Hathway Cable likely to report net loss of Rs 12.5 crore

Hathway Cable likely to report net loss of Rs 12.5 croreHathway Cable and Datacom , a leading cable television service operator, is most likely to report a net loss at Rs 12.5 crore during the second quarter of the financial year.

The company had recorded a net loss of Rs 16 crore in the first quarter and Rs 10.3 crore in the same quarter of the previous year. The total income from operations might increase to Rs 139 crore from Rs 136 crore during the quarter.

Hathway's earnings before interest, tax, depreciation and amortisation (EBITDA) is expected to rise to Rs 24.5 crore during the second quarter till September compared to Rs 23.5 crore in the June quarter of 2012 and Rs 19.5 crore in the same quarter of 2011.

The company's operating profit margin is expected to rise 30 basis points from the previous quarter and 230 basis points from the same quarter of the previous year to about 17.6 percent in the quarter. Analysts say that the digitization process is expected to benefit the company and the average revenue per user is expected to increase with digitisation progressing.

The company will benefit further when the digitization is implemented in the second phase to 38 cities that includes 22 million analog subscribers.