DEN Networks Reports Decline in Q4 EBITDA and Revenue, but Improved Quarter-on-Quarter Profit

DEN Networks , a leading cable TV distribution company, has released its financial results for the fourth quarter of fiscal year 2024-25, revealing a mixed performance with declining revenue and EBITDA but improved profitability compared to the previous quarter.

Revenue and EBITDA Performance

The company reported a consolidated revenue of ₹2.48 billion for Q4 FY24-25, marking a decrease from ₹2.58 billion in the same quarter last year. This represents a year-over-year decline of 3.88%. The revenue also saw a sequential decrease from ₹2.61 billion in the previous quarter (Q3 FY24-25).

DEN Networks experienced a significant decrease in its Q4 EBITDA, which fell to ₹284.23 million from ₹400.00 million year-over-year. The company's EBITDA margin also declined, dropping to 11.46% from 15.51% in the same period last year.

Profit Analysis

Despite the revenue and EBITDA decline, DEN Networks showed improvement in its bottom line:

• Consolidated net profit for Q4 FY24-25 stood at ₹621.80 million.
• This represents a significant increase from ₹403.00 million in the previous quarter (Q3 FY24-25), showcasing a quarter-on-quarter growth of 54.29%.
• However, compared to the same quarter last year, when the profit was ₹791.00 million, there is a year-over-year decrease of 21.39%.

Segment Performance

The company's financial results reveal performance across two main segments:

The cable distribution network remains the primary revenue driver, while the broadband segment shows room for improvement.

Financial Position

As of March 31, 2025, DEN Networks maintains a strong financial position:

• Total assets: ₹41,421.91 million
• Total equity: ₹36,596.46 million
• Cash and cash equivalents: ₹159.23 million

Management Commentary

S.N. Sharma, Chief Executive Officer of DEN Networks, stated in the investor presentation, "We are pleased with our performance this quarter, particularly the significant improvement in our profitability. While we faced some challenges in revenue growth and EBITDA, our focus on operational efficiency has yielded positive results in terms of quarter-on-quarter profit growth."

Conclusion

DEN Networks has demonstrated resilience in Q4 FY24-25, with improved quarter-on-quarter profitability despite revenue and EBITDA challenges. The company's strong financial position provides a solid foundation for future growth. However, addressing the performance of its broadband segment, reversing the revenue decline, and improving EBITDA margins will be key focus areas for the management in the coming quarters.

Note: All financial figures are in Indian rupees.