Cable TV
One Alliance to amend petition in cable disconnect case
MUMBAI: The Delhi high court today allowed Discovery-Sony joint venture One Alliance to file an amended writ petition in a case relating to a sector regulator directive on restoration of signals to a cable operator in Allahabad.
Earlier this year, One Alliance had moved the high court challenging the Telecom Regulatory Authority of India (Trai)’s jurisdiction over contractual matters. This follows Trai’s directive to Sony Discovery to restore signals to a defaulting cable operator without proper notice.
One Alliance had alleged that the `defaulting’ cable operator had run up unpaid dues running over Rs. 400,000, which had been contested by the service provider concerned, 3 Star Communications.
While, accepting One Alliance’s plea, a two-judge bench today gave the petitioner one week to amend its petition. It also directed that the respondents, Trai, Allahabad cable operator 3 Star Communications and the Union of India, could file a reply to the amended petition within four weeks.
After the petition has been amended and counter affidavit filed, the high court has set 6 September as the next date for hearing of the case.
After One Alliance disconnected the signals to 3 Star Communications, the cable service provider moved appealed to Trai, sating its inter-connect regulations were being violated.
When the regulator directed One Alliance to restore the signals, it moved the high court pleading that Trai does not have jurisdiction over commercial deals being carried out by it as it was not a service provider.
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.
