Shares of this microcap company clocked 5 percent upper circuit in Tuesday’s trading session after securing exclusive broadcasting rights for ABC Australia Channel in India.
Price Movement:
With a market capitalization of Rs. 12.7 crores, the shares of Catvision Ltd started Tuesday’s trading session on a higher note at Rs. 23.62, locking a 5 percent upper circuit compared to its previous close of Rs. 22.50 apiece.
What Happened:
Such a bullish movement in the share price was observed after the company in an exchange filing announced that it had obtained approval from the Ministry of Information and Broadcasting (Government of India) for its application to downlink and broadcast ABC Australia Channel, operated by the Australian Broadcasting Corporation, an entity of the Australian Government.
Furthermore, Catvision Limited has successfully concluded an agreement with the Australian Broadcasting Corporation to secure exclusive broadcasting rights for ABC Australia Channel in India.
With the above approval, the company shall generate USD 1,18,896 per annum (approx. Rs. 1 crore per annum) in revenue as per the terms stipulated in the agreement.
Financials:
Looking at the company’s financial statements, the revenue decreased by around 5 percent from Rs. 5.22 crores during the December quarter to Rs. 4.97 crores in the March quarter. On the other hand, due to an increase in exceptional items, the net profits showed a transition from a net loss of Rs. 27 lakhs to a net profit of Rs. 6.38 crores during the same period.
Shareholding Pattern:
According to the latest shareholding pattern, the Promoters hold 29.82 percent of the stake, the Public holds 69.86 percent of the shares, and the remaining 0.31 percent of the stakes are held by Domestic Institutional Investors (DIIs).
Catvision has over two decades of experience in distributing foreign TV channels to platform distribution operators and hotels. Further, the company has installed over 400 digital headends and over 1 million set-top boxes in India.
Company Profile:
Incorporated in 1985, Catvision India Ltd is engaged in manufacturing and selling CATV, SMATV and IPTV equipment and providing related services including channel marketing services. The company caters to both domestic and international markets.
Written By Vaibhav Patil
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