Cable TV
Kal Cables breathes a sigh of relief
MUMBAI: Sun Group owned Kal Cables has finally won the battle it had set out for, after the Information and Broadcasting Ministry (I&B) cancelled the licence of the multi system operator (MSO).
Quashing the cancellation of provisional licence, Justice V Ramasubramanian said that the I&B had not issued any show-cause notice, before cancelling the permit. He also said that the MSO should be given another chance to respond, post which the I&B Ministry can take suitable action.
The Kalanidhi Maran owned Kal Cables had opposed the 20 August order, saying that it is just a MSO and not a channel. And if the I&B had issued a notice, it would have cleared the doubts.
The court has agreed that Kal Cables is not a broadcaster, but a distributor. And so any cancellation based on security reasons, is applicable on the broadcaster and not the MSO.
It was on 20 August, that the I&B ordered cancellation of the provisional licence, giving the MSO, 15 days to wind up its business. After this, Kal Cables approached the court to first put a stay on the order and finally quashing it and also directing the Centre to give a permanent registration to continue its operations.
The MSO was given a permanent licence to operate in Chennai in June 2012, while a provisional licence was given to operate in DAS notified areas in phase II cities in March 2013.
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.
