GTPL Hathway Limited

Communication Services — Entertainment · NSE

₹55.58−₹1.47 (−2.58%)

DalalBaazaar Score

39 / 100

🔴 Weak

Verdict

CAUTION

Risk

Very High

Driven by short-term liabilities exceed short-term assets, the company is currently loss-making, micro-cap size, which brings thin liquidity.

In simple words: The company is currently losing money, though profits are falling even as sales grow. Short-term liquidity is the main factor to watch.

Decision support, not a buy or sell call.

As of 18 Oct 2026, 6:59 pm

Understanding the Business

Company site ↗

The 60-second version of GTPL Hathway Limited — what it does, how it earns, and who it competes with, before any of the numbers below.

What does this company do?

GTPL Hathway Limited, together with its subsidiaries, provides digital cable television and broadband services in India. It operates through three segments: Cable Television, Internet Service, and Other.

IndustryEntertainment

SectorCommunication Services

Employees631

Annual revenue₹3,713 Cr

How does it make money?

Turns over ₹3,713 Cr a year. Of every ₹100 of sales, about ₹0 reaches shareholders as profit, with ₹12 left at the operating level before interest, tax and depreciation. Each of its 631 employees supports ₹5.88 Cr of revenue a year, the signature of a capital- or asset-led business.

Revenue / employee₹5.88 Cr

Who are its competitors?

The closest listed comparisons in its industry are BHARTI AIRTEL LIMITED, VODAFONE IDEA LIMITED. These are the companies its valuation and returns are measured against elsewhere in this report.

Compared side by side in Peers ↓

What is its competitive advantage?Little sign of one

Returns on capital of 3.2% are at or below what the capital likely costs. That is the financial pattern of a business competing largely on price, where advantage has to come from execution rather than position.

Peer median ROE20.2%

What has been driving growth?

Profit has moved mainly because margins changed, not because the business sold much more. Over 3 years revenue moved +40% while net margin moved -90% relative to itself. What this cannot tell you is which products, customers or geographies did the work — that lives in the segment disclosures of the annual report.

Revenue effect+40%

Margin effect-90%

DalalBaazaar Score

39/ 100

Weak

Weighted across six categories. Every point is explained below.

✗ Return on equity is negative
✗ ROE has fallen by 9.0 points over the period

Quality vs. Valuation

Company Quality

34/ 100

Weak

How good the business is, ignoring the share price entirely.

Valuation

57/ 100

Fair

What you are being asked to pay, ignoring how good the business is.

Weak on business quality and not cheap enough to compensate.

vs. its own history

Not enough price and earnings history

vs. sector peers

Not enough peers with a usable P/E

vs. generic bands

N/A

No P/E — the company is lossmaking

EV/EBITDA

2.5x

PEG

—

What's Good / What's Bad

🟢 What's Going Well1

Consistently profitable
Profitable in every one of the last 4 reported years.

🔴 What Needs Attention2

Return on equity is falling
ROE has dropped from 10.3% to 1.4% — each rupee of shareholder capital earns less than it did.
Return on capital is falling
ROCE has declined from 13.3% to 3.2% — often a sign of competition or overexpansion.

Red Flags

7 items require attention · 3 high · 4 watch

🔴Debt has risen sharplyFinancial
Total debt is up 211% over 3 years, from ₹161 Cr to ₹502 Cr.
🔴Thin interest coverageFinancial
Operating profit covers interest only 1.5x — little room if earnings dip.
🔴Significant margin compressionFinancial
EBITDA margin has fallen 7.5 points, from 19.4% to 11.8%.
🟡Interest coverage is deterioratingFinancial
Cover has fallen from 3.2x to 1.5x.
🟡Profit is decliningFinancial
Net profit is down 86% over 3 years.
🟡Receivables growing faster than salesFinancial
Receivables up 87% against revenue up 40% — sales are being booked faster than they are collected.
🟡Short-term liquidity is tightFinancial
Current ratio of 0.67 — near-term obligations exceed near-term assets.

Investment Thesis

🟢 Bull CaseWhat could make this work?

Self-funding with balance-sheet headroom
Positive free cash flow of ₹64 Cr alongside low debt means growth, buybacks or dividends need no outside money — and a downturn can be absorbed rather than refinanced.
Earnings have proved durable
Profitable in every one of the last 4 reported years. Consistency lowers the risk that any single bad year is structural rather than cyclical.

🔴 Bear CaseWhat could go wrong?

Margins are being competed away
EBITDA margin has fallen from 19.4% to 11.8%. If the trend continues, profit falls even on flat sales — and margin decline rarely reverses quickly.
Sales are being booked faster than collected
Receivables are up 87% against revenue up 40%. If customers keep taking longer to pay, reported profit will not turn into cash — and write-offs follow if some never do.
Returns on shareholder capital are falling
ROE has dropped from 10.3% to 1.4%. Each rupee of equity earns less than it did, so profit growth increasingly depends on raising more capital rather than on the existing base working harder.
Size brings its own risk
Micro Cap businesses are thinly traded, so exits are harder in a falling market and single events move the price more than they would for a larger company.
Several serious flags at once
3 high-severity checks triggered. Individually each has an explanation; together they raise the chance that something structural is wrong rather than a one-off.

🟡 Key Things to WatchMeasurable tripwires, set against where this company stands today

1Revenue growth stays above 9% a year✓ 11.9% CAGR
Latest reported year was 19.2%. The bar is set below the established compounding rate, so ordinary variation does not trip it.
2EBITDA margin holds above 10%✓ 11.8%
Two points below today's level — enough room for noise, tight enough to catch real compression.
3Interest cover stays above 3x✗ 1.5x
How much operating profit can fall before interest stops being comfortably covered.
4Free cash flow remains positive✓ ₹64 Cr
Profit that never becomes cash eventually stops being profit.
5Debt / EBITDA stays below 2x✓ 1.1x
The ratio lenders write covenants against; it survives a small or negative equity base, unlike Debt/Equity.

Investment Checklist

5 / 11 checks passed

✗ Strong return on equity (ROE ≥ 15%)
✗ Strong return on capital employed (ROCE ≥ 15%)
✗ Healthy net margin (≥ 10%)
✓ Generates positive free cash flow
✓ Manageable leverage (Debt/Equity < 1.0)
✗ Adequate short-term liquidity (Current Ratio ≥ 1.0)
✓ Revenue growing year-over-year
✗ Profit growing year-over-year
✓ Not trading at an extreme valuation (P/E < 40x)
✓ Not buying right at the 52-week high
✗ Short-term technical trend isn't bearish

Price history

Quick Metrics

5 good · 1 neutral · 5 weak

Market Cap

₹625 Cr

Micro Cap

Smaller company — thin liquidity and deep drawdowns are normal here

P/E (Trailing)

Not meaningful

Loss-making

Earnings are negative, so a P/E multiple can't be read here

P/B Ratio

0.57x

Reasonable

Reasonable against the company's book value

EPS (TTM)

₹-0.23

Loss-making

Negative earnings per share — the business is losing money

ROE

-0.4%

Weak

Weak capital efficiency

ROCE

3.2%

Weak

Low return on total capital employed

Debt/Equity

0.44x

Low

Conservative leverage

Revenue Growth (YoY)

19.2%

Healthy

Healthy top-line growth

Profit Growth (YoY)

-67.1%

Falling

Profits are shrinking

Dividend Yield

3.60%

Healthy

Meaningful cash return while you hold the stock

Free Cash Flow

₹165 Cr

Cash generative

Generates cash even after funding its capex

More Metrics

P/E (Forward)

4.7x

ROA

0.6%

Weak

Assets generate little profit

Operating Margin

0.4%

Weak

Thin margins leave little room for error

Net Margin

-0.1%

Weak

Very little revenue reaches the bottom line

Current Ratio

0.67

Tight

Tight short-term liquidity

Beta (vs Nifty)

0.34

Defensive

Steadier than the market

52W Range Position

Near low

Near its 52-week low

Technical Snapshot

SMA 20 / SMA 50

55.7 / 56.0

Bearish alignment (short < long)

Price vs SMA 200

Below

Long-term downtrend

RSI (14)

48.3

Neutral momentum

Financial Trend (4-Year)

Metric	FY23	FY24	FY25	FY26	3Y CAGR
Revenue	₹2,652 Cr	₹3,207 Cr	₹3,471 Cr	₹3,713 Cr	+11.9%
EBITDA	₹513 Cr	₹513 Cr	₹463 Cr	₹439 Cr	-5.1%
EBITDA Margin	19.4%	16.0%	13.3%	11.8%	—
PAT (Net Profit)	₹114 Cr	₹107 Cr	₹48 Cr	₹16 Cr	-48.3%
EPS	₹10.13	₹9.51	₹4.26	₹1.4	-48.3%
ROE	10.3%	9.2%	4.1%	1.4%	—
ROCE	13.3%	11.6%	6.1%	3.2%	—
Total Debt	₹161 Cr	₹288 Cr	₹313 Cr	₹502 Cr	+46.0%
Free Cash Flow	₹115 Cr	-₹17 Cr	₹67 Cr	₹64 Cr	-18.0%

🟢 Revenue has grown at 11.9% a year over 3 years.

🔴 EBITDA has shrunk at 5.1% a year over 3 years.

🔴 EBITDA Margin has fallen from 19.4% to 11.8% over 3 years (-7.5 pts).

🔴 PAT (Net Profit) has shrunk at 48.3% a year over 3 years.

🔴 EPS has shrunk at 48.3% a year over 3 years.

🔴 ROE has fallen from 10.3% to 1.4% over 3 years (-9.0 pts).

🔴 ROCE has fallen from 13.3% to 3.2% over 3 years (-10.1 pts).

🔴 Total Debt has grown at 46.0% a year over 3 years.

🔴 Free Cash Flow has shrunk at 18.0% a year over 3 years.

Balance Sheet & Cash Flow — FY2026

Total Assets

₹3,276 Cr

Total Liabilities

₹2,008 Cr

Cash & Equivalents

₹31 Cr

Operating Cash Flow

₹360 Cr

Capex

-₹297 Cr

Shareholding (proxy)

Institutional Holding

6.3%

Insider Holding

78.2%

Corporate Actions

Dividend Rate

₹2

Ex-Dividend Date

21 Sept 2026

Peer Comparison

Company	P/E	ROE
BHARTI AIRTEL LIMITED	39.8x	20.2%
VODAFONE IDEA LIMITED	3.6x	—

Recent News

3 mixed1 negative2 general

GTPL Hathway (GTPL) Share/Stock Price Live, NSE

TechGraph, 09 Oct

GTPL Hathway Share Price Target 2027, 2028 and 2030: Long Term Analyst Forecast

Univest, 07 AugAnalyst view

🟡Mixed / dependsBroker commentary — an opinion about the price rather than new information about the business.

GTPL Hathway share price jumps over 12% after Q3 results. Should you buy?

Livemint, 13 JanPrice move

🟡Mixed / dependsA price move, which is not by itself a change in the business. Worth finding the cause before reading it as either good or bad.

GTPL Hathway Q1 Results: Net profit slumps 78% despite 12% revenue growth

CNBC TV18, 15 JulResults

🔴Potentially negativeReported deterioration, which feeds the growth and margin inputs on this page directly.

GTPL Hathway schedules analyst call for Q2FY27 results on Oct 14

scanx.trade, 08 OctAnalyst view

🟡Mixed / dependsBroker commentary — an opinion about the price rather than new information about the business.

GTPL Hathway Ltd Achieves Resilient FY 26 Performance and Optimistic Outlook

Yahoo Finance, 15 Apr

Watch Items

Trading very close to its 52-week low — worth checking whether this reflects a temporary setback or a structural problem.
Cross-check against the company's latest quarterly filing / investor presentation before acting.

DalalBaazaar Thesis

MiddlingFinancial Health · Valuation · Risk

WeakBusiness Quality · Growth · Profitability

Points for each in the Score ↑

Weak on the fundamentals

Poor scores on business quality without a price low enough to compensate. There is no obvious argument for owning this over a stronger company at a similar valuation. 3 high-severity red flags sit above this conclusion and should be read first.

1 of 5 tripwires tripped — Interest cover stays above 3x · see Key things to watch ↑