Dish TV announces second quarter fiscal results for 2016

The direct-to-home company has added 259,000 net subscribers and the net profit for the quarter is Rs 701 million

BestMediaInfo Bureau | Mumbai| October 31, 2016

Dish TV India Limited has announced the second quarter fiscal results for 2016. Consolidated subscription revenues at Rs 7,288 million are up by 11.9 per cent year-on-year and operating revenues at Rs 7,793 million are up by 9.6 per cent year-on-year.

EBITDA for the quarter stood at Rs 2,642 million compared to Rs 2,550 million in the corresponding quarter last fiscal. EBITDA margin stood at 33.9 per cent. Profit after tax was Rs 701 million.

The direct-to-home company has added 259,000 net subscribers during the quarter, closing the net subscriber base of 15.1 million.

Jawahar Goel

Elaborating on how the second quarter of the fiscal is usually not the best for the DTH industry, Jawahar Goel, CMD, Dish TV, said, “Torrential rains in many parts of the country often force consumers to defer buying a new DTH connection while the existing ones may delay recharging if the going gets too tough. Both sales and recharge, however, normalise subsequently if the festival season hits early. Targeting phase 3 and 4 markets, our subscriber additions during the quarter remained in-line with expectations.”

Expressing his views on the regulatory developments, Goel said, “While the draft regulations have been formulated with an intention of subscriber welfare, there are certain omissions, optimistic presumptions as well as unanswered questions that would hopefully be addressed once the final orders see the light of the day. We appreciate the spirit of transparency and non-discrimination that have been the guiding force behind these draft orders and hope that DTH would soon get the level playing field that it has been seeking. Restrictions placed on carriage fees should go a long way in correcting the industry macro environment.”

“We continue to remain positive about other regulatory interventions including the proposed new license regime for the DTH sector and the impending nationwide roll-out of Goods and Services Tax (GST). The centre proposing 12 per cent and 18 per cent as the standard rates for majority of the taxable goods is a welcome step,” he added.

During the quarter, Dish TV added 32 new educational channels launched by the Ministry of Human Resource Development on its platform. These channels have been started to disseminate high quality educational content throughout the country and would be available to subscribers on the Dish TV and Zing platforms.

Discussing the results, Goel added, “Healthy subscriber additions led to an 11.9 per cent year-on-year growth in subscription revenues. EBITDA margin was 33.9 per cent. Net profit for the quarter was Rs 701 million and positive free cash flow was Rs 791 million.”

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