GTPL Hathway (GTPL) Q1 24/25 earnings summary

Executive summary

• Achieved 9.6 million digital cable TV subscribers and 1.03 million broadband subscribers as of June 30, 2024, with year-over-year and quarter-over-quarter growth in both segments.

• Launched TVkey Cloud with Samsung and NAGRA, enabling cable TV access on Samsung TVs without set-top boxes, and enhanced AI-powered customer service tools.

• Board approved unaudited financial results for Q1 FY25 and recommended appointment of two new independent directors.

• Focused on leveraging technology, infrastructure investments, and rural expansion to drive subscriber growth and improve customer experience.

• PAT for Q1 FY25 was ₹143 million, up sequentially but down year-over-year.

Financial highlights

• Consolidated revenue for Q1 FY25 grew 9% year-over-year to INR 8,506 million; standalone revenue up 6% to INR 5,433 million.

• Consolidated EBITDA at INR 1,205 million with a margin of 14.2%; standalone EBITDA at INR 690 million (13% margin).

• PAT for Q1 FY25 was ₹143 million, a 12% increase sequentially but a 60% decline year-over-year.

• Standalone and consolidated net profits declined year-over-year due to higher expenses and exceptional items.

• Basic and diluted EPS (consolidated) for Q1 FY25 was Rs. 1.27, down from Rs. 3.19 in Q1 FY24.

Outlook and guidance

• Targeting double-digit subscription revenue growth for FY 2025 and FY 2026, with ARPU increases in select cable TV markets and stable broadband prices bundled with value-added services.

• Expecting operating EBITDA margin to return to 24%-25% for the full year, driven by ARPU increases and cost optimization.

• Management remains confident in defending ongoing regulatory demands and sees no need for provisions related to contingent liabilities.

• Plans to drive growth through inorganic acquisitions, rural expansion, and bundling of cable and OTT services.