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Tag: Siti Cable

  • ACT leads in wired broadband subscriber additions in 2016

    ACT leads in wired broadband subscriber additions in 2016

    BENGALURU: Atria Convergence Technologies Private Limited (ACT, ACT Broadband) lead in net wired broadband subscriber additions in calendar year 2016 with 50,000 subscribers added during the first two months of calendar year 2016 (CY-2016). As per data released by the Telecom Regulatory Authority of India (TRAI), ACT’s broadband subscriber base as on 29 February 2016 (Feb-16) was 9.1 lakh as compared to the 8.6 lakh subscribers as on 31 December 2015 (Dec-15).

    Until 30 October 2015 (Oct-15), ACT Broadband was leading in wireline broadband internet subscriber additions in India during calendar year 2015. Both ACT and Bharti Airtel had added 230,000 subscribers in CY-2015 until Nov-15. In December 2015 numbers released by TRAI indicated that as on 31 December 2015 (Dec-15), Bharti Airtel had added 2.6 lakh subscribers (subject to a granularity of 10,000) as compared to the 2.5 lakh subscribers added by ACT in the period between 31 December 2014 (hence 1 January 2015, Dec-14) and Dec-15. In terms of wireline internet subscription numbers, Airtel had 16.7 lakh subscribers while ACT had 8.6 lakh subscribers at the end of CY-2015.

    As per TRAI data, the top five players in India in the wireline broadband internet space in pecking order are the public sector Bharat Sanchar Nigam Limited (BSNL), Bharti Airtel Limited (Airtel), public sector Mahanagar Telephone Nigam Limited (MTNL), Atria Convergence Technologies Private Limited (ACT, ACT Broadband) and You Broadband (You BB). Among these 5, only BSNL and Airtel could be termed national players at present. BSNL, Airtel and MTNL also provide wireline and mobile services while Airtel also has a direct to home (DTH) segment. ACT started off as an MSO with operations concentrated in a few major cities and towns located mainly in South India. It started internet services (ACT Broadband) a little later and has grown its broadband internet subscriber base over time, to the extent that it is quite likely the biggest private wireline broadband player in South India. You BB offers broadband operations in a few cities in Maharashtra, Gujarat the NCR region Andhra Pradesh and Karnataka.

    While the public sector players BSNL and MTNL have been losing subscribers and/or market share, the three private players have been growing on both these parameters as Fig 1 below indicates. In CY-2016, until Feb-16, both BSNL and MTNL have lost 10,000 wired broadband subscribers each, while You BB has added 10,000 subscribers. BSNL’s wired broadband subscriber base as on 29 February 2016 was 99.1 lakh, while MTNL had 11.1 lakh subscribers. You BB had 5.2 lakh subscribers for Feb-15.

    Note: (1) 100,00,000 = 100 Lakh = 10 million = 1 crore

    (2) TRAI reports indicate data in millions of numbers up to 2 decimal places. Hence it is assumed in this report that a figure of 0.47 million (4.7 lakh) subscribers for You BB for July-2015 would be granular to the nearest 10,000. While percentages have been mentioned up to two decimal places, the accuracy may vary, depending upon the exact number.

    (3) Industry sources say that TRAI numbers in the case of ACT for May-2015 are incorrect at 0.66 million and the correct number would be 0.693 million. This paper considers the number as 6.93 lakh or 0.693 million.

    (4) MSOs’ have a number of subsidiaries and alliances, hence broadband numbers are split as applicable. The consolidated subscription numbers of these entities could be larger. Hathway is a case in point.

    At the same time, the subscriber numbers share of the top five wired broadband players in the country has reduced from 88.45 percent from Dec-14 to 84.54 percent as on Feb-16. During the same period the all India wireline internet subscriber base has grown 9.33 per cent from 153.2 lakh to 167.5 lakh. The combined numbers of the top five players have increased by less than half of that in percentage terms – by 4.5 per cent from 136.3 lakh to 141.6 lakh. The top five players have added 5.3 lakh subscribers during these 14 months, with ACT and Bharti Airtel contributing to the major bulk of the growth. Please refer to Fig 2 below.

    MSOs’ in India have started providing internet services on the back of their cable networks using Docsis technology. In general, they have started reporting double digit YoY increase in internet subscribers and revenue.  Three of the major MSOs and a regional MSO – Hathway, Siti Cable, Den Networks, Ortel Communications whose results are available in the public domain for the quarter ended 31 December 2016 (Q3-2016 current quarter) have been showing steady growth in their broadband segment over the past few quarters. 

  • TDSAT to hear LCO cases against Siti Cable and Hathway afresh in light of new TRAI regulations

    TDSAT to hear LCO cases against Siti Cable and Hathway afresh in light of new TRAI regulations

    NEW DELHI: Local cable operators who are members of Karnataka State Digital Cable TV Operators Welfare Association and the Cable Operators Sangram Association of Kolkata have told the Telecom Disputes Settlement and Appellate Tribunal that they will not migrate to any other distributor without seeking prior permission from the tribunal.

    This assurance was given in three cases – one filed by the Karnataka Association against Siti Cable Networks, and the other two by the Kolkata body against Hathway Cable and Datacom. Counsel Nittin Bhatia made the statement on behalf of the members of these association who were involved in the petitions.

    The tribunal was informed by Siti Cable counsel Tejveer Singh Bhatia and Hathway counsel Jayant K. Mehta about the notifications issued by Telecom Regulatory Authority of India on 7 January and 15 March this year which ‘make some fundamental changes in the DAS Interconnection Regulations and have a direct bearing upon the controversies in these cases.’

    Chairman Justice Aftab Alam and member B B Srivastava listed the matter for 27 April for hearing the parties further in the light of the amendments introduced in the DAS Interconnect Regulations.

    The tribunal said that “In the meanwhile, the respondents may apprise the respective petitioners separately and also through their counsel Mr Nittin Bhatia regarding the rates and the terms and conditions including the respective rights and obligations of the parties under clause 10 of Schedule IV of the notification dated 15 March 2016, that the respondents might have executed with any other LCO operating in that area.”

    The Tribunal also made it clear that if any of the LCOs being represented through these petitions were willing to execute the agreement with the respondents on those terms, they were free to do so.

  • TDSAT to hear LCO cases against Siti Cable and Hathway afresh in light of new TRAI regulations

    TDSAT to hear LCO cases against Siti Cable and Hathway afresh in light of new TRAI regulations

    NEW DELHI: Local cable operators who are members of Karnataka State Digital Cable TV Operators Welfare Association and the Cable Operators Sangram Association of Kolkata have told the Telecom Disputes Settlement and Appellate Tribunal that they will not migrate to any other distributor without seeking prior permission from the tribunal.

    This assurance was given in three cases – one filed by the Karnataka Association against Siti Cable Networks, and the other two by the Kolkata body against Hathway Cable and Datacom. Counsel Nittin Bhatia made the statement on behalf of the members of these association who were involved in the petitions.

    The tribunal was informed by Siti Cable counsel Tejveer Singh Bhatia and Hathway counsel Jayant K. Mehta about the notifications issued by Telecom Regulatory Authority of India on 7 January and 15 March this year which ‘make some fundamental changes in the DAS Interconnection Regulations and have a direct bearing upon the controversies in these cases.’

    Chairman Justice Aftab Alam and member B B Srivastava listed the matter for 27 April for hearing the parties further in the light of the amendments introduced in the DAS Interconnect Regulations.

    The tribunal said that “In the meanwhile, the respondents may apprise the respective petitioners separately and also through their counsel Mr Nittin Bhatia regarding the rates and the terms and conditions including the respective rights and obligations of the parties under clause 10 of Schedule IV of the notification dated 15 March 2016, that the respondents might have executed with any other LCO operating in that area.”

    The Tribunal also made it clear that if any of the LCOs being represented through these petitions were willing to execute the agreement with the respondents on those terms, they were free to do so.

  • Siti Cable’s VD Wadhwa nominated for Asia Communication Awards

    Siti Cable’s VD Wadhwa nominated for Asia Communication Awards

    MUMBAI: Siti Cable executive director and CEO VD Wadhwa has been nominated in the Best CEO Category for Asia Communication Awards 2016, along with 11 other leading Asian CEOs. The winner will be determined through an industry vote, assessed through net promoter scoring (NPS).

    Launched in 2011, the Asia Communication Awards (ACA) is a platform that recognizes the outstanding performance and innovation of the companies and individuals driving the success of the Asian based communication industry. The CEO of the Year category sets out to recognize the CEO who has gone above and beyond the call of duty. Past winners in this category have been from esteemed organizations like Tata Communications, Telstra and China Mobile.

    ACA is organized by Total Telecom that meets the information and research needs of the Global Communications industry. The award ceremony will be held in Singapore, Marriott Tang Plaza Hotel on June 1, 2016.

     

  • Siti Cable’s VD Wadhwa nominated for Asia Communication Awards

    Siti Cable’s VD Wadhwa nominated for Asia Communication Awards

    MUMBAI: Siti Cable executive director and CEO VD Wadhwa has been nominated in the Best CEO Category for Asia Communication Awards 2016, along with 11 other leading Asian CEOs. The winner will be determined through an industry vote, assessed through net promoter scoring (NPS).

    Launched in 2011, the Asia Communication Awards (ACA) is a platform that recognizes the outstanding performance and innovation of the companies and individuals driving the success of the Asian based communication industry. The CEO of the Year category sets out to recognize the CEO who has gone above and beyond the call of duty. Past winners in this category have been from esteemed organizations like Tata Communications, Telstra and China Mobile.

    ACA is organized by Total Telecom that meets the information and research needs of the Global Communications industry. The award ceremony will be held in Singapore, Marriott Tang Plaza Hotel on June 1, 2016.

     

  • Mukesh Ambani 20 billion investment plans in television and telecom

    Mukesh Ambani 20 billion investment plans in television and telecom

    MUMBAI: Mukesh Ambani’s recent focus in the telecom sector hasn’t gone unnoticed, where he has spent at least $18 billion ($1,800 crore) on 4G telecom brand RJio. Industry insiders observe that Mukesh Ambani’s aggressive take on the telecom and television sector may also pit him against his brother Anil Ambani and his company.

    Now reports are out that he intends to spend another $2 billion ($200 crore) over three years to capture TV sets as he eyes an opportunity to use his financial clout in what is a highly fragmented sector.  To put matters into perspective, Mukesh Ambani’s television unit has been aggressively signing up deals with hundreds of small players in a street-by-street effort to root out any final hurdle in its cable TV drive, reported Reuters.

    Industry observers note that this could also snap up rival operators as part of that push, those sources and analysts said, driving tie-ups in a crowded sector that includes Hathway Cable, Den Networks and Siti Cable.

    Industry sources quoting un-named Reliance officials say that Reliance’s mid-year goal of 1 million (10 lakh) subscribers would rise to 5 million (50 lakh) homes in the medium-term. Within three years, the aim is 20 million (2 crore).

    With only 20 million (2 crore) homes in India having a broadband or another Internet connection, it goes without saying that there is a huge growth potential in a country with a population of some 1.3 billion (130 crore).

    “Once the company manages to crack the last mile… it will be a formidable player,” Den Satellite Network MD Rajev Gavi shared with Reuters.

    Reliance executives say it will offer a bundled package with hundreds of channels and video-on-demand in high definition, along with broadband Internet, a landline phone and home surveillance. It will also offer Jio Play, its version of the Netflix movie and TV series streaming service.

  • Mukesh Ambani 20 billion investment plans in television and telecom

    Mukesh Ambani 20 billion investment plans in television and telecom

    MUMBAI: Mukesh Ambani’s recent focus in the telecom sector hasn’t gone unnoticed, where he has spent at least $18 billion ($1,800 crore) on 4G telecom brand RJio. Industry insiders observe that Mukesh Ambani’s aggressive take on the telecom and television sector may also pit him against his brother Anil Ambani and his company.

    Now reports are out that he intends to spend another $2 billion ($200 crore) over three years to capture TV sets as he eyes an opportunity to use his financial clout in what is a highly fragmented sector.  To put matters into perspective, Mukesh Ambani’s television unit has been aggressively signing up deals with hundreds of small players in a street-by-street effort to root out any final hurdle in its cable TV drive, reported Reuters.

    Industry observers note that this could also snap up rival operators as part of that push, those sources and analysts said, driving tie-ups in a crowded sector that includes Hathway Cable, Den Networks and Siti Cable.

    Industry sources quoting un-named Reliance officials say that Reliance’s mid-year goal of 1 million (10 lakh) subscribers would rise to 5 million (50 lakh) homes in the medium-term. Within three years, the aim is 20 million (2 crore).

    With only 20 million (2 crore) homes in India having a broadband or another Internet connection, it goes without saying that there is a huge growth potential in a country with a population of some 1.3 billion (130 crore).

    “Once the company manages to crack the last mile… it will be a formidable player,” Den Satellite Network MD Rajev Gavi shared with Reuters.

    Reliance executives say it will offer a bundled package with hundreds of channels and video-on-demand in high definition, along with broadband Internet, a landline phone and home surveillance. It will also offer Jio Play, its version of the Netflix movie and TV series streaming service.

  • November 2015: ACT, Airtel lead subscriber additions for wireline broadband in India

    November 2015: ACT, Airtel lead subscriber additions for wireline broadband in India

    BENGALURU: Until 30 October, 2015 (Oct-15), ACT Broadband was leading in wireline broadband internet subscriber additions in India. November 2015 numbers released by the Telecom Regulatory Authority of India (TRAI) indicate that as on 30 November, 2015 (Nov-15), both ACT and Bharti Airtel have added 2.3 lakh subscribers (subject to a granularity of 10,000) each in the period between 31 December, 2014, hence 1 January, 2015 (Dec-14,) and Nov-15. In terms of wireline internet subscription numbers, Airtel had 16.4 lakh subscribers as on Nov-15, almost double the 8.4 lakh subscribers that ACT Broadband had.

    The top five players in India in the wireline broadband internet space in pecking order are the public sector Bharat Sanchar Nigam Limited (BSNL), Bharti Airtel Limited (Airtel), public sector Mahanagar Telephone Nigam Limited (MTNL), Atria Convergence Technologies Private Limited (ACT, ACT Broadband) and You Broadband (You BB). Among these five, only BSNL and Airtel can be termed national players at present. BSNL, Airtel and MTNL also provide wireline and mobile services while Airtel also has a direct to home (DTH) segment. ACT started off as an MSO with operations concentrated in a few major cities and towns located mainly in South India. It started internet services (ACT Broadband) a little later and has grown its broadband internet subscriber base over time, to the extent that it is quite likely the biggest private wireline broadband player in South India. You BB offers broadband operations in a few cities in Maharashtra, Gujarat the NCR region Andhra Pradesh and Karnataka. 

    Overall, November 2015 saw 140,000 wireline subscriber additions, of which 30,000 were added by Airtel and 20,000 by ACT; 10,000 by You Broadband, while the public sector behemoth BSNL saw a decline of 10,000 subscribers. MTNL did not have any new additions, taking the contribution of the top five wireline broadband players to 50,000 (or 35.57 per cent of overall additions) during Nov-15.

    Note: (1) 100,00,000 = 100 Lakh = 10 million = 1 crore
    (2) TRAI reports indicate data in millions of numbers up to 2 decimal places. Hence it is assumed in this report that a figure of 0.47 million (4.7 lakh) subscribers for You BB for July-2015 would be granular to the nearest 10,000. While percentages perforce have been mentioned up to two decimal places, the accuracy may vary, depending upon the exact number.
    (3) Industry sources say that TRAI numbers in the case of ACT for May-2015 are incorrect at 0.66 million and the correct number would be 0.693 million. This report considers the number as 6.93 lakh or 0.693 million.
    (4) MSOs have a number of subsidiaries and alliances, hence broadband numbers are split as applicable. The consolidated subscription numbers of these entities could be larger. Hathway is a case in point.
    (5) Ortel’s numbers for Q3-2015 have been estimated from the numbers released by it for Q1-2015, Q2-2015, Q4-2015 and FY-2015.
    (6) The term ‘operating revenue’ in this report indicates ‘total income from operations.’

    Please refer to Fig 1 below. 

    Over an 11 month period, the subscriber numbers share of the top five wired broadband players in the country has reduced from 88.45 per cent from Dec-14 to 85.56 per cent as on Nov-15. During the same period All India wireline internet subscriber base has grown 7.11 per cent from 153.2 lakh to 164.1 lakh.

    The average all India subscriber growth rate per month for the period 1 January, 2015 to 30 November, 2015 was 0.62 per cent. During the period Dec-14 to May-15, the maximum growth was 0.46 per cent in Feb-15 with 70,000 net new broadband connections. Apr-15 saw nil growth rate and witnessed a decline in growth rate of 0.07 per cent in subscribers in the case of the top five wireline players in India. The average subscriber growth rate in the first five month period of the previous year was 0.31 per cent per month. The average subscriber growth during the next six month period including June-15 until Nov-15 was 0.89 per cent, with the highest in Aug-15 at 1.01 per cent. Please refer to Fig 1A below. Overall, the all India subscriber base has been growing at a faster pace than growth rate of the subscriber base of the top five wireline internet service providers in India.

    Fig 2 below indicates the subscriber details of the top five wired broadband internet service providers. While ACT has shown the highest growth during the period in this report, BSNL has had the steepest fall in subscription numbers during the first 11 month period of calendar year 2015. ACT’s share of All India wireline broadband internet subscribers has increased from 3.98 per cent at the start of the year to 5.12 per cent until Nov-15, while BSNL’s share has declined from 65.14 per cent in Dec-14 to 60.51 per cent in Nov-15. By its very stagnancy, MTNL’s share of All India wireline broadband internet subscribers has reduced from 7.38 per cent to 6.89 per cent during the same period. Airtel’s share has increased from 9.20 per cent to 9.99 per cent, while You BB’s share has increased from 2.74 per cent to 3.05 per cent during the same period.

    As is obvious from Fig 1A above, the share of new subscriber additions by the top five players has been reducing. MSOs in India have started providing internet services on the back of their cable networks using Docsis technology. In general, they have started reporting double digit YoY increase in internet subscribers and revenue. Three of the major MSOs and a regional MSO, whose results are available in the public domain for the quarter ended 31 December, 2016 (Q3-2016 current quarter) have been showing steady growth in their broadband segment over the past few quarters.

    In this report, let us look at how these television cable industry players have performed in the broadband space in Q3-2016. The four are: Hathway Cable and Datacom Limited (Hathway), Den Networks Ltd (Den), Siti Cable Network Limited (Siti Cable), and the regional player Ortel Communications Limited (Ortel).

    Hathway’s consolidated broadband subscribers increased by 50,000 or 9.31 per cent more QoQ, in Q3-2015 to 5.67 lakh. Hathway’s Broadband subscription revenue in Q3-2016 increased 53.4 per cent YoY to Rs 78.7 crore as compared to Rs 57.7 crore and increased 9.5 per cent QoQ as compared to Rs 57.7 crore. Hathway’s broadband standalone ARPUs increased 3.8 per cent QoQ from Rs 658 to Rs 683.

    Siti Cable Broadband revenue in the current quarter almost doubled (grew 99 per cent) at Rs 13.9 crore (3.8 per cent of OPREV) as compared to Rs 7 crore (3.2 per cent of OPREV) in Q3-2015 and increased 49.5 per cent QoQ as compared to Rs 9.3 crore (four per cent of OPREV). Broadband subscribers in the current quarter increased 17 per cent to 1,07,000 from 91,450 in Q2-2016.

    Den has also ramped up its broadband subscribers by 33.3 per cent to 76,000 in the current quarter from 57,000 in the immediate trailing quarter. The company’s broadband segment revenue increased by over five times YoY (5.5 times) at Rs 11.96 crore (3.4 per cent of TIO) as compared to Rs 2.17 crore (0.8 per cent of TIO) in corresponding prior year quarter and increased 58 per cent QoQ as compared to Rs 8.23 crore (three per cent of TIO). The segment’s YoY operating loss increased to Rs 19.57 crore as compared to Rs 12.37 crore, but reduced QoQ as compared to Rs 23.07 crore. The company says that broadband ARPU has declined by Rs 10 in the current quarter to Rs 760 from Rs 770 in the previous quarter.

    Den’s Broadband Post Activation EBIDTA in Q3-2016 was negative Rs 16 crore as compared to the negative Rs 11 crore in Q3-2015 and negative Rs 20 crore in Q2-2016.

    Ortel’s broadband segment reported 16.3 per cent higher revenue at Rs 8.28 crore as compared to Rs 7.12 crore in the corresponding year ago quarter and 1.7 per cent more than the Rs 8.14 crore in Q2-2016. The broadband segment reported an operating profit of Rs 4.78 crore in the current quarter as compared to Rs 4.52 crore in Q3-2015 and 9.1 per cent higher than the Rs 438 crore in Q2-2016.

    Ortel’s broadband customers in the current quarter grew 16.2 per cent YoY to 67,709 as compared to 58,277 and grew 6.4 per cent QoQ as compared to 63,663. Broadband ARPU in Q3-2016 was higher at Rs 396, in Q3-2015 it was Rs 394 and in Rs Q2-2016 it was Rs 395.

  • November 2015: ACT, Airtel lead subscriber additions for wireline broadband in India

    November 2015: ACT, Airtel lead subscriber additions for wireline broadband in India

    BENGALURU: Until 30 October, 2015 (Oct-15), ACT Broadband was leading in wireline broadband internet subscriber additions in India. November 2015 numbers released by the Telecom Regulatory Authority of India (TRAI) indicate that as on 30 November, 2015 (Nov-15), both ACT and Bharti Airtel have added 2.3 lakh subscribers (subject to a granularity of 10,000) each in the period between 31 December, 2014, hence 1 January, 2015 (Dec-14,) and Nov-15. In terms of wireline internet subscription numbers, Airtel had 16.4 lakh subscribers as on Nov-15, almost double the 8.4 lakh subscribers that ACT Broadband had.

    The top five players in India in the wireline broadband internet space in pecking order are the public sector Bharat Sanchar Nigam Limited (BSNL), Bharti Airtel Limited (Airtel), public sector Mahanagar Telephone Nigam Limited (MTNL), Atria Convergence Technologies Private Limited (ACT, ACT Broadband) and You Broadband (You BB). Among these five, only BSNL and Airtel can be termed national players at present. BSNL, Airtel and MTNL also provide wireline and mobile services while Airtel also has a direct to home (DTH) segment. ACT started off as an MSO with operations concentrated in a few major cities and towns located mainly in South India. It started internet services (ACT Broadband) a little later and has grown its broadband internet subscriber base over time, to the extent that it is quite likely the biggest private wireline broadband player in South India. You BB offers broadband operations in a few cities in Maharashtra, Gujarat the NCR region Andhra Pradesh and Karnataka. 

    Overall, November 2015 saw 140,000 wireline subscriber additions, of which 30,000 were added by Airtel and 20,000 by ACT; 10,000 by You Broadband, while the public sector behemoth BSNL saw a decline of 10,000 subscribers. MTNL did not have any new additions, taking the contribution of the top five wireline broadband players to 50,000 (or 35.57 per cent of overall additions) during Nov-15.

    Note: (1) 100,00,000 = 100 Lakh = 10 million = 1 crore
    (2) TRAI reports indicate data in millions of numbers up to 2 decimal places. Hence it is assumed in this report that a figure of 0.47 million (4.7 lakh) subscribers for You BB for July-2015 would be granular to the nearest 10,000. While percentages perforce have been mentioned up to two decimal places, the accuracy may vary, depending upon the exact number.
    (3) Industry sources say that TRAI numbers in the case of ACT for May-2015 are incorrect at 0.66 million and the correct number would be 0.693 million. This report considers the number as 6.93 lakh or 0.693 million.
    (4) MSOs have a number of subsidiaries and alliances, hence broadband numbers are split as applicable. The consolidated subscription numbers of these entities could be larger. Hathway is a case in point.
    (5) Ortel’s numbers for Q3-2015 have been estimated from the numbers released by it for Q1-2015, Q2-2015, Q4-2015 and FY-2015.
    (6) The term ‘operating revenue’ in this report indicates ‘total income from operations.’

    Please refer to Fig 1 below. 

    Over an 11 month period, the subscriber numbers share of the top five wired broadband players in the country has reduced from 88.45 per cent from Dec-14 to 85.56 per cent as on Nov-15. During the same period All India wireline internet subscriber base has grown 7.11 per cent from 153.2 lakh to 164.1 lakh.

    The average all India subscriber growth rate per month for the period 1 January, 2015 to 30 November, 2015 was 0.62 per cent. During the period Dec-14 to May-15, the maximum growth was 0.46 per cent in Feb-15 with 70,000 net new broadband connections. Apr-15 saw nil growth rate and witnessed a decline in growth rate of 0.07 per cent in subscribers in the case of the top five wireline players in India. The average subscriber growth rate in the first five month period of the previous year was 0.31 per cent per month. The average subscriber growth during the next six month period including June-15 until Nov-15 was 0.89 per cent, with the highest in Aug-15 at 1.01 per cent. Please refer to Fig 1A below. Overall, the all India subscriber base has been growing at a faster pace than growth rate of the subscriber base of the top five wireline internet service providers in India.

    Fig 2 below indicates the subscriber details of the top five wired broadband internet service providers. While ACT has shown the highest growth during the period in this report, BSNL has had the steepest fall in subscription numbers during the first 11 month period of calendar year 2015. ACT’s share of All India wireline broadband internet subscribers has increased from 3.98 per cent at the start of the year to 5.12 per cent until Nov-15, while BSNL’s share has declined from 65.14 per cent in Dec-14 to 60.51 per cent in Nov-15. By its very stagnancy, MTNL’s share of All India wireline broadband internet subscribers has reduced from 7.38 per cent to 6.89 per cent during the same period. Airtel’s share has increased from 9.20 per cent to 9.99 per cent, while You BB’s share has increased from 2.74 per cent to 3.05 per cent during the same period.

    As is obvious from Fig 1A above, the share of new subscriber additions by the top five players has been reducing. MSOs in India have started providing internet services on the back of their cable networks using Docsis technology. In general, they have started reporting double digit YoY increase in internet subscribers and revenue. Three of the major MSOs and a regional MSO, whose results are available in the public domain for the quarter ended 31 December, 2016 (Q3-2016 current quarter) have been showing steady growth in their broadband segment over the past few quarters.

    In this report, let us look at how these television cable industry players have performed in the broadband space in Q3-2016. The four are: Hathway Cable and Datacom Limited (Hathway), Den Networks Ltd (Den), Siti Cable Network Limited (Siti Cable), and the regional player Ortel Communications Limited (Ortel).

    Hathway’s consolidated broadband subscribers increased by 50,000 or 9.31 per cent more QoQ, in Q3-2015 to 5.67 lakh. Hathway’s Broadband subscription revenue in Q3-2016 increased 53.4 per cent YoY to Rs 78.7 crore as compared to Rs 57.7 crore and increased 9.5 per cent QoQ as compared to Rs 57.7 crore. Hathway’s broadband standalone ARPUs increased 3.8 per cent QoQ from Rs 658 to Rs 683.

    Siti Cable Broadband revenue in the current quarter almost doubled (grew 99 per cent) at Rs 13.9 crore (3.8 per cent of OPREV) as compared to Rs 7 crore (3.2 per cent of OPREV) in Q3-2015 and increased 49.5 per cent QoQ as compared to Rs 9.3 crore (four per cent of OPREV). Broadband subscribers in the current quarter increased 17 per cent to 1,07,000 from 91,450 in Q2-2016.

    Den has also ramped up its broadband subscribers by 33.3 per cent to 76,000 in the current quarter from 57,000 in the immediate trailing quarter. The company’s broadband segment revenue increased by over five times YoY (5.5 times) at Rs 11.96 crore (3.4 per cent of TIO) as compared to Rs 2.17 crore (0.8 per cent of TIO) in corresponding prior year quarter and increased 58 per cent QoQ as compared to Rs 8.23 crore (three per cent of TIO). The segment’s YoY operating loss increased to Rs 19.57 crore as compared to Rs 12.37 crore, but reduced QoQ as compared to Rs 23.07 crore. The company says that broadband ARPU has declined by Rs 10 in the current quarter to Rs 760 from Rs 770 in the previous quarter.

    Den’s Broadband Post Activation EBIDTA in Q3-2016 was negative Rs 16 crore as compared to the negative Rs 11 crore in Q3-2015 and negative Rs 20 crore in Q2-2016.

    Ortel’s broadband segment reported 16.3 per cent higher revenue at Rs 8.28 crore as compared to Rs 7.12 crore in the corresponding year ago quarter and 1.7 per cent more than the Rs 8.14 crore in Q2-2016. The broadband segment reported an operating profit of Rs 4.78 crore in the current quarter as compared to Rs 4.52 crore in Q3-2015 and 9.1 per cent higher than the Rs 438 crore in Q2-2016.

    Ortel’s broadband customers in the current quarter grew 16.2 per cent YoY to 67,709 as compared to 58,277 and grew 6.4 per cent QoQ as compared to 63,663. Broadband ARPU in Q3-2016 was higher at Rs 396, in Q3-2015 it was Rs 394 and in Rs Q2-2016 it was Rs 395.

  • Buoyed by performance, Siti Cable gets fresh promoter funding of Rs 530 crore

    Buoyed by performance, Siti Cable gets fresh promoter funding of Rs 530 crore

    NEW DELHI: Encouraged by the significant improvement in performance in Q3-FY16 when the company achieved financial turn-around for the first time by reporting Profit Before Tax of Rs 56 crore, the promoters of Siti Cable Network Limited have infused fresh funding amounting to Rs 530 crore.

    This forms the first tranche of the previously announced Rs 680 crore funding.

    As part of this Rs 530 crore capitalisation, Siti Cable board has allotted Rs 8.57 crore equity shares to promoter group entities. With this, the total promoter holdings in Siti Cable has now increased to ~69.8 per cent. 

    In addition, Rs 5.71 crore warrants and Rs 5.1 crore optionally fully convertible debentures (OFCD) were also issued to promoter group companies. This funding was recently approved at the company’s Extra-Ordinary General Meeting held in Mumbai on 4 February, 2016. These funds will be utilised primarily to reduce debt.

    Siti Cable currently has 12 million subscriber base, out of which 7.8 million are digital customers. Despite deferment of digitisation in various states, during the current quarter, the company has added one million digital customers.

    Speaking about this fresh fund infusion by promoter group entities, Siti Cable executive director and CEO V D Wadhwa said, “Promoter fund infusion of Rs 530 crore re-affirms Siti Cable’s growth story and our commitment to create sustainable value for all stake-holders. Continuous focus on operational excellence has led to Siti Cable achieving a financial turn-around in Q3FY16 for the first time in the history of the company.”

    “During the current unstable economic environment, this is a significant development in the industry wherein other players are looking to further divest their equity in the market, Siti Cable’s promoters have shown greater faith in the business and its growth potential by infusing funds at a premium to the current market price,” he added. 

    “We believe that the Indian television distribution industry is at the cusp of an important phase, where customer needs and demands will guide overall growth. At Siti Cable, we have already been taking huge strides to offer great value to customers and this fresh funding will go a long way in ensuring the same,” Wadhwa concluded.