Airtel Digital TV operating revenue up as bottom line dips for first quarter

Digital TV Operating revenue grew 0.8%, operating profit declined 23.5%


BENGALURU: The digital TV services segment from Sunil Mittal’s Bharti Airtel Ltd (Airtel), Airtel Digital TV, which provides direct to home (DTH) satellite television services, reported growth of 0.8 percent in operating revenue at Rs 744.8 crore for the quarter ended 30 June 2020 (Q1 2020, quarter or period under review) as compared to Rs 738.9 crore for the corresponding quarter of the previous year Q1 2019 (y-o-y). However, this is not a true oranges-oranges comparison, since as of 1 March 2020, Airtel Digital TV services has implemented new guidelines of NCF (Network Carriage Fees) under the new tariff order (NTO) from Telecom Regulatory Authority of India (TRAI). The company says in a media release that Airtel Digital TV revenue witnessed a growth of 9.3 percent y-o-y on an underlying basis, on the back of strong customer additions.

Airtel Digital TV operating profit for the quarter under review declined 23.5 percent to Rs 276.2 crore (37.1 percent of operating revenue) as compared to Rs 361.2 crore (48.9 percent of operating revenue) for Q1 2020. Airtel reported 1.3 percent growth in Assets to Rs 3,462 crore for Q1 2021 from Rs 3,417.4 crore in Q1 2020. However, Assets in Q1 2021 were 12.9 percent lower than the Rs 3,794.9 crore in the immediate trailing quarter (Q4 2020). The segment’s liabilities for Q1 2021 grew 11.6 percent to Rs 4000.5 crore from Rs 3,585.2 crore in Q1 2020. Liabilities in the quarter under review were however 3 percent lower than the Rs 4,122.4 crore in the immediate trailing quarter Q4 2020.

The company reported a 5.1 percent y-o-y increase in net DTH subscribers in Q1 2021 at 1.68 crore as compared to 1.6 crore in the corresponding quarter of the previous year.

Bharti Airtel’s consolidated revenue for Q1 2021 grew 15.4 percent on an underlying basis to Rs 23,939 crore as compared to the year ago quarter. Consolidated EBIDTA for the quarter under review was Rs 10,639 crore (44.4 percent margin). India revenue at Rs 17,589 crore were up 14.6 percent and up 15.1 percent on an underlying basis y-o-y.

An earnings media release for Q1 2021 quotes Airtel MD and CEO, India & South Asia Gopal Vittal: “We are going through an unprecedented crisis caused by COVID. Despite this, our teams have served the country well and kept our customers connected. Data traffic growth surged by ~73 percent y-o-y even as 4G net additions slowed down to 2 Million caused by supply chain shocks in the device ecosystem. Revenues grew by 15% Y-o-Y and performance was satisfactory across all segments. Our flagship “War on Waste” program, helped improve EBITDA margin by 1.6 percent over the previous quarter. To serve our customers even better, we have launched a company-wide program to improve our customer experience. We continue to invest in the best of emerging technologies to make our networks future ready. We have made rapid strides in our digital business, with nearly 155 million monthly active users across Airtel Thanks, Wynk, Xstream and our payments platforms. Today, 60 percent of Airtel’s entire business goes through its digital channels. We are most excited about the string of partners we are attracting in order to build greater stickiness and ultimately growth from our digital assets.”

Follow Tellychakkar for the consumer facing news & entertainment

Latest Reads

Tata Sky Binge+ becomes available at lower price

KOLKATA: Keeping customer interests at the forefront, Tata Sky has further fine-tuned the pricing of its android TV-powered smart set top box, Tata Sky Binge+. Converging the strengths of DTH and the world of OTT content together on the television screens, this new age device will now be available...

DTH DTH Operator
Active DTH subscribers reach 70.26 million, Tata Sky solidifies its lead

KOLKATA: The Telecom Regulatory Authority of India (TRAI) today released ‘The Indian Telecom Services Performance Indicators’ data for the January- March’20 quarter. Sustaining its growth pace for three quarters in a row, Tata Sky has solidified its lead yet again in the DTH and Pay TV category...

DTH DTH Operator
Dish TV to push 50% STB manufacturing in India

KOLKATA: Dish TV India Ltd announced the manufacturing of its set-top boxes in India. Demonstrating its commitment to the government’s ‘Make in India’ vision, Dish TV India has shifted the production of its set-top boxes to India, adopting a ‘vocal for local’ strategy. The first consignment of made...

DTH DTH Operator
Watcho revamps its user-generated content offering; launches Watcho Swag

KOLKATA: Dish TV India’s OTT platform, Watcho, the home-grown online video streaming app has gained immense popularity in the country through its fresh short format content and its overall bouquet of offerings. Watcho has been enthralling the viewers with exclusive or original shows, linear TV and...

DTH DTH Operator
Tata Sky partners with Accedo to develop the user interface of Tata Sky Binge+

KOLKATA: Accedo has worked with Tata Sky, India’s leading content distribution platform to develop the user interface for its latest offering, Tata Sky Binge+ Smart Set-top Box. The Android TV enabled device provides content from Linear Television and a host of OTT apps onto a television screen.  

DTH DTH Operator
DD Free Dish adds three new channels

KOLKATA: The state broadcaster run free-to-air DTH platform DD Free Dish has added three new channels. These include ANB News, Aryan TV National and News India 24×7. These channels won the bid during the 47th e-auctions that was held on 26 August. They are allotted slots for the period between 1...

DTH DTH Operator
Tata Sky’s partner Technicolor to shift settop box manufacturing to India

KOLKATA:  In a big move, Tata Sky, India’s direct-to-home (DTH) operator has decided to shift a significant portion of its settop box sourcing within the country. It has partnered with Technicolor to develop settop boxes for the Indian market that will be manufactured and distributed within India...

DTH DTH Operator
DishTV and D2H expand regional HD content portfolio, add 6 new HD channels

KOLKATA: Expanding its portfolio of regional language channels, Dish TV India Limited, India’s leading DTH Company, has announced the addition of six new HD channels to its DishTV and D2H platforms. With this, the company aims to provide unparalleled entertainment to the customers in the southern...

DTH DTH Operator
Customers are in an omnichannel world now, reaching them is a lot more complex: Tata Sky's Anurag Kumar

India’s undisputed DTH leader Tata Sky unveiled a digital campaign to celebrate its 14 anniversary recently. Of all other usual campaigns, it stands out in its approach of keeping consumers at the heart of the video.

DTH DTH Operator

Sign up for our Newsletter

subscribe for latest stories

* indicates required