Cable TV
Karnataka cable operators vote to ban Udaya channels
BANGALORE: The decision by the Sun Network to turn four of its local channels — three Kannada and one Telugu — into pay channels from 1 August is threatening to snowball into a major confrontation with the southern state’s cable operators.
Sun Network’s market leader Udaya TV, along with Udaya News and Ushe, became dearer by Rs 18 as of yesterday. Udaya TV became encrypted from 1 August while the other two channels were already running as encrypted feeds.
A state level meeting organized yesterday by the Karnataka State Cable Operators Welfare Association at Kumte (Shimoga) and attended by cable operators from all districts across Karnataka, passed two key resolutions — the first to ban Udaya channels across the entire state unless they were made free to air again, and the second was to strongly oppose conversion of any popular regional or any other free to air to a pay mode channel unless addressability via conditional access system (CAS) is implemented throughout the state.
As already reported by indiantelevision.com earlier, the Cable TV Operators’ Associations of Hassan, Chikamagalur and Shimoga districts have decided to ban all Udaya channels in protest against the decision of converting Udaya into a pay channel. They claim that it is a gross injustice to the Kannada-speaking people and to Kannada culture.
“This is just a ploy to extract more money from us”, says a subscriber. “When they come for collecting subscription, they’ll make us pay more if we want to watch the Udaya channels.”
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.
