Tata Play Q1: Loss widens to Rs 353.9 cr, revenue down 4.32% to Rs 4,304 cr
Baytree Investments (Mauritius) Pte owns 10 percent of Tata Play.
Leading DTH operator Tata Play (formerly known as Tata Sky) has reported that its consolidated loss widened to Rs 353.9 crore as revenue from operations fell 4.32 per cent to Rs 4,304.62 crore in the financial year ended March 31, according to financial data accessed by business intelligence platform Tofler.
In FY 2023, the company reported a net loss of Rs 105.25 crore and revenue from operating activities stood at Rs 4,499.19 crore.
Total expenditure at Tata Play, in which Tata Sons now holds 50 per cent stake, rose 1.47 per cent to Rs 4,760.55 crore in FY24. It earlier stood at Rs 4,691.25 crore for the financial year ending March 2023.
Tata Play’s total revenue in FY24 also declined 4.47 per cent to Rs 4,327.07 crore. Earlier, the total revenue was Rs 4,529.97 crore a year ago.
On a standalone basis, Tata Play’s operating income also fell 6.07 per cent to Rs 3,982.57 crore for the financial year ended March 31, 2024. In FY23, it stood at Rs 4,240.04 crore.
After Tata Sons, Network Digital Distribution Services FZ LLC (NDDS) and TS Investments Ltd are the company’s second largest shareholders, holding 20 percent stake respectively.
Baytree Investments (Mauritius) Pte owns 10 percent of Tata Play.
The direct-to-home service provider is not a listed entity. It has previously received approval from capital markets regulator Securities and Exchange Board of India (SEBI) to raise funds through an initial public offering (IPO).
However, the broadcast was delayed due to ‘certain observations’ by the Ministry of Information and Broadcasting (MIB).
“The company was planning to list its shares on the National Stock Exchange of India Ltd and BSE Ltd and the company had obtained approval from SEBI for the pre-filed DRHP,” according to documents filed by the company.
However, despite an in-principle approval, the MIB has requested a change in the company’s equity structure in a letter to Tata Play dated October 7, 2022.
“In the above letter, the MIB has made certain observations which indicate that the existing share structure of the company is apparently in violation of the DTH guidelines,” Tata Play said.
According to the management, the company had obtained prior approval from the MIB and the Foreign Investment Promotion Board (FIPB) for the existing share structure. According to Tata Play, the company has not violated DTH guidelines, it said.
“The Company has filed an appropriate response in response to the aforementioned letter from the MIB on November 8, 2022, and the response from the MIB is awaited,” the company said.
Currently, Tata Sons and TS Investments are the two promoters of Tata Play.
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First print: Jul 19, 2024 | 3:03 PM IST