Cable TV
Den Networks cable operations revenue up; broadband revenue doubles
BENGALURU: Indian multi system operator (MSO) Den Network reported 21.8 percent increase in operating revenue for its Cable distribution (cable) business for the year ended 31 March 2017 (FY-17) at Rs 1,075.54 crore as compared to Rs 883.24 crore in the previous year (FY-16). The company’s broadband internet revenue in FY-17 more than doubled to Rs 81.80 crore from Rs 39.80 crore in FY-16.
The company claims in its earnings release that Cable business EBIDTA increased to Rs 144 crore in FY-17 from Rs 18 crore in the previous year. The company’s EBIDTA in FY-17 doubled to Rs 254 crore from Rs 127 crore in FY-16. Broadband business EBIDTA reduced to a loss of Rs 10 crore versus a loss of Rs 66 crore in the previous year. Pre-activation EBIDTA in FY-17 grew to Rs 135 crore as compared to a loss of Rs 107 crore in FY-16.
Overall, Den Networks revenue increased 19.1 percent in fiscal 2017 to Rs 1198.26 crore from Rs 1,005.87 crore in the previous fiscal. Cable subscription revenue grew 33 percent to Rs 646 crore in FY-17 from Rs 487 crore in FY-16. Den Networks reported a lower net loss of Rs 189.57 crore in FY-17 as compared to a loss of Rs 431.30 crore in the previous year.
The company says that it has focused largely on cash collections during the year which has brought down the net debt of the company to Rs. 181 crores as at March 31, 2017, thereby deleveraging its balance sheet.
Den Networks CEO SN Sharma said, “The cable subscription revenues grew by 33 percent in the current financial year and contributed to the financial turnaround for the company. The EBITDA for DAS I has grown from 23 percent to 30 percent and the EBITDA for DAS II has grown from 11 percent to 18 percent this year. The company continues to focus on core businesses, while preparing for HD Box deployment, cost optimization and technology up gradation to enhance consumer experience and improve operational efficiency.”
Let us look at the other numbers reported by Den Network
Den’s total expenses in FY-17 reduced 1.8 percent to Rs 1,321.19 crore from Rs 1,344.83 crore in FY-16. Content Costs in FY-17 was almost flat at Rs 473.28 crore as compared to Rs 473.22 crore in the previous year. Placement fees costs in FY-17 reduced 6.2 percent to Rs 50.20 crore from Rs 53.50 crore in FY-16.
Employee Benefits Expense in FY-17 was also almost flat (increased 0.3 percent) to Rs 123.37 crore from Rs 123.01 crore in the previous year. Other Expenses in fiscal 2017 declined 19.1 percent to Rs 331.68 crore from Rs 409.91 crore in fiscal 2016.
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.
