Siti Q3 operating EBITDA jumps 1.4x to Rs 93 cr
MUMBAI: Multi system operator (MSO) Siti Networks’ operating EBITDA for the quarter ended 31st December has jumped 1.4x to Rs 93 crore compared to Rs 68.2 crore in the trailing quarter.
Siti’s Operating EBITDA margin also expanded significantly to 24.5% in Q3 FY19 from 18.2% in Q2 FY19. This was also supported by flattish operating expenses on a YoY basis and effecting a reduction of 7% QoQ.
Subscription revenue increased to Rs. 257.1 crore as against Rs 254.8 crore in the trailing quarter. Revenue from operations stood at Rs 385.9 crore compared to Rs 386.7 crore.
Blended ARPU increased substantially by 19% YoY. This ARPU improvement was broad-based across phases, with Siti’s ubiquitous presence in Phase 3 and 4 showing 23% and 35% growth respectively. The company’s subscription collection efficiency stood at 94% in Q3FY19
Siti ended the quarter with an active subscriber base at 11.55 million. The MSO added 36,000 HD customers and currently has an active HD subscriber base of 4.24 lakhs.
Siti launched a new Campaign ‘Aap ka Manoranjan, Aap ki Marzi’ on TV Screen, Web and Social Media to educate customers about the new Regime. Siti is providing multiple bespoke suggestive packs, a-la-carte and broadcaster bouquets to the end consumer providing wholesome entertainment to all members of the family across various geographies, in compliance with the new regulatory regime.
While commenting on the results, Siti Networks chief business transformation officer Rajesh Sethi mentioned, “Siti Networks continued its strong growth trajectory and grew its 9M Subscription revenue by 24% YoY. This coupled with leveraging inherent operational synergies allowed us to deliver stupendous 9M Operating EBITDA at Rs 2161 mn, a growth of 118% YoY. Simultaneously, a focus on prudence and lean operations expanded Operating EBITDA margins 1.9x to 20%.”
Sethi also said that Siti made extensive preparations for a considered migration to the new tariff order regime with a focus on customer choice, business associate exigency and regulatory compliance. “The functionality of our Subscriber Management System was significantly enhanced to allow for seamless transition,” he added.
The MSO, he stated, undertook widespread usage of digital mediums, launching a customer self-care portal & “MySiti” Android App for the end consumer to enable freedom of choice, online payment and other functionalities direct to the customer.
The call center capacity was upgraded to ensure a prompt response for all customers and business associates. Siti also established multilingual call centers across the country to ensure dialectal friendly customer communication and handholding.