Cable television provider and broadband service provider Hathway Cable and Datacom last week announced the consolidated financial results for the quarter ending December 31, 2020, registering a net profit of Rs 62.72 crores.
Hathway’s total income in Q3 FY 21 stood at Rs 477.35 crores, up from Rs 460.66 crores in the preceding quarter. The company’s total expenses rose from Rs 407.9 crores in the preceding quarter to Rs 411.26 crores. The profit after tax stood at Rs 62.72 crores, up from Rs 52.33 crores in the preceding quarter.
Hathway’s cable television segment had a revenue of Rs 283.57 crores in the quarter whereas the broadband segment had a revenue of Rs 158.69 crores. The broadband segment churned a result of Rs 14.92 crores whereas the cable television segment churned a result of Rs 16.50 crores.
“During the Quarter, the Company has received Show Cause cum Demand notices (SCN) from the Department of Telecommunications (DOT). Goverment of India for the financial years 2006-07, 2007-08 and 2008-09 towards ISP license fees aggregating to Rs. 376.40 Crs which includes penalty and interest thereon. The Company has responded to DOT contesting their inclusion of Cable TV revenue in arriving at Adjusted Gross Revenue “AGR” lor calculation of License Fee payable by the Company under the ISP License in these SCNs. Based on the opinion of legal expert, the Company is confident that it has good grounds on merit to defend itself in the above matter. Accordingly, the Company is of the view that no provision is necessary in respect of the aforesaid matter in the financial results,” the company added in its note.
