Investor Presentation September 2017
INDUSTRY OVERVIEW COMPANY OVERVIEW FINANCIAL HIGHLIGHTS GROWTH STRATEGY ANNEXURE 2
Multiple Drivers to Push Growth for Cable TV Business Extrinsic growth drivers Total TV growth opportunity 2016 2021E % Growth No. of TV HHs 181 203 12% 588 651 751 877 1,015 1,166 TV Penetration % 63% 67% No. of Pay C&S HHs 147 171 16% Pay C&S - % of TV HHs 81% 84% 2016 2017E 2018E 2019E 2020E 2021E TV industry (INR Bn) India TV industry ample growth potential India s HD penetration expected to rise in future All existing Analog cable will move to digital 59% 48% 52% 37% 13% 80% 60% 40% 47 100 171 170 30 70 40 86 20% 0% -20% -40% -60% -80% -100% 3 2016 2021E Digital C&S Analog Cable Source: FICCI FRAMES 2017 Direct TV USA Astro Malaysia HD Channels Sky Europe Sky India Brazil HD Penetration
Strong Subscription Revenue for Television Revenue split Television business 2016 Subscription revenue growing steadily (Rs. bn) 34% 66% 771 387 426 494 579 672 2016 2017 2018E 2019E 2020E 2021E Subscription Advertisement Ø Subscription business contributes 2/3 of the overall revenue for the television business Ø The overall contribution of subscription business will remain stable for next 5 years. Ø Subscription revenue expected to grow c.15% till 2021, underpinning strong growth in the sector Ø Television viewership continues to grow, next phase of growth will be supported by the rural market 4 Source: FICCI FRAMES 2017
Increase in Television Viewership through Wide Distribution Ensures Higher Advertisement Revenue Television advertising growing steadily (Rs. bn) Advertisement revenue split Segment wise 2016 2021E 5% 4% 4% 4% 15% 38% 27% 37% 201 225 257 298 343 394 2016 2017E 2018E 2019E 2020E 2021E 38% 28% TV Print Digital OOH Radio Ø Increase in Television viewership ensures higher advertisement revenue, expected to grow at 14% Ø Print advertising is shrinking as content delivery from print is moving towards digital Ø Television is able to maintain its share in the advertisement market 5 Source : FICCI 2017 report
Cable Offers Better Value Proposition than DTH 6 Stable Connections - Cable provides stable connections with zero downtime - Weather proof Channel Offerings No restraint on providing number of channels. DTH Requires Transponder space in satellite to increase channels. Regional/Targeted Offerings Cable can provide regional feed/targeted feed. Two way interaction Cable is two way interactive technology. DTH is one way technology. Broadband Cable/MSO can provide Broadband service through their network Base Pack DTH 1 Cable 2,3 GTPL Hathway Price per Month 260-276 100* Total No. of Channels 151 233 103 Price per channel 1.2 1.8 0.97 Mid tier Pack Price per Month 340 381 230 235 250-280 Total No. of Channels 163 259 233 250 278 Price per channel 1.4 2.2 0.9 1.0 0.90-1.01 Premium Pack Price per Month 430 530 280 285 300-490** Total No. of Channels 206 276 248 275 356-420 Price per channel 1.6 2.5 1.0 1.2 0.84-1.17 Source: Media Partner Asia, Sep 2016 1. DTH includes Videocon, Airtel, DISH, BIG tv and Tata Sky 2. Cable includes Den and Siti Cable 3. Cable industry offers only 2 packs, base and premium pack 4. * Base pack is free to air channels only 5. ** Premium pack (i) Royal Pack (ii) Royal-HD pack
Broadband Business in India is set to Grow Exponentially India has 2 nd largest internet user base in the world Broadband offers better value proposition than wireless In Mn 1,004 Wireless speed is 0.25x and price is 3 x of Fixed Broadband Internet Speed (Mbps) Price (INR/GB) 412 CAGR 20 % 4.0 1.0 3.0 10.0 2016 2021 Fixed (Cable, xdsl, FTTx) Wireless Significant scope for increase in broadband penetration Subscribers in Mn (2016) 2.1 2.6 1.3 3.6 7.1 13.8 190 90 99 120 72 38 30 24 20 17 5 69 0-200 -400-600 -800 Ratio for wireless to fixed connection is high compared to other nations US Japan UK Korea India Indonesia -1000 Fixed (Cable, xdsl, FTTx) Wireless Wireless to fixed ratio 7
Digital India Future Would be High Speed Internet Hours / day / person Indian spend large amount of time online mbps 59 56 Internet speed in India 4.7 4.4 4.3 3.5 3.8 3.1 3.1 2.9 1.9 1.6 1.9 0.6 26 25 23 18 5 Indonesia India US UK Korea Japan Korea Japan USA UK China Australia India Fixed (Cable, xdsl, FTTx) Wireless Future data consumption will require more high speed internet connection Videos in future will become more high definition and hence requirement of broadband will go up India broadband penetration and speed are at initial stage compared to other developed and developing nations 8
Utilisation and Monetization of Network - Cable and Broadband can Leverage Same City Access Network Satellite for Cable network Infrastructure leverage to deliver cable and broadband Create a central hub for the city Reaching the society/locality, hub to reach households Connecting from society to each household Digital Cable Headend CORE NETWORK POP POP POP POP Broadband NOC q q No Separate network required for Cable and Broadband within city GTPL s Cable subscription has reached 6.7 mn, Broadband homepass created for 1.11 mn; need to convert the Home Pass to subscriber TV 9
INDUSTRY OVERVIEW COMPANY OVERVIEW FINANCIAL HIGHLIGHTS GROWTH STRATEGY ANNEXURE 10
Strong Market Share in Key Regional Markets Primarily Hindi Speaking Region GUJARAT KOLKATA & HOWRAH Gandhidham Jamnagar Porbander Junagadh Rajkot Bhavnagar Nadiad Mehsana Hooghly Medianpur Burdwan Ahmedabad Himmatnagar Gandhinagar Godhra Baroda Bharuch Surat Navsari Murshidabad Anand 24 Praganas Kolkata #1 MSO in Gujarat(1),(2) 67% market share(1),(2) 4.09 mn Box Seeded CATV & Broadband services #2 MSO in Kolkata & Howrah(1),(2) 24% market share(1),(2) 1.53 mn Box Seeded in WB Cable TV services KEY HIGHLIGHTS (as of 30th-June-17) Present in 189+ towns across 10 states Total Set-Top Boxes Seeded Active Digital Subscribers in Phase III / IV areas Broadband Homes Passed Total Broadband Subscribers 7.76mn 6.69mn 4.38mn 1.11mn 0.25mn KEY FY 17 CONSOLIDATED FINANCIALS(IND AS) (INR MN) REVENUE EBIDTA PAT 9417 2404 400 11 Main Digital Headend CATV and Broadband Services CATV Services
Evolved over the years to become a leader across key regional cable markets in India 2006 Incorporated as Gujarat Tele Link Private Limited 2007 Hathway acquired 50% stake Received category B ISP license Installed digital headend in Ahmedabad 2008 Commenced broadband services 2011 Entered Assam and West Bengal Installed digital headend in Kolkata Installed new digital headend at Ahmedabad 2013 Entered Patna and Andhra Pradesh Digitization of Phase I & II completed 2014 Commenced package based billing 2015 Received category A ISP license Installed digital headend in Dibrugarh 2017 Came with public issue Shares listed on BSE and NSE Organic expansion of services M&A / Inorganic expansion 12
Key Inherent Strength of GTPL Hathway Leadership position in operating market Leadership position in key MSO market # 1 in Gujarat and #2 in Kolkata & Howrah with 67% and 24% market share 7.76 mn seeded STB and 1.11 Homepass creates large economies of scale Large scale regional operation ensure efficient network services at affordable prices Trusted partner among LCO GTPL Promoters started its business itself as an LCO, gradually built a very trusted relationship with all LCOs LCO prefer to associate with GTPL due to transparency in its approach; LCO find themselves as equal partner in carrying business with GTPL. Total strength of over 17,000 LCO with 3,398 LCO added in FY2017. Strategically located in consumption region High quality Technology & Infrastructure Strategically located in major Hindi speaking consumption center of India, namely Gujarat, Kolkata and Maharashtra Right set of content mix to attract subscriber: 500+ channels, 190+ regional content, 64 HD channels, 27 owned channels Being large MSO in key consumption market, GTPL gets better bargain with broadcaster ensuring cost leadership Partnered with CISCO, Harmonic to ensure high quality of technology is used in the service delivery Over 6,000 km of owned optic fiber cable network with additional 3,500 km of leased fiber cable network 2 main digital Headends and 4 support Digital Headends 13
Leader in Regional Markets C&P REVENUE MARKET SHARE (FY16) 189+ towns Covers10 states 7% 2% 11% 23% 13% 17% Gujarat is an important market for broadcasters & advertisers >8% share of Hindi speaking market (1) >5% viewership share on a pan-india basis (1) 13% 14% DEN Hathway ex GTPL GTPL Siti DigiCable+Fastway InCable Ortel Others Fig in 000 GDP in key operating states (Rank wise) 116 113 110 107 106 105 97 High NSDP per capita Strong NSDP growth rate Kerela Maharashtra Gujarat Karnataka Tamil Nadu Telengana Punjab 14
LCO Prefers GTPL as their MSO Partner LCOs as partners Master control room Strong active relationships with 17,000 LCOs Centralized head-end based architecture Revenue sharing mechanisms Provide feed from only the 2 main head-ends Participation in business decision making Expansion by acquiring MSOs / LCOs / ISOs Control the distribution of feed / signal to LCOs Integrated subscriber management and billing systems Training & support to LCOs to ensure quality services Centralized content and carriage deals Net LCO additions (1) Mar-15 1,286 Mar-16 Mar-17 4,004 3,338 Focussed on Hindi Speaking Market (HSM) areas 15 Note: (1) Net LCO additions are for the period of 12 months ending Mar-15, 12 months ending Mar-16 and Mar-17 respectively
Cutting Edge Technology and Infrastructure Advanced technology and equipment provided by leading technology vendors Well positioned to expand reach into different geographies Mother Headend Gujarat Optic Fibre Cable Network (1) GPON Technology (2) Owned: 5,406 KMs Seamless connectivity Mother Headend capable of catering to entire country Main Headend Kolkata Underground: 600 KMs Leased: 3,480 KMs Higher broadband speed VoD, OTT capabilities Support Headend for disaster management LEADING TECHNOLOGY VENDORS CISCO Systems Capital (India) Pvt Ltd Nagravision SA Harmonic International AG Magnaquest Technologies Ltd Changhong (Hong Kong) Trading Ltd Tele System Communication Pte Ltd Shenzhen Skyworth Digital Technology Co Ltd Sterlite Technologies Ltd 16 Note: (1) Owned cable network length on a consolidated basis; underground and leased cable network length on a standalone basis; as of 30 th September, 2016 (3) Gigabit Passive Optical Networks is a complete fiber-based network that can deliver higher speeds, greater bandwidth and reduces maintenance costs
Key Development in Technology after IPO DIGITAL HEADEND Deployed next-generation video headend system Harmonic Inc., USA Enable to offer up to 650 cable television (CATV) channels and 50 OTT channels, Support advanced features like graphic overlay and scroll insertion, TV KEY Deploying TVkey which uses advance technology from Nagra and Samsung for securing high value content. It gives consumers an easy hassle free access to the premium Pay-Tv content on latest Samsung TV sets without the set top box. GPON The upgradation of network to GPON has started- which will also create new GPON enabled homes in existing territory. Launched GPON Services in the month of June 2017 at Ahmedabad s Bopal and Gandhinagar Area 17
Key Development Opportunity to Monetize Existing Infrastructure and deploy infrastructure in Rural Gujarat GTPL has been Awarded 2 prestigious 5 year contract from Gujarat government under Digital Initiative 189+ towns for INR 482 mn Covers10 states Contract INR 289 mn q To Provide Free Wi-Fi under UDD, Government of Gujarat q Nagarpalika of 57 cities in Gujarat q Install, Design and Maintain q In Phase I : Civil Hospital, Library, Bus stations Nagarpalika offices etc. Contract INR 193 mn q Awarded by Home department of Gujarat q To Provide internet services to 1500 police station in Class B and Class C cities of Gujarat. Benefits to GTPL qexisting infrastructure monetization as the required network is already in place qexpanding network to potential area and class C cities of Gujarat, will leverage broadband penetration in high density area with cost-effective roll-out to build new home-pass and customer acquisition qinternet Bandwidth capacity and utilization will be more effective to improve on EBITDA 18
KEY KPIs CATV Business - Quarter wise (Consolidated)* STB S SEEDED (MN)* ACTIVE STBS (MN)* 7.76 6.69 5.68 6.19 6.45 6.90 4.98 5.41 5.63 5.98 Q1-FY17 Q2-FY17 Q3-FY17 Q4-FY17 Q1-FY18 Q1-FY17 Q2-FY17 Q3-FY17 Q4-FY17 Q1-FY18 PHASE WISE SEEDED BOX (MN) Q1 FY 18 PHASE WISE ARPU (INR) (NET OF TAXES) AS ON JUNE 2017 2.23 2.53 2.28 100 95 0.72 54 41 PHASE-I PHASE-II PHASE-III PHASE-IV Phase I Phase II Phase III Phase IV 19 * As on end of period 19
KEY KPIs Broadband Business - Quarter wise* HOME PASS (MN) SUBSCRIBER (MN) ARPU (INR) (NET OF TAXES) 486 0.90 0.96 1.02 1.08 1.11 0.21 0.22 0.24 0.25 465 472 480 0.19 455 Q1-FY17 Q2-FY17 Q3-FY17 Q4-FY17 Q1-FY18 Q1-FY17 Q2-FY17 Q3-FY17 Q4-FY17 Q1-FY18 Q1-FY17 Q2-FY17 Q3-FY17 Q4-FY17 Q1-FY18 20 * As on end of period 6
INDUSTRY OVERVIEW COMPANY OVERVIEW FINANCIAL HIGHLIGHTS GROWTH STRATEGY ANNEXURE 21
GTPL Consolidated Financial Results FY 2017 Highlights (IND AS) 1 FINANCIALS Y-O-Y Revenue up by 27% ; INR 9417 mn Y-O-Y EBIDTA up by 51% ; INR 2404 mn Y-O-Y PAT up by 431% ; INR 400 mn 2 CATV Y-O-Y CATV Subscription Revenue up by 33% ; INR 4494 mn Seeded 1.48 mn STBs during the Year Continue to be No 1 MSO in Gujarat and No 2 in Kolkata & Howrah 3 BROADBAND Y-O-Y Broadband Revenue up by 77% ; INR 1288 mn 70k net addition of Subscribers during the year ARPU increase by 5.5% to INR 480 from INR 455 in FY16 4 DIVIDEND Company Board Recommends Dividend of INR 1 (10%) per Share 22 2
Consolidated Financial Performance Trend (IND AS) Revenue from Operations INR MN Total Expense INR MN EBITDA INR MN 9,417 7013 2404 5,288 4219 1069 FY'14 FY'15 FY'16 FY'17 FY'14 FY'15 FY'16 FY'17 FY'14 FY'15 FY'16 FY'17 23
Key Revenue Trends CATV REVENUE (INR MN) (IND AS) BROADBAND REVENUE (INR MN) (IND AS) 4,494 1,288 2,348 179 FY14 FY15 FY16 FY17 FY14 FY15 FY16 FY17 24
Consolidated Balance Sheet Trend (IND AS) Net Worth INR MN 2674 3378 3872 Secured Debt INR MN 2847 4312 4965 Total Cash INR MN FY'15 FY'16 FY'17 611 858 1,062 FY'15 FY'16 FY'17 Key Leverage Metrics 2.16 1.48 1.62 0.84 1.02 1.01 25 FY'15 FY'16 FY'17 FY'15 FY'16 FY'17 Net Secured Debt/Ebidta Net Secured Debt/Networth
Consolidated Profit and Loss Statement Particulars (INR MN) FY'17 FY'16 Y-O-Y Growth Revenue 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% 26 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 44 PAT before Minority Interest 262 37 611% Less Minority Interest (141) (36) Add Other comprehensive income (3) 2 PAT 400 75 431%
Financial Results Q1 FY2018 (IND-AS) GTPL announced financial results for the following entity for Q1 FY2018 1) GTPL Hathway Limited Listed Company (Standalone) 2) GTPL Broadband Private Limited 100% Subsidiary of GTPL Hathway Limited (Broadband) - provides Broadband Services 3) GTPL Kolkata Cable & Broadband Pariseva Limited (KCBPL) Subsidiary 51% owned by GTPL Hathway Limited Cable TV operation at West Bengal Market. The above three companies contributed ~ 90% of Revenue in Consolidated Accounts of Financial Year 2016-2017. Particulars (INR MN) GTPL Hathway Standalone Broadband KCBPL Revenue 1782 318 325 EBITDA 570 84 63 PAT 148 37 (13) Gross Secured Debt (INR MN) As on March 2017 As on June 2017 4965 4752 27
INDUSTRY OVERVIEW COMPANY OVERVIEW FINANCIAL RESULTS GROWTH STRATEGY ANNEXURE 28
Growth Strategy BROADBAND CABLE TV Deploy GPON technology Focus on high quality digital offerings Offer cost-effective and high speed plans Grow subscriber base in existing markets Increase the reach of homes passed Continue LCO partnerships Enter new cities and markets Enter new cities / markets with low competitive intensity 29
Immediate Growth Opportunities CATV Ø Two third of Subbase in Phase 3 and Phase 4 Ø Monetization of Phase 3 and Phase 4 is expected in next 2 years Ø Increased HD offering from 37 to 64 Channels. To convert potential subscriber to HD Packages at incremental ARPU BROADBAND Ø In Gujarat Cable reaching to 4 mn HHs, West Bengal reaching to 1.53 mn- Convert potential HHs into Broadband Subscriber Ø Upgrade and Deploy GPON Technology to provide High Speed, High Volume Broadband Services. INFRASTRUCURE Ø Utilize current infrastructure of CATV in Broadband for better ROI 30
Recent TRAI Order Bodes Well for MSO Change in content pricing from wholesale to retail basis thereby empowering distribution platforms Key provision Impact on MSO Distributors can charge a maximum of INR 130 (ex-taxes) 1 per sub per month as network capacity fee (1) Each additional 25 channel slab can be purchased at INR 20/sub/month Distributor to also collect maximum of 20% of the pay Allows for complete pass through of pay channel costs from broadcasters directly to end subscribers Network capacity fee will now contribute meaningfully to distributor s revenue channel cost as distribution fees 2 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) Mechanism in place to settle fee-share related disputes with LCOs Only carriage fees have been regulated, placement and advertisement fees have been kept out of regulation 31 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
FOR FURTHER QUERIES DISCLAIMER 32 Piyush Pankaj Head Investor Relations Email : piyush.pankaj@gtpl.net Ravindra Bhandari IR Consultant Email : Ravindra.bhandari@dickensonir.com Contact No : +91 92836 14197 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.
INDUSTRY OVERVIEW COMPANY OVERVIEW FINANCIAL RESULTS GROWTH STRATEGY ANNEXURE 33
FY2017 Financials Highlights Financial Cable TV Broadband Ø Y-O-Y Revenue up by 27% ; INR 9417 mn Ø Y-O-Y CATV Subscription Revenue up by 33% ; INR 4494 mn Ø Y-O-Y Broadband Revenue up by 77% ; INR 1288 mn Ø Y-O-Y EBIDTA up by 51% ; INR 2404 mn Ø Ø Ø EBITDA margin at 26% up by 500 basis points from 21% in FY 16. Y-O-Y PAT up by 431% ; INR 400 mn Earnings Per Share up by 5.5 times to INR 4.10 from INR 0.75 previous year. Ø Ø Seeded 1.48 mn STBs during the Year Continue to be No 1 MSO in Gujarat and No 2 in Kolkata & Howrah Ø Packaging implemented for Phase 3 and Phase 4 in Quarter 3 and Quarter 4 of FY17 respectively. Ø 70k net addition of Subscribers during the year Ø ARPU increase by 5.5% to INR 480 from INR 455 in FY16 Ø Ø Broadband revenue contribution up by 400 basis points to 14%; INR 1288 mn from INR 730 mn previous year. Company has created 240k new Home pass; Home Pass as on 31st March 2017 stands at 1.08 mn. The conversion ratio from Home Pass to Subscriber is at 22%. 34
Margin Analysis FY 2017 EBITDA margin has improved by 408 basis points to 26% in FY17 EBITDA, 26% Pay Channel & Bandwidth cost, 45% Administrative exp, 13% Employee, 12% Other operating exp, 5% 35
Consolidated Balance Sheet FY 2017 ASSETS (INR mn) As on 31st March 2017 As on 31st March 2016 LIABILITIES (INR mn) As on 31st March 2017 As on 31st March 2016 Non-Current Assets Equity Fixed 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 Liabilities Other 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 Liabilities Cash and cash equivalents 1,062 858 Financial Liabilities Other 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 36
Financial Results Q1 FY 2018 Includes following financials: 1) GTPL Hathway Limited Listed Company (Standalone) 2) GTPL Broadband Private Limited 100% Subsidiary of GTPL Hathway Limited (Broadband) - provides Broadband Services 3) GTPL Kolkata Cable & Broadband Pariseva Limited (KCBPL) Subsidiary 51% owned by GTPL Hathway Limited Cable TV operation at West Bengal Market. The above three companies contributed ~ 90% of Revenue in Consolidated Accounts of Financial Year 2016-2017. 37 37
Q1 FY2018 Financials Highlights Standalone Broadband KCBPL Ø Y-O-Y Ø Y-O-Y Ø Y-O-Y Ø Subscription CATV Revenue growth of 19%. Ø Total Revenue growth of 25%. Ø EBITDA Growth of 29% Ø Revenue growth of 25%. Ø EBITDA growth of 65%. Ø PAT growth of 95%. Ø Ø Subscription CATV Revenue growth of 15%. Total Revenue growth of 12%. Ø PAT Growth of 86% Ø Q-O-Q Ø Ø Ø Subscription CATV Revenue growth of 7%. Total Revenue declined by 5% due to high Other Income in Q4 FY 17. EBITDA stands at INR 570 mn: margin at 32% Ø Q-O-Q Ø Revenue growth of 4%. Ø EBITDA growth of 9%, margin of 26% Ø PAT growth of 10%. Ø Q-O-Q Ø Subscription CATV Revenue growth of 4%. Ø Total Revenue growth of 5% Ø EBITDA growth of 7%, margin of 19% Ø PAT stands at INR 148 mn. 38
Standalone Financials (IND AS)* Particulars (INR mn) Q1 FY 18 Q4 FY 17 Revenue Q-O-Q Growth Q1 FY 17 Y-O-Y Growth FY'17 FY'16 Y-O-Y Growth Subscription CATV 903 842 7% 757 19% 3,180 2,133 49% Placement 578 567 2% 493 17% 2,114 2,219-5% Activation 176 171 3% 131 34% 595 324 84% Other Income 125 304-59% 42 198% 492 262 88% Total Income 1,782 1,884-5% 1,423 25% 6,381 4,938 29% Expenditure Pay Channel Cost 798 815-2% 622 28% 2,783 2,343 19% Employee Cost 116 130-11% 101 15% 445 380 17% Other Operating Expense 123 124 0% 108 14% 495 467 6% Administrative expense 174 177-2% 149 17% 656 559 17% Total Expenditure 1,211 1,247-3% 980 24% 4,379 3,748 17% EBDITA 570 637-10% 443 29% 2,002 1,191 68% EBITDA % 32% 34% 31% 31% 24% Depreciation/Amortization 261 247 5% 219 19% 934 682 37% Finance cost 85 124-32% 103-18% 506 370 37% PBT 225 265-15% 121 86% 562 139 305% Tax 76 63 41 161 15 PAT before Comprehensive Income 148 203-27% 80 86% 401 124 224% Add/(Less) Comprehensive Income 0-1 0 (3) 27 PAT 148 201-26% 79.4 86% 398 151 164% 39 * As per Limited Review
Broadband Financials (IND AS)* Particulars (INR mn) Q1 FY 18 Q4 FY 17 Revenue Q-O-Q Growth Q1 FY 17 Y-O-Y Growth FY'17 Broadband-ISP Revenue 318 305 4% 254 25% 1,200 Other Income 0 2-94% 0.2-51% 2 Total Income 318 306 4% 254 25% 1,203 Expenditure Bandwidth Expense 55 57-3% 48 16% 206 Employee Cost 100 89 13% 64 57% 331 Other Operating Expense 39 47-17% 47-17% 176 Administrative expense 40 37 10% 45-11% 175 Total Expenditure 234 229 2% 203 15% 888 40 EBDITA 84 77 9% 51 65% 315 EBDITA % 26% 25% 20% 26% Depreciation/Amortization 27 24 10% 20 35% 86 Finance cost 1 1 25% 2-69% 5 PBT 56 52 8% 29 97% 224 Tax 19 18 6% 10 99% 72 PAT before Comprehensive Income 37 34 10% 19 96% 151 Add/(Less) Comprehensive Income 0 0 0 (0) PAT 37 34 10% 19 95% 151 * As per Limited Review 40
KCBPL Financials (IND AS)* Particulars (INR mn) Q1 FY 18 Q4 FY 17 Revenue Q-O-Q Growth Q1 FY 17 Y-O-Y Growth Subscription CATV 201 193 4% 175 15% 719 Placement 79 79 0% 79 1% 302 Activation 27 17 65% 10 163% 54 Other Income 18 21-17% 26-32% 76.9 Total Income 325 310 5% 290 12% 1,152 Expenditure Pay Channel Cost 179 166 8% 155 16% 679 Employee Cost 25 18 40% 19 33% 87 Other Operating Expense 29 39-24% 23 29% 100 Administrative expense 29 28 4% 13 125% 92 Total Expenditure 262 251 5% 209 26% 958 FY'17 41 EBDITA 63 59 7% 81-23% 195 EBDITA % 19% 19% 28% 17% Depreciation/Amortization 74 66 14% 56 32% 253 Finance cost 8 3 128% 13-37% 38 PBT -20-10 12-97 Tax -7-4 4 (38) PAT before Comprehensive Income -13-7 8-58 Add/(Less) Comprehensive Income - PAT -13-7 8-58 * As per Limited Review 41
Shareholder Analysis Market Data As on 20.09.2017 (BSE) Market Capitalization (Rs Mn) 16,630 No. of shares outstanding (Mn) 112.5 Face Value (Rs.) 10.0 52 week High-Low (Rs.) 190 127 Source BSE Key Institutional Investors % Holding ACACIA BANYAN PARTNERS 3.08 GOVERNMENT PENSION FUND GLOBAL 2.59 BNP PARIBAS 2.42 ASHISH KACHOLIA 2.23 PARVEST EQUITY INDIA 1.50 DANSKE INVEST 1.45 DB International (Asia) LTD 0.81 Source Company / BSE as on 15 th September 2017 26.2% July - 17 Shareholding 73.9% Promoter Public 42