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DAS P-III deadline crossed: No court stay, only three cases pending

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NEW DELHI: Only 32 per cent seeding of set-top boxes had taken place in Phase IV areas of cable digitisation and ‘is not very encouraging.” However, adviser (DAS, MIB) Yogendra Pal said that digitisation had been completed in nearly 100 per cent areas for which the extended deadline was 31 January 2017.

Speaking at the 20th DAS Task Force meeting on 18 January 2017, he said the actual seeding data would be much more, may be up to 50 per cent, as some MSOs have not been filling seeding data in spite of repeated requests and some MSOs are not filling full data.

Information and broadcasting ministry additional secretary Jayashree Mukherjee who chaired the meeting said she had visited a big MSO in Hyderabad who had stated that he had seeded 1.7 million STBs whereas the Ministry’s website shows that he had seeded only 100,000 STBs. In this regard it was decided to write to all Nodal Officers as well as State Governments for these discrepancies. The concerned Associations were requested to ensure their members faithfully enter the correct details to avoid any discrepancies.

Regarding the Court cases, Pal said only three Phase III cases were pending and all other cases had been disposed of by Delhi High Court and there is no stay. He said the cut-off date for Phase IV has been extended to 31 March.2017.

Mukherjee said there are no roadblocks now and enough quantity of STBs are available. She said that the seeding should also accelerate.

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In view of the analogue signals being switched off in Phase III areas for 31 January 2017 it was deciding that broadcasters will ensure that they have provided separate IRDs for Phase III and Phase IV areas; broadcasters will ensure that they do not have any analogue agreements with any MSO for Phase III areas. In case they are having any existing analogue agreements with any MSO for Phase III area, they will inform the concerned MSO that the existing agreement is not valid after 31 January 2017. Broadcasters would also carry out monitoring at the ground level to ensure that no MSO, with whom they have Interconnection Agreement, is supplying analog signal in Phase III area

The representative of CEAMA stated that demonetization and reduction of import duty to zero from ASEAN countries is affecting the requirement of indigenous STBs from the service providers. He added that they are still in the planning mode of raising the demand of STBs from indigenous manufacturers.

He hoped that some medium and small sized players would place orders after 31 January 2017 when Phase III Digitisation is over. The Ministry’s Joint Secretary (B-I) mentioned that a huge demand is expected due to the large number of households remaining to be covered in phase IV.

The representatives from the State Governments outlined their readiness and action being taken by them with regard to successful implement of Digitization. They said they are holding meetings with stakeholders. The Representative from Odisha mentioned that the Principal Secretary had a meeting on 25 November 2016 and reviewed the progress of Digitisation. They have prepared district wise data for the registered MSOs, unregistered MSOs, MSOs who are seeding data and those who are not seeding. Chairperson appreciated the efforts being made by the Odisha Government and desired that similar steps may be taken by other States. She directed that measures taken by Odisha Governmentmay be shared with all the States. Nodal Officer from Odisha was asked to send a note on the steps being taken by them for circulation to all the States.

Subhashish Mazumdar of In-Cable Net stated that progress in Phase IV areas can be better if infrastructure sharing is allowed. He said there is an issue of connectivity in remote areas such as Assam. However, he was of the opinion that since there are clear cut direction for implementation of Phase III, therefore, the progress of STBs installation will gear up in Phase IV areas.

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Anil Malhotra from SITI Cable said there are some connectivity problems in far flung areas of Phase IV. He requested that infrastructure sharing may be permitted and added that TRAI is already having consultation in this regard. He requested that they are required to carry all channels on Fibre Network in remote areas. Thus the cost of carries of channels is very high.
He suggested that MSOs should be allowed to take 80 channels from the DD FreeDish. The chairperson has asked them to send a proposal to the Ministry for consideration.

Malhotra also raised the issue of Andhra Pradesh State FiberNet Limited which has been providing Cable TV services on the Optical Fibre Network Infrastructure. He mentioned that State Governments has issued directions for removal of Cables by the cable operators from all the electricity poles. He added that all MSOs are afraid of the same and that they may not be able to provide cable services.

Ajay from Hathway stated that though there are some problems in Andhra Pradesh, they are seeding the boxes in Phase IV areas and will be able to accelerate the seeding in the month of February and March 2017. He added that they are monitoring the process on weekly basis.

Shaji Mathew from GTPL said the situation in Gujarat is very good and now they are seeding in Phase IV area but the position in other States is not so good though they are making efforts. He complained that some of the broadcasters, especially STAR, are still providing analogue IRDs and no separate IRDs have been provided for Phase III and Phase IV areas to the MSOs. Broadcasters should be asked to give profession IRDs for carrying of digital signals for Phase III as well as Phase IV areas. He also stressed the need of infrastructure sharing pointing out that TRAI should make an early recommendation on it. He mentioned that according to the terms and conditions mentioned in the Ministry’s MSO registration letter no infrastructure sharing is possible since a separate own headend is required by the MSOs. The chairperson asked the MSOs that a request with regard to sharing of infrastructure may come to the Ministry in writing.

The MSOs asked that it should be possible to share SMS. The Ministry’s representative pointed out that Entertainment Tax Department of UP Government had complained that MSOs do not provide them the data from the SMS.

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Vaibhav representing Den pointed out that a representative of UP Government wanted User ID and Password and not the SMS output which cannot be provided.

A Sony India representative said they have already issued directions to switching off analog signals in Phase III areas from 1 February 2017. He asked how the signals to Arasu Cable for Phase III areas could be stopped since they have been providing analogue signals in Tamil Nadu. In this regard, Pal said according to the Madras High Court directions, analog signals of Arasu Cable cannot be disturbed till Ministry decide on their MSO registration applications.

Some of the representatives raised the issues of a Hong Kong based company, called ABS technologies, whose teleport is outside India, is able to provide DTH services. The boxes of this company are freely available in the market. It is showing free to air channels of broadcasters. BARC has captured this data. The chairperson has sought examining of this issue.

One MSO pointed out about a letter from District Administration in Aurangabad, Maharashtra, which has directed the local MSOs not to stop analog. The chairperson asked the Ministry to get details in this regard.

MSOs felt that in at least 20 per cent  of rural and remote/hilly areas cable TV digitization may not be financially and technically viable even though analogue may be working there. These remote areas are best served by DTH. It was learnt that some DTH operators have packages only for FTA channels but they actually do not offer the same to the public. Th chairperson directed that DTH operators should examine the issue and come out with cost effective packages especially for remote and inaccessible areas where it is not possible for MSOs to provide digital cable services.

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Also Read:

No DAS III extension beyond 31 Jan, reiterates MIB

MSO registrations remain slow even as DAS deadlines approach

Is DAS III optional in AP, Telangana? HC seeks Govt answer by 31 Jan

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Cable TV

Den Networks Q3 profit steady despite revenue pressure

PAT rises 15 per cent QoQ as revenue dips 4 per cent YoY amid cost pressures.

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MUMBAI: When margins wobble, liquidity talks and in Q3 FY25-26, cash did most of the talking. Den Networks Limited closed the December quarter with consolidated revenue of Rs.251 crore, marginally higher than the previous quarter but down 4 per cent year-on-year, even as profitability stayed resilient on the back of strong cash reserves and disciplined cost control.

Subscription income softened to Rs.98 crore, slipping 3 per cent sequentially and 14 per cent from last year, while placement and marketing income offered some cheer, rising 15 per cent quarter-on-quarter to Rs.148 crore. Total costs climbed faster than revenue, up 7 per cent QoQ to Rs.238 crore, driven largely by higher content costs and operating expenses. As a result, EBITDA dropped sharply to Rs.13 crore from Rs.19 crore in Q2 and Rs.28 crore a year ago, pulling margins down to 5 per cent.

Yet, the bottom line refused to blink. Profit after tax stood at Rs.40 crore, up 15 per cent sequentially and only marginally lower than last year’s Rs.42 crore. A healthy Rs.57 crore in other income helped cushion operating pressure, keeping profit before tax at Rs.48 crore, broadly stable quarter-on-quarter despite the tougher cost environment.

The real headline-grabber, however, sits on the balance sheet. The company remains debt-free, with cash and cash equivalents swelling to Rs.3,279 crore as of December 31, 2025. Net worth rose to Rs.3,748 crore, while online collections accounted for 97 per cent of total receipts, underscoring strong cash discipline across operations, including subsidiaries.

In short, while Q3 showed signs of operating strain, the financial backbone remains solid. With zero gross debt, steady profits and a formidable cash war chest, the company enters the next quarter with flexibility firmly on its side proving that in uncertain markets, balance sheet strength can be the best growth strategy.

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Plugging along as Hathway tunes in steady profits this quarter

Cable major posts Rs 22 crore Q3 profit as TV business offsets broadband drag.

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MUMBAI: In a quarter where staying connected mattered more than moving fast, Hathway Cable and Datacom kept its signal steady. The cable and broadband major reported a net profit of Rs 21.7 crore for the December 2025 quarter, marking a clear improvement from Rs 13.6 crore a year earlier, even as pressures persisted in parts of its operating portfolio.

For the quarter ended December 31, 2025, revenue from operations stood largely flat at Rs 536.6 crore, compared with Rs 511.2 crore in the same period last year. Including other income of Rs 21.1 crore, total income rose to Rs 557.7 crore, reflecting incremental gains despite a competitive media and connectivity landscape.

Profitability improved on the back of disciplined cost control and higher contribution from associates. Profit before tax increased to Rs 28.2 crore, up from Rs 19.1 crore in Q3 FY25, aided by Rs 3.9 crore in share of profit from associates and joint ventures. After tax, earnings for the quarter climbed nearly 60 per cent year-on-year.

Over the nine months ended December 31, 2025, Hathway reported a net profit of Rs 71 crore, compared with Rs 57.7 crore in the corresponding period last year. Total income for the nine months came in at Rs 1,677.3 crore, up from Rs 1,599.8 crore, while profit before tax rose to Rs 94.7 crore from Rs 84.2 crore.

A closer look at the segments shows a familiar split story. The cable television business remained under pressure, reporting a segment loss of Rs 11.4 crore for the quarter, though this narrowed sharply from the Rs 16.6 crore loss seen a year ago. In contrast, the broadband business returned to the black, delivering a modest but positive contribution of Rs 4.2 crore, helped by associate income. Dealing in securities continued to be a bright spot, generating Rs 14.7 crore in quarterly profits.

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Costs stayed broadly contained. Pay channel costs, the single largest expense, rose to Rs 287.4 crore, while depreciation and amortisation stood at Rs 74 crore. Finance costs remained negligible at Rs 0.2 crore, keeping leverage risks in check.

Hathway’s earnings per share for the quarter improved to Rs 0.12, up from Rs 0.08 a year ago. The company maintained a strong balance sheet, with total assets of Rs 5,302.4 crore and total liabilities of Rs 848.9 crore as of December 31, 2025.

While structural challenges persist in the traditional cable business, the numbers suggest Hathway is slowly recalibrating its mix trimming losses where needed, leaning on associate income, and keeping the broadband engine ticking. For now, the company may not be racing ahead, but it is clearly staying tuned in to profitability.

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Cable TV

Signal drop Tejas Networks’ numbers stay patchy in a volatile quarter

Revenue ticks up, losses widen as costs, provisions and resets weigh on FY26.

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MUMBAI: In telecom, even the strongest signals face interference and Tejas Networks Limited’s latest numbers show just how noisy the airwaves remain. The Tata Group-backed networking firm reported unaudited standalone revenue of Rs 305.72 crore for the quarter ended December 31, 2025, up sequentially from Rs 261.37 crore in the September quarter, but sharply lower compared with the Rs 2,642.05 crore clocked in the year-ago period. The topline recovery, however, was overshadowed by a pre-tax loss of Rs 303.20 crore, widening from a Rs 473.03 crore loss in the previous quarter, and reversing a Rs 211.06 crore profit reported in the December 2024 quarter.

After tax, the company posted a loss of Rs 196.89 crore for Q3 FY26, compared with a loss of Rs 307.17 crore in Q2 FY26 and a profit of Rs 165.42 crore a year earlier. For the nine months ended December 31, 2025, Tejas Networks reported revenue of Rs 769.02 crore and a loss after tax of Rs 697.97 crore, a sharp swing from a Rs 512.67 crore profit in the corresponding nine-month period last year. The numbers reflect a year marked by execution challenges rather than demand collapse.

Costs remained the dominant spoiler. Total expenses for the December quarter stood at Rs 616.50 crore, driven by elevated material costs, employee expenses and provisioning. The company also flagged several one-offs and adjustments: a Rs 9.85 crore provision linked to the implementation of new labour codes, ₹24.35 crore in warranty provisions, and reversals related to inventory obsolescence. Earlier quarters had already absorbed heavy charges tied to contract manufacturing losses, design changes and write-downs, the hangover from which continues to weigh on profitability.

Tejas reiterated that it operates as a single reportable segment focused on telecom and data networking products and services, offering little insulation from sector-wide volatility. While revenue momentum has stabilised sequentially, the contrast with the previous financial year remains stark. For context, the company closed FY25 with audited standalone revenue of Rs 8,915.73 crore and a profit after tax of Rs 450.66 crore, underscoring how sharply the operating environment has shifted in FY26.

The results were reviewed by the audit committee and approved by the board on January 9, 2026, but they leave investors with a familiar question: when does recovery turn structural rather than episodic? For now, Tejas Networks appears to be in reset mode, balancing execution clean-up with cost discipline. In a sector where margins can be as fragile as fibre strands, the next few quarters will matter as much as the signals the company sends to the market.

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