Sameer Manchanda-promoted leading multi-system-operator (MSO) DEN Networks has posted a consolidated net profit of Rs 17.18 crore for quarter ended December 31, 2012. The profit has increased by 10% compared to Rs 15.59 crore in the trailing quarter.
The company has benefited from the first phase of government mandated digitisation programme that saw the compulsory switchover from analogue cable to digital addressable systems (DAS).
DEN alone seeded over 9 lakh set top boxes in Q3 FY13. DEN’s cumulative STBs seeded crossed the 2.5 million mark, with over 1.8 million seeded in Phase 1 cities–Delhi, Mumbai, Kolkata and Chennai. The company said that it is present in 23 of the 38 Phase 2 cities and has already seeded over 6 lakh STBs in these cities.
S N Sharma, CEO, DEN Networks said, “DAS is a game changer not just for the cable sector but the entire Indian media value chain. Accomplishing such a mammoth task was the result of all stakeholders coming together supported by government and regulatory enablement. The success of Phase 1 makes the process irreversible and heralds a new era for Indian media.”
DEN’s consolidated EBITDA for the quarter under review rose by 22% to Rs 60.39 crore, compared to Rs 30.84 crore in the second quarter of the fiscal, while the consolidated net revenue grew 12% to Rs 241crore from Rs 216 crore in the trailing quarter.
DEN's expenditure during the quarter increased to Rs 181 crore from Rs 166 crore due to rise in operation expenses.
The company also said that it has got the board approval to double its borrowing power from existing Rs 1000 crore to Rs 2000 crore.
Meanwhile, from the cable business, net profit went up 19% to Rs 15.95 crore, compared to previous quarter. Operating profit jumped 26% to Rs 58.53 crore q-o-q while revenue from the cable business increased 13% to Rs 229 crore compared to the previous quarter.
DEN’s net profit from distribution business was Rs 1.24 crore on income of Rs 12.33 crore.
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