investor presentation - gtpl. intimation...cable offers better value proposition than dth 6 dth1...

Investor PresentationFebruary 2018

INDUSTRYOVERVIEW

COMPANYOVERVIEW

FINANCIALHIGHLIGHTS

GROWTHSTRATEGY

ANNEXURE

2

Multiple Drivers to Push Growth for Cable TV Business

Extrinsic growth drivers

2017 2021E % Growth

No. of TV HHs (mn) 187 206 9.6%

TV Penetration % 64% 67%

No. of Pay C&S subs (mn) 154 171 11.0%

Cable TV - % of TV HHs 82.4% 83.0%

ARPU(Rs.)Growtharoundtheworld

28 15

119

21

74% 67%53%

35%

10%0%

10%

20%

30%

40%

50%

60%

70%

80%

'-

20.0

40.0

60.0

80.0

100.0

120.0

140.0

Thailand Japan Korea China India

HD TV (mn) HD Penetration

India’s digital HD penetration opportunity

Source:MPAReport2017

181 187 192 197 202 206

149 154 160 165 168 171

2016 2017 2018E 2019E 2020E 2021E

TV Homes (mn) Pay C&S Subs (mn)

Total TV Home & Pay C&S subscribers

3

4160 3900

1560650 195

3770 3575

1755780 260

Australia NewZealand

Malaysia Korea India

2017 2022E ARPUGrowth

-9% -8% 13% 20% 33%

Strong Subscription Revenue for Television

Ø Subscriptionbusinesscontributes2/3oftheoverallrevenueforthetelevisionbusiness

Ø Theoverallcontributionofsubscriptionbusinesswillremainstablefornext5years.

Ø Subscriptionrevenueexpectedtogrowc.7%till2021,underpinningstronggrowthinthesector

Ø Televisionviewershipcontinuestogrow,nextphaseofgrowthwillbesupportedbytheruralmarket

367 402 437 464 483 497

2016 2017 2018E 2019E 2020E 2021E

India

TVSubscriptionrevenuegrowingsteadily(Rs.bn)

62%

38%

Subscription Advertisement

Revenuesplit– Televisionbusiness

2017


38%

38%

15%

5% 4%

TV Print Digital OOH Radio

Increase in Television Viewership Ensures Higher Advertisement Revenue

Televisionadvertisinggrowingsteadily(Rs.bn) Advertisementrevenuesplit– Segmentwise

37%

28%

27%

4% 4%

Ø IncreaseinTelevisionviewershipensureshigheradvertisementrevenue,expectedtogrowat11%

Ø Printadvertisingisshrinkingascontentdeliveryfromprintismovingtowardsdigital

Ø Televisionisabletomaintainitsshareintheadvertisementmarket

Source:FICCI2017report

2016 2021E

249 279 314 347 380

2017 2018E 2019E 2020E 2021E

5


Cable Offers Better Value Proposition than DTH

6

DTH1 Cable2,3 GTPL Hathway

Base PackPrice per Month 260 - 276 100*Total No. of Channels 151 – 233 103Price per channel 1.2 – 1.8 0.97

Mid tier PackPrice per Month 340 – 381 230 – 235 250-280Total No. of Channels 163 – 259 233 – 250 278Price per channel 1.4 – 2.2 0.9 – 1.0 0.90-1.01

Premium PackPrice per Month 430 – 530 280 – 285 300-490**Total No. of Channels 206 – 276 248 – 275 356-420Price per channel 1.6 – 2.5 1.0 – 1.2 0.84-1.17

Source:MediaPartnerAsia,Sep20161. DTHincludesVideocon,Airtel,DISH,BIGtvandTataSky2. CableincludesDenandSitiCable3. Cableindustryoffersonly2packs,baseandpremiumpack4. *Basepackisfreetoairchannelsonly5. **Premiumpack(i)RoyalPack(ii)Royal-HDpack

• Cable provides stable connections with zero downtime

• Cable packages are competitively placed among DTH players.

• Cable High Definition package offers better value proposition to consumers compared to Standard Definition from DTH

• Cable operators have better control over the content compared to DTH, GTPL provides content for 28 channels

Broadband Business in India is set to Grow Exponentially

7

India has 2nd largest internet user base in the world

Significant scope for increase in broadband penetration (Subscribers in mn)

462

829

2017 2021

CAGR 15.8 %

In Mn

39319

21 8 20126

1157

87 61293

31% 28% 24% 13% 7%

-2000%

-1500%

-1000%

-500%

0%

500%

1000%

1500%

2000%

2500%

Japan China Korea Thailand India

Fixed Broadband Subscribers Mobile Subscribers Mobile to fixed ratio

Subscribers in Mn in 2017

Ratioforwirelesstofixedconnectionishighcomparedtoothernations

Total Homes Vs. Fixed Broadband subscribers (mn)

473 476 478 481 484

19 2226 28 31

05101520253035

2017 2018E 2019E 2020E 2021E

Total Homes Broadband subscribers


Digital India Future Would be High Speed Internet

8

Fixed Broadband speed in India

• Futuredataconsumptionwillrequiremorehighspeedinternetconnection

• Videosinfuturewillbecomemorehighdefinitionandhencerequirementofbroadbandwillgoup

• Indiabroadbandpenetrationandspeedareatinitialstagecomparedtootherdevelopedanddevelopingnations

133

78 7764 53

26 20

Korea Japan USA China UK Australia India

Indian spend large amount of time online

4.7 4.4 4.3 3.83.1 2.93.5 3.1

1.9 1.6 1.90.6

Indonesia India US UK Korea Japan

Fixed (Cable, xDSL, FTTx) Wireless

Hours / day / person mbps

Source: Ookla Speedtest Global Index

Cable and Broadband can Leverage Same City Access Network

9

Infrastructure leverage to deliver cable and broadband

Create a central hub for the city

Reaching the society/locality,

hub to reach households

Digital Cable Headend

Connecting from society to each household

q No Separate network required for Cable and Broadband within city

q Cable subscription has reached 6.7 mn, Broadband homepasscreated for 1.11 mn; need to convert the Home Pass to subscriber

Satellite for Cable network

BroadbandNOC

TV

CORENETWORK

POP

POP

POP

POP

INDUSTRYOVERVIEW

COMPANYOVERVIEW

FINANCIALHIGHLIGHTS

GROWTHSTRATEGY

ANNEXURE

10

GTPL – Leader across Key Regional Cable Markets in India

11

KEY HIGHLIGHTS (as of 31st-Dec-17)

Total Set-Top Boxes Seeded

Active Digital Subscribers

Broadband Homes Passed

Total Broadband Subscribers

8.46mn

7.20mn

1.24mn

0.272mn

• Strong market share in key regional markets that are primarily Hindi speaking areas

Key Standalone 9 month Financials (IND AS) (INR MN)

REVENUE

EBIDTA

PAT

5572

1790

505

FY18–9M

*FY=Apr- Mar,9M=Apr-Dec,Q1=Apr-Jun,Q2=Jul-Sep,Q3=Oct-Dec,Q4=Jan-Mar

Present in 200+ towns across 11 states Showing Maximum number of TV Channels in India

FY 17-9M

4496

1365

197

Consolidated Financials FY 17 - Revenue, EBIDTA and PAT stands at INR 9417 mn, INR 2400 mn and INR 400 mn respectively

-No 1 in CATV -67% market share- 4.2m STB Seeded-Significant Private Wired-Broadband Provider

-1.2m STB Seeded-Significant presence in Phase II,III and IV Markets

-No 2 CATV Provider-24% market share-2.0 m STB Seeded

11

Organic expansion of services M&A / Inorganic expansion

2006Incorporated as Gujarat Tele Link

Private Limited

2011Entered Assam and

West Bengal

Installed digital headend in Kolkata

Installed new digital headend at Ahmedabad

2008Commenced broadband

services

2013Entered Patna

and Andhra Pradesh

Digitization of Phase I & II completed

2015Received

category A ISP license

Installed digital

headend in Dibrugarh

2014Commenced

package based billing

2007Hathway acquired

50% stake

Received category B ISP license

Installed digital headend in Ahmedabad

2017Came with public issue

Shares listed on BSE and

NSE

Evolved over the years to become a leader across key regional cable markets in India

12

Key Inherent Strength of GTPL Hathway

Leadershippositioninoperatingmarket

Leadership Position in Operating Market1

• #1 MSO in Gujarat, #2 in WB• Significant Presence in Rest of Maharashtra–

Seeded 1.2 mn Boxes• 1.24 mn Broadband Home Pass – Mainly in

Gujarat• Maximum Number of TV Channels in India

Located in Consumption Market2

• 95% CATV Subs in Hindi Speaking Market• Gujarat, Maharashtra, WB key markets for

National and Regional Advertiser• Better Negotiation Power with Broadcaster

Trusted partner among LCO3

• 20000+ LCO’s as Partner• Bottom-up company – Transparency in its

approach• Treats LCO as Business Partner

High Quality Technology and Infrastructure4• Partnered with Leading Technology Provider

for best quality• Deployed next-generation video headend

system from Harmonic Inc., USA

13

Advanced technology and equipment provided by leading technology vendors

Optic Fibre Cable Network

ü Owned:12000+ KMs

ü Underground: 1000+ KMs

GPON Technology

ü Seamless connectivity

ü Higher broadband speed

ü VoD, OTT capabilities

KEYTECHNOLOGY

PARTNERS

CISCO Harmonic Changhong (Hong Kong)

Shenzhen SkyworthNagravision SA Magnaquest Technologies Ltd Tele System

SterliteTechnologies

ü Leased: 5000+ KMs

Cutting Edge Technology and Infrastructure

Mother HeadendGujarat

Main HeadendKolkata

Support Headendfor disaster management

MotherHeadendcapableofcateringtoentirecountry

Well positioned to expand reach into different geographies

NOKIA

ZTE

14

Experienced Management Team with Strong Track Record

Aniruddhasinhji Jadeja, Promoter and MD

Zealous entrepreneur; started with cable operations in 90s and shaped GTPL in 2006; has many accomplishments to his credit; has won numerous industry/social awards.

Sumit BoseHead Video Business

Exec. MBA (ISB, Hyd); 28 yrs. of experience across consumer durable, cable (analogue / digital) and broadcast enterprises including Godrej, ESPN-Star, Siticable.

Hetal Shah,Head Broadband

Computer Engineer; has had association with You Broadband, Tata Tele & Sterlite Tech (Elitecore) and other companies over 24 years; mainly in Techno-commercial roles

Jayanta PaniChief Financial Officer

CA and ICWA (Rank holder) with 23 years of experience in Finance and Accounts across different industries like FMCG, Synthetic, Tea, Leather etc.

Piyush Pankaj, Chief Corporate Affairs Officer

CFA and MBA with 19 years of experience in Media, Internet & Ecommerce; has worked in Astro Group (Malaysia) and Zee Group (India)

V GuruprasadChief Technology Officer

Master in Electronics and having 27 years of experience in Broadband and Cable Technology enterprises like Reliance JIO, Silicon Applications(Singapore) and Scientific Atlanta

Subrata BhattacharyaChief Information Officer

Electrical Engineer; 23 years of rich experience in analog/digital Cable TV/Broadband technology across reputed companies like RPG Netcom, Siticable and Cablecomm

Ketan BhattChief People Officer

PGDRM from the Institute of Rural Management, Anand; has worked in British Gas, Idea Cellular, Torrent Pharma and Torrent Power over 24 years in HR & OD domains

15

Launch of GPON FTTH at Ahmedabad – “Sach Mein Unlimited”

• The Company upgraded network to provide high-speed broadbandservices in Ahmedabad City over GPON Fibre to the Home (FTTH)technology

• With the upgraded, reliable and consistent Fibre Network, the Companyhas launched “Unlimited data” services for retail home customers withoptions of 40Mbps speed and 100Mbps speed.

*GPON– GigabitPassiveOpticalNetwork16

Performance – 9M FY* 2018

17

Ø Seeded1.56mnSTBboxesduring9MFY2018.

Ø Increased1.22mnCATVDigitalActiveSubs.

Ø Increased1.82mnCATVDigitalPayingSubs.

Ø IncreasedARPUinPhaseIIIandPhaseIVfromINR54toINR61andINR41toINR51respectively.

Ø ExpandedCATVServices- EnteredNewState– Goa.

Ø GrossDebtstandsatINR3422mnason31st December2017incomparisontoINR3439mnason30th September2017 andINR5490mninMarch2017.

Ø NetDebtstandsatINR2581mnason31st December2017incomparisontoINR2441mnason30th September2017andINR4426mninMarch2017.


Performance – 9M FY* 2018

18

Ø Addedaround160KnewHomePassinBroadbandBusinessin9months

Ø Increased32KBroadbandSubscriberduring9MFY2018

Ø DataConsumptionperCustomerStandsat59GB/monthasonDecember2017(Y-O-Yincreaseof69%;Q-O-Qincreaseof28%)increasingfrom46GB/monthfromSeptember2017and34GB/monthinDecember2016

Ø GPONupgradationandImplementationforHigh-SpeedBroadbandProgressinginfastpacein4majorcitiesofGujaratnamelyAhmedabad,Baroda,SuratandRajkot.

Ø LaunchedGPONFTTHHigh-Speedbroadbandservicesof100Mbpsand40Mbps“unlimiteddata”plansinAhmedabadon3rd Feb2018withpricerangeofINR635-763permonth(excludingtaxes).

Ø ThelaunchissupportedbyMarketingActivity“SachMeinUnlimited”acrosstheserviceareasatAhmedabad.

Ø PlantolaunchprogressivelyinothercitiesofGujarat.


KEY KPIs – CATV Business - Quarter wise (Consolidated)*

STBs SEEDED (MN) DIGITAL PAYING SUBS (MN)ACTIVE STBs (MN)

*Asonendofperiod

6.45

6.9

7.76

8.288.46

Q32017 Q42017 Q12018 Q22018 Q32018

5.63

5.98

6.69

7.067.20

Q32017 Q42017 Q12018 Q22018 Q32018

4.60

4.93

5.70

6.646.75

Q32017 Q42017 Q12018 Q22018 Q32018


19

KEY KPIs – CATV Business - Quarter wise (Consolidated)*

PHASE WISE SEEDED BOX (MN)– Q3 FY 18* PHASE WISE ACTIVE SUBS (MN)– Q3 FY 18*

PHASEWISE DIGITAL PAYING SUBS (MN)– Q3 FY 18* PHASE WISE ARPU (INR) (NET OF TAXES)

*Asonendofperiod

0.74

2.202.55

2.98

PhaseI PhaseII PhaseIII PhaseIV

0.58

1.68

2.252.69


0.56

1.662.04

2.49


101 96

5849

101 96

6151

PhaseI PhaseII PhaseIII PhaseIVAsonSept2017 AsonDec2017


20

KEY KPIs – Broadband Business - Quarter wise*

HOME PASS (MN) ARPU (INR) (NET OF TAXES)SUBSCRIBER (MN)

*Asonendofperiod

1.02

1.081.11

1.15

1.24

Q32017 Q42017 Q12018 Q22018 Q32018

0.220

0.240

0.250

0.260

0.272

Q32017 Q42017 Q12018 Q22018 Q32018

472

480

486487 487

Q32017 Q42017 Q12018 Q22018 Q32018


21

INDUSTRYOVERVIEW

COMPANYOVERVIEW

FINANCIALHIGHLIGHTS

GROWTHSTRATEGY

ANNEXURE

22

GTPL Hathway Limited

3) Financial Results Q3 FY2018 and 9M FY2018

Financial Results – Q3 FY 2018

PresentationIncludesfollowingfinancials:

1) GTPLHathwayLimited– ListedCompany(Standalone)

2) GTPLBroadbandPrivateLimited– 100%SubsidiaryofGTPLHathwayLimited(Broadband)- providesBroadbandServices

3) GTPLKolkataCable&BroadbandParisevaLimited(KCBPL)– Subsidiary– 51%ownedbyGTPLHathwayLimited– CableTVoperationatWestBengalMarket.

Theabovethreecompaniescontributed~90%ofRevenueinConsolidatedAccountsofFinancialYear2016-2017.

24

Performance – Q3 FY 2018 and 9M FY 2018- Summary (IND AS)*

• FY=Apr- Mar,9M=Apr-Dec,Q1=Apr-Jun,Q2=Jul-Sep,Q3=Oct-Dec,Q4=Jan-Mar• KCBPLandBroadbandfinancialshasbeenapprovedbytheirrespectiveBoards

Q3FY2018

9MFY2018

Particulars(INRMN) GTPLHathwayStandalone Broadband KCBPL

Revenue 1955 344 447

EBITDA 634 101 160

PAT 238 39 28

Particulars(INRMN) GTPLHathwayStandalone Broadband KCBPL

Revenue 5572 993 1171

EBITDA 1790 277 342

PAT 505 115 17

25

Standalone Financial Results Q3 FY 2018 and 9M FY 2018 Highlights (IND AS)

QUARTER-3 FINANCIALS

Y-O-Y Revenue up by 23% ; Q-O-Q Revenue up by 7% Y-O-Y EBITDA up by 46% ; Q-O-Q EBITDA up by 8%Y-O-Y PAT up by 478% ; Q-O-Q PAT up by 101%EBITDA Margin at 32.4% ; Y-O-Y increase of 530 basis points

9 MONTH FINANCIALS2

9M-O-9M Revenue up by 24% 9M-O-9M EBITDA up by 31%9M-O-9M PAT up by 156%EBITDA Margin at 32.1%; increase of 180 basis points

REVENUE

Y-O-Y Subscription Revenue up by 29% ; Q-O-Q up by 6%9M-O-9M Subscription Revenue up by 27%Y-O-Y Placement Revenue up by 12%; 9M-O-9M up by 13%Y-O-Y Activation Revenue up by 21%; 9M-O-9M up by 25%

EXPENSESY-O-Y Finance Cost down by 75% ; Q-O-Q down by 55%9M-O-9M Finance Cost down by 48%

4

3

1

*FY=Apr- Mar,9M=Apr-Dec,Q1=Apr-Jun,Q2=Jul-Sep,Q3=Oct-Dec,Q4=Jan-Mar26

Total Revenue (INR mn) PAT (INR mn)EBITDA (INR mn)

Standalone Financial Results Q3 FY18 and 9M FY18 Highlights (IND AS)

9MonthlyComparison

1,593

1,8351,955

Q3FY17 Q2FY18 Q3FY18

QuarterlyComparison

433

585634


41

119

238


4,496

5,572

9MFY17 9MFY18

1,365

1,790

9MFY17 9MFY18

197

505

9MFY17 9MFY18


Standalone Financials (IND AS)*

*AsperLimitedReview*FY=Apr- Mar,9M=Apr-Dec,Q1=Apr-Jun,Q2=Jul-Sep,Q3=Oct-Dec,Q4=Jan-Mar

Particulars (INR mn) Q3 FY18 Q2 FY18 Q-O-Q % Q3 FY17 Y-O-Y% 9M FY18 9M FY17 9M-O-9M% FY'17Revenue

Subscription CATV 1,063 1,001 6% 825 29% 2,966 2,338 27% 3180Placement 587 588 0% 523 12% 1,753 1,547 13% 2114Activation 180 175 3% 149 21% 531 424 25% 595Other Operating Income 64 47 36% 50 28% 199 136 46% 239Other Income 60 25 141% 45 34% 123 53 135% 253

Total Income 1,955 1,835 7% 1,593 23% 5,572 4,496 24% 6,380Expenditure 0

Pay Channel Cost 803 809 -1% 747 8% 2,410 1,968 22% 2783 Bandwidth Expense 28 26 6% 29 -3% 91 71 29% 100

Employee Cost 134 134 0% 129 4% 384 315 22% 445 Other Operating Expense 108 113 -4% 88 24% 308 300 3% 395 Administrative expense 247 167 48% 167 47% 588 478 23% 656

Total Expenditure 1,321 1,250 6% 1,160 14% 3,782 3,132 21% 4,379

EBITDA 634 585 8% 433 46% 1,790 1,365 31% 2,002EBITDA % 32.4% 31.9% 0.6% 27.2% 5.3% 32.1% 30.4% 1.8% 31.4%

Depreciation/Amortization 267 266 0% 230 16% 794 686 16% 934 Finance cost 35 79 -55% 142 -75% 199 382 -48% 506

Profit before Tax & Exceptional item 332 240 38% 61 441% 797 296 169% 562 Exceptional item 0 42 0 42 PBT 332 198 68% 61 441% 755 296 154% 562

Tax 95 80 18% 20 378% 251 98 156% 161 PAT before Minority Interest 237 118 102% 42 471% 504 198 154% 401Add/(Less) Comprehensive

Income 1 1 #REF! - 0 1 (1) (3)PAT 238 119 101% 41 478% 505 197 156% 398

28

Broadband Financial Results Q3 FY 2018 and 9M FY 2018 Highlights (IND AS)


Y-O-Y Revenue up by 7% ; Q-O-Q Revenue up by 4% Y-O-Y EBITDA up by 31% ; Q-O-Q EBITDA up by 10%Y-O-Y PAT up by 9% ; Q-O-Q up by 1%EBITDA Margin at 29.3% ; Y-O-Y increase of 520 basis points

9 MONTH FINANCIALS2

9M-O-9M Revenue up by 15% 9M-O-9M EBITDA up by 33%9M-O-9M PAT up by 23%EBITDA Margin at 27.8%; increase of 380 basis points

REVENUEY-O-Y Broadband Revenue up by 7% ; Q-O-Q up by 3%9M-O-9M Broadband Revenue up by 15%

EXPENSES

Y-O-Y Other Operating cost down by 26%;9M-O-9M down by 16%Y-O-Y Administrative cost down by 24%;9M-O-9M down by 7%

4

3

1



Broadband Financial Results Q3 FY18 and 9M FY18 Highlights (IND AS)

9MonthlyComparison

QuarterlyComparison


321

331

344


77

92101


36.1

39.1 39.4


866

993

9MFY17 9MFY18

208

277

9MFY17 9MFY18

94

115

9MFY17 9MFY18

30

Broadband Financials (IND AS)*


Particulars(INRmn)

Q3FY18 Q2FY18 Q-O-Q% Q3FY17 Y-O-Y% 9MFY18 9MFY17 9M-O-9M% FY'17Revenue

Broadband-ISP 342 331 3% 320 7% 991 866 15% 1,200OtherIncome 1 0 724% 0 1705% 2 1 143% 2

TotalIncome 344 331 4% 321 7% 993 866 15% 1,203Expenditure

BandwidthExpense 50 51 -2% 47 6% 156 149 4% 206EmployeeCost 114 110 3% 91 25% 324 243 34% 331OtherOperatingExpense 35 34 2% 47 -26% 108 129 -16% 176Administrativeexpense 44 44 0% 58 -24% 129 138 -7% 175

TotalExpenditure 243 239 1% 243 0% 716 659 9% 888

EBITDA 101 92 10% 77 31% 277 208 33% 314EBITDA% 29.4% 27.7% 1.7% 24.1% 5.3% 27.9% 24.0% 3.9% 26.1%

Depreciation/Amortization 31 28 10% 21 47% 86 62 40% 86Financecost 10 5 92% 1 1395% 16 4 253% 5

PBT 60 58 3% 55 8% 175 142 23% 223Tax 20 20 4 19 60 48 72PATbeforeComprehensiveIncome 40 38 3% 36 10% 115 94 23% 151Add/(Less)ComprehensiveIncome (0) 1 - 0 - (0)PAT 39 39 1% 36 9% 115 94 23% 151

GTPL Broadband PVT LTD FY 2017-2018

31

KCBPL Financial Results Q3 FY 2018 and 9M FY 2018 Highlights (IND AS)


Y-O-Y Revenue up by 61% ; Q-O-Q Revenue up by 12% Y-O-Y EBITDA up by 617% ; Q-O-Q EBITDA up by 34%Y-O-Y PAT positive at INR 28mn from negative 41 mn; Q-O-Q PAT up by 2676%EBITDA Margin at 35.7% ;Y-O-Y increase of 2770 basis points

9 MONTH FINANCIALS2

9M-O-9M Revenue up by 39% 9M-O-9M EBITDA up by 143%9M-O-9M PAT positive at INR 17mn from negative INR 56mn EBITDA Margin at 29.2%; increase of 1250 basis points

REVENUE

Y-O-Y Subscription Revenue up by 69% ; Q-O-Q up by 18%9M-O-9M Subscription Revenue up by 44%Y-O-Y Placement Revenue up by 12%; 9M-O-9M up by 6%Y-O-Y Activation Revenue up by 193%; 9M-O-9M up by 247%

EXPENSESY-O-Y Finance Cost down by 41% ; Q-O-Q down by 16%9M-O-9M Finance Cost down by 29%

4

3

1



KCBPL Financial Results Q3 FY18 and 9M FY18 Highlights (IND AS)

9MonthlyComparison

QuarterlyComparison

278

398447


22

119

160

Q3FY17 Q2FY18 Q3FY18 (41)

1

28


843

1171

9MFY17 9MFY18

141

342

9MFY17 9MFY18 (56)

17

9MFY17 9MFY18


KCBPL Financials (IND AS)*


Particulars (INR mn) Q3 FY 18 Q2 FY 18 Q-O-Q % Q3 FY 17 Y-O-Y% 9M FY18 9M FY17 Y-O-Y% FY'17

RevenueSubscription CATV 303 256 18% 179 69% 760 527 44% 719Placement 77 80 -4% 69 12% 236 223 6% 302Activation 47 56 -16% 16 193% 130 38 247% 54Other Income 20 6 221% 14 42% 45 55 -20% 77

Total Income 447 398 12% 278 61% 1,171 843 39% 1152Expenditure

Pay Channel Cost 195 194 0% 179 9% 568 512 11% 679Employee Cost 29 26 9% 27 5% 80 68 18% 87Other Operating Expense 29 28 2% 17 67% 86 57 53% 100Administrative expense 35 30 17% 32 10% 94 65 46% 92

Total Expenditure 288 279 3% 256 12% 829 702 18% 958

EBITDA 160 119 34% 22 617% 342 141 143% 195EBDITA % 35.7% 30.0% 5.8% 8.0% 27.7% 29.2% 16.7% 12.5% 16.9%

Depreciation/Amortization 109 109 0% 67 61% 292 187 56% 253Finance cost 8 9 -16% 13 -41% 25 35 -29% 38

PBT 43 2 2575% (58) 25 (82) (97)Tax 15 1 2405% (17) 9 (25) (38)

PAT before Comprehensive Income 28 1 2676% (41) 17 (56) (58)Add/(Less) Comprehensive Income - - - - - - PAT 28 1 2676% (41) 17 (56) (58)

GTPL Kolkata Cable & Broadband LTD FY 2017-2018

34

GTPL Hathway Limited

3B) Consolidated Financial Results FY2017

GTPL – Consolidated Financial Results FY 2017 Highlights (IND AS)

FINANCIALSY-O-Y Revenue up by 27% ; INR 9417 mnY-O-Y EBIDTA up by 51% ; INR 2404 mnY-O-Y PAT up by 431% ; INR 400 mn

1

DIVIDEND Company Board Recommends Dividend of INR 1 (10%) per Share4

CATV2

Y-O-Y CATV Subscription Revenue up by 33% ; INR 4494 mnSeeded 1.48 mn STBs during the YearContinue to be No 1 MSO in Gujarat and No 2 in Kolkata & Howrah

BROADBAND3Y-O-Y Broadband Revenue up by 77% ; INR 1288 mn70k net addition of Subscribers during the yearARPU increase by 5.5% to INR 480 from INR 455 in FY16

37

Consolidated Financial Performance Trend (IND AS)

Revenue from OperationsINR MN

EBITDAINR MN

Total ExpenseINR MN

5,2886,272

7,443

9,417

FY'14 FY'15 FY'16 FY'17

1069

1506 1596

2404

FY'14 FY'15 FY'16 FY'17

42194766

5847

7013

FY'14 FY'15 FY'16 FY'17

37

Key Revenue Trends

38

CATV REVENUE (INR MN) (IND AS)

2,348

2,9993,378

4,494

FY14 FY15 FY16 FY17

BROADBAND REVENUE (INR MN) (IND AS)

179335

730

1,288

FY14 FY15 FY16 FY17

Consolidated Profit and Loss Statement

Particulars (INR MN) FY'17 FY'16 Y-O-Y GrowthRevenue

Subscription CATV 4,494 3,378 33%Broadband-ISP 1,288 730 77%Placement 2,375 2,668 -11%Activation 751 409 84%Other Income 509 258 97%

Total Income 9,417 7,443 27%Expenditure

Pay Channel Cost 3,821 3,277 17%Bandwidth Expense 422 237 78%Employee Cost 1,084 808 34%Other Operating Expense 471 612 -23%Administrative expense 1,215 913 33%

Total Expenditure 7,013 5,847 20%

EBIDTA 2,404 1,596 51%EBDITA % 26% 21% 5%

Depreciation/Amortization 1,394 1,072 30%Finance cost 580 445 30%

PBT 430 79 448%Share of Profit/(Loss) from Associates & JV (23) 2

Tax 145 44PAT before Minority Interest 262 37 611%

Less Minority Interest (141) (36)Add Other comprehensive income (3) 2PAT 400 75 431%

39

INDUSTRYOVERVIEW

COMPANYOVERVIEW

FINANCIALRESULTS

GROWTHSTRATEGY

ANNEXURE

40

Growth Strategy

41

31 73 125

192 80 77

155 187 89

128 100 162

75 172 198

247 150 70

79 129 189

27 Note: (1) VoD – Video on Demand, PVR – Personal Video Recording

BROADBAND

Deploy GPON technology

Offer cost-effective and high speed plans

Increase the reach of homes passed

Enter new cities and markets

CABLE TV

Focus on high quality digital offerings

Grow subscriber base in existing markets

Continue LCO partnerships

Enter new cities / markets with low competitive intensity

Immediate Growth Opportunities

42

CATV Ø TwothirdofSubbaseinPhase3andPhase4Ø MonetizationofPhase3andPhase4isexpectedinnext2yearsØ IncreasedHDofferingfrom37to64Channels.Toconvertpotential

subscribertoHDPackagesatincrementalARPU

BROADBAND Ø InGujaratCablereachingto4mnHHs,WestBengalreachingto1.53mn- ConvertpotentialHHsintoBroadbandSubscriber

Ø UpgradeandDeployGPONTechnologytoprovideHighSpeed,HighVolumeBroadbandServices.

INFRASTRUCURE Ø UtilizecurrentinfrastructureofCATVinBroadbandforbetterROI

43

Change in content pricing from wholesale to retail basis thereby empowering distribution platforms

ü Distributors can charge a maximum of INR 130 (ex-taxes)

per sub per month as network capacity fee(1)

ü Each additional 25 channel slab can be purchased at INR

20/sub/month

ü Distributor to also collect maximum of 20% of the pay

channel cost as distribution fees

1

ü Allows for complete pass through of pay channel

costs from broadcasters directly to end subscribers

ü Network capacity fee will now contribute

meaningfully to distributor’s revenue

Impact on MSOKey provision

ü Mechanism in place to settle fee-share related

disputes with LCOs

ü In case of failure of arriving at a MIA(2), MSO:LCO share of

the network capacity fee + distribution fee shall be split in the

ratio of 55:45 as per SIA(2)2

Notes: (1) For a capacity of 100 SD channels (One HD channel = 2 SD channel for computation)(2) MIA – Model Interconnection Agreement; SIA – Standard Interconnection Agreement

Recent TRAI Order Bodes Well for MSO

Onlycarriagefeeshavebeenregulated,placementandadvertisementfeeshavebeenkeptoutofregulation

FOR FURTHER QUERIES

44

DISCLAIMER

This presentation and the following discussion may contain “forward looking

statements” by GTPL HATHWAY Ltd (“GTPL” or the Company) that are not historical in

nature. These forward looking statements, which may include statements relating to

future results of operations, financial condition, business prospects, plans and

objectives, are based on the current beliefs, assumptions, expectations, estimates, and

projections of the management of GTPL about the business, industry and markets in

which GTPL operates.

These statements are not guarantees of future performance, and are subject to known

and unknown risks, uncertainties, and other factors, some of which are beyond GTPL’s

control and difficult to predict, that could cause actual results, performance or

achievements to differ materially from those in the forward looking statements. Such

statements are not, and should not be construed, as a representation as to future

performance or achievements of GTPL.

In particular, such statements should not be regarded as a projection of future

performance of GTPL. It should be noted that the actual performance or achievements

of GTPL may vary significantly from such statements.

RavindraBhandariIRConsultantEmail:[email protected]:+919283614197

PiyushPankajHead– InvestorRelationsEmail:[email protected]

INDUSTRYOVERVIEW

COMPANYOVERVIEW

FINANCIALRESULTS

GROWTHSTRATEGY

ANNEXURE

45

Consolidated Balance Sheet FY 2017 (IND AS)

ASSETS (INR mn) As on 31st

March 2017 As on 31st

March 2016 LIABILITIES (INR mn)

As on 31st March 2017


Non-Current Assets EquityFixed Assets 11,135 9,648 Equity Share Capital 983 983 Financial Assets Other Equity 2,889 2,395

Investments 175 180 Total Equity 3,872 3,378 Other Financial Assets 139 198 Non Controlling interest 285 422 Deferred Tax assets 447 420 Non-Current LiabilitiesOther non-current Assets 233 224 Financial Liabilities

Total Non-Current Assets 12,129 10,670 Borrowings 3,416 2,525 Current Assets Other Financial Liabilities 0 1

Deferred Tax Liabilities 124 68 Inventories - - Other Non-Current Liabilities 1,900 1,468 Financial Assets Total Non-Current Liabilities 5,440 4,062

Trade Receivables 3,035 2,456 Current LiabilitiesCash and cash equivalents 1,062 858 Financial LiabilitiesOther Financials Assets 107 81 Borrowings 1,432 966 Current Tax Assets (Net) 142 27 Trade Payables 1,199 1,236 Other Current Assets 735 721 Other Financial Liabilities 651 1,206 Assets classified as held for sale - - Provisions and other current liabilities 4,331 3,544

Total Current Assets 5,081 4,143 Total Current Liabilities 7,613 6,951 Total Assets 17,210 14,813 Total Liabilities 17,210 14,813

46

Standalone Balance Sheet as on 30th September 2018(IND AS)*

*AsperLimitedReview

ASSETS (Rs. In Mn) As on 30th

September 2017 As on 31st March 2017

As on 30th September


LIABILITIES (Rs. In Mn.) As on 30th

September 2017 As on 31st March 2017

As on 30th September


Non-Current Assets EquityFixed Assets 6,279 6,212 5,877 5,540 Equity Share Capital 1,125 983 983 983 Financial Assets Other Equity 5,188 2,931 2,749 2,539

Investments 1,797 1,607 1,607 1,364 Total Equity 6,313 3,915 3,733 3,522 Other Financial Assets 80 54 46 42 Non-Current Liabilities Deferred Tax assets 97 216 590 279 Financial LiabilitiesOther non-current Assets 164 214 238 197 Borrowings 1,924 3,138 3,316 2,353

Total Non-Current Assets 8,417 8,304 8,358 7,422 Other Financial Liabilities 0 0 0 1 Deferred Tax Liabilities - - 299 -

Current Assets Other Non-Current Liabilities 1,424 1,450 1,937 1,237 Total Non-Current Liabilities 3,348 4,588 5,553 3,591

Inventories - - Current LiabilitiesFinancial Assets Financial Liabilities

Trade Receivables 3,867 3,013 3,472 2,450 Borrowings 695 994 1,202 586 Cash and cash equivalents 745 827 464 660 Trade Payables 952 553 1,157 818 Other Financials Assets 501 122 133 102 Other Financial Liabilities 133 503 22 998 Current Tax Assets (Net) 166 112 0 - Provisions and other current liabilities 2,721 2,268 1,581 1,879 Other Current Assets 483 442 839 376 Current Tax liability(Net) 16 19 Assets classified as held for sale - 971 Libilites associted with assets held for sale 589

Total Current Assets 5,762 4,517 4,908 4,560 Total Current Liabilities 4,518 4,317 3,980 4,869 Total Assets 14,179 12,820 13,266 11,982 Total Liabilities 14,179 12,820 13,266 11,982

47

Shareholder Analysis

48

KeyInstitutional Investors %Holding

ACACIABANYANPARTNERS 3.95%GOVERNMENTPENSIONFUNDGLOBAL 2.61%ASHISHKACHOLIA 2.23%PARVESTEQUITYINDIA 1.60%BNPPARIBAS 2.89%DANSKEINVESTMENT 1.45%VANTAGEEQUITYFUND 0.98%VITTORIAFUND 0.77%

MarketData Ason14.02.2018(BSE)

MarketCapitalization(RsMn) 18,893

No.ofsharesoutstanding(Mn) 112.5

FaceValue(Rs.) 10.0

52weekHigh-Low(Rs.) 190– 127

73.9%

26.2%

Dec- 17Shareholding

Promoter Public

Source– Company/BSEason31st December2017Source– BSE

investor presentation - gtpl. intimation...cable offers better value proposition than dth 6 dth1...

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