GTPL Hathway (GTPL) Q2 24/25 earnings summary

Executive summary

• Maintained market leadership in cable TV and broadband, with a footprint in 1,500+ towns across 23 states and over 12 million households connected.

• Digital Cable TV subscribers grew 1.6x and broadband subscribers 4.2x over 7 years, with consistent revenue and EBITDA growth.

• Launched GTPL Buzz app and revamped website to enhance customer experience, integrating TV Everywhere, gaming, and chatbot services.

• Standalone and consolidated unaudited financial results for Q2 and H1 FY25 were approved and reviewed by the Board and Audit Committee.

• Statutory auditors issued an unmodified limited review report for both standalone and consolidated results.

Financial highlights

• Consolidated revenue grew 9% year-over-year to INR 8,620 million for Q2 FY25; standalone revenue up 6% to INR 5,452 million.

• Q2 FY25 consolidated EBITDA at INR 1,138 million (margin 13.2%), PAT at INR 129 million; standalone PAT at INR 141 million.

• Standalone revenue from operations for Q2 FY25 was Rs. 5,390.34 million, with net profit after tax at Rs. 139.67 million.

• Q2 FY25 consolidated EBITDA declined 16% year-over-year; PAT down 62% year-over-year.

• Net debt to equity stood at 0.1x as of September 30, 2024.

Outlook and guidance

• Revenue growth guidance revised to 12-15% for FY25, down from 20%, due to Q2 weakness.

• EBITDA expected to match or exceed last year’s INR 511 crore; operating margin target maintained at 24%.

• Broadband subscriber base projected to grow by 100K-120K annually over the next 4-5 years.

• Bundling of cable TV and OTT services expected to reduce churn and increase ARPU.

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