SITI Networks Limited (BSE: 532795, NSE: SITINET), has released their Unaudited Consolidated Financial Results for the Third Quarter, ending December 31, 2017. The Company announced a 225% year on year Operating EBITDA growth in Q3FY18 to INR 50 Crores. For 9MFY2018 Operating EBITDA improved significantly by 164% year on year to INR 99 Crores.
For Q3FY18, Operating EBITDA Margins, expanded 2.5 times year on year to 14.8%. Subscription Revenue also increased 44% year on year to INR 212 Crores for Q3FY18.
Revenue grew by 26% year on year to Rs. 1092 Crores for 9MFY2018. This was boosted by a 44% increase in Subscription Revenue to INR 587 Crores during the same period.
The Company added 2.76 Mn Digital Cable households in 9MFY18 taking overall digital subscriber base to 11.3 Mn exit December'17. The Company has also accelerated its subscription collection efficiencies crossing 95% mark in Q3FY18.
Earlier in the year, the Company had embarked on a transformational drive to strengthen the core through cost optimization and building operational efficiencies. This coupled with disciplined execution ensured overall expenses remained flat quarter on quarter.
The Company's broadband operations have a total footprint to 16.8 lakh homes. Broadband customer base also grew to 2.47 lakh by Q3 FY18 exit. SITI Broadband exited December 2017 with 65% acquisitions on long-term lock-in plans. Even among the base contribution of lock-in plans increased to 29%.
Further good news during the quarter came from ICRA and CARE who assigned a long-term rating of “A-“ for the company and kept the outlook on the long-term rating stable.
While commenting on the results, Mr. Rajesh Sethi, Chief Business Transformation Officer, SITI Networks Limited mentioned-
“Our sustained focus on building operating efficiencies at SITI, coupled with an agile and process driven work force has driven our EBITDA growth this quarter to INR 775 Mn. Our Operating EBITDA Margin has expanded 2.5 times year on year to 14.8%, which is a testament to the successes we have been achieving in this transformation.
We are hopeful about the impending implementation of the New Tariff Order which will give our customers the Right to Choose while improving profitability through cost optimization.”
Report By: Saurabh Datta
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