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Airtel Digital TV Q1 FY16 highlights
MUMBAI: Direct-to-home (DTH) player
Airtel Digital TV has posted operating
profit of Rs 240.8 crore (Rs 2.41
billion) for the quarter ended 30 June
2015 while EBITDA margin is at 35.2
per cent.
Q1 FY16 highlights are:
Airtel Digital TV Q1 total revenue
stood at Rs 684.8 crore (Rs 6.85
EBIT was at Rs 41.5 crore (Rs 415
The company has added 339,000 net
Average revenue per user (ARPU) was
at Rs 222.
Monthly churn was at 0.8 per cent.
Await detailed report…
MUMBAI: Airtel Digital TV, the direct-
to-home (DTH) arm of telecom
operator Bharti Airtel, has remained
EBIT positive for the second straight
quarter and has touched a new ARPU
(average revenue per user) high of Rs
222 in the first quarter of the fiscal.
In the trailing quarter, ARPU stood at
Rs 214. According to the company,
adjusting for the impact of change in
accounting for indirect taxes, the
underlying ARPU improvement over
last year is Rs 27.
Airtel Digital TV also continued its
trend of strong subscriber additions
during the first quarter. The company
added 339,000 subscribers in the
quarter ending 30 June 2015,
compared to 263,000 in the trailing
quarter. In the corresponding quarter
of the previous fiscal, it had added
376,000 net subscribers.
The company’s total net subscriber
base now stands at 10.412 million.
Dish TV also had a strong subscription
growth in the quarter, taking its net
subscriber base to 13.3 million. In the
June quarter, it added 390,000 net
Airtel Digital TV’s monthly churn
narrowed to 0.8 per cent per month,
from 1 per cent in the preceding
quarter. However, in the year-ago
period, churn was at 0.6 per cent
Financial performance
EBITDA for the quarter ended 30 June
2015 grew 15.9 per cent to Rs 240.8
crore (Rs 2.41 billion), from Rs 207.8
crore (Rs 2.08 billion) in the trailing
quarter. In the year-ago period,
EBITDA stood at Rs 143.8 crore (Rs
1.44 billion).
EBIDTA margin also improved
significantly to 35.2 per cent in the
quarter, compared to a margin of 32.7
per cent in the preceding quarter, or
24.3 per cent in the year-ago period.
The company also reported EBIT of Rs
41.5 crore (Rs 415 million) in the
current quarter, compared to EBIT of
Rs 8 crore (Rs 80 million) in Q4FY15
and EBIT loss of Rs 62.5 crore (Rs 625
million) in the corresponding quarter
of the previous fiscal.
Revenue saw 7.88 per cent growth
sequentially. The company’s total
revenue was at Rs 684.8 crore (Rs
6.85 billion), compared to Rs 634.8
crore (Rs 6.35 billion) in the trailing
In the year-ago period, it had made
revenue of Rs 591.5 crore (Rs 5.91
billion). The company said that
adjusting for change in accounting
for indirect taxes since the third
quarter of last year, the growth in
revenues for DTH is 26.8 per cent
compared to the year-ago period and
not 15.8 per cent.
Revenue from digital TV services
accounted for 4 per cent of Bharti
Airtel’s total revenue while EBITDA
contribution stood at 3 per cent.
During the quarter, the company
incurred a capital expenditure of Rs
211.3 crore (Rs 2.11 billion). Capex
stood at Rs 262.7 crore (Rs 2.63
billion) in the trailing quarter and at
Rs 133 crore (Rs 1.33 billion) in the
year-ago period.
Operating free cash flow during the
quarter was at Rs 29.5 crore (Rs 295
million), compared to Rs 74.8 crore
(Rs 748 million) in the trailing
quarter. However, in the year-ago
period, cash burn was at Rs 118.9
crore (Rs 1.19 billion).
As of 30 June 2015, the company’s
cumulative investment in the DTH
business touched Rs 5,621.6 crore (Rs
56.22 billion).
Airtel Digital TV offers 470 channels
including 30 HD channels, four
international channels and three
interactive services across 639
districts in India.
During the quarter, Airtel Digital TV
announced the launch of its first
indigenously manufactured set-top
boxes. The STBs will be available in HD
to begin with and soon all of Airtel
Digital TV’s boxes would be
manufactured in India, the company
It is important to note that from the
third quarter of last fiscal onwards,
the company had started harmonising
the accounting of indirect taxes in
line with other segments and industry
standards. Such taxes were earlier
part of opex and are now netted off
against revenues.

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