Den Networks has reported 32 per cent increase in its y-o-y consolidated revenues for Q2 FY14 at Rs 271.88 crore. Consolidated EBITDA registered a 126 per cent jumps y-o-y to Rs 87.70 crore, while consolidated profit after tax stood at Rs 11.18 crore.
The quarter’s financials saw the benefits of digitisation reflected in the strong growth in subscription revenues, which jumped 29 per cent quarter-on-quarter even as the pace of activations reduced following completion of digitisation in Phase II cities.
Revenues from cable business stood at Rs 258.93 crore, a growth of 35 per cent y-o-y. Cable business profit after tax remained strong at Rs 9.64 crore, while cable business EBITDA jumped 134 per cent y-o-y to Rs 85.05 crore.
Meanwhile, Den Networks is gearing up for launch of its broadband internet service. The senior management team for the broadband vertical is already in place. Den expects to launch its broadband service offering by late Q4, FY14.
Commenting on the company’s performance, SN Sharma, CEO, Den Networks said, “The successful implementation of digitisation in Phases I and II is now translating into a significant increase in subscription revenues from the LCO, which is clearly reflected in this quarter’s results. Den is now expanding its focus on building its broadband business alongside aggressively digitising its Phase III and IV markets.”