 "Hathway Cable & Datacom revenue up 8%")
Hathway Cable & Datacom Limited, which runs analogue and digital cable service and broadband services, has reported a 7.55 per cent increase in revenues at Rs 250.22 crore in Q1FY15, as compared to Rs 232.65 crore last year.
However, increase in pay channel cost and other expenses brought down the EBITDA by 42 per cent this year. The company's EBITDA stood at Rs 43.87 crore this year as compared to Rs 76.09 crore in Q1 FY14. This resulted in a net loss of Rs 92 lakh in Q1FY15 while the company made profit of Rs 5.34 crore in thecorresponding quarter last year.
Income from operations mainly consistsof subscription income from cable TV and broadband business, carriage and placement income, advertisement income, activation income from set-top-boxes and other operating income.
The company said in its earnings release, "The key highlight for the quarter was the growth trajectory achieved by our Docsis 3.0 Broadband services. Currently, the services are being offered in Mumbai, Pune, Hyderabad and Bangalore with plans to launch them in the near future in Kolkata and Delhi."
In the broadband segment, the average revenue per user increased by 23 per cent, while revenue increased by 26 per cent to reach Rs 41.6 crore in Q1 FY15 and its EBITDA grew 71 per cent.
"Continuing to build upon our early mover advantage (Hathway has achieved a market share of 30% in Phase 1 and Phase 2 DAS markets) the Company has expanded its subscriber universe by 200,000 mainly due to additions in Eastern India. The aggregate universe of the Company is now about 11.7 million subscribers," the company added.
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Hathway is in the process of raising Rs.300.8 crore by way of preferential allotment of shares to funds managed by Capital Group, USA. The shares of face value of Rs10 each are to be issued at a premium of Rs 310 per share (adding up to Rs 320 per share). The extraordinary general meeting for approving the same will be held on September 5.
The company's stock fell 4.7 per cent to close at Rs 275 on Wednesday at the Bombay Stock Exchange.