Technology

Dish TV Q2 Ebidta flat on rise in selling expenses

Mumbai: Subhash Chandra-owned direct-to-home television services provider Dish TV on Thursday reported a flat operating profit in the second quarter ended 30 September from a quarter earlier as fall in content costs was offset by a sharp rise in selling and distribution expenses other than commission.


Dish TV‘s Ebitda in the second quarter was Rs 1.55 billion, the same as in the first quarter but up 18.3 per cent from a year earlier. Ebitda margin for the second quarter was 29.2 per cent, at the same level as in the previous quarter.


The DTH service provider‘s average revenue per user (ARPU) was up by Rs 3 to Rs 159 in the second quarter compared to the previous quarter, following an increase in prices. This was reflected in a robust 4.73 per cent rise in subscription revenues in the second quarter to Rs 4.72 billion from Rs 4.55 billion a quarter earlier.


Dish TV managing director Jawahar Goel said, "In line with our expectation, the price hike initiated in the last quarter flowed through partially to deliver an encouraging ARPU increase."


Its programming and content costs was down to Rs 1.42 billion from Rs 1.51 billion in the first quarter but selling and distribution expenses other than commission rose 31 per cent to Rs 396.1 million in the second quarter from Rs 302.8 million a quarter earlier.


An exceptional gain of Rs 764 million in the second quarter resulted in Dish TV reporting a net profit of Rs 551 million, against a loss of Rs 323.2 million in the previous quarter. The exceptional gain was on account of a change in the accounting treatment of fluctuation in foreign currency rates following a clarification from the Ministry of Corporate Affairs.


Despite the push towards digitisation in the key markets of Mumbai, Delhi, Chennai and Kolkata from 1 November, Dish TV added only 477,000 new subscribers in the second quarter against 504,000 in the first quarter. The total number of subscribers of Dish TV as on 30 September was 13.9 million, of which 10 million were active subscribers.


Dish TV Q2 Performance:



































Particulars

Quarter-ended
Unaudited


30.09.2012

30.06.2012
Total income from operations (net)
53,362

51,996
Total expenses
53,126

51,557
Finance costs
3,172

5,722
Profit / (loss) from ordinary activities after finance costs but before exceptional items
(2,133)

(3,232)
Exceptional items
7,643

-
Net profit / (loss) for the period
5,510

(3,232)
Goel said, "The second quarter took off sluggishly, largely due to the macro headwinds and price hike at the entry level, however, our sound strategy and efficient on ground execution enabled a pickup in additions post the first month. Our launch of ‘Dish+‘, India‘s first standard definition recorder, helped us differentiate and attract consumer interest in a crowded market."

"In terms of digital conversions, despite regular data on steady growth in digital deployment flowing in, on ground implementation remains lukewarm and nowhere close to numbers doing the rounds. However, with the government sending firm signals against extension of the analog sunset date, we continue to target reasonable subscriber uptake going forward," he added.


Dish TV‘s total revenues in the second quarter at Rs 5.33 billion were up 2.56 per cent quarter-on-quarter up 2.56% and up 10 per cent from a year earlier.


Goel said "Dish TV continued to be free cash flow positive for the third consecutive quarter. Cost line items remained as projected; an expected hike in marketing cost came in due to additional spends around digitisation."


Subscriber churn remained at 1 per cent per month despite the package price increase last quarter," he added.

Latest Reads

http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2016/11/17/Rahul%20Nehra.jpg?itok=mP6RbVf2
Friend MTS-Castle Media to tackle Bollywood's digital piracy using unique watermark tech

MUMBAI: Piracy is a serious challenge to the entertainment industry in India. In fact, according to the Motion Pictures Distributors Association of India (MPDA), India country is infamous for having one of the highest rate of video piracy in the world. Lack of stringent IP protection laws to...

Technology Software Applications
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2016/11/11/set-top-box-800x800.jpg?itok=pz9wqMdr
India poised to emerge as lucrative market for UHD STBs

The growing inclination of people towards ultra-high definition video viewing can be attributed as a major reason for the 4K Set-Top Box’s (STB) market growth. According to a report by Grand View research, the global 4K STB market size is projected to reach US$7.18 billion by 2024.

Technology Hardware Set-top Boxes
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2016/11/01/Reliance-Jio-800x800_1.jpg?itok=Z9RZ3iGr
Reliance Jio to launch Android powered 4K STBs

Enjoying huge waves of success, Reliance Jio, within few months of its launch, plans to launch Android powered set-top boxes (STBs) in India. Following its idea of providing free 4G internet, this is believed to be Jio's second step in building their envisioned Digital Ecosystem in India.

Technology Hardware Set-top Boxes
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2016/10/25/bi-800x800_0.jpg?itok=tfaGWUVv
Highly-beneficial interactions take place at Broadcast India '16

The 26th Broadcast India Show concluded over the weekend in Mumbai, and was easily the most exciting Broadcast India Show yet. With thousands of eager, high-quality trade visitors swarming the show floor, a sentiment signalling highly-beneficial exchanges and interactions echoed through the halls...

Technology Software Applications
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2016/09/23/Untitled-1_28.jpg?itok=sUqa1jZF
India, China to propel APAC, beat CAS Europe market share

APAC is expected to overtake the market share of Europe in future due to an increasing demand for digital TV set-up boxes in countries such as China and India. North America and Europe dominated the global CAS market in 2015. APAC region is estimated to mark a growth rate of 12.0 per cent CAGR...

Technology Hardware Set-top Boxes
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2016/09/23/Untitled-1.jpg?itok=I_5UAd8p
India lucrative market for 4K UHD STBs: Grand View Research

Here’s a view on the demand for 4K or ultra high definition (UHD) set-top boxes (STBs) in India.

Technology Hardware Set-top Boxes
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2016/09/19/Untitled-1_0.jpg?itok=Op9PJAk4
Infor appoints Dass as south Asian subcontinent V-P

Infor, a leading provider of business applications specialized by industry and built for the cloud, has appointed Ashish Dass as the vice president and managing director for the south Asian subcontinent. Infor software helps eliminate the need for costly customization through embedded deep...

Technology Software Applications
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2016/09/06/Untitled-1_12.jpg?itok=gePFFzBo
Siti & DishTV opt for Conax conditional access

The Essel group has been using Conax’s tech for sometime now for its Siti Network (earlier known as Siti Cable). Now the group has extended that partnership for another product for both Siti Network and DTH operator Dish TV India. This time it is for the cardless set top boxes that the two are...

Technology Hardware Set-top Boxes
http://www.indiantelevision.com/sites/drupal7.indiantelevision.co.in/files/styles/340x340/public/images/tv-images/2016/09/06/Imagine%20Communications.jpg?itok=hHV0BPjB
Imagine Communications extends functionality of Selenio One unified transcoding platform to OTT

MUMBAI: Imagine Communications, empowering the media and entertainment industry through transformative innovation, today introduced a high-density adaptive bitrate (ABR) transcoding product built on Selenio One™, the company’s software-defined linear transcoding platform. Selenio One is designed...

Technology Hardware Components

Latest News

Load More

Sign up for our Newsletter

subscribe for latest stories