Cable TV
Time Warner’s Q3 revenues up 7%
MUMBAI: US media conglomerate Time Warner has reported financial results for its third quarter ended 30 September, 2006.
In the quarter, revenues rose by seven per cent over the same period in 2005 to $10.9 billion, led by growth at the cable and networks segments. Adjusted operating income before depreciation and amortisation climbed 16 per cent to $2.9 billion, reflecting double-digit increases at the cable and AOL segments as well as gains at the networks and publishing segments. This growth was offset partly by a decline at the Film segment. Operating income was up one per cent to $1.7 billion.
Time Warner chairman and CEO Dick Parsons said, “Time Warner continues to build momentum and deliver value for our shareholders. This quarter’s results position the Company to meet all of our full-year financial objectives. We’re particularly encouraged by AOL’s early progress in making the transition to an advertising-supported business.
” Just as importantly, Time Warner Cable is generating outstanding results, even while successfully integrating its newly acquired cable systems. In addition, our capital allocation efforts continue to drive incremental value – including our $20 billion share repurchase programme as well as this year’s more than $20 billion of acquisitions and almost $4 billion of announced or completed non-core asset divestitures.”
Revenues at AOL fell by three per cent ($58 million) to $2.0 billion, due to a 13 per cent decrease ($210 million) in subscription revenues, offset in part by a 46 per cent increase ($151 million) in ad revenues. The decline in subscription revenues was due primarily to a decrease in domestic AOL brand subscribers, which reflects in part AOL’s previously announced plan to offer its e-mail, certain software and other products free of charge to broadband users in the
US ad revenues reflected strong growth in sales of advertising run on third-party websites generated by Advertising.com, as well as display and paid-search advertising. At the network segment (Turner Broadcasting, HBO and The WB Network) revenues rose by four per cent ($100 million) to $2.5 billion, reflecting higher subscription and ad revenues, including the consolidation of Court TV ($60 million), offset partially by lower Content revenues.
Subscription revenues climbed nine per cent ($125 million), due to higher rates and, to a lesser extent, increased subscribers at Turner and HBO as well as the consolidation of Court TV ($17 million). Ad revenues were up by six per cent ($42 million), led by 16 per cent growth at Turner, including Court TV ($42 million), offset partly by a 36 per cent decrease ($48 million) at The WB Network, which ceased operations on September 17, 2006.
The 23 per cent decline in content revenues ($72 million) is related to a decrease at HBO, due mainly to a difficult comparison to the prior year quarter, which included higher syndication sales of Sex and the City. For the quarter, Cartoon Network posted gains among kids 6-11 in both prime-time and total-day delivery compared to the prior year period.
Revenues from films fell by 10 per cent ($260 million) to $2.4 billion, due to difficult comparisons to the prior year period. The current quarter included revenues from Superman Returns while overall theatrical revenue declined from the prior year quarter, which included results from Charlie and the Chocolate Factory, Batman Begins and Wedding Crashers.
The company also reaffirmed its 2006 full year business outlook. It continues to expect that its 2006 full-year growth rate will be in the low-double digits.
Cable TV
Hathway Cable appoints Gurjeev Singh Kapoor as CEO
Leadership change comes as cable TV faces shrinking subscriber base and modest earnings pressure
MUMBAI: Hathway Cable and Datacom has tapped industry veteran Gurjeev Singh Kapoor as chief executive officer, marking a leadership pivot at a time when India’s cable television business is under mounting strain.
Kapoor will take over from Tavinderjit Singh Panesar, who is set to retire in August after a long innings with the company. Panesar, chief executive since 2023, has held multiple leadership roles at Hathway, including his latest stint beginning in 2022.
Kapoor brings more than three decades of experience in media and entertainment. He most recently led distribution at The Walt Disney Company’s Star India business, now part of JioStar. His career spans television distribution and affiliate partnerships, with stints at Sony Pictures Networks India, Discovery Communications and Zee Entertainment.
Panesar, with over three decades in the industry, has worked across strategic planning, distribution and business development in media, broadcasting and manufacturing. His past associations include ESPN Star Sports, Star India, Apollo Tyres and JK Industries.
The transition lands as the cable sector grapples with structural disruption. Traditional operators are losing ground to streaming platforms, while telecom and broadband players tighten the squeeze with bundled offerings.
An EY report estimates India’s pay-TV base could shrink by a further 30 to 40 million households by 2030, taking the total down to 71 to 81 million. The slide follows a loss of nearly 40 million homes between 2018 and 2024, a contraction that has already wiped out more than 37,000 jobs in the local cable operator ecosystem.
Hathway’s numbers reflect the strain. The company reported a consolidated net profit of Rs 93 crore for FY25, down from Rs 99 crore a year earlier. Revenue inched up to Rs 2,040 crore from Rs 1,981 crore. As of December 2025, it had about 4.7 million cable TV subscribers and roughly 1.02 million broadband users.
Kapoor steps in with a familiar brief but a shrinking playbook. In a market where viewers are cutting cords faster than companies can reinvent them, the new chief executive inherits a business fighting to stay plugged in.
