14 Dec 2017
Live Post
ACT Fibernet rolls-out 1 Gbps plan in Bengaluru after Hyderabad
Vishnu Shankar takes charge as &TV business head
Unitech Shares Plunge 13% As Supreme Court Stays NCLT Order
Tax department probes unregulated bitcoin exchanges after valuations jump
Coal scam: Fmr Jharkhand CM Madhu Koda, Fmr coal Secy held guilty
Deadline for linking PAN with Aadhaar was extended to March 31, 2018

Hathway Q4 net loss at Rs 49 crore; 0.1 mn STBs added

MUMBAI: Hathway Cable & Datacom has posted standalone net loss of Rs 49.27 crore ( Rs 492.7 million) in the fiscal fourth quarter, wider than the preceding quarter’s loss of Rs 36.86 crore ( Rs 368.6 million).

Hathway deployed 0.1 million STBs during the quarter and has 7.8 million active digital subscribers. The company had deployed 2.5 million STBs in Phase I and 4.3 million in Phase II. Each Docsis 3.0 addition came at an ARPU of more than Rs 500.

Hathway suffered a loss of Rs 20.80 crore ( Rs 208.0 million) from operations, before other income finance costs and exceptional items. In the trailing quarter, the company had posted a loss of Rs 19.24 crore ( Rs 192.4 million). For the earlier-year quarter, the company had clocked profit of Rs 44.30 crore ( Rs 443.0 million).

Standalone revenue surged 24.7 per cent quarter on quarter (QoQ) to Rs 292.72 crore (Rs 2.93 billion). However, the company failed to reap the benefits of this growth in revenue due to higher operating costs, mainly because of pay channel costs and other operating expenses.

Hathway’s pay channel cost to broadcasters amounted to Rs 115.41 crore (Rs 1.15 billion), showing an increase of 37.8 per cent QoQ. They accounted for 37 per cent of the total expenses.

The company managed to keep a check on employee expenditure, but the hard work was negated by a sharp increase in the purchase of stocks in trade and other expenses. As a result, total expenses grew 23.4 per cent QoQ to Rs 313.52 crore ( Rs 3.14 billion) over the trailing quarter.

FY2014 performance

Hathway ended FY14 with a net loss of Rs 111.11 crore ( Rs 1.11 billion) as against a net profit of Rs 15.69 crore ( Rs 156.9 million) for the corresponding previous fiscal.

The MSO recorded profit of Rs 10.50 crore ( Rs 105.7 million) from operations, before other income finance costs and exceptional items. In the previous fiscal, the company had posted a higher profit of Rs 107.78 crore ( Rs 1.08 billion).

Hathway’s consolidated revenue increased 39.8 per cent to Rs 1,583.25 crore ( Rs 15.83 billion).

Operating expenses, however, jumped 53.5 per cent year on year (YoY) to Rs 1,572.75 crore ( Rs 15.73 billion) and accounted for 42.3 per cent of total operating costs. The rise in operating expenses was largely due to higher pay channel cost of Rs 666.41 crore ( Rs 6.66 billion), up 54 per cent YoY. Another key component in the total operating costs is other expenses that stood at Rs 470.37 crore ( Rs 4.70 billion), up 45 per cent.

Hathway offers cable television services across 140 cities and towns, and cable broadband services across 21 cities. It has 20 digital headends established in the country.