Dear NXTDIGITAL Parivaar members
Greetings to you and your families! I always take immense pleasure in interacting withyou all and updating you about the progress your Company has been making.
I hope each one of you and your families are staying safe and are taking adequateprecautions in this current unprecedented situation of the global pandemic which does notseem to abate.
My heart goes out to all those who have lost their near and dear ones in the pandemicand pray to God to give them the strength to bear the loss and to look to the future withhope.
I also salute all the frontline people who have been braving the pandemic to ensurethat the affected people are taken good care of and make this a safer place for us.
The spirit of the people of our dear nation never succumbs to challenges which is amplydemonstrated by the performance of our sportspersons in the recently concluded TokyoOlympics - despite all the disruption created by the pandemic over the last eighteenmonths.
I would now like to present to you brief facts of the environment which your Companyhas operated in and the performance of your Company for the financial year ending March312021 and the vision ahead.
The year gone by:
The financial year 2020-21 commenced with the announcement of a nationwide lockdown bythe Government of India to fight the spread of the COVID-19 pandemic. What was expected tobe a reasonably short to medium term disruption became a year long saga and stillcontinues. The Country has seen waves of the pandemic in different pockets at differentpoints in time during this period with recovery still being uncertain. As per the EconomicSurvey 20-21 almost one fourth of the Country's economic activity was wiped out due tofall in domestic demand in wake of the strict nationwide lock downs to curb the spread ofthe pandemic.
In order to keep the economy primed and to provide relief to the multitudes that gotaffected the Government announced several relief packages from time to time. Thesepackages have played their role in minimising the impact of the pandemic on the economyand the public but it is apparent that the road to normalcy is still a long one.
In the background of such uncertainties and difficulties when businesses all aroundwere struggling to survive let alone grow your Company moved ahead with clearobjectives viz. ensuring its customers continued to get serviced efficiently at a pricewhich suited their pockets in the current scenario; ensuring the safety of the employeesengaged in the tasks of continued customer service and lastly not to lose focus on growthand operating efficiencies.
I am glad to share with you that your Company was able to meet all the above objectivessuccessfully and ensured a 24/7 service to both its video and data customers madeaffordable packages for customers keeping in mind the current economic situation kept aconstant watch on the employee health including their families and finally with all thisstill posted an excellent financial performance.
Your Company posted a handsome operating profit of Rs 232 Crores for the financial yearending March 31 2021 which grew by 6.5 % from Rs 218 Crores over the previous year; thecash generated from operations was at Rs 148 Crores for the year as compared to a negativecash from operations of Rs 138 crores in the previous year; the losses after tax came downsubstantially from Rs 134 Crores in the previous year to Rs 14 crores during the financialyear ending March 31 2021. The subscriber base of both the video and the data businessesgrew significantly over the last one year despite the challenges.
As part of its responsibility towards the stakeholders in the Cable TV and FixedBroadband services industry your Company has been constantly making efforts in many waysthrough its nearly 10000 Last Mile Partners to improve consumer experience through suchmeans as online collection modes from customers to encourage contact less and speedycollections tying up with some leading fin tech companies to assist the consumers intiding over the temporary financial crunch increasing the content being providedincreasing the Fibre to Home experience for broadband by positivelyenabling Work-From-Homeculture for both corporates and individuals at Metros & Mini-Metros and many moresuch initiatives.
As mentioned by me in the past it is a matter of pride for all of you that yourCompany is the only Company which provides TV signals distribution through the Headend inthe Sky (HITS) technology in the Country and has thereby promoted both in letter andspirit the vision of our Prime Minister with respect to "Make in India""Skill India" and "Digital India". Adoption of this technology hasresulted in the design of unique delivery equipment in the Country has trained thousandsof Last mile operators (LMOs) in technical skills for satellite signals delivery and hasalso digitised the video viewing experience across the length and breadth of the Countryincluding some of the remotest parts of the Country.
Technology reach and diversified offerings is what will drive this industry goingforward and your Company is committed to both. Companies which focus on latesttechnologies and evolve a robust delivery model across the country to ensure reach will bethe winners in the future. Your Company has and continues to take steps in this directionof being a truly "all things digital" organisation.
With the objective of staying ahead in technology and maintain its competitive edgeyour company continues to scan the constantly evolving global technology landscape toacquire the most relevant ones through strategic partnerships. With respect to diversifiedofferings the new Infrastructure sharing business though delayed due to the pandemic iswell on its way to becoming a major vertical is just one example. To increase the reacheven further your Company has felt that now is the time to network the entire Countrywith its own points of presence called "NXTHUBs" from where the Last MilePartners can connect and receive video and broadband transmission. For your company thevision is now as we look to extend our services beyond infrastructure sharing and anational network of NXTHUBs. We're focussed on extending solutions beyond videobroadband content and e-shopping; leveraging our reach in over 4400 pin codes and afranchisee base of over 10000 Last Mile Partners.
Corporate Social Responsibility
Your Company has always been committed to its social responsibility. It has carried outthese activities largely through Hinduja Foundation. In addition during the current yearit has supported vaccination drives with the help of the health care divisions of theHinduja Group for employees and its business partners.
I want to place on record my sincere appreciation of your unstinted support to thecompany all these years. I would also like to thank the Directors Management EmployeesAssociates and our Last Mile Partners on the excellent performance registered in the pastyear. Also my thanks go out to our Bankers Auditors and Advisors for their help andguidance during the year to maintain the highest standards of corporate governance a toppriority for the Hinduja Group.
I would conclude by wishing you all good health.
|Ashok P. Hinduja |