Cable TV
Telcos warned to stay out of the content business at London IPTV Forum
MUMBAI: Telecoms companies seeking to develop IPTV services are being warned to stay out of the content business and instead concentrate on being service providers.
Speaking at the IPTV World Forum in London, consulting director at research/consulting firm Ovum Tom McKeever said the key to success was finding content partners who can offer the service provider some differentiation, adding that it would be a mistake to make the content themselves.
“Telecoms companies are trusted by consumers to provide connectivity around the home. While content is king, content wants to be on every single platform so if you focussed your entire strategy on content then you might miss other pieces like provisioning and customer care, billing and being a trusted provider in the home. Telecoms companies have the tools for that today and it is where they have to focus their strategies.
“Ultimately most content will be available on most platforms and it won’t be a critical differentiator,” said McKeever.
These sentiments were echoed by BT Entertainment Division CEO Andrew Burke, who told the London audience: “You have to partner for content. We are not a content company but know what we do well, and that is providing a platform and billing and that is what we are going to major on.”
Explaining why the UK incumbent decided to offer broadcast TV off-air, using the Freeview DTT bouquet, and concentrate on on-demand video via DSL, Burke said: “We decided we could not afford to broadcast over our broadband network.”
Burke told delegates that content mobility will be a key goal of the BT offering, subject to the development of suitable Digital Rights Management solutions. He added, “”Content must go to multiple devices. You cannot say you can only watch something on television. This content must travel.”
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.
