Dish TV India reported a sharp increase in its consolidated net loss for the second quarter of financial year 2027, as rising operating costs and declining subscription income put pressure on its traditional direct-to-home (DTH) business. The company’s net loss widened to ₹295.7 crore for the quarter ended September 30, 2026, compared with ₹132.7 crore in the corresponding period last year.
Revenue from operations remained almost flat at ₹292.1 crore, increasing just 0.3% year-on-year. However, total operating expenditure climbed 40.8% to ₹365 crore, pushing the company into a negative EBITDA position. The results highlight the financial challenges facing Dish TV as it attempts to offset subscriber-related pressure through its newer connected entertainment and hardware businesses.
Dish TV Q2 FY27 Results: Key Financial Highlights
Dish TV’s September-quarter performance showed a widening gap between revenue growth and expenditure. Although the company generated additional revenue from television and equipment sales, those businesses also brought higher costs.
| Financial metric | Q2 FY27 | Q2 FY26 |
|---|---|---|
| Revenue from operations | ₹292.1 crore | ₹291.1 crore |
| Consolidated net loss | ₹295.7 crore | ₹132.7 crore |
| Total operating expenditure | ₹365 crore | ₹259.2 crore |
| EBITDA | -₹72.9 crore | ₹31.8 crore |
| Subscription revenue | ₹179.5 crore | ₹232.4 crore |
| Marketing and promotional fees | ₹30.2 crore | ₹33.1 crore |
The company’s net loss more than doubled during the quarter. EBITDA also swung from a profit of ₹31.8 crore in Q2 FY26 to a loss of ₹72.9 crore in Q2 FY27.
The negative EBITDA margin of approximately 25% indicates that the company’s operating expenses exceeded its revenue before accounting for depreciation, amortisation and finance costs.
Subscription Revenue Falls 22.8%
The biggest challenge for Dish TV remains its declining subscription business.
Subscription revenue fell 22.8% year-on-year to ₹179.5 crore from ₹232.4 crore. Its contribution to total operating revenue dropped to 61.5%, compared with approximately 79.8% in the same quarter last year.
The decline reflects the pressure on traditional DTH operators as consumers increasingly use streaming services, connected televisions and internet-based entertainment platforms.
For years, subscription payments have been the foundation of Dish TV’s business model. A sustained decline in this revenue stream makes it more difficult for the company to cover network infrastructure, distribution and other operating costs.
Dish TV is therefore attempting to diversify its revenue sources. However, the latest results show that its newer businesses have not yet fully offset the weakness in its core subscription operations.
Hardware Sales Support Revenue Growth
One of the notable developments in the September quarter was the increase in revenue from television and equipment sales.
Revenue from LED and LCD television sales rose to ₹47.6 crore from just ₹5.1 crore in the year-ago period. These sales are associated with the company’s VZY connected entertainment portfolio.
Revenue from customer premises equipment (CPE) and accessories also increased significantly to ₹22 crore, compared with approximately ₹1.5 crore a year earlier.
Together, television and equipment sales contributed a substantially larger share of the company’s revenue.
The expansion is part of Dish TV’s effort to move beyond its traditional satellite television business. By selling smart televisions, set-top boxes and related devices, the company is attempting to build a broader connected entertainment ecosystem.
However, hardware sales typically involve substantial product and distribution costs. This was visible in the latest quarter, when the cost of goods and services increased 51.2% to ₹216.7 crore.
The increase in hardware-related business therefore supported revenue but also contributed to the pressure on operating profitability.
Expenses Surge Despite Lower Marketing Spending
Dish TV’s total operating expenditure increased 40.8% year-on-year to ₹365 crore.
The largest increase came from the cost of goods and services, which rose to ₹216.7 crore. Other expenses, including selling and distribution costs, increased 39.9% to ₹105.8 crore.
Employee expenses also increased 5.4% to ₹42.6 crore.
Interestingly, the company reduced its marketing and promotional spending by 8.9% to ₹30.2 crore. This suggests that the higher overall expenditure was not driven by increased promotional activity but by the changing composition and cost structure of the business.
Depreciation and amortisation also increased 52.3% to ₹157.9 crore, reflecting accelerated write-offs of legacy DTH infrastructure. Finance costs remained broadly stable at approximately ₹67.8 crore.
The combination of higher operating expenses, depreciation and finance costs contributed to the substantial quarterly loss.
Subscriber Base Shows Signs of Stabilisation
Despite the decline in subscription revenue, Dish TV reported an improvement in its active subscriber base during Q2 FY27.
The company added approximately 2.10 lakh net active subscribers during the quarter, taking its total active subscriber base to 75.56 lakh as of September 2026.
This represented a sequential improvement after the company lost approximately 4.38 lakh active subscribers during Q1 FY27.
Dish TV also reported a 1.5-percentage-point improvement in its 30-day renewal rate compared with the previous quarter. The company said it reduced recharge discounts by 29% while improving renewal behaviour.
These developments could indicate early stabilisation in its traditional DTH operations. However, one quarter of subscriber additions does not establish a sustained recovery, particularly when subscription revenue continues to decline.
The company will need to demonstrate that subscriber retention and renewal improvements can translate into stronger recurring revenue.
VZY: Dish TV’s Push Beyond Traditional DTH
Dish TV is positioning VZY as a connected entertainment platform that brings together live television, streaming applications and smart hardware.
The ecosystem includes smart televisions and services designed to make different forms of entertainment accessible through a single interface.
The company has also introduced VZY Linear TV Streaming, which offers more than 200 live television channels alongside 29 streaming applications.
The strategy reflects a broader change in how Indian consumers access entertainment. Rather than relying exclusively on satellite connections and traditional set-top boxes, households increasingly expect televisions to combine live channels, streaming services and internet-based content.
Dish TV is attempting to participate in this shift by expanding its product portfolio and developing new ways to reach customers.
However, the business faces competition from smart-TV manufacturers, streaming platforms, telecom companies and other digital entertainment providers. Its ability to turn hardware sales and connected services into recurring, profitable revenue will be important for the strategy’s long-term success.
Financial Pressure and Business Risks Remain Significant
Dish TV’s losses are not limited to the latest quarter. For the first half of FY27, revenue from operations declined approximately 10.1% to ₹557.9 crore, while the consolidated net loss increased to around ₹582 crore.
The company also faces a significant financial overhang related to a dispute over DTH licence fees with the Ministry of Information and Broadcasting. The ministry had demanded approximately ₹7,202.7 crore in dues and interest up to FY25. The matter remains under legal consideration, and the company has made provisions against the dispute.
The company’s September-quarter financial disclosures also highlighted material uncertainty about its ability to continue as a going concern. Its consolidated net worth stood at negative ₹4,625.9 crore as of September 30, 2026.
These issues make the company’s turnaround more challenging. Improving subscriber numbers and expanding VZY will need to be accompanied by better cash generation, cost control and progress on outstanding financial and regulatory matters.
The Bigger Picture
Dish TV’s Q2 FY27 results reflect the structural pressure on India’s traditional DTH industry. Consumers have more entertainment choices than ever, and streaming services and connected televisions are changing the economics of television distribution.
The company’s VZY strategy is an attempt to adapt to this shift. Hardware sales have helped support its reported revenue, but the associated costs have also contributed to a sharp deterioration in operating profitability. The business now faces the challenge of growing beyond traditional DTH without allowing its expanding cost base to overwhelm its earnings.
Looking Ahead
The coming quarters will show whether Dish TV can convert its subscriber additions and VZY expansion into a more sustainable business model. A recovery in subscription income, stronger renewal rates and improved cost management will be essential to reducing its losses.
Investors will also watch hardware sales, the profitability of the connected entertainment business and developments in the company’s licence-fee dispute. Until these areas improve, the sharp quarterly loss and negative EBITDA will remain important concerns for Dish TV’s financial outlook.
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Meta Description: Dish TV’s Q2 FY27 net loss widened to ₹295.7 crore as expenses rose 40.8%. Subscription revenue fell 22.8%, while hardware sales increased.
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