Cable TV
Mumbai cable ops ignore shutdown call
MUMBAI: In a reflection of the deep divisions among cable operators and control room owners, a call for a shutdown in Mumbai to protest against the ongoing drive in the western state of Maharashtra to collect entertainment tax arrears was largely ignored in the city.
The call was given by the newly formed Union of Cable Operators and Cable Room Owners (UCOCRO), after a marathon meeting on Tuesday.
The attempt of UCOCRO to bring cable operators under one umbrella has clearly failed and few operators seem to buy the argument that the way to protest against the recent directive from the government to get tough on defaulting operators is through a united shutdown.
The matter has been hanging fire for over six months following the doubling of entertainment tax per connection per month from Rs 15 to RS 30 in municipal areas and from RS 10 to RS 20 in other parts of the state. It may be recalled that operators went on strike over the issue in August 2000 after which a committee representing operators, the government and consumers was set up to resolve the issue.
The fractious nature of cable industry can be seen from the email sent to us by a leading Mumbai cable operator in response to the report on the strike call posted on Tuesday:
“Do not put false and stupid statements about the cable TV industry, [total band(h) in Maharashtra]. If Atul Sharaf says there will be no transmission in Maharashtra, can he shut off his own network? Leave the whole maharashtra, and you unnecessarily put (out) a false statement.
“Just because of the few people who want to be leaders they do all this nonsense. Any sensible businessmen will not go for it. If the government imposes taxes it has to pass it on to (the) subscriber. Band(h) is not the solution. As it is operators are not paying 100 per cent tax of their subscriber but on the increase they can increase on their total subscriber base.
“You said there will be total band(h) on Tuesday midnight. All wrong and bullshit.”
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.
