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 in partnership with Samsung and NAGRA, enabling cable TV access on connected TVs without set-top boxes, and enhanced AI-powered customer service solutions.

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

• PAT for Q1 FY25 stood at INR 143 million, up 12% sequentially but down from INR 360 million in Q1 FY24.

• Acquisition of remaining 49% stake in GTPL Sorath Telelink Private Limited post quarter-end, making it a wholly owned subsidiary.

Financial highlights

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

• Subscription revenue increased 7% year-over-year to INR 3,193 million; broadband revenue up 4% to INR 1,348 million.

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

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

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

Outlook and guidance

• Targeting double-digit subscription revenue growth for FY25 and FY26, with strategic 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.

• 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.