Other Financial and Operating Data
The following table sets forth select financial data from Videocon d2h’s income statement for the periods indicated, the components of which are also expressed as a percentage of total revenue for such periods.
( in Million) | ||||||||||||||||
| Fiscal Year | ||||||||||||||||
| 2015 | 2014 | |||||||||||||||
| Particulars | Amount | % of Total Revenue | Amount | % of Total Revenue | ||||||||||||
INCOME | ||||||||||||||||
Revenue from operations | 23,377.08 | 100.0 | % | 17,644.10 | 100.0 | % | ||||||||||
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| 23,377.08 | 100.0 | % | 17,644.10 | 100.0 | % | |||||||||||
EXPENSE | ||||||||||||||||
Operating expense | 13,853.05 | 59.3 | % | 10,715.06 | 60.7 | % | ||||||||||
Employee benefits expense | 1,023.28 | 4.4 | % | 864.28 | 4.9 | % | ||||||||||
Administration and other expenses | 688.04 | 2.9 | % | 538.71 | 3.1 | % | ||||||||||
Selling and distribution expenses | 1,856.32 | 7.9 | % | 1,605.56 | 9.1 | % | ||||||||||
Depreciation, amortization and impairment | 5,286.82 | 22.6 | % | 4,211.89 | 23.9 | % | ||||||||||
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Total Expenses | 22,707.51 | 97.1 | % | 17,935.50 | 101.7 | % | ||||||||||
Profit / (Loss) from operations | 669.57 | 2.9 | % | (291.40 | ) | -1.7 | % | |||||||||
Finance costs / Finance Income (Net) | (4,614.22 | ) | -19.7 | % | (4,351.02 | ) | -24.7 | % | ||||||||
Other Income | 0.08 | 0.0 | % | 17.26 | 0.1 | % | ||||||||||
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Profit / (loss) before tax | (3,944.57 | ) | -16.9 | % | (4,625.16 | ) | -26.2 | % | ||||||||
Income tax expense | ||||||||||||||||
Current tax | — | — | — | — | ||||||||||||
Deferred tax | (1,217.93 | ) | -5.2 | % | (1,429.68 | ) | -8.1 | % | ||||||||
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Profit / (Loss) after tax | (2,726.64 | ) | -11.7 | % | (3,195.48 | ) | -18.1 | % | ||||||||
Non-GAAP Measures | ||||||||||||||||
Reconciliation of IFRS to Non IFRS financial measures | ||||||||||||||||
Profit / (Loss) after tax | (2,726.64 | ) | -11.7 | % | (3,195.48 | ) | -18.1 | % | ||||||||
Income tax expense | (1,217.93 | ) | -5.2 | % | (1,429.68 | ) | -8.1 | % | ||||||||
Profit / (loss) before tax | (3,944.57 | ) | -16.9 | % | (4,625.16 | ) | -26.2 | % | ||||||||
Finance costs / Finance Income (Net) | 4,614.22 | 19.7 | % | 4,351.02 | 24.7 | % | ||||||||||
Other Income | (0.08 | ) | 0.0 | % | (17.26 | ) | -0.1 | % | ||||||||
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Profit / (Loss) from operations | 669.57 | 2.9 | % | (291.40 | ) | -1.7 | % | |||||||||
Depreciation, amortization and impairment | 5,286.82 | 22.6 | % | 4,211.89 | 23.9 | % | ||||||||||
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Earning before interest, tax, depreciation and amortization (EBITDA) | 5,956.39 | 25.5 | % | 3,920.49 | 22.2 | % | ||||||||||
Employee Share based compensation Cost (ESOP Plan 2014) | 29.74 | 0.1 | % | — | — | |||||||||||
One Time Security Issue Expenses | 105.43 | 0.5 | % | — | — | |||||||||||
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1 Adjusted Earning before interest, tax, depreciation and amortization(Adjusted EBITDA) | 6,091.56 | 26.1 | % | 3,920.49 | 22.2 | % | ||||||||||
| Key Metrics | ||||||||||||
Particulars | 2015 | 2014 | Increase | |||||||||
Gross Subscriber Base (million) | 13.09 | 10.45 | 2.64 | |||||||||
Net Subscriber Base (million) | 10.18 | 8.44 | 1.74 | |||||||||
Incremental Churn % | 0.80 | % | 0.76 | % | 0.04 | % | ||||||
ARPU ( | 196 | 181 | 15 | |||||||||
Content as % of Revenue | 36.2 | % | 34.1 | % | 2.1 | % | ||||||
Subscriber Acquisition Cost (in | 1,984 | 1,890 | 94 | |||||||||
| 1 | Adjusted EBITDA is calculated after oneoff Securities issue expenses and impact of ESOP Plan 2014. |
EBITDA presented in this statement is a supplemental measure of performance and liquidity that is not required by or represented in accordance with the IFRS. Furthermore, EBITDA is not a measure of financial performance or liquidity under IFRS and should not be considered as an alternative to profit after tax, operating income or other income or any other performance measures derived in accordance with the IFRS or as an alternative to cash flow from operating activities or as a measure of liquidity. In addition, EBITDA is not a standardized term, hence direct comparison between companies using the same term may not be possible. Other companies may calculate EBITDA differently from Videocon d2h, limiting their usefulness as comparative measures. Company believes that EBITDA helps identify underlying trends in its business that could otherwise be distorted by the effect of the expenses that are excluded for calculating EBITDA. Company believes that EBITDA enhances the overall understanding of its past performance and future prospects and allows for greater visibility with respect to key metrics used by its management in its financial and operational decision making.
Unaudited Quarterly Financials
| in Millions | ||||||||||||||||
| Fiscal 2015 | ||||||||||||||||
Particulars | Quarter ended June 30, 2014 | Quarter ended Sept. 30, 2014 | Quarter ended Dec. 31, 2014 | Quarter ended March 31, 2015 | ||||||||||||
Subscribers details: | ||||||||||||||||
Gross base (million) | 11.21 | 11.82 | 12.47 | 13.09 | ||||||||||||
Net base (million) | 9.09 | 9.46 | 9.82 | 10.18 | ||||||||||||
INCOME | ||||||||||||||||
Revenue from operations | 5,374.93 | 5,734.04 | 6,015.31 | 6,252.80 | ||||||||||||
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EXPENSE | ||||||||||||||||
Operating expense | 3,089.81 | 3,380.76 | 3,745.66 | 3,636.82 | ||||||||||||
Employee benefits expense | 243.75 | 244.65 | 249.85 | 285.03 | ||||||||||||
Administration and other expenses | 126.75 | 156.71 | 151.50 | 253.09 | ||||||||||||
Selling and distribution expenses | 431.58 | 507.13 | 456.82 | 460.79 | ||||||||||||
Depreciation, amortization and impairment | 1,245.13 | 1,283.83 | 1,348.13 | 1,409.73 | ||||||||||||
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Total Expenses | 5,137.02 | 5,573.08 | 5,951.96 | 6,045.46 | ||||||||||||
Profit / (Loss) from operations | 237.91 | 160.96 | 63.35 | 207.34 | ||||||||||||
Finance costs/Finance Income (Net) | (1,045.12 | ) | (1,049.40 | ) | (1,218.85 | ) | (1,300.86 | ) | ||||||||
Other Income | 0.19 | 0.24 | 0.41 | (0.76 | ) | |||||||||||
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Profit/(loss) before tax | (807.02 | ) | (888.20 | ) | (1,155.09 | ) | (1,094.28 | ) | ||||||||
Income tax expense | ||||||||||||||||
Current tax | — | — | — | — | ||||||||||||
Deferred tax | (249.45 | ) | (274.53 | ) | (357.04 | ) | (336.91 | ) | ||||||||
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Profit/(Loss) after tax | (557.57 | ) | (613.67 | ) | (798.05 | ) | (757.37 | ) | ||||||||
Churn (%) | 0.42 | % | 0.85 | % | 1.02 | % | 0.85 | % | ||||||||
Content % of revenue | 32.7 | % | 34.8 | % | 38.3 | % | 38.4 | % | ||||||||
ARPU ( | 187 | 190 | 195 | 202 | ||||||||||||
Non-GAAP Measures
| Earning before interest, tax, depreciation and amortization (EBITDA) | in Millions | |||||||||||||||
| Fiscal 2015 | ||||||||||||||||
Particulars | Quarter ended June 30, 2014 | Quarter ended Sept. 30, 2014 | Quarter ended Dec. 31, 2014 | Quarter ended March 31, 2015 | ||||||||||||
Profit / (Loss) after tax | (557.57 | ) | (613.67 | ) | (798.05 | ) | (757.37 | ) | ||||||||
Income tax expense | (249.45 | ) | (274.53 | ) | (357.04 | ) | (336.91 | ) | ||||||||
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Profit / (loss) before tax | (807.02 | ) | (888.20 | ) | (1,155.09 | ) | (1,094.28 | ) | ||||||||
Finance costs / Finance Income (Net) | 1,045.12 | 1,049.40 | 1,218.85 | 1,300.86 | ||||||||||||
Other Income | (0.19 | ) | (0.24 | ) | (0.41 | ) | 0.76 | |||||||||
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Profit / (Loss) from operations | 237.91 | 160.96 | 63.35 | 207.34 | ||||||||||||
Depreciation, amortization and impairment | 1,245.13 | 1,283.83 | 1,348.13 | 1,409.73 | ||||||||||||
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Earning before interest, tax, depreciation and amortization (EBITDA) | 1,483.04 | 1,444.79 | 1,411.48 | 1,617.07 | ||||||||||||
Note: EBITDA of quarter ended March 31, 2015 is after accounting for one off securities issue expenses of 105.43 million and Employee Share based Compensations cost of 29.74 million towards provision of ESOP plan 2014.