Cable TV

GTPL Hathway reports cable and internet subscribers, profit growth for FY 2019-20

Board proposes dividend; Q4-20 saw loss of Rs 19.44 crore

BENGALURU: Indian cable and internet services major GTPL Hathway Ltd (GTPL) reported profit after tax (PAT) for the year ended 31 March 2020 (FY 2020, year under review) at Rs 87.72 crore which was more than triple the PAT of Rs 25.08 crore for the previous fiscal (FY 2019). However, the company reported a loss of Rs 19.59 crore for the quarter ended 31 March 2020 (Q4 2020, quarter under review) as compared to a loss of Rs 23.50 crore for the corresponding year ago quarter (Q4 2019). The board of directors of the company have proposed a dividend of Rs 3 per share (30 percent) of face value of Rs 10 each for the year.

Follow Tellychakkar for the consumer facing news & entertainment.

GTPL has reported adding 700,000 cable TV subscribers and 80,000 internet subscribers during the year under review. It closed FY 2020 and Q4 2020 with eight million (0.8 crore or 80 lakh) CATV active subscribers or 7.5 million (0.75 crore, 75 lakh) paying CATV subscribers and 405,000 internet subscribers.

The company reported 88 per cent increase in consolidated total income at Rs 2,424.74 crore in FY 2020 as compared to Rs 1,289.15 crore for FY 2019. Consolidated operating income for the year under review increased 91.4 per cent to Rs 2,384.08 crore from Rs 1,245.82 crore in FY 2019. Consolidated total income for Q4 2020 at Rs 666.55 crore was almost double (up 91.1 per cent) as compared to Rs 348.75 crore in Q4 2019. Operating income in Q4 2020 was more than double (up 103.3 per cent) at Rs 655.65 crore as compared to Rs 322.43 crore for the corresponding year ago quarter.

Segment Revenue

GTPL Hathway has three segments: CATV, Internet and EPC;  through EPC it is executing a contract for BharatNet, for which it has reported annual revenue for the first time in FY 2020.

CATV segment reported 42.2 per cent growth in operating revenue for FY 2020 at Rs 1,565.50 crore from Rs 1,101.26 crore in the previous year. The segment had an operating profit growth of 141 per cent at Rs 108.20 crore during the year under review as compared to Rs 44.90 crore in FY 2019. Operating revenue for CATV segment in Q4 2020 grew 49.2 per cent to Rs 427.44 crore from Rs 286.40 crore in Q4 2019. Operating loss for CATV segment increased to Rs 34.62 crore in Q4 2019 as compared to an operating loss of Rs 25.82 crore in Q4 2019.

Internet services segment revenue in FY 2020 grew 15.9 per cent to Rs 167.60 crore from Rs 144.56 crore in FY 2019. The segment had an operating profit of Rs 4.96 crore in FY 2020 as compared to an operating loss of Rs 2.06 crore in FY 2019. ARPU for the segment in FY 2020 at Rs 422 was higher than the Rs 413 for FY 2019. For Q4 2020, Internet Services revenue grew 28.5 per cent to Rs 46.31 crore from Rs 36.03 crore. The segment had an operating profit of Rs 3.64 crore during the quarter under review as compared to an operating loss of Rs 5.31 crore in Q4 2019. ARPU for Internet Service segment for Q4 2020 at Rs 422 was higher than RS 415 in the immediate trailing quarter, Q3 2020, and the Rs 413 in Q4 2019.

GTPL reported operating revenue of Rs 650.98 crore in FY 2020 for its EPC Project. The segment had an operating profit of Rs 44.69 crore. For Q4 2019, EPC Project operating revenue was Rs 181.91 crore as compared to Rs 237.66 crore in the immediate trailing quarter Q3 2020.

Company Speak

GTPL managing director Anirudhsinh Jadeja said, “Amidst a year of industry reforms, GTPL Hathway has emerged as a stronger company. Our operating ability to expand our services have improved and so has our ability to generate free cashflow. The highlight of FY20 was strong profitability, debt reduction and geographical expansion. Our FY20 consolidated revenue and EBITDA grew by 88 per cent and 39 per cent, respectively. During the year, we have reduced our gross debt by Rs 1,293 million (Rs 129.30 crore). During the year, we have strengthened our CATV presence in Mumbai (Maharashtra) and have entered Chennai (Tamil Nadu). We have also expanded our subscribers base in Andhra Pradesh and Telangana in FY20.”

“FY20 was the first full year of implementation of the New Framework across the industry. Implementation of new regime prima facie resulted in change in LCOs’ earning profile adversely and restricted their cash flow cycle, consequently, lowering their ability to pay their dues to the company. Pursuant to the above change and assessment carried out by the management, we have recognised Rs 679.64 million (Rs 67.964 crore) towards impairment of trade receivables and have disclosed the same as ‘Exceptional Item’", added Jadeja.

Let us look at the other numbers reported by GTPL for FY 2020

Consolidated total expenditure increased 86.2 per cent during the year under review to Rs 2,198.93 crore from Rs 1,180.92 crore in FY 2019. Pay channel cost in FY 2020 reduced 38.5 per cent to Rs 513.77 crore from Rs 835.92 crore in the previous year. Other operational costs declined 5.8 per cent to Rs 88.34 crore from Rs 93.90 crore in the previous year.

Employee benefits expense in FY2020 increased 16.2 per cent to Rs 126.1 crore from Rs 108.44 crore in the previous fiscal. Finance costs increased 14.2 per cent during the year under review to Rs 51.35 crore from Rs 44.95 crore. Other expenses in the period declined 26.2 per cent to Rs 178.42 crore from Rs 243.86 crore in FY 2019.

Latest Reads
Ashok Mansukhani bids adieu to NXTDigital

KOLKATA: Ashok Mansukhani is departing from NXTDigital putting an end to a 24 year long association with the Hinduja group.The industry veteran will retire on 30 September.  According to a BSE filing, his term as managing director and key managerial personnel was extended on 29 April 2020  until...

Cable TV Multi System Operators
TRAI’s Arvind Kumar prescribes broadband medicine for MSOs & LCOs

Digital is it. Across the country, and age groups, Indians are getting online, and consuming more high speed broadband data than ever before, whether it is for entertainment, education, commerce or banking.

Cable TV Multi System Operators
Arnab Goswami on counteroffensive after Sena ban threat; implores viewers

Mumbai: Arnab Goswami is fighting back. Like he probably has never done before. Yesterday, he reached out Republic TV and Republic Bharat viewers imploring them to not allow the Shv Cable Sena’s order to cable TV operators to stop  carrying both the channels on their networks.

Cable TV People
Shiv Cable Sena asks cable operators to ban Republic channels in Maharashtra

Amid rising political tension in Maharashtra,  the Shiv Cable Sena, an affiliate to Shiv Sena, has asked the cable TV operators to ban Republic Media Network in the state. 

Cable TV Local Cable Operators
NXTDIGITAL’s revenue grows by 3.4% to Rs.234.82 crore in Q1

KOLKATA: NXTDIGITAL announced its results for the first quarter of the current financial year – a quarter that was significantly impacted by the Covid2019 pandemic. Against this challenging backdrop, the company continued its growth story, with revenues for Q1 standing at Rs. 234.82 crores.

Cable TV Multi System Operators
Meghbela Broadband partners with MyBox to bring Android TV experience

KOLKATA: Meghbela Broadband, one of eastern India’s largest multi system operators (MSOs) and internet service providers (ISPs), has launched Android TV services to its customers through MyBox Android TV box. Customers with six-twelve months commitment plans will get an offer on Android Box. The...

Cable TV Multi System Operators
MCOF raises questions on Hathway, Den pushing existing STBs under Jio brand

Maharashtra Cable Operators’ Foundation (MCOF) has flagged off several unethical practices in the television distribution segment. In a letter written to the Telecom regulatory authority of India (TRAI), it has alleged that some multi system operators (MSOs) are violating rules and taking the...

Cable TV Local Cable Operators
NXTDIGITAL reaches out to new consumers

KOLKATA: As the country gears up to welcome Lord Ganesha, NXTDIGITAL, the media arm of the Hinduja Group, has launched a consumer connect program – ‘Ganpati Bappa Morya’ to spread the message of joy and safety amidst the global pandemic. 

Cable TV Local Cable Operators
MSOs see recovery in subscription collection post lockdown

At the beginning of the Covid2019 crisis, distribution platform operators (DPOs) witnessed a sharp drop in collections from subscribers. After months of lockdown and controlled movements, major multi-system operators (MSOs) are seeing stability in their collections from June end.

Cable TV Multi System Operators

Sign up for our Newsletter

subscribe for latest stories

* indicates required