News Broadcasting
Scientific-Atlanta 3QFY03 earnings at $26.8m
ATLANTA: Scientific-Atlanta, Inc reported third quarter earnings of $26.8 million, or $0.18 per share, on sales of $382.6 million. Third quarter earnings declined $17.0 million, or 39 per cent from the comparable period of the prior year, when earnings were $43.8 million, or $0.28 per share. Compared to the preceding quarter, earnings increased by $11.7 million, or 77 per cent.
The company claims to be a leading supplier of transmission networks for broadband access to the home, digital interactive set-tops and subscriber systems designed for video, high-speed Internet, and voice over IP (VoIP) networks, and worldwide customer service and support.
During the quarter, the company recorded a pre-tax charge of $3.6 million related to previously announced restructurings; and pre-tax charges of $6.9 million associated with the mark-to-market adjustments of various equity investments. The after-tax impact of these items was $6.9 million, or $0.04 per share.
Summarizing the third quarter results, chairman and CEO Jim McDonald elaborated: “We had another good quarter in an environment that remains mixed. The increased acceptance by our customers of new products in the past several quarters reinforces our belief that innovation continues to be an important driving force in the cable industry. We intend to continue to be an innovation leader in the industry; and amid the current economic and industry uncertainty, we intend to maintain our focus on execution.”
Other highlights
A press release states that Scientific-Atlanta sold 929 thousand Explorer digital set-tops, including 106 thousand Explorer 8000 home entertainment servers and 54 thousand high-definition (HD) set-tops. In total, set-tops with digital video recording (DVR) capabilities, HD capabilities, or integrated DOCSIS cable modems constituted more than 50 per cent of set-top shipments.
The release adds that Scientific-Atlanta continues to expand its high-speed data product line and add new features to existing products. In the quarter, the DPX2100 cable modem received DOCSIS 2.0 certification. The company sold 171 thousand WebSTAR(tm) cable modems in the third quarter.
The release also adds that digital technology also is continuing to change the way content is delivered to cable headends. In the past several weeks, the company announced that four cable networks have chosen Scientific-Atlanta’s PowerVu® digital technology for programme distribution. These include Turner Broadcasting System, Inc., Lifetime Television, The Outdoor Channel, and A&E Television Networks.
Bookings
The release states that third quarter bookings were $339.9 million, a decrease of $149.7 million, or 31 per cent, from last year’s third quarter. Compared to the preceding quarter, bookings increased slightly. Results in the preceding quarter included a $19.0 million de-booking related to the termination of a contract with ish, a cable operator in Germany.
Compared with the same quarter last year, bookings of subscriber products declined by 26 per cent to $214.8 million. Subscriber product bookings declined by 14 per cent sequentially. Bookings of transmission products declined by 43 per cent from last year’s third quarter to $101.7 million.
On a sequential basis, bookings of transmission products increased by 57 per cent, partially as a result of the $19.0 million de-booking related to the ish settlement in the preceding quarter. Satellite product bookings of $23.5 million were slightly higher than last year’s third quarter, and increased 18 per cent sequentially.
Backlog
The release mentions that backlog at the end of the quarter was $339.9 million, a decrease of 56 per cent from the third quarter of last year and a decrease of 11 per cent sequentially. The backlog included approximately 800 thousand Explorer® digital set-tops. Although Scientific-Atlanta has a six-month bookings policy, the company has the production capacity to respond quickly to customer demand, and the company believes that customers may have shortened their ordering cycles accordingly.
Results of Operations
The release also points out that sales of $382.6 million decreased by $70.1 million, or 15 per cent from the same period a year ago, but increased by nine per cent compared with the preceding quarter.
The release reveals that sales of subscriber products decreased four per cent from last year’s third quarter to $269.3 million, but increased 18 per cent sequentially. In the quarter, the company sold 929 thousand Explorer digital set-tops and 171 thousand WebSTAR(tm) cable modems.
Sales of transmission products of $90.6 million were down 38 per cent from the third quarter of last year, and down 13 per cent from last quarter. Satellite product sales of $22.7 million were down six per cent from the comparable period of last year, but increased 20 per cent from last quarter.
The release also points out that the gross margin in the third quarter was 34.1 per cent of sales, a decrease of 2.9 points from the same period a year ago, but an increase of 2.5 points sequentially. The termination of the ish contract in the preceding quarter negatively impacted the gross margin by 2.3 points in that quarter.
There was no comparable transaction in the third quarter of the current year, says the release. The decline compared to last year’s third quarter was primarily due to the increased shipments of new set-top models that currently have lower gross margins than the company average.
Scientific-Atlanta reported earnings of $26.8 million, or $0.18 per share. This represented a decline of $17.0 million, or 39 per cent from the comparable period of the prior year, when earnings were $43.8 million, or $0.28 per share. Compared to the preceding quarter, earnings increased by $11.7 million, or 77 per cent. Third quarter earnings included the two pre-tax charges totaling $10.5 million discussed above, for which the after-tax impact was $6.9 million, or $0.04 per share.
Strong Balance Sheet and Cash Flow
The release also claims that the company’s balance sheet remains very strong with cash and short-term investments of $888.5 million at the end of the quarter, an increase of $105.3 million from the end of the preceding quarter, and an increase of $157.2 million from the end of fiscal year 2002.
Accounts receivable declined by $55.6 million, and DSO improved to 53 days from 60 days in the preceding quarter. Inventory turns increased to 7.4 from 6.0 in the preceding quarter, says the release.
In the third quarter, cash provided by operating activities was $185.6 million. Year-to-date, the company has generated $300.1 million of cash from operating activities.
News Broadcasting
Induction cooktop demand spikes 30× amid LPG supply concerns
Supply worries linked to West Asia tensions push households and restaurants to turn to electric cooking alternatives
MUMBAI: As geopolitical tensions in West Asia ripple through global energy supply chains, the familiar blue flame in Indian kitchens is facing an unexpected challenger: electricity.
What began as concerns over the availability of liquefied petroleum gas (LPG) has quickly evolved into a technology-driven shift in cooking habits. Households across India are increasingly turning to induction cooktops and other electric appliances, initially as a backup but now, for many, a necessity.
A sudden surge in demand
Recent data from quick-commerce and grocery platform BigBasket highlights the scale of the shift. According to Seshu Kumar Tirumala, the company’s chief buying and merchandising officer, demand for induction cooktops has risen dramatically.
“Induction cooktops have seen a significant surge in demand, recording a fivefold jump on 10 March and a thirtyfold spike on 11 March,” Tirumala said.
The increase stands out sharply when compared with broader kitchen appliance trends. Most appliance categories are growing within 10 per cent of their typical demand levels, while induction cooktops have witnessed explosive growth as households rush to secure an alternative cooking option.
Major e-commerce platforms including Amazon and Flipkart have reported rising searches and orders for induction stoves. Quick-commerce apps such as Blinkit and Zepto have also witnessed stock shortages in major metropolitan areas including Delhi, Mumbai and Bengaluru.
What was once considered a convenient appliance for hostels, small kitchens or occasional use has suddenly become an essential addition in many homes.
A crisis thousands of miles away
The trigger for this shift lies far beyond India’s kitchens.
Escalating conflict in the Middle East has disrupted shipping routes through the Strait of Hormuz, one of the world’s most critical energy corridors. Nearly 85 to 90 per cent of India’s LPG imports pass through this narrow waterway, making the country particularly vulnerable to supply disruptions.
The ripple effects have been swift.
India currently meets roughly 60 per cent of its LPG demand through imports, and tightening global supply has already begun to affect domestic availability and prices.
Earlier this month, the price of domestic LPG cylinders increased by Rs 60, while commercial cylinders rose by more than Rs 114.
To discourage panic buying and hoarding, the government has also extended the mandatory waiting period between domestic refill bookings from 21 days to 25 days.
Restaurants feel the pressure
The strain is not limited to households. Restaurants, hotels and roadside eateries are also grappling with supply constraints as commercial LPG availability tightens under restrictions imposed through the Essential Commodities Act.
In cities such as Bengaluru and Chennai, restaurant associations report that commercial LPG availability has dropped by as much as 75 per cent, forcing many establishments to rethink their kitchen operations.
Some restaurants have reduced menu offerings, while others are rapidly installing high-efficiency induction systems, creating hybrid kitchens where electricity now shares the workload with gas.
For smaller eateries and roadside dhabas, the shift is less about sustainability and more about survival.
A potential structural shift
The government has maintained that there is no nationwide LPG crisis and has directed refineries to increase production to stabilise supply.
Nevertheless, the developments of March 2026 may already be triggering a longer-term behavioural shift.
For decades, LPG has been the backbone of cooking in Indian households. However, recent disruptions have highlighted the risks of relying on a single fuel source.
Increasingly, households appear to be hedging against uncertainty by adopting electric cooking options to guard against price volatility and delivery delays.
If the current trend continues, the induction cooktop, once viewed as a niche appliance, could emerge as a quiet symbol of India’s evolving kitchen economy.
