ITV

Tag: Saurabh Dhoot

  • Videocon d2h partners Netflix for HD Smart Connect

    MUMBAI: Videocon d2h has signed a deal with the internet television network Netflix. With this partnership, Videocon d2h connected box customers will now be able to access seamlessly the extensive library of Netflix TV and movie titles.

    Videocon d2h consumers will be able to enjoy Netflix on a large screen by simply clicking a dedicated Netflix button on the remote control of HD Smart Connect Set Top Box (STB).

    Videocon d2h executive director Saurabh Dhoot said, “Our partnership will strengthen our DNA of innovation by providing TV screen experience for Netflix users in a seamless manner. This partnership in India with Netflix gives the customers the simple click of a button to easily select between our DTH and world class apps like Netflix services on the HD Smart Connect Set top box.”

    Netflix will be available on an exclusive app available on connected Set top box, HD SMART STB (Connected STB) which converts any existing TV into a smart TV besides showing you more than 600 channels and services in high definition and standard definition. The HD smart connect set top box allows consumers to watch their favourite channels in SD and HD, using the satellite feed like any other Videocon d2h set top box. The set top box can be connected to the internet through any Wifi or ethernet connection in the home for accessing a curated set of applications available through the internet. The minimum internet speed needed is 2 Mbps. These apps, both free and paid cover a range of content genres and utility apps.

    Videocon d2h CEO Anil Khera added, “With Netflix on board, Videocon d2h is enhancing its position as the customer’s first choice of entertainment. Integrating premium entertainment services like Netflix into our services offered via HD Smart Connect Set Top Box will make us even more attractive for our consumers. We will continue to deliver exceptional entertainment and give consumer the power to view content and enhance our leadership in homes with wifi/broadband.”

    Netflix co-founder and CEO Reed Hastings said, “While there are millions of consumers all over the world using Netflix, enjoying the ability to watch anywhere, anytime and the incredible variety of programming we offer, we are really only at the beginning of our journey here in India. This partnership with Videocon d2h is important for us in the way we reach to the diversity of the Indian market and will make it much easier for Indian consumers to watch Netflix.

  • Powered by Shemaroo & PTC, Videocon d2h adds two VAS services

    Powered by Shemaroo & PTC, Videocon d2h adds two VAS services

    MUMBAI: Videocon d2h, India’s fastest growing DTH player is going all round in addition of new channels and services every week. Videocon d2h has now added Punjabi VAS service – d2h Mauja on occasion of Lohri, this service is brought in association with Shemaroo and is now available on Ch No.770. With this addition, Videocon d2h offers 15 Punjabi channels & services.

    Mauja is an ad free service that will boast of a rich Punjabi content like music, movies, sitcoms etc d2h Mauja, Punjabi Service will offer latest Punjabi movies, devotional songs, movie clips, latest Punjabi songs and much more. You can also watch super hit movies like Vaisakhi List, Ardaas, Once Upon a Time in Amritsar and Vaapsi among others. The service is powered by PTC and Shemaroo Entertainment Ltd.This channel will plug the gap as it will broadcast old classical Punjabi movies to the latest ones apart from the Music shows and Punjabi plays. Unlike any other services, d2h Mauja is the only platform that promises to offer its audience a handpicked Punjabi movie daily.

    Videocon d2h has now added Gujarati VAS service – d2h Rangilu on occasion of Makar Sankranthi. D2h Rangilu is brought in association with Shemaroo and will be available on Ch No. 867. With this addition, Videocon d2h offers 11 Gujarati channels & services. d2h Rangilu is an ad free service that will cater to the Gujarati audience and offers plays (theatre) of their favourite stars like Siddharth Randeria, Ketaki Dave, Feroz Bhagat, Sanjay Goradia and many more. Also it brings whole new range of mash ups, jokes, suvichar and traditional stand up comedy among others.

    Rangilu will boast of a rich Gujarati content like plays, films, suvichar, jokes, sitcoms etc. d2h Rangilu will cater to the Gujaratis settled across India who are missing the Gujarati culture. This channel will plug the gap as it will broadcast old classical Gujarati plays, films, Hasya Darbaar, comedy series, etc.

    Videocon d2h executive director Saurabh Dhoot said, “The addition of this VAS channel strengthens our Punjabi and Gujarati content. With the digitization of TV viewing in rural markets, regional and local content is what we are now focusing on.” Videocon d2h CEO Anil Khera added, “We are providing a varied mix of channels and services catering to a much wider audience base.” Shemaroo director Hiren Gada, “We are glad to launch d2h Mauja and Rangilu on Videocon d2h.”

  • Powered by Shemaroo & PTC, Videocon d2h adds two VAS services

    Powered by Shemaroo & PTC, Videocon d2h adds two VAS services

    MUMBAI: Videocon d2h, India’s fastest growing DTH player is going all round in addition of new channels and services every week. Videocon d2h has now added Punjabi VAS service – d2h Mauja on occasion of Lohri, this service is brought in association with Shemaroo and is now available on Ch No.770. With this addition, Videocon d2h offers 15 Punjabi channels & services.

    Mauja is an ad free service that will boast of a rich Punjabi content like music, movies, sitcoms etc d2h Mauja, Punjabi Service will offer latest Punjabi movies, devotional songs, movie clips, latest Punjabi songs and much more. You can also watch super hit movies like Vaisakhi List, Ardaas, Once Upon a Time in Amritsar and Vaapsi among others. The service is powered by PTC and Shemaroo Entertainment Ltd.This channel will plug the gap as it will broadcast old classical Punjabi movies to the latest ones apart from the Music shows and Punjabi plays. Unlike any other services, d2h Mauja is the only platform that promises to offer its audience a handpicked Punjabi movie daily.

    Videocon d2h has now added Gujarati VAS service – d2h Rangilu on occasion of Makar Sankranthi. D2h Rangilu is brought in association with Shemaroo and will be available on Ch No. 867. With this addition, Videocon d2h offers 11 Gujarati channels & services. d2h Rangilu is an ad free service that will cater to the Gujarati audience and offers plays (theatre) of their favourite stars like Siddharth Randeria, Ketaki Dave, Feroz Bhagat, Sanjay Goradia and many more. Also it brings whole new range of mash ups, jokes, suvichar and traditional stand up comedy among others.

    Rangilu will boast of a rich Gujarati content like plays, films, suvichar, jokes, sitcoms etc. d2h Rangilu will cater to the Gujaratis settled across India who are missing the Gujarati culture. This channel will plug the gap as it will broadcast old classical Gujarati plays, films, Hasya Darbaar, comedy series, etc.

    Videocon d2h executive director Saurabh Dhoot said, “The addition of this VAS channel strengthens our Punjabi and Gujarati content. With the digitization of TV viewing in rural markets, regional and local content is what we are now focusing on.” Videocon d2h CEO Anil Khera added, “We are providing a varied mix of channels and services catering to a much wider audience base.” Shemaroo director Hiren Gada, “We are glad to launch d2h Mauja and Rangilu on Videocon d2h.”

  • Goel & Dhoot speak Dish TV-Videocon d2h merger

    Goel & Dhoot speak Dish TV-Videocon d2h merger

    MUMBAI: It was earlier this year that mainstream media was going berserk with the speculation that India’s largest pay TV operator Dish TV was going to acquire the the Dhoot family run rival DTH service Videocon d2h. Repeated denials by Dish TV did nothing to restrain hacks from reporting that an acquisition was almost done. But the facts are out now. Speaking to CNBC TV18 last weekend Dish TV India managing director Jawahar Goel said that “the arrangement of the scheme is merger and we never envisaged a buyout.” Which is probably why most journos got it wrong.

    Goel informed CNBC TV18 that he would be chairman & managing director of the new entity, while Saurabh Dhoot will be the deputy managing director. The Dhoot family can also appoint another nominee as vice-chairman of the board. The merger will result in a new pay TV operator with 27.6 million subscribers, commanding 16 per cent or so of the Indian pay TV market.

    “The two brands Dish TV and Videocon d2h will continue to operate as distinct brands in the market,” Dhoot clarified to the business news channel.

    He added that “both the families – the Goel family and the Dhoot family are very closely associated since a decade, this is really a family affair.”

    Post the merger, Dish TV and the public will end up with 36 per cent equity each, while Videocon d2h will have 28 per cent of the equity of Dish TV Videocon. Dhoot further clarified that “Dish TV shareholders would comprise of in terms of ownership of the new entity of 55.4 percent and so around 45 percent would be owned by Videocon D2H shareholders. Dish TV shareholders would own something like 1066 million shares, Videocon d2hshareholders would own 857 million shares and this is an all stock combination swap ratio reflecting the relative values of each business across operating like financial and trading metrics. So subscribers and subscriber addition is factored in, revenue, earnings before interest, taxes, depreciation, and amortization (EBITDA) and growth is factored in and trading metrics are also factored in, so the combination combine Dish’ scale and profitability with d2h scale and growth and the scale and efficiency benefit emanating from such a combination will be a win-win for all stakeholders.”

    Goel pointed out that the merger will likely take around seven to eight months and the benefits of the reasonably debt cost that Dish TV enjoys will be passed on to the merged entity. Said he: (The debt) will be around Rs 2,100 crore and EBITDA as reported in the last financial numbers in the past it is around Rs 1,800-1,900 crore…. and the debt will definitely will be the Dish TV debt, which will be coming at the same price or a better price going forward – – so the problem of high cost of debt should not be there.”

    But, most importantly, added Dhoot that “the merger would lead to significant cost synergies as well as enhance our ability to grow alternate revenue streams like carriage, advertising, value added services, new channel launches and these are all highly margin accretive. So the proposed combination shall create scale benefits for all stakeholders. There will be better growth opportunities for employees, sales and service networks, larger distribution network, but from an economic standpoint for our shareholders, which includes the existing Dish TV and Videocon D2H shareholders the merged entity will drive value unlocking from combine sourcing, purchasing, product development, improved distribution, customer service and net support, network and infrastructure consolidation and capex. “

    Clearly, one plus one could end up being more than two in this case.

  • Goel & Dhoot speak Dish TV-Videocon d2h merger

    Goel & Dhoot speak Dish TV-Videocon d2h merger

    MUMBAI: It was earlier this year that mainstream media was going berserk with the speculation that India’s largest pay TV operator Dish TV was going to acquire the the Dhoot family run rival DTH service Videocon d2h. Repeated denials by Dish TV did nothing to restrain hacks from reporting that an acquisition was almost done. But the facts are out now. Speaking to CNBC TV18 last weekend Dish TV India managing director Jawahar Goel said that “the arrangement of the scheme is merger and we never envisaged a buyout.” Which is probably why most journos got it wrong.

    Goel informed CNBC TV18 that he would be chairman & managing director of the new entity, while Saurabh Dhoot will be the deputy managing director. The Dhoot family can also appoint another nominee as vice-chairman of the board. The merger will result in a new pay TV operator with 27.6 million subscribers, commanding 16 per cent or so of the Indian pay TV market.

    “The two brands Dish TV and Videocon d2h will continue to operate as distinct brands in the market,” Dhoot clarified to the business news channel.

    He added that “both the families – the Goel family and the Dhoot family are very closely associated since a decade, this is really a family affair.”

    Post the merger, Dish TV and the public will end up with 36 per cent equity each, while Videocon d2h will have 28 per cent of the equity of Dish TV Videocon. Dhoot further clarified that “Dish TV shareholders would comprise of in terms of ownership of the new entity of 55.4 percent and so around 45 percent would be owned by Videocon D2H shareholders. Dish TV shareholders would own something like 1066 million shares, Videocon d2hshareholders would own 857 million shares and this is an all stock combination swap ratio reflecting the relative values of each business across operating like financial and trading metrics. So subscribers and subscriber addition is factored in, revenue, earnings before interest, taxes, depreciation, and amortization (EBITDA) and growth is factored in and trading metrics are also factored in, so the combination combine Dish’ scale and profitability with d2h scale and growth and the scale and efficiency benefit emanating from such a combination will be a win-win for all stakeholders.”

    Goel pointed out that the merger will likely take around seven to eight months and the benefits of the reasonably debt cost that Dish TV enjoys will be passed on to the merged entity. Said he: (The debt) will be around Rs 2,100 crore and EBITDA as reported in the last financial numbers in the past it is around Rs 1,800-1,900 crore…. and the debt will definitely will be the Dish TV debt, which will be coming at the same price or a better price going forward – – so the problem of high cost of debt should not be there.”

    But, most importantly, added Dhoot that “the merger would lead to significant cost synergies as well as enhance our ability to grow alternate revenue streams like carriage, advertising, value added services, new channel launches and these are all highly margin accretive. So the proposed combination shall create scale benefits for all stakeholders. There will be better growth opportunities for employees, sales and service networks, larger distribution network, but from an economic standpoint for our shareholders, which includes the existing Dish TV and Videocon D2H shareholders the merged entity will drive value unlocking from combine sourcing, purchasing, product development, improved distribution, customer service and net support, network and infrastructure consolidation and capex. “

    Clearly, one plus one could end up being more than two in this case.

  • Dish TV Videocon: Building a DTH powerhouse of global reckoning

    Dish TV Videocon: Building a DTH powerhouse of global reckoning

    MUMBAI: It’s a reflection of what’s hitting the corporate world globally – consolidate and build global scale. And scale is important in television distribution – whether cable, satellite or terrestrial or direct to home (DTH). Yesterday’s announcement of — what was speculated for nearly a year – the merger of India’s No 1 DTH operator Dish TV India with India’s fastest growing DTH player Videocon d2h – is a reflection of that trend and the building of a DTH powerhouse and pay TV operator.

    The merger has created a pay TV behemoth unrivalled in TV  distribution in the Indian market (let’s discount the public service terrestrial broadcaster Doordarshan and its satellite service FreeDish). The next Indian private DTH provider is less than half the size of the merged entity’s  size in pure net subscriber terms.

    A collective 27.6 million subs  for the combo firm Dish TV Videocon places it just behind the US-based DirecTV (which is now owned by AT&T) with its 37.6 million subs.  That’s a number which is hard to ignore. Much senior players such as Sky in the UK and dishnetwork in the US have just 21 million subs and 13.6 million subs, respectively.

    Of course, one may argue that ARPUs in India are wafer thin at about $3 or so per subscriber and revenues too are minuscule for the DTH operators.  ARPUs for Sky which is so much smaller than Dish TV Videocon are around pounds sterling 47 while these are at $111 at DirecTV which is far bigger.

    Team Dish TV led by Jawahar Goel and his CEO Arun Kapoor have reason to celebrate. For the fusion of the two players has created an enterprise that probably has overtaken his elder brother Subhash Chandra’s Zee Entertainment Enterprises in terms of EBIDTA and in revenue.  And what must be even more pleasing is that Dish TV has been operational for fewer years than Zee Entertainment which has led the cable and satellite TV revolution in India since the early nineties.

    Ditto for team Videocon d2h that is led by the executive chairman Saurabh Pradeep Kumar Dhoot and CEO Anil Khera. The last entrant in the DTH game, the merger has catapulted it into the leadership position in India.

    True, the market capitalization of Dish TV  (alone) is  Rs 9,321.1 crore  and Videocon d2h is being merged at an equity valuation of around Rs 7,200 crore and at an enterprise value of around  Rs 9,000-odd crore (as per reports) as compared to Zee Entertainment’s Rs 46,284 crore and Sun TV’s Rs 19,747 crore . The market capitalization value of  Dish TV Videocon has yet to be calculated at the time of writing but there’s no doubt it will skyrocket substantially post the completion of the merger in the next six to seven months.

    What does the fusion mean for DishTV Videocon?

    For one, lower costs. On almost every front.

    Imagine the negotiating power it will have with broadcasters on content pricing. Carriage and placement fees will end up being substantial. It  will be in a position to get better rates on hardware, middleware, ERP software, consumer premise equipment. And then, the two companies’ administration and sales teams could also be streamlined to form a formidable lean and mean sales force. Both have vast and deep distribution strengths. While Dish TV has 2,268 distributors, 244,688 dealers and 1090 service franchises across 9322 towns, Videocon d2h has 2280 distributors and direct dealers, 230,000 dealers/retailers and 320 direct service centres nationally. A consolidation of this could also yield cost benefits.

    A PhillipCapital estimate to CNBC TV18 was that the synergy benefit at the EBIDTA level would be between Rs 300 crore to 350 crore from year two onwards.

    The lower costs could allow Dish TV Videocon to also pass on the benefits to consumers and possibly start a price war, should it choose to, and thus attracting subscribers from cable TV or other DTH providers, in the process scaling up even further.

    Dish TV Videocon’s value-added services (VAS) will get a collective boost as these could be cross-promoted between the platforms. Its scale will allow it to negotiate better advertising deals for the two services opening screens, sponsorships and on TVCs.

    Most importantly, the combined entity will end up with a robust financial report card with revenues of Rs 5,915.8 crore ($883 million) for the year ended 31 March 2016.  The figure for the first half of the current fiscal (H1-2017) is at Rs 3,100 crore. That means one can expect it to cross the $1 billion topline milestone either by end this year or mid next.

    Dish TV Videocon’s EBIDTA margins too look  healthy at 31 per cent and absolute last-fiscal-year figures of Rs 1,826 crore ($274 million). The figure for H12017 is at Rs 1,040 crore. EBIDTA minus capex stands at a puny Rs 195 crore ($29 million) but that’s significantly higher than the Rs 116.5 crore of DishTV and Rs 78.5 crore of Videocon d2h, individually. In H12017, that figure had already climbed to Rs 190 crore. The merged entity will have a net debt load of Rs 2161 crore ($323 million). H1 2017, however,  saw that climb to Rs 2660 crore.

    How Dish TV Videocon will service this higher debt – whether it will be through internal accruals or through an external cash infusion – is a question. Both the firms have to also grapple with subscriber acquisition costs  – at around Rs 1500 for Dish TV at the end of March 2016 and at Rs 1,869 for Videocon d2h at the end of 30 September 2016. But, the good part is that both have generated net profits and free cash flows.

    The combined entity will end up with close to 2.8 million HD subscribers, which is around 10 per cent of the overall subscribers. These higher ARPU customers are also growing rapidly, forming around 50 per cent of the net adds.

    Now, one does not know the ambitions that the Goel and Dhoot families are harbouring. Will they go for further scale in a few years once the merger gets digested? Will they acquire other Indian DTH players as competitive forces compel further consolidation? Will they go outside and look for opportunities elsewhere in more mature and developed pay TV markets?

    It appears as if  the road to that journey may have just begun.

    Also read:

    http://www.indiantelevision.com/dth/dth-operator/videocon-d2h-to-merge-with-dish-tv-create-leading-cable-satellite-distribution-platform-in-india-161111

     

     

  • Dish TV Videocon: Building a DTH powerhouse of global reckoning

    Dish TV Videocon: Building a DTH powerhouse of global reckoning

    MUMBAI: It’s a reflection of what’s hitting the corporate world globally – consolidate and build global scale. And scale is important in television distribution – whether cable, satellite or terrestrial or direct to home (DTH). Yesterday’s announcement of — what was speculated for nearly a year – the merger of India’s No 1 DTH operator Dish TV India with India’s fastest growing DTH player Videocon d2h – is a reflection of that trend and the building of a DTH powerhouse and pay TV operator.

    The merger has created a pay TV behemoth unrivalled in TV  distribution in the Indian market (let’s discount the public service terrestrial broadcaster Doordarshan and its satellite service FreeDish). The next Indian private DTH provider is less than half the size of the merged entity’s  size in pure net subscriber terms.

    A collective 27.6 million subs  for the combo firm Dish TV Videocon places it just behind the US-based DirecTV (which is now owned by AT&T) with its 37.6 million subs.  That’s a number which is hard to ignore. Much senior players such as Sky in the UK and dishnetwork in the US have just 21 million subs and 13.6 million subs, respectively.

    Of course, one may argue that ARPUs in India are wafer thin at about $3 or so per subscriber and revenues too are minuscule for the DTH operators.  ARPUs for Sky which is so much smaller than Dish TV Videocon are around pounds sterling 47 while these are at $111 at DirecTV which is far bigger.

    Team Dish TV led by Jawahar Goel and his CEO Arun Kapoor have reason to celebrate. For the fusion of the two players has created an enterprise that probably has overtaken his elder brother Subhash Chandra’s Zee Entertainment Enterprises in terms of EBIDTA and in revenue.  And what must be even more pleasing is that Dish TV has been operational for fewer years than Zee Entertainment which has led the cable and satellite TV revolution in India since the early nineties.

    Ditto for team Videocon d2h that is led by the executive chairman Saurabh Pradeep Kumar Dhoot and CEO Anil Khera. The last entrant in the DTH game, the merger has catapulted it into the leadership position in India.

    True, the market capitalization of Dish TV  (alone) is  Rs 9,321.1 crore  and Videocon d2h is being merged at an equity valuation of around Rs 7,200 crore and at an enterprise value of around  Rs 9,000-odd crore (as per reports) as compared to Zee Entertainment’s Rs 46,284 crore and Sun TV’s Rs 19,747 crore . The market capitalization value of  Dish TV Videocon has yet to be calculated at the time of writing but there’s no doubt it will skyrocket substantially post the completion of the merger in the next six to seven months.

    What does the fusion mean for DishTV Videocon?

    For one, lower costs. On almost every front.

    Imagine the negotiating power it will have with broadcasters on content pricing. Carriage and placement fees will end up being substantial. It  will be in a position to get better rates on hardware, middleware, ERP software, consumer premise equipment. And then, the two companies’ administration and sales teams could also be streamlined to form a formidable lean and mean sales force. Both have vast and deep distribution strengths. While Dish TV has 2,268 distributors, 244,688 dealers and 1090 service franchises across 9322 towns, Videocon d2h has 2280 distributors and direct dealers, 230,000 dealers/retailers and 320 direct service centres nationally. A consolidation of this could also yield cost benefits.

    A PhillipCapital estimate to CNBC TV18 was that the synergy benefit at the EBIDTA level would be between Rs 300 crore to 350 crore from year two onwards.

    The lower costs could allow Dish TV Videocon to also pass on the benefits to consumers and possibly start a price war, should it choose to, and thus attracting subscribers from cable TV or other DTH providers, in the process scaling up even further.

    Dish TV Videocon’s value-added services (VAS) will get a collective boost as these could be cross-promoted between the platforms. Its scale will allow it to negotiate better advertising deals for the two services opening screens, sponsorships and on TVCs.

    Most importantly, the combined entity will end up with a robust financial report card with revenues of Rs 5,915.8 crore ($883 million) for the year ended 31 March 2016.  The figure for the first half of the current fiscal (H1-2017) is at Rs 3,100 crore. That means one can expect it to cross the $1 billion topline milestone either by end this year or mid next.

    Dish TV Videocon’s EBIDTA margins too look  healthy at 31 per cent and absolute last-fiscal-year figures of Rs 1,826 crore ($274 million). The figure for H12017 is at Rs 1,040 crore. EBIDTA minus capex stands at a puny Rs 195 crore ($29 million) but that’s significantly higher than the Rs 116.5 crore of DishTV and Rs 78.5 crore of Videocon d2h, individually. In H12017, that figure had already climbed to Rs 190 crore. The merged entity will have a net debt load of Rs 2161 crore ($323 million). H1 2017, however,  saw that climb to Rs 2660 crore.

    How Dish TV Videocon will service this higher debt – whether it will be through internal accruals or through an external cash infusion – is a question. Both the firms have to also grapple with subscriber acquisition costs  – at around Rs 1500 for Dish TV at the end of March 2016 and at Rs 1,869 for Videocon d2h at the end of 30 September 2016. But, the good part is that both have generated net profits and free cash flows.

    The combined entity will end up with close to 2.8 million HD subscribers, which is around 10 per cent of the overall subscribers. These higher ARPU customers are also growing rapidly, forming around 50 per cent of the net adds.

    Now, one does not know the ambitions that the Goel and Dhoot families are harbouring. Will they go for further scale in a few years once the merger gets digested? Will they acquire other Indian DTH players as competitive forces compel further consolidation? Will they go outside and look for opportunities elsewhere in more mature and developed pay TV markets?

    It appears as if  the road to that journey may have just begun.

    Also read:

    http://www.indiantelevision.com/dth/dth-operator/videocon-d2h-to-merge-with-dish-tv-create-leading-cable-satellite-distribution-platform-in-india-161111

     

     

  • Q2-17: Videocon d2h top and bottom lines up

    Q2-17: Videocon d2h top and bottom lines up

    BENGALURU: Last quarter, Videocon d2h was the second listed Indian DTH player to report a profit after tax (PAT), after the Essel group’s Dish TV that turned the numbers black last year. Taking that trend further, Videocon d2h reported PAT of Rs 6.32 crore (0.8 percent margin) for the quarter ended 30 September 2016 (Q2-17, current quarter). For the corresponding year ago quarter (Q2-17), the company had reported a loss of Rs 24.59 crore while for the immediate trailing quarter (Q1-17) the company had reported profit of Rs 2.66 crore (0.3 percent margin).

    Videocon d2h reported 12.5 percent y-o-y growth in total revenue from operations for Q2-17 at Rs 776.16 crore as compared to Rs 690.08 crore and a 1.7 percent q-o-q growth from Rs 763.25 crore.

    The DTH major also reported 15.5 percent year-over-year (y-o-y) growth in net subscriber numbers at 125.2 lakh for Q2-17 as compared to 108.4 lakh and a 1.9 percent quarter-over-quarter (q-o-q) growth from122.9 lakh. Monthly Average revenue per user (ARPU) in the current quarter increased to Rs 209 from Rs 201 in Q1-16 but declined by Rs 2 from Rs 211 in the immediate trailing quarter.

    Subscriber matrices

    Subscriber acquisition cost (SAC) in Q2-17 was higher at Rs 1,869 as compared to Rs 1,775 in Q2-16 but was lower than Rs 1,872 in Q1-17.

    Subscriber monthly churn in the current quarter was 0.95 percent; in Q1-16 it was slightly higher at 1.19 percent, while in the immediate trailing quarter it was much lower at 0.49 percent.

    DAS III and IV are sunshine periods for the television carriage industry. Activation revenues have been adding to the top lines and bottom lines of most of the players. Videocon d2h computed subscription and activation revenue in the current quarter increased 21.9 percent y-o-y to Rs 710.70 crore and increased 2 percent q-o-q from Rs 697 crore.

    A look at some of the other metrics reported by Videocon d2h

    Adjusted EBIDTA grew 38.3 percent y-o-y to Rs 260.41 crore (33.6 percent margin) from Rs 188.26 crore (27.3 percent margin) and grew 4.3 percent q-o-q from Rs 249.78 crore (32.7 percent margin). Videocon d2h reports that EBIDTA per subscriber has increased to Rs 71 in Q2-17 from Rs 59 in Q2-16 and from Rs 70 in Q1-17.

    Content costs margin in Q2-17 has reduced to 38.7 percent as compared to 40.7 percent in the corresponding year ago quarter and was flat as compared  to the immediate trailing quarter.

    Total expense in Q2-17 increased 5.2 percent y-o-y to Rs 684.29 crore from Rs 650.70 crore and was flat q-o-q as compared to Rs 684.53 crore.

    Selling and distribution expense in the current quarter increased 22.4 percent y-o-y to Rs 60.7 crore from Rs 49.6 crore, but declined 5.2 percent q-o-q from Rs 64 crore.

    Employee benefit expense in Q2-17 were 4 percent higher at Rs 31.5 crore as compared to Rs 30.3 crore in Q2-16 but were 2.2 percent lower than the Rs 32.2 crore in Q1-17.

    Net finance cost in Q2-17 was Rs 71.7 crore; in Q2-16 net finance cost was Rs 80.2 crore and in Q1-17 it was Rs 75.9 crore.

    Company speak

    Commenting on the results and company outlook, Videocon d2h executive chairman Saurabh Dhoot, said, “I’m pleased to report a terrific quarter with over 37% increase in EBITDA year on year, in spite of the previously announced increase in taxes which impacted ARPU. Our quarterly results performance is consistent with our five point strategy to 1) grow subscriber base, 2) enhance subscriber monetization, 3) focus on localization and premium services, 4) lead the market in technological innovation and 5) enhance operational efficiencies and improve margins. These imperatives are drivingour success at creating sustainable shareholder value.

    “We are excited and fully prepared to seize the significant subscriber growth opportunity ahead of us through our leading distribution, customer  service and differentiated content offering, supported by a strong balance sheet,’ added Dhoot.

    “We achieved positive profit after tax and turned free cash flow positive during the current fiscal year, which we believe is a great achievement,” concluded Dhoot.

    Speaking on the results, Videocon d2h CEO Anil Khera said, “We are extremely excited with the business growth opportunities ahead of the company. We welcome the regulators’ initiative to review and draft a tariff order that aims to create complete transparency in carriage and content deals and bring in commercial parity amongst distribution platforms.”

    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.

     

  • Q2-17: Videocon d2h top and bottom lines up

    Q2-17: Videocon d2h top and bottom lines up

    BENGALURU: Last quarter, Videocon d2h was the second listed Indian DTH player to report a profit after tax (PAT), after the Essel group’s Dish TV that turned the numbers black last year. Taking that trend further, Videocon d2h reported PAT of Rs 6.32 crore (0.8 percent margin) for the quarter ended 30 September 2016 (Q2-17, current quarter). For the corresponding year ago quarter (Q2-17), the company had reported a loss of Rs 24.59 crore while for the immediate trailing quarter (Q1-17) the company had reported profit of Rs 2.66 crore (0.3 percent margin).

    Videocon d2h reported 12.5 percent y-o-y growth in total revenue from operations for Q2-17 at Rs 776.16 crore as compared to Rs 690.08 crore and a 1.7 percent q-o-q growth from Rs 763.25 crore.

    The DTH major also reported 15.5 percent year-over-year (y-o-y) growth in net subscriber numbers at 125.2 lakh for Q2-17 as compared to 108.4 lakh and a 1.9 percent quarter-over-quarter (q-o-q) growth from122.9 lakh. Monthly Average revenue per user (ARPU) in the current quarter increased to Rs 209 from Rs 201 in Q1-16 but declined by Rs 2 from Rs 211 in the immediate trailing quarter.

    Subscriber matrices

    Subscriber acquisition cost (SAC) in Q2-17 was higher at Rs 1,869 as compared to Rs 1,775 in Q2-16 but was lower than Rs 1,872 in Q1-17.

    Subscriber monthly churn in the current quarter was 0.95 percent; in Q1-16 it was slightly higher at 1.19 percent, while in the immediate trailing quarter it was much lower at 0.49 percent.

    DAS III and IV are sunshine periods for the television carriage industry. Activation revenues have been adding to the top lines and bottom lines of most of the players. Videocon d2h computed subscription and activation revenue in the current quarter increased 21.9 percent y-o-y to Rs 710.70 crore and increased 2 percent q-o-q from Rs 697 crore.

    A look at some of the other metrics reported by Videocon d2h

    Adjusted EBIDTA grew 38.3 percent y-o-y to Rs 260.41 crore (33.6 percent margin) from Rs 188.26 crore (27.3 percent margin) and grew 4.3 percent q-o-q from Rs 249.78 crore (32.7 percent margin). Videocon d2h reports that EBIDTA per subscriber has increased to Rs 71 in Q2-17 from Rs 59 in Q2-16 and from Rs 70 in Q1-17.

    Content costs margin in Q2-17 has reduced to 38.7 percent as compared to 40.7 percent in the corresponding year ago quarter and was flat as compared  to the immediate trailing quarter.

    Total expense in Q2-17 increased 5.2 percent y-o-y to Rs 684.29 crore from Rs 650.70 crore and was flat q-o-q as compared to Rs 684.53 crore.

    Selling and distribution expense in the current quarter increased 22.4 percent y-o-y to Rs 60.7 crore from Rs 49.6 crore, but declined 5.2 percent q-o-q from Rs 64 crore.

    Employee benefit expense in Q2-17 were 4 percent higher at Rs 31.5 crore as compared to Rs 30.3 crore in Q2-16 but were 2.2 percent lower than the Rs 32.2 crore in Q1-17.

    Net finance cost in Q2-17 was Rs 71.7 crore; in Q2-16 net finance cost was Rs 80.2 crore and in Q1-17 it was Rs 75.9 crore.

    Company speak

    Commenting on the results and company outlook, Videocon d2h executive chairman Saurabh Dhoot, said, “I’m pleased to report a terrific quarter with over 37% increase in EBITDA year on year, in spite of the previously announced increase in taxes which impacted ARPU. Our quarterly results performance is consistent with our five point strategy to 1) grow subscriber base, 2) enhance subscriber monetization, 3) focus on localization and premium services, 4) lead the market in technological innovation and 5) enhance operational efficiencies and improve margins. These imperatives are drivingour success at creating sustainable shareholder value.

    “We are excited and fully prepared to seize the significant subscriber growth opportunity ahead of us through our leading distribution, customer  service and differentiated content offering, supported by a strong balance sheet,’ added Dhoot.

    “We achieved positive profit after tax and turned free cash flow positive during the current fiscal year, which we believe is a great achievement,” concluded Dhoot.

    Speaking on the results, Videocon d2h CEO Anil Khera said, “We are extremely excited with the business growth opportunities ahead of the company. We welcome the regulators’ initiative to review and draft a tariff order that aims to create complete transparency in carriage and content deals and bring in commercial parity amongst distribution platforms.”

    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.

     

  • DTH players roll out festival offers

    DTH players roll out festival offers

    MUMBAI: Brands are bursting Diwali offers. As the festive season draws closer, all the D2H players, one after the other, are extending lucrative offers to consumers to buy their products and subscribe to their service. Tata Sky had run a promotional offer between 8 and 21 August on its tenth anniversary, under which it allowed subscribers to watch all its 500 plus channels at no extra cost.

    DishTV has now come up with a special Diwali HD offer. Customers can opt for a high-definition set-top box at minimal additional cost just by paying Rs. 120 extra. The subscribers can also view HD channels via DishTV’s small HD entertainment add-on packs.

    DTH operator Videocon d2h has hopped on to the bandwagon of the promotional offers. Videocon boasts of a 11-12 million active subscriber base and has branded the promotion as “Khushiyon kee Diwali.”

    New Videocon subscribers will have to pay only Rs 1820 for HD or Rs 1620 for a standard definition connection. On choosing a monthly subscription plan, the newbie can instantaneously upgrade themselves to the next higher upgrade plan for two months at no cost. Additionally, existing subscribers can also avail of the free two month upgrade by coughing up just Rs 10 extra on their monthly plan. The DTH operator had upped its prices by a minimum of about Rs 20 a month across subscription packges on account of the rise in service tax, various levies and other input costs.

    Says Videocon d2h executive chairman Saurabh Dhoot: “The festive season is all about mega enjoyment. This year our Diwali offer covers everyone from our existing subscriber to the potential subscriber opting for a new connection from Videocon d2h. This offer blends perfectly with our brand promise of providing wholesome entertainment for the family.”

    Adds Videocon d2h CEO Anil Khera: “Our Khushiyon kee Diwali promotion from 1 October to 30 November h Nov gives our existing consumer to enjoy the festive season with an upgrade to the next higher monthly plan for 60 days. We strongly believe that this attractive offer will create waves in the market in this festive season.”

    Videocon d2h offer subscribers 570 channels and services, including a host of regional channels. It offers a wide range of active services like smart services including smart English, smart games.

    DishTV’s HD sachets capture the interest of consumers towards HD viewing by offering them the channels at a nominal price of Rs.75 for one. This offering enables DishTV subscribers to select these small packs as per their preferences and needs. “With users aspiring for HD channels, this move is to encourage them to embrace HD channels at a minimal cost,” said DishTV CEO Arun Kapoor.

    For new HD connections, customers will now have to pay an introductory price of Rs. 1990 which will include subscription of one-month super family pack or jumbo pack and one HD add-on for one month at no extra cost. The new connection will also include a universal remote. DishTV has a complete offering and mix of 51 high-definition entertainment, music, news and regional language channels. The offer is available across all parts of the country.