JitendraKumar
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New Delhi: Direct-to-home operator Dish TV India Ltd on
Monday reported a consolidated net profit of Rs26.7 crore for
the December quarter, down 61% from a year earlier.
The company, owned by Zee Entertainment Enterprises Ltd,
had posted a net profit of Rs68.5 crore for the third quarter of
2015-16.
Total operating revenue grew 2.4% to Rs748 crore from Rs730
crore a year earlier, following the demonetisation of high
currency notes by the government in November.
“Limited cash supply made people defer their DTH recharges
by a few days or weeks depending on the urgency of other
basic necessities,” Jawahar Goel, chairman and managing
director of Dish TV said in a statement.
Goel said the impact was stronger in towns and cities in the
second tier and below, as the economy in these areas mostly
ran on cash. “Our subscription revenues during the quarter
could have been higher by around 8% in a non-adverse
scenario,” he said.
Subscription revenue grew 3.3% to Rs692.1 crore from
Rs669.9 crore in 2015-16. Dish TV added 2.04 lakh subscribers
during the quarter, taking its net subscriber count to 1.53
crore, reflecting about 8-10% fewer additions.
“Demonetisation has affected our rural base and new
subscriber additions as well. We have witnessed a decline of
50,000 in new subscriber additions. We have seen a slight
growth in January but normalcy will return by March with new
modes of payment,” said Rajeev Dalmia, chief financial officer
at Dish TV.
During the quarter, Dish TV announced it would merge with
Videocon d2h, the direct-to-home (DTH) television arm of
Videocon Industries Ltd in November. Dish TV will own a 55%
stake and Videocon 45% in the new entity to be called Dish TV
Videocon Ltd.
“Work continued on the Dish TV-Videocon d2h proposed
merger as well with necessary applications being filed during
the quarter with the Competition Commission of India (CCI)
and the Stock Exchanges for obtaining their approval,” the
company said in the statement.
Dish TV Q3 profit falls 61% to Rs26.7 crore - Livemint
Monday reported a consolidated net profit of Rs26.7 crore for
the December quarter, down 61% from a year earlier.
The company, owned by Zee Entertainment Enterprises Ltd,
had posted a net profit of Rs68.5 crore for the third quarter of
2015-16.
Total operating revenue grew 2.4% to Rs748 crore from Rs730
crore a year earlier, following the demonetisation of high
currency notes by the government in November.
“Limited cash supply made people defer their DTH recharges
by a few days or weeks depending on the urgency of other
basic necessities,” Jawahar Goel, chairman and managing
director of Dish TV said in a statement.
Goel said the impact was stronger in towns and cities in the
second tier and below, as the economy in these areas mostly
ran on cash. “Our subscription revenues during the quarter
could have been higher by around 8% in a non-adverse
scenario,” he said.
Subscription revenue grew 3.3% to Rs692.1 crore from
Rs669.9 crore in 2015-16. Dish TV added 2.04 lakh subscribers
during the quarter, taking its net subscriber count to 1.53
crore, reflecting about 8-10% fewer additions.
“Demonetisation has affected our rural base and new
subscriber additions as well. We have witnessed a decline of
50,000 in new subscriber additions. We have seen a slight
growth in January but normalcy will return by March with new
modes of payment,” said Rajeev Dalmia, chief financial officer
at Dish TV.
During the quarter, Dish TV announced it would merge with
Videocon d2h, the direct-to-home (DTH) television arm of
Videocon Industries Ltd in November. Dish TV will own a 55%
stake and Videocon 45% in the new entity to be called Dish TV
Videocon Ltd.
“Work continued on the Dish TV-Videocon d2h proposed
merger as well with necessary applications being filed during
the quarter with the Competition Commission of India (CCI)
and the Stock Exchanges for obtaining their approval,” the
company said in the statement.
Dish TV Q3 profit falls 61% to Rs26.7 crore - Livemint
