Hathway sees 20% rise in Q2 revenues
| 14 November 2014
Indian multi-system operator (MSO) Hathway Cable & Datacom has announced a 20% increase in revenues to INR2.635 billion (US$42.853 million) in the second quarter of the current financial year, compared with INR2.202 billion ($35.81 million) in the corresponding period a year ago.
Its EBITDA, net of activation fees, stood at INR179 million ($2.9 million) compared with INR129 million ($2.097 million) in Q2 FY14 – a 39% rise.
The company reported losses of INR392.6 million ($6.385 million) in Q2-2015, as compared to the loss of INR9.27 million ($150,756) in the immediate trailing quarter.
Operational income came mainly from subscriptions from its cable TV and broadband business, carriage and placement income, advertisement income, and activation income from set-top boxes, the company said.
During the quarter Hathway completed preferential issue of equity amounting to INR1.504 billion from Tybourne Capital, helping it to realise INR4.512 billion at INR320 per share during the 2015 financial year.
The MSO says it has seeded a further 250,000 digital set-top boxes during the quarter, taking its digital cable TV subscriber base to 8.4 million – or 72% of its total customer base. Hathway told the Bombay Stock Exchange it also has 700,000 set-top boxes in stock in order to help fulfil its part in the nationwide cable digitisation plan.
Content deals have been made with all the major broadcasters, and Hathway says it "will use the stability in our content contracts to push for an increase in the ARPU realised from the markets we serve".
A statement read: "While ARPU increase took a pause in current quarter, Phase 1 [in the country's digitisation plan] ARPU remained close to Rs90, while it was close to Rs55 in the Phase 2 areas."