This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

China Digital TV CEO Discusses Q3 2010 Results - Earnings Call Transcript

As a reminder, this conference is being recorded. In addition, a webcast of this conference call will be available on China Digital TV’s investor relations website. I will now turn the call over to China Digital TV’s president, Mr. Li.

Dong Li

Thank you, Henry. Hello everyone.

We are pleased to report that in the third quarter we achieved 21.1 million US dollars in revenues, exceeding our high-end guidance and hitting a record high. Encouraged by government policies related to three network convergence and ongoing industry consolidation, we saw Chinese cable operators continuing to accelerate investment in digitalization projects over the quarter. As a result of the active industry environment, we shipped about 3.95 million smart cards in the third quarter. At the same time, we expanded our lead over competitors, capturing about 55% market share in CA card shipments during the quarter, according to data compiled by an independent market research firm.

I would like to take you through some policy updates before turning to the operational results.

During the last quarter, the 12 pilot cities and regions in the three-network convergence project submitted their convergence plans to the central government. The plans covered both practical implementation and industry supervision issues. At the same time the national tax bureau published a tax incentive notice, granting digital cable operators in 11 provinces including Shanghai, Chongqing and Jiangsu, exemptions from business tax for three years beginning 2010 for their basic digital TV subscription revenues. We believe this policy will further encourage cable operators to promote digitalization.

We believe China Digital TV is well positioned for long-term development in China’s pay-TV industry with its broad operator customer base, deep understanding of the industry and advanced content protection technologies. In our view, for the fourth quarter of this year and the first half of 2011, operator demand for CA products will remain relatively strong.

2 of 4

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free
AAPL $95.18 0.00%
FB $117.43 0.00%
GOOG $692.36 0.00%
TSLA $232.32 0.00%
YHOO $36.01 0.00%


Chart of I:DJI
DOW 17,750.91 -140.25 -0.78%
S&P 500 2,063.37 -18.06 -0.87%
NASDAQ 4,763.2240 -54.37 -1.13%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs