SITI Networks Limited, formerly known as SITI Cable Network Limited, an Essel Group Company,(BSE: 532795, NSE: SITINET) has released their Unaudited Consolidated Financial Results for the First Quarter, ending June 30, 2016.
The Company announced 29% year on year EBITDA growth in Q1FY17 to INR 47 Crores. Revenue grew by 24% to Rs. 287 Crores in the same duration.
Video Services: SITI Networks expanded its footprint to 387 cities across the country serving a total digital subscriber base of 8.3 million customers. The company rolled out new packages and add-ons which provide quality entertainment options to its customers. Adhering to TRAI's Inter-connect regulation the company is in process of signing Standard Interconnect Agreement (SIA) / Model Interconnect Agreement (MIA) with its 21,000+ partners across the country. This will not only increase transparency in business but also ensure seamless customer experience.
HD Services: SITI Networks also strengthened its SITI HD+ services by expanding its bouquet to 57 HD channels. SITI HD+ customer base increased 65,140, up 30% over Q4 FY16.
Broadband Services: The company's broadband operations added 3 lakh home passes in the quarter taking the total footprint to 11.9 lakh homes. Broadband customer base also grew to 1.67 lakh by Q1 FY17 exit, up 26% over Q4 FY16. In line with its vision to provide quality broadband services, the company also established presence in 4 cities of Haryana namely, Hissar, Karnal, Panipat and Rohtak.
OTT Services: In Q1 FY17, SITI Networks also started offering Ditto TV services to its customers. Ditto TV is India's first linear OTT application developed by Zee Digital Convergence Limited. The app, available on iOS and Android platforms, offers customers the option to watch 100 live TV channels including 11 HD channels anytime anywhere. Customers can also watch catch up content for Zee bouquet channels for last 7 days on the app. SITI Networks has bundled the Ditto TV app with its broadband packages. This app is also being offered to its video customers for Rs.20 per month.
Credit Rating Upgraded: Credit Analysis & Research Limited (CARE) has upgraded the long term rating for SITI Networks to [CARE]A- (Single A Minus). Earlier during the year, credit rating agency ICRA had also upgraded the long-term rating of SITI Networks to [ICRA]A- from [ICRA]BBB+. The outlook on the ratings is 'stable'.
Awards: Mr. VD Wadhwa, Executive Director & CEO, SITI Networks was adjudged as the First Runner-Up in the Best CEO category for the Asia Communication Awards 2016 held in Singapore. He had been nominated along with 11 other leading CEO's from Asian Countries.
A new identity for the future: The Company has recently changed its name from SITI Cable Network Limited to SITI Networks Limited. The name change reflects SITI's vision of becoming a preferred choice for customers in a platform-neutral environment using technology as an edge.
While commenting on the results, Mr. V D Wadhwa, Executive Director & CEO, SITI Networks Limited mentioned -
"We expanded our reach further by branching out to 387 cities in line with our strategy of select market expansion. We have established our broadband presence in Haryana and expect to significantly expand our subscriber base this year.
Recurring cash flows were sluggish due to delays in Phase 3 monetization on account of legal bottlenecks. However, we expect a time bound resolution by the second half of the year and limited long term impact of this issue. We are well prepared for improved monetization of our subscriber base"