Indian direct to home (DTH) company Dish TV India Limited (Dish TV) has reported just 3.3 per cent increase in subscription revenue for the quarter ended 31 December 2016 (Q3-17, current quarter) as compared to the corresponding year ago quarter (quarter ended 31 December 2015, Q3-16). Total Income from operations (TIO) in the current quarter actually declined three per cent as compared to Q3-17.

Further, despite the sunset dates for DAS phases III and IV quickly approaching, the company could add just 220,000 subscribers (net additions) in the current quarter as compared t0 317,000 (net additions) in Q3-16. Dish TV says that it closed the current quarter with 1.53 crore net subscribers.

In its earnings release, Dish TV says that only 30 of its subscribers made payments by digital means until demonetisation day – 8 November 2016. CMD Jawahar Goel explained further, “Limited cash supply made people defer their DTH recharges by a few days or weeks depending on the urgency of other basic necessities. The impact was stronger in the second tier and below towns and cities as most of the economy in these areas runs on cash. Our subscription revenues during the quarter could have been higher by around 8 per cent in a non-adverse scenario. Lower growth eventually resulted in lower average revenues per user as well.”

The company says that the fiscal third quarter being the period of festivals is generally the largest contributor to new subscriber additions during the year. Demonetization however impacted Dish TV’s new subscriber additions also with the company recording an estimated 8-10 per cent lower subscriber adds during the quarter.

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