Cable TV
Arasu says MIB can’t enforce analogue switchoff in Chennai on 31 Dec ’16
MUMBAI: Digital addressable system (DAS) or digitisation of India cable TV could well see a further slowdown if the Tamil Nadu Arasu Cable TV Corporation Ltd (TACTV) has its way. The government-owned Chennai-based MSO has written to the information and broadcasting ministry (MIB) saying that its order to broadcasters to shut off analogue signals by 31 December 2016 cannot be adhered to for the city.
The reason: the Madras High Court has yet to pass judgment on TACTV’s litigation with the MIB and the Telecom Regulatory Authority of India on the applicability of DAS regulations in Chennai and on the issue of a DAS licence to it.
TACTV had earlier applied to the MIB for a DAS licence but not met with any success as both it and the TRAI believe that distribution of television via cable TV should be kept out of the purview of government owned undertakings, which the former is.
Following the rejection of its application, the cable TV MSO had approached the Madras High Court through two writ petitions bearing nos. 7067/2013 and 7068/2013. Both had sought direction to the MIB to process its DAS licence applications dated 5 July 2012, and 23 November 2012. But both are pending before the court.
The Madras High Court had then passed a restraining order on writ petitions 34213/2013 and 40365 of 2015, disallowing the disconnection of analogue TV signals in Chennai.
TACTV says that if broadcasters heed the 31 December 2016 analogue signal switch off notification sent by the MIB to them, it would tantamount to contempt of court and could attract proceedings in that direction.
The cable TV MSO says that the “MIB had itself admitted as much in a counter affidavit dated November 18, 2013 filed before the Telecom Disputes Settlement and Appellate Tribunal (TDSAT).”
TRAI had through a press release on 10 December 2013 termed the transmission of analogue signals in Chennai as illegal and had tried to restrain TACTV from transmitting the same.
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.
