Cable TV
Karnataka cable ops association opposes NGN migration
BANGALORE: Several cable operators in Karnataka are against migration to Next Generation Networks (NGN) as they fear it will threaten their business.
According to Karnataka State Cable Operators Association (KSCOA) spokesperson MVM Srikanta Dutta, the government had other important isues like healthcare and road facilities to look at than migration to NGN. Issuing a statement on behalf of the KSCOA at the TRAI (Telecom Regulatory Authority of India) open house today on its consultation paper pertaining to NGN, Dutta said the association was opposed to the migration.
NGN is essentially an IP based network that enables any category of customers (residential, corporate or wholesale) to receive a wide range of services (voice, video, data etc.) over the same network. IP access is enabled across a wide range of broadband technologies, both wireless (3G, WiFi, WiMax etc.) and wireline (copper DSL, cable, fibre, power lines etc.). In NGN, the service layer is independent of the underlying network. A whole range of third party service providers, thus, can offer services to customers and the customer is not bound to take all services from only the access provider.
The Trai panel, consisting of Dr. Devendra P S Seth, Satya N Gupta, Dr. S K Haleja and Rakesh Kacker, spoke of the benefits that NGN would bring in to the rural areas, adding that probably some sections had probably not understood the significance of it. They cited an example of a cable operator who had adopted NGN and benefited greatly in Andhra Pradesh.
Karnataka Consumer Care Society spokesperson Gundu Rao (ex- acting CMD of VSNL) echoed these views, suggesting that efforts should be made to educate the concerned parties and the consumers to understand the benefits of such issues.
Many cable operators were not convinced. Speaking on condition of anonymity, a cable operator said the sector was feeling insecured from new technologies such as direct-to-home (DTH), IPTV and mobile TV.
The other major issues discussed on NGN were (1) The relevance and timing for transition (2) Regulatory approaches (3) Migration and (4) Technical issues.
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.
