Hathway Cable Q1 profit doubles QoQ but cable TV still bleeds
Net profit at ₹24.56 cr vs ₹11.25 cr last quarter; revenue edges up to ₹565 cr. Investment income props up results; DoT's ₹3,201.93 cr demand remains a contingent liability.
— 1 earlier story on Hathway Cable & Datacom Ltd. →What's new
- Net profit more than doubled sequentially to ₹24.56 cr, aided by higher other income and lower tax.
- Cable TV segment logged an operating loss of ₹18.59 cr; broadband contributed just ₹1.45 cr.
- DoT's ₹3,201.93 cr license fee demand remains contested with no provision made.
Why this matters
The profit recovery is on a weak base, the March quarter was unusually low. Strip out ₹17.78 cr from dealing in securities, and operating profit is thin. The DoT demand of ₹3,201.93 cr remains unresolved.
What we're watching
- Trend in cable TV segment losses, any narrowing would signal structural improvement.
- Progress on the DoT demand, even a partial provision would hit book value.
- Broadband subscriber additions, the segment's ₹1.45 cr profit is barely a rounding error.
The full read
Hathway Cable more than doubled its Q1 net profit to ₹24.56 cr from ₹11.25 cr in the March quarter, but that is still below last year's ₹31.03 cr. The improvement came from ₹17.78 cr in investment gains and a lower tax bill, not from operations. The cable TV business, its core, lost ₹18.59 cr. Broadband eked out ₹1.45 cr, a rounding error on a ₹565 cr revenue base. The ₹3,201.93 cr DoT license-fee demand remains unanswered. This is a routine quarter, no surprises, no progress. The stock trades at a trailing P/E of 25.2 with a 2.1% ROE, implying the market is pricing in a resolution that hasn't come.
Questions answered
- What drove the sharp sequential profit jump?
- Higher other income, mainly ₹17.78 cr from dealing in securities, and a lower tax outlay. Revenue grew only 3.5% sequentially.
- Why did cable TV still lose money?
- The cable TV segment reported a total loss of ₹18.59 cr, including its share of joint ventures. It has been loss-making for quarters as the shift to broadband and OTT pressures legacy business.
- How big is the DoT demand relative to the company?
- The DoT is demanding ₹3,201.93 cr in license fees, which exceeds the company's market cap. Hathway is contesting it and has made no provision.
- What is the broadband segment doing?
- Broadband generated a modest profit of ₹1.45 cr on a likely small revenue base. It is not yet a material contributor.
- Why did profit fall from last year's Q1?
- Year-ago Q1 net profit was ₹31.03 cr. The drop is due to lower cable TV revenue and higher losses in that segment, partly offset by investment income.
- Is the company making any provision for the DoT demand?
- No. Hathway says the demand is contested and that no provision has been made, meaning the full ₹3,201.93 cr remains a contingent liability.
Hathway Cable & Datacom Ltd.
Latest quarter · Jun 2026
Strength & growth
Story so far
All notes on HATHWAY →- 16 Jul 2026 · 4:27 PM IST Hathway Cable Q1 profit doubles QoQ but cable TV still bleeds
- 12d ago Hathway's Q1 profit jumps QoQ but lags year-ago level