Sun TV's Q3 profit down 26% to Rs 168 cr

Broadcast firm Sun TV Network today registered a 25.53% decline in its net profit at Rs 167.88 crore for the third quarter ended December 31, 2011.

During the three months ended December 31, 2010, the company's net profit was Rs 225.45 crore, it said in a filing to the Bombay Stock Exchange (BSE).

The company's net sales for the quarter ended December 31, 2011 also declined 29% to Rs 425.11 crore as against Rs 597.99 crore in the year-ago period.

Sun TV at present offers 33 channels in its bouquet.

The board has declared a third interim dividend of Rs 2.50 per share on a face value of Rs 5 per share.

With this the total dividend declared by the board so far for the financial year 2011-12 is Rs 8.75 per share.

Commenting on the digitisation of cable television which is on the anvil, the company said: "In the post digitisation scenario, both DTH and cable network companies will record big gains in market shares, which in turn will prove to be an important upside to all broadcasters, who today are unable to capture the full revenue potential of the addressable market."

In case of Sun TV, the benefits of digitisation will start with effect from July 1, 2012 with respect to Chennai metropolitan area. The other key metros of Bangalore and Hyderabad will commence contributing to revenues from March 2013.

The company's scrips closed at Rs 340.50 per share, down 3.81% from the previous close.