Cable TV
NXTDIGITAL & Siti Networks ink industry-first pact for infra sharing
NEW DELHI: Hinduja Group’s Headend-in-the-Sky (HITS) platform NXTDIGITAL and multi-system operator (MSO) Siti Networks have inked a first-ever infrastructure sharing agreement in the MSO space in the country. The move, the first of its kind, will have two conventional competitors share infrastructure, heralding a new era of collaboration in the digital platforms space.
The potential market for such PaaS (Platform-as-a-Service) or infrastructure sharing services in India is estimated at over 60 million cable TV subscribers; connected to around 1,000 MSOs – largely independent or regional players, who often face such cost, connectivity and quality challenges.
NXTDIGITAL MD & CEO Vynsley Fernandes commented, “With significant investments in technology, our HITS platform was designed to facilitate MSOs deliver digital content across India. We’re happy that Siti Networks, India’s biggest and most progressive MSO, has chosen to work with us, sharing our infrastructure to deliver their services in markets where conventional connectivity remains a challenge. Our HITS PaaS solution, in line with the government’s support for our industry is the right step in this direction, helping MSOs save on connectivity costs whilst improving their quality of service; and we are sure this tie-up with Siti will be a landmark moment in the industry.”
This move is in line with Siti strategy of enhancing its operational efficiencies and providing high up-time and quality services to its customers across the country. Financially, this move will help Siti control its connectivity costs and deliver uninterrupted services to existing and new markets.
Siti will leverage the HITS infrastructure to deliver its signals to its local cable operators (LCOs), thus providing its services to semi-urban and rural subscribers while also expanding its footprint across the country through satellite. For this integration, NXTDIGITAL’s PaaS vertical has worked with Siti Networks’ existing set-top boxes to provide services with the HITS platform wherever required.
Siti Networks CEO Anil Malhotra said this infrastructure sharing initiative forms an integral part of the government’s digital India strategy and would help in the spread of other services like broadband to the last mile faster.
“Siti has been focusing on enhancing its operational efficiencies. With the government approving Infrastructure sharing in our domain, this tie-up with NXTDIGITAL is a natural progression and helps us overcome the difficulties of a terrestrial network in some markets through the HITS approach. Operational efficiencies, along with uninterrupted services, will help improve our customer experience. Both Siti and NXTDIGITAL have integrated the HITS infrastructure with Siti’s existing subscriber management and conditional access systems while ensuring that the existing capex is better sweated. Both teams have ensured all necessary testing and compliances. We do believe that evaluation of more such Infrastructure sharing,” he detailed
Through the PaaS model, NXT expects to see MSOs faced with challenges of rising connectivity costs and quality – transition to a robust and independent sustainable model with better quality of service.
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.
