Tuesday, July 29th, 2014
NEW DELHI, India — Bharti Airtel Limited (“Bharti Airtel” or “the Company”) today announced its audited consolidated IFRS results for the first quarter ended June 30, 2014.
Digital TV Services
The Company’s Direct-To-Home (DTH) platform offers both standard and high definition (HD) digital TV services with 3D capabilities and Dolby surround sound. Bharti Airtel currently offers a total of 400 channels including 20 HD channels and 3 interactive services.
As on June 30, 2014, the Company had its Digital TV operations in 639 districts with 9.4 million customers, an increase of 11.1% as compared to corresponding quarter last year. Net customer additions for Digital TV during the quarter increased to 376K. As a result of higher HD penetration and upselling of packs, ARPU increased by Rs 17 to Rs 214 as compared to Rs 197 in the corresponding quarter last year.
Revenues from Digital TV services increased by 20.7% to Rs 5,915 Mn as compared to Rs 4,900 Mn in the corresponding quarter last year. EBITDA for the quarter increased to Rs 1,437 Mn as compared to Rs 760 Mn in the corresponding quarter last year. EBIDTA margin improved significantly to 24.3% in the current quarter, as compared to a margin of 15.5% in the corresponding quarter last year.
During the current quarter, the Company incurred a capital expenditure of Rs 2,627 Mn for higher procurement of boxes for higher gross adds. Cash burn during the quarter at Rs 1,190 Mn has dropped, compared to Rs 1,479 Mn in the corresponding quarter last year.
Key Company Developments – TV
Launched “Pocket TV” app on iOS, enabling Airtel Digital TV subscribers to view TV on their mobiles, tablets etc.
Airtel is the first company in India to provide real-time integration of all the three screens viz. television, mobile and computer enabling its customers to record their favorite TV programs through mobile and web.
In partnership with Disney India, Airtel Digital TV launched its first English Subscription Video on Demand (SVOD) channel – “Disney Family Movies” to showcase popular Disney movies including Hollywood classics, popular animation movies and live action titles.
Customers – Digital TV Services (000s)
Jun 30, Mar 31, Q-on-Q Jun 30, Y-on-Y 2014 2014 Growth 2013 Growth ------- ------- ------ ------- ------ 9,388 9,012 4% 8,452 11%
Operational Performance – India – Digital TV
Jun 30, Mar 31, Dec 31, Sep 30, Jun 30, Parameter Unit 2014 2014 2013 2013 2013 ------------------------------- ---- ------- ------- ------- ------- ------- Customers 000s 9,388 9,012 8,807 8,572 8,452 Net additions 000s 376 205 235 120 352 Average Revenue Per User (ARPU) Rs 214 203 207 198 197 Average Revenue Per User (ARPU) US$ 3.6 3.3 3.3 3.2 3.5 Monthly Churn % 0.6% 0.9% 0.8% 1.0% 0.6%