Why GTPL Hathway shares plunged 10% after Q3FY25 results; know here

Investors dumped the shares of GTPL Hathway in loads on Friday after the company reported a sluggish third quarter earnings for the financial year 2024-25 (Q3FY25). GTPL Hathway share price plunged 9.85 per cent at Rs 132.65 per share on the BSE in intraday trade. 

 

GTPL Hathway, a digital cable TV and broadband service provider, reported a 57.2 per cent year-on-year (Y-o-Y) decline in net profit for the third quarter ending December 31, 2024. The company posted a net profit of Rs 10.1 crore, down from Rs 23.6 crore in the same period last year, according to a regulatory filing. However, the company’s revenue from operations rose by 4.3 per cent, reaching Rs 887.2 crore compared to Rs 850.8 crore in the corresponding quarter of the previous fiscal year.

 

At the operating level, Ebitda fell 12.6 per cent to Rs 105.3 crore from Rs 120.5 crore in the previous year, while the Ebitda margin decreased to 11.9 per cent from 14.2 per cent.

 

In its digital cable TV segment, GTPL Hathway added 200,000 active subscribers Y-o-Y, bringing the total to 9.60 million, with paying subscribers also growing by 200,000 to reach 8.90 million. This contributed to subscription revenue of Rs 3,024 million.

 

In the broadband segment, GTPL Hathway saw a Y-o-Y increase of 37,000 subscribers, bringing the total broadband subscriber base to 1.04 million. The broadband average revenue per user (ARPU) stood at Rs 465 per month, showing a slight increase of Rs 5 compared to the previous year.

 

On the equities front, the share price of GTPL Hathway has underperformed the market in the last six months, falling 22 per cent, while slipping 34 per cent in the last one year. In comparison, the BSE Sensex has lost 3 per cent in the last six months and has gained 7 per cent in the last one year. 

 

At 10:46 AM, the stock price of the company was trading 8.05 per cent lower at Rs 135 a piece on the BSE. By comparison, the BSE’s Sensex was down 0.26 per cent to 77,415.06 level.