GTPL Hathway reported a 19% YoY revenue increase to Rs 1,146 crore for Q2 FY27, though high integration costs and forex losses resulted in a net loss of Rs 0.5 crore. The company expanded its digital subscriber base to 11 million and completed the acquisition of the ACT Group's cable business. Management remains optimistic, guiding for a 150-250 bps EBITDA margin expansion by year-end.
GTPL Hathway Q2 Revenue Surges 19% Amid Strategic Acquisitions
Total Consolidated Income reached Rs 1,146.4 crore, while net loss stood at Rs 0.5 crore.
Reader Takeaway: Strong subscriber additions and revenue growth are currently offset by integration expenses and forex volatility impacts.
What just happened
GTPL Hathway released its Q2 FY27 results, showing strong double-digit growth in both consolidated and standalone revenue. Despite the revenue momentum, the firm posted a net loss of Rs 0.5 crore, attributed by management to a Rs 4.5 crore forex hit and Rs 3.0 crore in amortization costs. The company also confirmed the completion of its Rs 35.55 crore cash acquisition of seven ACT Group cable television entities.
Why this matters
The acquisition of ACT Group’s cable assets significantly expands GTPL’s footprint in Andhra Pradesh, Telangana, Odisha, and Karnataka, adding 6 lakh subscribers to its base. While the bottom line is currently pressured by these integration costs, the company has provided clear guidance for a 150-250 basis point increase in operating EBITDA margins by the end of FY27 as operational synergies begin to materialize.
Operational Performance
The digital cable TV segment remains the primary growth engine, with the subscriber base reaching 11 million as of September 30, 2026. This includes 1.5 million new additions in the quarter alone. In the broadband segment, the company added 10,000 subscribers to reach 1.07 million active users, maintaining an ARPU of Rs 470. Additionally, the company appointed Mr. Vivek Raina as the new CEO of its broadband business to steer future growth.
Risks to watch
Investors should monitor the company's ability to maintain margin growth. EBITDA did not scale linearly with revenue this quarter, and the company faces intense competition from larger telecom players in the broadband space. The integration of recent acquisitions remains a critical performance factor for the second half of the fiscal year.
What to track next
The market will look for a return to profitability in Q3, driven by the realization of cost benefits from the HITS platform transition, which is expected to be fully complete by early 2027.