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India’s largest direct to home television services operator Dish TV added 0.40 million net subscribers for the quarter ended March 31, 2014, a shade below the 0.41 million additions in the previous quarter, but well above the 0.23 million net additions in the same quarter last year.

Highlights

Average Revenue Per User: The average revenue per user (ARPU) for Dish TV increased to Rs 179 from Rs 177 in the previous quarter and from Rs 170 in the same quarter last year.

– The subscription revenues for the quarter were at Rs 682.8 crore, up 24.4 % year-on-year (YoY). On a sequential basis, it grew by 4.18% from Rs 655.4 crore last quarter.

Churn remained flat sequentially at 0.7% for the quarter.

Pack prices increased by Rs 10: Dish TV MD Jawahar Goel said that all Dish TV pack prices have been increased by Rs 10 in all 42 cities under Phase 1 & 2 digitization markets. This increase in price was first introduced in Delhi, Mumbai, Pune and Kolkata, and later extended to the other 38 cities covered under Phase 1 & 2. Goel also said that increase in pack prices, higher HD uptake and certain industry-level developments like initiation of packaging in cable will ensure increase in ARPU.

Non-core business transferred: On April 1, 2015, Dish TV transferred its non-core business, which includes set-top boxes, dish antenna and related services, to its wholly owned subsidiary Dish Infra Services Private Limited. From the current quarter, the consolidated quarterly financials of Dish Infra Services will be reported. In the previous quarter, Dish TV had been re-evaluating possibilities for domestic manufacturing of Set Top Boxes (STB), under the ‘Make in India’ campaign, and had hoped that there was an improvement in the hardware economics of locally sourced STBs.

Financials

Dish TV reported an operating revenue of Rs 754.7 crore for the quarter, up 5.7% from Rs 713.88 crore in the previous quarter, and up 18.5% from Rs 636.9 crore in the same quarter last year. The net profit was at Rs 3.5 crore for the quarter, an improvement from Rs 2.87 crore loss in the previous quarter and Rs 14.9 crore loss in the same quarter last year.

The EBITDA (Earnings Before Interest, Taxes, Depreciation and Amortization) for the quarter was at Rs 221.9 crore for the quarter, up from Rs 191.2 crore in the previous quarter. EBITDA margin was slightly higher at 29.4% from 26.8% in the previous quarter.

Download: Press Release | Financials