Press Releases2016May 27, 2016
SITI Cable turns PAT Positive EBITDA Up 92% YOY; Revenue Up 30% YOY
SITI Cable Network Limited, An Essel Group Company (SITI CABLE)Â (BSE: 532795, NSE: SITI CABLE EQ) has released their Audited Consolidated Financial Results for the fourth quarter and full financial year 2015-2016.
The Company announced profitable turn around for the first time in its history, withÂ Profit Before Tax of INR 22 Crores. EBITDAÂ also increasedÂ by 92% year-on year, which is highest ever in a financial year for the company. SITI Cable'sÂ RevenueÂ increased toÂ INR 1,213 Crores, up 30% year-on-year. The company expects to maintain a strong growth trajectory going forward.
SITI Digital: SITI Cable has been vigorously participating in the Digital India movement by digitizing analog TV homes in DAS Phase 3 areas and added 1.1 Mn+ digital customer base during Q4 FY16, and 2.7 Mn+ digital customers during FY16, taking theÂ digital video base to 7.9 million exit March 2016.Â The company expanded itsÂ footprint to 312 citiesÂ across the country with nearly 200 cities being rolled out during FY16. In Andhra Pradesh and Telangana, SITI Cable crossed 1.5 Mn+ digital customer base.
Acquisitions:Â SITI Cable adopted the inorganic growth route and acquired majority stake in regional MSO's in Maharashtra, Gujarat, Odisha and Assam for DAS Phase 3 &4 expansion
SITI HD+: SITI Cable strengthened itsÂ SITI HD+Â services by offering overÂ 45 HD channelsÂ during FY16.
8Â new HD channels are in the pipeline for rollout in the near future. SITI HD+ customer base increased to50,170, up 42% over Q3 FY16.
SITI Broadband:Â The company'sÂ broadband operationsÂ added 2.2 lakh home passes in the quarter taking the totalÂ footprint to 8.9 lakhÂ homes. Broadband customer base also grew to ~1.32 lakh by Q4 FY16 exit, up 120% year-on-year.
Promoter Funding: During Q4 FY16, Promoters infused fundsÂ amounting toÂ Rs. 530 Crores, re-affirming the SITI Cable Growth Story and commitment to create sustainable value for all stakeholders. This was the first tranche of the previously announcedÂ INR 680 CroreÂ announced earlier. The Reserve Bank of India had alsoÂ hikedÂ the Foreign Institutional Investors (FIIs)/Registered Foreign Portfolios Investors (RFPIs)Â investment limitÂ in the Company, which allows the foreign funds to aggressively participate upÂ to 49%Â of the paid up capital of the Company.
Credit Rating Upgraded:Â Recently,Â credit rating agency ICRA upgraded the long-term rating of SITI Cable to [ICRA]A- from [ICRA]BBB+. Further ICRA pronounced [ICRA]AA+ outstanding rating on the term loan facility of SITI Cable. The outlook on the ratings is 'stable'.
Inclusion in MSCI India Domestic Small Cap Index:Â SITI Cable Network Limited has also been chosen to be a constituent of theÂ Morgan Stanley Capital International (MSCI) India Domestic Small Cap Index, effective 31st May, 2016. MSCI Indices are among the most respected and extensively used benchmarks in the financial industry globally
Awards:Â SITI Cable was recognized at theÂ 7th Broadcasting, Cable & Satellite Ratna AwardsÂ as anOutstanding MSO providing Technology and Services.
Mr. VD Wadhwa,Â Executive Director and CEO, SITI Cable was awarded as theÂ Best CEO AwardÂ for his strategic leadership and leading the company's profitable turnaround at theÂ 7th Broadcasting, Cable & Satellite Ratna Awards.
Mr. VD WadhwaÂ has also been nominated as theÂ Best CEO for the Asia Communication Awards 2016, along with 11 other leading CEO's from other Asian Countries.
While commenting on the resultsÂ Mr. V D Wadhwa, Executive Director & CEO, SITI CableÂ mentionedÂ -
"Our strategy of tighter control on cost lines and improving monetization has started yielding results and the company's profitable turn-around, first time in 20 years, is a testament to that.
We continue on our journey of being the fastest growing company in Cable and Broadband by expanding the breadth & width of our distribution. As a part of our strategy, we are working on gaining Industry leadership through organic and inorganic growth.
Our growth story was recognized not only by the promoters who increased their stake, but also by independent agencies like ICRA who upgraded the long term rating of SITI Cable to [ICRA]A- from [ICRA]BB+. Morgan Stanley Capital International (MSCI) will also be including SITI Cable as constituent of their India Domestic Small Cap Index with effect from 31st May 2016.
Having expanded in DAS Phase 3, our biggest challenge in FY17 will be monetization. We are well positioned to scale up our Broadband operations aggressively in new geographies in FY17."