ETC Networks Limited announced its Q-2 results for the year 2001-2002 with its net taking a 71 per cent dip to Rs 3.8 million from Rs 13.33 million in the corresponding quarter in FY 2000.

The net revenue went down by 13 per cent from Rs 97.08 million to Rs 84.28 million. "The downturn in revenues is due to the encryption of the channel which has effected its reach," clarified Vijay Shah, company secretary, ETC Networks Limited. The distribution of decoders is still on. The bad market condition has also affected revenues, Shah said.

When queried as to how staff costs had gown down from 10.57 million to 7.03 million, Shah said it was due to the successful restructuring operations the company had undertaken. When asked about the 25 per cent increase in the sales and administration costs from Rs 20.4 million to Rs 25.70 million he said it was due to operational expenses of etc channel Punjabi which was not there last year.

The increase in the depreciation amount is due to the buying of additional machinery and equipment, Shah said.

On the Bombay Stock Exchange, the share price of the company held steady today at Rs 12. It went down marginally to Rs 11.85 and closed at Rs 12 with only 1,700 shares changing hands.