Cable TV
Kolkata MSOs to meet Star officials on 30 Oct, again
KOLKATA: The cable TV industry is on its way to some major changes. While the industry got a shock, after Star India decided to provide its channels to multi system operators (MSOs) only on the basis of Reference Interconnect Offer (RIO), the immediate reaction that came was of increased prices of cable TV services.
The decision of Star to provide channels on RIO, led to MSOs in Kolkata requesting for a meeting with the broadcaster in order to re-consider the decision as well as for increasing the time frame for implementation of RIO deals.
The meeting which took place on 28 October saw Star India officials proposing their incentive scheme, which the broadcaster had announced on 27 October, to the platform operators in the state. The incentives, as earlier reported by indiantelevision.com will be based on three criteria: the number of channels the MSO takes, the number of subscribers it distributes the channel to and the ease of access that it provides to the consumers for the Star channels.
“We will decide on Star’s incentive scheme in the next two-three days. We will do all the permutation and combination and then take a call on whether we should go with the incentive scheme or opt for normal RIO,” said Siti Cable Kolkata director Suresh Sethiya.
The city based MSOs, who do not want to lose their subscriber base, are currently working on the various modules of the proposed incentive and will meet the Star officials again on 30 October, after thoroughly reading the new scheme internally.
Sethiya further said, “Star has a bouquet of channels and if a cable TV home in Kolkata, does not wish to watch Marathi channels, he may not pay for it. We are working on the price.”
Another city-based MSO on condition of anonymity said that Star has offered an incentive of around 60 per cent for its Hindi GEC Life OK, 9 per cent for Star Plus and 15 per cent for Star Jhalsa.
Star Network comprising Star Plus, Life OK, Star Jhalsa, Star Movies, Star Sports, National Geographic among others, could lose its viewers in Kolkata, if the MSOs fail to offer the channels at an attractive price. “The ground is not prepared for RIO rates. We will negotiate with Star on 30 October again,” said the MSO.
A local cable operator said that the customers are worried as they will have to pay a hefty price for cable TV services again in a short span of 10 months.
If the MSOs do not agree to the incentives being given by Star, based on the three conditions, the consumer could have to shell anywhere between Rs 35-40 for two Star channels, a source said adding that if the consumer wants more of the broadcasters’ channels they will definitely have to pay more.
With most MSOs removing the Star channels from the different packages and providing the same on a-la-carte, the prices of the package will go down by Rs 9, Rs 12 and Rs18 respectively for their different packages.
MUMBAI: When margins wobble, liquidity talks and in Q3 FY25-26, cash did most of the talking. Den Networks Limited closed the December quarter with consolidated revenue of Rs.251 crore, marginally higher than the previous quarter but down 4 per cent year-on-year, even as profitability stayed resilient on the back of strong cash reserves and disciplined cost control.
Subscription income softened to Rs.98 crore, slipping 3 per cent sequentially and 14 per cent from last year, while placement and marketing income offered some cheer, rising 15 per cent quarter-on-quarter to Rs.148 crore. Total costs climbed faster than revenue, up 7 per cent QoQ to Rs.238 crore, driven largely by higher content costs and operating expenses. As a result, EBITDA dropped sharply to Rs.13 crore from Rs.19 crore in Q2 and Rs.28 crore a year ago, pulling margins down to 5 per cent.
Yet, the bottom line refused to blink. Profit after tax stood at Rs.40 crore, up 15 per cent sequentially and only marginally lower than last year’s Rs.42 crore. A healthy Rs.57 crore in other income helped cushion operating pressure, keeping profit before tax at Rs.48 crore, broadly stable quarter-on-quarter despite the tougher cost environment.
The real headline-grabber, however, sits on the balance sheet. The company remains debt-free, with cash and cash equivalents swelling to Rs.3,279 crore as of December 31, 2025. Net worth rose to Rs.3,748 crore, while online collections accounted for 97 per cent of total receipts, underscoring strong cash discipline across operations, including subsidiaries.
In short, while Q3 showed signs of operating strain, the financial backbone remains solid. With zero gross debt, steady profits and a formidable cash war chest, the company enters the next quarter with flexibility firmly on its side proving that in uncertain markets, balance sheet strength can be the best growth strategy.
