44.03 crore from Rs 62.62 crore. Other expenses in Q2 2020 increased 8.7 percent y-o-y to Rs 134.65 crore from Rs 123.83 crore.

  • Sun TV reports flat PAT on 7% increase in revenue

    Sun TV reports flat PAT on 7% increase in revenue

    BENGALURU: The Kalanithi Maran-headed Sun TV Network Ltd (Sun TV) reported 5.9 percent y-o-y increase in consolidated operating revenue for the quarter ended 30 September 2019 (Q2 2020, quarter or period under review) as compared to the corresponding year ago quarter Q2 2019. Sun TV reported consolidated operating revenue of Rs 852.52 crore for Q2 2019 as compared to Rs 779.65 crore for Q2 2019. Total Income (revenue) for Q2 2020 increased 6.8 percent y-o-y to Rs 900.74 crore as compared to Rs 843.44 crore in Q2 2019.

    Consolidated profit after tax (PAT) for Q2 2020 was almost flat (up 1 percent) y-o-y at Rs 368.79.87 crore as compared to Rs 364.99 crore in Q2 2019. Calculated simple consolidated EBITDA for Q2 2020 at Rs 479.24 crore  was 15.2 percent lower y-o-y than the Rs 565.07 crore.

    Sun TV reported standalone subscription revenue of Rs 397.39 crore for Q2 2020, which was 17 percent higher than the Rs 339.79 crore for Q2 2019.

    Following closely on the heels of the dividend already declared in the first quarter, the board of directors of Sun TV has recommended a second interim dividend of Rs 2.50 per equity (50 percent) share of face value of Rs 5 each for Q2 2020.

    Let us look at the other consolidated numbers reported by the company:

    Consolidated Total Expenditure (TE) in Q2 2020 increased 66 percent to Rs 499.54 crore as compared to Rs 301.0 crore in the corresponding quarter of the previous year.

    Consolidated Operating expense in Q2 2020 almost doubled (increased 91.1 percent) y-o-y to Rs 185.41 crore from Rs  97.01 crore in the corresponding quarter of the previous year. Employee Benefits Expense in Q2 2020 increased 2 percent y-o-y to Rs 82.24 crore as compared to Rs 80.61 crore in Q2 2019. Other expenses (OE) in the Q2 2020 more than doubled (increased 112.7 percent) y-o-y to Rs 78.63 crore as compared to Rs 36.96 crore in the corresponding quarter of the previous year.

  • Facebook’s revenue rises by 28% to $16.9 billion in Q2 earnings

    Facebook’s revenue rises by 28% to $16.9 billion in Q2 earnings

    MUMBAI: Facebook beat analysts’ expectations in the second quarter, posting $16.9 billion in revenue with money from advertising pegged at $16.62 billion. The result came after hours aftee Facebook struck a $5 billion settlement with the Federal Trade Commission following the 2018 Cambridge Analytica scandal. The social media giant recorded a $2 billion charge in the quarter tied to the FTC settlement while it previously set aside $3 billion.

    The social media giant’s earnings per share rose to $1.99 cents in the quarter and monthly active users across its family of services, which includes Instagram and Whatsapp, were 2.41 billion as of 30 June 2019, an 8 per cent increase year-on-year. Moreover, daily active users also saw an increase of 8 per cent reaching 1.59 billion on average for June 2019.

    In addition, the company estimates that more than 2.1 billion people now use Facebook, Instagram, WhatsApp, or Messenger every day on average and more than 2.7 billion people use at least one of the company’s family of services each month.

    “In July 2019, we entered into a settlement and modified consent order to resolve the inquiry of the FTC into our platform and user data practices. Among other matters, our settlement with the FTC requires us to pay a penalty of $5 billion and to significantly enhance our practices and processes for privacy compliance and oversight,” the company highlighted.

    “In particular, we have agreed to implement a comprehensive expansion of our privacy program, including substantial management and board of directors oversight, stringent operational requirements and reporting obligations, and a process to regularly certify our compliance with the privacy program to the FTC. In the second quarter of 2019, we recorded an additional $2 billion accrual in connection with our settlement with the FTC, which is included in accrued expenses and other current liabilities on our condensed consolidated balance sheet,” it added.

    Facebook mentioned that the company was informed by the FTC in June that it had opened an antitrust investigation of its company. It also noted that the online technology industry and the company have received increased regulatory scrutiny in the past quarter. Moreover, the Department of Justice announced in July that it will begin an antitrust review of the market-leading online platform.

  • Ortel loss mounts: NCLT orders insolvency process

    Ortel loss mounts: NCLT orders insolvency process

    BENGALURU: Ortel Communications Ltd (Ortel) reported a higher loss for the quarter ended 30 September 2018 (Q2 2019, period or quarter under review) as compared to the immediate trailing quarter Q1 2019 and the corresponding year ago quarter Q2 2018. On 27 November 2018, the National Company Law Tribunal, New Delhi (NCLT) passed an order for commencement of corporate insolvency resolution process (CIRP) based on an application filed by Sony Pictures Network India (SPN) which is an operational creditor of Ortel. The results for Q2 2019 pertain to the period before the CIRP.

    Ortel’s net loss after taxes for Q2 2019 more than tripled y-o-y to Rs 17.62 crore as compared to Rs 5.75 crore in Q2 2018. The company had reported loss after tax of Rs 13.48 crore for the immediate trailing quarter. Operating loss (negative EBITDA) for the period under review was Rs 3.39 crore as compared to an operating profit of Rs 12.25 crore in Q2 2018 and an operating profit of Rs 0.21 crore in Q1 2019.

    Oretl’s revenue from operations in Q2 2019 declined 34 per cent y-o-y to Rs 31.56 crore as compared to Rs 47.83 crore in Q2 2018, but was fractionally higher by 0.7 per cent q-o-q as compared to Rs 31.35 crore in Q1 2019. Total Income in Q2 2019 declined 33.4 per cent y-o-y to Rs 32.29 crore as compared to Rs 48.51 crore in Q2 2018, but was 1.8 per cent higher q-o-q than Rs 31.71 crore.

    Segment numbers

    Four segments contribute to Ortel’s revenue. They are cable TV, be, infrastructure leasing and others. Revenues from cable TV, broadband and infrastructure leasing segments declined in Q2 2019 as compared to Q2 2018.

    Ortel’s Cable TV segment’s revenue declined 32 per cent in the quarter under review to Rs 25.67 crore from Rs 37.73 crore. The segment reported an operating profit of Rs 6.03 crore in Q2 2019 as compared to an operating profit of Rs 12.16 crore in Q2 2018.

    Broadband segment’s revenue declined 44.7 per cent in Q2 2019 to Rs 3.31 crore from Rs 5.99 crore in Q2 2018. The segment’s operating profit declined to less than a fourth (declined 76.3 per cent) in Q2 2019 to Rs 0.32 crore as compared to Rs 1.34 crore in the corresponding quarter of the previous fiscal.

    Ortel’s infrastructure and leasing segment had operating revenue of Rs 1.77 crore in Q2 2019 which was 47.4 percent lower than the Rs 3.36 crore in Q2 2018. The segment’s operating profit declined 41.8 per cent in Q2 2019 to Rs 1.48 crore from Rs 2.54 crore in Q2 2018.

    The numbers for Ortel’s ‘Others’ segment are small and have not been considered in this report.

    Let us look at the other numbers reported by Ortel

    Ortel’s total expenditure in Q2 2019 declined 18.1 per cent to Rs 49.91 crore from Rs 50.53 crore in Q2 2018. Programming costs reduced 18.1 per cent in Q2 2019 to Rs 9.11 crore from Rs 11.12 crore in Q2 2018. Bandwidth costs in the quarter under review reduced 24.8 per cent to Rs 3.27 crore from Rs 4.35 crore. Finance costs in Q2 2019 reduced 6.7 per cent to Rs 6.8 crore from Rs 7.29 crore in Q2 2018. Employee benefits expense in Q2 2019 declined 9.7 per cent to Rs 4.63 crore from Rs 5.13 crore in Q2 2018. Other expenses in the quarter under review increased 19.7 per cent to Rs 17.94 crore as compared to Rs 14.98 crore in Q2 2018.

  • Balaji Telefilms reports higher programming hours and better realisation

    Balaji Telefilms reports higher programming hours and better realisation

    BENGALURU: The Ektaa Kapoor-led Balaji Telefilms Ltd reported a consolidated profit from continuing operations of Rs 7.1 crore for the quarter ended 30 September 2018 (Q2 2019, quarter or period under review) as compared to a loss of Rs 22 crore for Q2 2018 and a loss of Rs 0.6 crore in the immediate trailing quarter. The company reported 13 percent higher quarter-on-quarter (q-o-q) television content production hours or (commissioned programs segment) and a 17 percent improvement in realisation per hour for the period under review as compared to the immediate trailing quarter Q1 2019. The company produced 193 hours of commissioned television content in Q2 2019 as compared to 170.5 hours in Q1 2019. The company had produced 240 hours of commissioned television content in Q1 2018.

    Balaji Telefilms said that realisation per hour of commissioned television content during the quarter under review was almost Rs 0.4 crore as compared to about Rs 0.34 crore in Q1 2019 and Rs 0.32 crore in Q2 2018.

    Segment numbers

    The company has three segments – commissioned programs, films and digital.

    Revenue from the commissioned programs segment increased 7.4 percent y-o-y to Rs 88.41 crore during the quarter under review from Rs 82.31 crore in Q2 2018 and 26.3 percent q-o-q from Rs 70.01 crore in the immediate trailing quarter. Operating profit from the commissioned programs segment was Rs 13.25 crore in Q2 2019 as compared to Rs 10.53 crore in Q2 2018 and an operating loss of Rs 2.10 crore in Q1 2019.

    Revenue from Balaji Telefilms' films segment in Q2 2019 reduced 17 percent y-o-y to Rs 25.33 crore from Rs 30.76 crore in the corresponding year ago quarter and reduced 62.5 percent q-o-q from Rs 68.04 crore in Q1 2019. Operating profit from the films segment was Rs 1.03 crore in Q2 2019 as compared to an operating profit of Rs 6.02 crore in Q2 2018 and an operating profit of Rs 9.56 crore in Q1 2019. The company had released one film in Q1 2019 and hence the increased numbers.

    Balaji Telefilms' OTT platform ALTBalaji or digital segment reported more than ten-fold increase in revenue at Rs 14.28 crore as compared to Rs 1.23 crore in Q2 2018 and Rs 5.78 crore in Q1 2019. The segment’s operating loss reduced to Rs 11.16 crore during the period under review as compared to an operating loss of Rs 20.29 crore in Q2 2018 and an operating loss of Rs 16.28 crore in the immediate trailing quarter.

    Balaji Telefilms' consolidated revenue from operations in Q1 2019 increased 8.5 percent y-o-y to Rs 119.07 crore as compared to Rs 109.78 crore in Q2 2018, but reduced 3.5 percent q-o-q from Rs 123.44 crore in Q1 2019. Consolidated total revenue in Q2 2019 increased 9.8 percent y-o-y to Rs 128.02 crore from Rs 116.57 crore, but reduced marginally by 0.7 percent q-o-q from Rs 128.86 crore. Consolidated loss in Q2 2019 was slightly higher at Rs 15.44 crore as compared to a loss of Rs 13.84 crore, but was far lower than the Rs 27.03 crore in Q1 2019.

    Let us look at the other numbers reported by Balaji Telefilms

    Balaji Telefilms reported 13.8 percent y-o-y increase in total expenditure in Q2 2019 at Rs 142.48 crore from Rs 125.19 crore in Q2 2018. Cost of production/ acquisition and telecast fees increased 1.5 percent y-o-y to Rs 98.57 crore from Rs 97.11 crore in the corresponding quarter of the previous fiscal but was 13.6 percent lower q-o-q than the Rs 114.09 crore in Q1 2019. Employee benefits expense in Q2 2019 increased 55.3 percent y-o-y to Rs 13.08 crore from Rs 8.42 crore in Q2 2018 and increased 45 percent q-o-q from Rs 9.02 crore in Q1 2019.

    Other expenses reduced 11.2 percent y-o-y in Q2 2019 to Rs 12.74 crore from Rs 13.76 crore in Q2 2018 and reduced 7.4 percent q-o-q from Rs 13.76 crore in Q1 2019. Marketing and distribution expense in Q2 2019 increased 43.8 percent y-o-y to Rs 11.16 crore from Rs 7.76 crore in Q2 2018, but reduced 13.4 percent q-o-q from Rs 12.88 crore in Q1 2019.

  • Hathway in the red due to higher expenses, forex loss in second quarter

    Hathway in the red due to higher expenses, forex loss in second quarter

    BENGALURU: In the first quarter of the previous fiscal, restructuring at Indian multi system operator (MSO) Hathway Cable and Datacom Ltd (Hathway) had brought for it a positive bottomline. The pared company reported a profit of Rs 2.716 crore (including an exceptional item –gain from the sale of shares of Rs 1.713 crore) for the quarter ended 30 June 2017 (Q1 2018). The company improved its performance in the second quarter of the previous fiscal (Q2 2018) and reported profit after taxes of Rs 14.01 crore. However, in the quarter ended 30 September 2018 (Q2 2019, quarter under review), the company reported a loss of Rs 5.90 crore as compared to a loss of Rs 2.63 crore in the immediate trailing quarter (Q1 2019).

    Higher expenses which included higher finance costs and higher forex losses were chiefly responsible for the loss, besides of course, the fact that the Jio juggernaut has steamrolled all kinds of broadband internet service providers. The company reported almost same operating revenue (0.5 percent lower) for Q2 2019 at Rs 130.55 crore as compared to Rs 131.15 crore in Q2 2018. Due to higher other income of Rs 7.63 crore in the quarter under review as compared to Rs 5.93 crore in Q2 2018, Hathway’s total income was 0.8 percent more y-o-y at Rs 138.18 crore as compared to Rs 137.08 crore.

    Operating EBITDA during Q2 2019 at Rs 46.58 crore (35.6 percent of operating revenue) was 11.5 percent down y-o-y as compared to Rs 52.66 crore (40.2 percent of operating revenue).

    Let us look at the other numbers reported by Hathway

    Total expenditure in Q2 2019 was 144.08 crore or 110.4 percent of total income, 17.1 percent more than the Rs 123.07 crore (93.8 percent of operating revenue). Operating expenses in Q2 2019 was 5.4 percent lower y-o-y at Rs 31.10 crore (23.8 percent of operating revenue) as compared to Rs 32.89 crore (25.1 percent of operating revenue).

    Employee benefits expense for the quarter was Rs 11.29 crore (8.6 percent of of operating revenue) which was 7.2 percent higher y-o-y as compared to Rs 10.53 crore (8 percent of of operating revenue). Finance costs in Q2 2019 at Rs 32.22 crore (24.7 percent of operating revenue) was 32.2 percent higher y-o-y than Rs 20.19 crore (15.4 percent of operating revenue) in Q2 2018.

    Other expenses at Rs 41.48 crore (31.8 percent of operating revenue) was 18 percent higher y-o-y than Rs 35.07 crore (26.7 percent of operating revenue). Other expenses included a higher forex loss of Rs 7.2 crore in Q2 2019 as compared to a forex loss of Rs 1.28 crore in Q2 2018.