Siti Networks Q1 FY20 subscription revenue grows 36% to Rs 2,932 mn
Siti Networks Limited, an Essel Group Company with presence across 580+ locations in India, has reported an increase of over 36 per cent YoY in its subscription revenue for Q1 FY2020 to Rs 2,932 million. This was aided by improving monetisation and upselling better value offerings to its customers. Total revenue (excluding activation) also surged ~20 per cent y-o-y to Rs 3,925 million.
To better serve the subscribers under the new regime, Siti has created multiple offerings for the consumers which cater to multiple demographics and geographies.
As a result of these customer-oriented offerings, more than 57 per cent of the base opted for these curated My Siti plans, which has resulted in Digital Subscriber ARPU leaping 2x y-o-y and 1.5x over the previous quarter to Rs 125.
Continuing with the strong performance from last fiscal, Siti reported growth in its Operating EBITDA by 1.5x to Rs 841 million in Q1 FY20. Capitalising on the growth opportunity provided by New Tariff Order, Siti has delivered by growing the revenue at a phenomenal rate while maintaining the strict control over the operational efficiencies. This manifested itself in Operating EBITDA Margin expanding significantly by 471 bps y-o-y to 21.4 per cent.
Commenting on the results, Rajesh Sethi of Siti Networks, said, “Siti has successfully started to incorporate the New Tariff Order to the very roots of our business and this is validated by the stellar results displayed in the first quarter of current fiscal. Our subscription revenue grew over 36 per cent y-o-y with total revenue (excluding activation) increasing by more than 19 per cent y-o-y. With the increase in collection and operational efficiencies, we saw our Operating EBIDTA grow 1.5x y-o-y to Rs 841 million and the EBIDTA margins subsequently rose 1.3x y-o-y to 21.4 per cent. Our product strategy to provide the optimal entertainment choices to our subscribers is bearing fruit as the ARPU has grown 2x y-o-y and we are sure that this growth momentum will only grow stronger.”