Cable TV
Upscale hotels may have to pay more for pay channels
MUMBAI: If an order issued today by the sector regulator gets implemented, pay broadcasters will now be able to charge “market rates” to more upscale hotels and big commercial establishments that access their channels.
The Telecom Regulatory Authority of India (TRAI) has identified “hotels with ratings of 3 Star and above, heritage hotels and commercial establishments providing board and lodging and having 50 or more rooms” as falling within the category that “may not need tariff protection.”
The regulator has grouped the rest of commercial establishments into the residual category and decreed that the same rules that govern ordinary cable subscribers will apply to them also, both in CAS and non-CAS areas.
The Trai order has decreed that: “For commercial subscribers falling in the first category, there will be no ceiling on pay channel tariff. However, in order to ensure that the choice of individual channels is made available to these subscribers also in CAS areas, the draft amendment order has provisions for commercial subscribers falling in the first category in the form of mandatory offer of channels on a la carte basis with restrictions on the maximum retail prices of individual channel in relation to the prices of bouquets. The tariff for supply of set top boxes is also proposed to be regulated on similar lines.”
Trai issued the order after the Supreme Court agreed with its argument that in order to ensure an orderly growth of the telecom sector in the country, it was necessary to have differential tariffs for commercial and non-commercial subscribers of conditional access system (CAS).
Trai’s submission was in response to a petition filed by the Association of Hotels and Restaurants, which challenged an order of the Telecom Disputes Settlement and Appellate Tribunal (TDSAT) that upheld the dual rates.
Trai has placed the draft Tariff Orders, both for CAS notified areas and non-CAS areas, along with a letter to stakeholders inviting comments by 10 November.
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.
