Q1-17: Videocon d2h reports PAT, 15.5percent subscriber growth
BENGALURU: Videocon d2h is the second listed Indian DTH player to report a profit after tax (PAT), after the Essel group’s Dish TV that turned the numbers black last year. Videocon d2h reported PAT of Rs 2.7 crore for the quarter ended 30 June 2016 (Q1-17, current quarter). For the corresponding year ago quarter (Q1-17), the company had reported a loss of Rs 24.4 crore and for the immediate trailing quarter (Q4-16) reported loss was Rs 21.2 crore.
The DTH major also reported 15.5 percent year-over-year (y-o-y) growth in net subscriber number growth at 122.9 lakh for Q1-17 as compared to 106.4 lakh and a 3.6 percent quarter-over-quarter (q-o-q) growth from118.6 lakh. Average revenue per user (ARPU) in the current quarter increased to Rs 219 from Rs 205 in Q1-16 and from Rs 214 in the immediate trailing quarter.
Videocon d2h reported 23.5 percent y-o-y growth in total revenue from operations for Q1-17 at Rs 818.5 crore as compared to Rs 662.8 crore and a 6.1 percent q-o-q growth from Rs 771.5 crore. Subscription and activation revenue in the current quarter increased 23.9 percent y-o-y to Rs 752.3 crore from Rs 607.3 crore and increased 6.6 percent q-o-q from Rs 705.6 crore.
Commenting on the results and company outlook, Videocon d2h executive chairman Saurabh Dhoot, said, “I’m delighted to share that the first quarter of fiscal 2017 has been a landmark quarter for our Company in its enduring journey. In this quarter, we have had a positive profit after tax and achieved free cash flow breakeven. This is a great achievement.
“In line with our focus on paying down term loans, the Company recently pre-paid further term loans, strengthening our balance sheet further. We have significantly de-levered our balance sheet and become a stronger company going from strength to strength, reducing term loans by around $200 million since our IPO, with over $ 55 million repaid in the current fiscal year.”
Speaking on the results, Videocon d2h CEO Anil Khera said, “We are happy to report that Adjusted EBITDA for the first quarter of fiscal year 2017 grew 32.4 percent year on year, which is primarily a result of strong subscriber growth, higher revenue realizations and better operating margins. During the quarter, we expanded our retail network in areas that come under India’s Phase III and Phase IV Digitalization program. We are happy to announce our strategic tie-up with Vodafone to enable recharge using their well-established m-pesa digital wallet and at Vodafone outlets, as it will give our customers an easy and efficient way to recharge their d2h account at their convenience.”
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