Cable TV

Siti Networks' operating profit more than doubles in first quarter

BENGALURU:  The Subhash Chandra led Essel group’s television cable network company Siti Networks Limited (Siti) reported EBIDTA including other income or operating profit of Rs 1,071.65 million (28.9 percent of Total Income) for the quarter ended 30 June 2017 (Q1-18, current quarter). The company’s operating profit for the current quarter was more than double (up 2.26 times) the Rs 474.09 million (16.5 percent of Total Income) the company had reported for the corresponding year ago quarter (y-o-y) and 54.2 percent higher than the Rs 694.88 million (20.6 percent of Total Income) reported for the immediate trailing quarter Q4-17 (q-o-q).

Consequently, the company reported a lower total comprehensible loss in the current quarter at Rs 151.32 million, which was a little less than one third (1/2.87 times) the total comprehensible loss of Rs 435.26 million in Q1-17 and less than a fourth (1/4.26 times) the total comprehensible loss of Rs 647.16 million in Q4-17.

Siti’s total income for Q1-18 was 29.4 percent higher y-o-y at Rs 3,711.13 million as compared to Rs 2,868.82 and 10.1 percent higher q-o-q as compared to Rs 3,370.46 million. Revenue from operations increased 29.4 percent y-o-y to Rs 3,649.57 million from Rs 2,819.67 million and increased 12.1 percent q-o-q from Rs 3,255.18 million.

Breakup of revenue

Siti’s subscription revenue in the current quarter increased 34.6 percent y-o-y to Rs 1,700 million from Rs 1,263 million and increased 6.3 percent q-o-q from Rs 1,600 million. Carriage revenue in the current quarter increased 6.3 percent y-o-y to Rs 765 million from Rs 720 million, but declined 4.1 percent q-o-q from Rs 798 million. Activation revenue in Q1-18 more than doubled (increased 2.32 times) y-o-y to Rs 849 million from Rs 366 million and was 75.4 percent more q-o-q than Rs 484 million. Broadband internet revenue for Q1-18 increased 32.3 percent y-o-y to Rs 258 million from Rs 195 million, but declined 3 percent q-o-q from Rs 266 million.

Subscription numbers

The company says that it deployed more than 1.6 million set top boxes during the quarter in West Bengal, Haryana, Andhra Pradesh and Telengana, primarily in Phase 4 areas. It says that its digital video base was about 11.6 million at the exit of June 2017 and that prepaid migration is on track with 1.16 million subscribers across 134 locations brought under its ambit by August 2017. Siti says that during the year 0.05 million of its customers adopted HD services taking the total HD customer base to 0.22 million by exit Q1-18.

Siti’s broadband internet subscriber base increased by approximately 12,000 to 0.24 million in Q1-18 from 0.228 million in the immediate trailing quarter. The company says that as a strategy it increased focus on higher 'Lock-in' broadband internet plans in Q1-18. About 40 percent of its acquisitions are now coming on longer duration plans. Siti says that it is targeting to take this figure to over 50 percent in Q2-18.

Company speak

Siti executive director Sidharth Balakrishna said, ““SITI continues to hold a strong position in the market with record customer additions.We are well positioned to monetize this base from Q2 onwards and maintain a strong growth trajectory. In Broadband, we will selectively expand our offerings and drive increased customer focus. We are also making significant efforts to strengthen processes and optimise costs going forward, while also enhancing customer offerings. This along with a focus on certain revenue streams could potentially provide upsides going forward”

Let us look at the other numbers reported by Siti

Consolidated Total Expenditure increased 14.1 percent y-o-y to Rs 3,696.52 million (99.6 percent of Total Income) in Q1-16 from Rs 3,238.75 million (112.9 percent of Total Income) in Q1-18 and increased 0.4 percent q-o-q from Rs 3.680.87 million (109.2 percent of Total Income).

Consolidated Employee Benefit Expense increased 22.6 percent y-o-y to Rs 234.46 million (6.3 percent of Total Income) in the current quarter from Rs 191.22 million (6.7 percent of Total Income) million but declined 3.9 percent q-o-q from Rs 243.97 million (7.2 percent of Total Income).

Consolidated Carriage sharing, pay channel and related costs in Q1-18 increased 5.1 percent y-o-y to Rs 1,560.55 million (42.1 percent of Total Income) from Rs 1,484.36.36 million (51.7 percent of Total Income) but declined 3 percent q-o-q from Rs 1,608/94 million (47.7 percent of Total Income).

Consolidated Finance costs in the current quarter increased 11.6 percent y-o-y to Rs 331.03 million (8.9 percent of Total Income) from Rs 296.71 million (10.3 percent of Total Income), but declined 2.1 percent q-o-q from Rs 338..02 million (10 percent of Total Income).

Consolidated Other expenses increased 30.7 percent y-o-y to Rs 841.78 million (22.7 percent of Total Income) in Q1-18 from Rs 643.83 million (22.4 percent of Total Income) and increased 11.2 percent q-o-q from Rs 757.12 million (22.5 percent of Total Income).

Also Read :

Rajesh Sethi re-designated chief  biz transformation officer of Siti Networks

Rajesh Sethi succeeds Wadhwa as ED & CEO of SITI Networks

SPN India-SITI Networks dispute: TDSAT directs SITI to sign SPN RIO agreement (updated)

Latest Reads

http://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2019/05/10/IMCL_0.jpg?itok=JcAP8LMK
IndusInd Media reports improved results for fiscal 2019, to be PAT positive in FY 2020

BENGALURU: Hinduja Ventures Ltd (HVL) reported higher revenue from operation and lower losses for its digital platform operator subsidy and media and entertainment segment IndusInd Media & Communications Ltd (IndusInd Media, IMCL) for the year ended 31 March 2019 (FY 2019, year under review) as...

Cable TV Multi System Operators
http://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2019/05/06/GTPL.jpg?itok=1_zcC4Yj
GTPL Hathway eyes 20-25% growth in broadband subscribers in FY20

Cable TV service providers are envisioning a future where broadband plays a major role and GTPL Hathway is also one of them. After a mild setback received from the new TRAI tariff order (NTO) implementation, the company is back on track to focus on the broadband sector in FY20.

Cable TV Multi System Operators
http://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2019/05/03/a.jpg?itok=a5dbWK_M
Asianet launches 4K UHD hybrid STB

Asianet Digital Network Pvt Ltd launched Asianet Smart Magic Box, a hybrid set top box (STB) making it the first MSO in the country to launch a 4K UHD hybrid STB, powered by Android TV on April 29 2019. The company is also bringing to the market Asianet LED TV - television sets with SD, full HD and...

Cable TV Multi System Operators
http://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2019/05/03/gt.jpg?itok=KYv7sOYI
TRAI tariff order implementation to increase GTPL Hathway's subscription revenue, EBITDA

Despite experiencing a troubled quarter due to the implementation of the new TRAI tariff order (NTO), cable TV and broadband service provider GTPL Hathway is optimistically looking at the transformation. Even as small multi system operators (MSOs) are figuring out the new regulatory framework, GTPL...

Cable TV Multi System Operators
http://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2019/04/18/Siti_Networks.jpg?itok=IE4VtCze
Siti Networks responds to TRAI directive to comply with new tariff order

Leading multi system operator (MSO) Siti Networks on Wednesday issued a clarification, a day after the directive from Telecom Regulatory Authority of India (TRAI) to it and other distribution platform operators (DPOs) to abide by all the norms of the new tariff order within five days.

Cable TV Multi System Operators
http://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2019/04/17/den.jpg?itok=gw_i99K7
Den reports lower broadband, placement and activation income for FY2019

After the roll in of the Jio juggernaut, things have never been the same for the Indian broadband internet services industry.  It’s déjà vu - Den Networks Ltd (Den) reported lower subscription numbers for its fixed broadband business for the quarter and year ended 31 March 2019 (Q4 2019, FY 2019,...

Cable TV Multi System Operators
http://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2019/04/16/hathway.jpg?itok=lC9XxIEW
Exceptional items pull down Hathway Cable numbers for FY2019

Hathway Cable and Datacom Ltd’s (Hathway Cable) says that the new Telecom Regulatory Authority of India (TRAI) tariff order (NTO), which came into effect during the fourth quarter of 2019 resulted in changes in pricing mechanism and arrangements amongst the company, LCOs and broadcasters as well as...

Cable TV Multi System Operators
http://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2019/04/01/sn-sharma01.jpg?itok=5iccmGVq
Den Networks CEO SN Sharma takes over from Hathway’s Rajan Gupta as AIDCF president

All India Digital Cable Federation (AIDCF), the apex body of digital cable television players, announces the appointment of Mr. S N Sharma (CEO – Den Networks Limited) as the new President of the Federation with effect from 1st April 2019 post expiration of term of Mr. Rajan Gupta – current...

Cable TV People
http://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2019/03/09/kerala.jpg?itok=sAb2H5Tl
Kerala Vision partners Y&A Transformation for new revenue streams

After establishing itself in Kerala with 24 lakh TV homes, Kerala Vision Cable (KV) is looking to expand its revenue streams.

Cable TV Multi System Operators

Latest News

Load More

Sign up for our Newsletter

subscribe for latest stories