GTPL Hathway Limited (GTPL) Earnings Call Transcript & Summary

Ladies and gentlemen, welcome to the Q2 FY '24 Results Conference Call of GTPL Hathway hosted by Emkay Global Financial Services. [Operator Instructions] Please note that this conference is being recorded. I would now like to hand the conference over to Mr. Pulkit Chawla, Emkay Global Financial Services. Thank you. And over to you, sir.

Thank you, Akshay. A very good evening, everyone, and welcome to the GTPL Hathway earnings call. We have with us today Mr. Anirudhsinh Jadeja, Promoter and Managing Director; Mr. Piyush Pankaj, Business Head CATV and Chief Strategy Officer; and Mr. Anil Bothra, Chief Financial Officer. Without any further delay, I shall now hand over the call to the management for their opening remarks. Thank you, and over to you, gentlemen.

Thank you, Pulkit. Good evening, everyone. A warm welcome to everybody to the earnings call of GTPL Hathway to discuss financial performance of quarter 2 FY '24. As one of the largest MSO and broadband players in this country, it pleases me to see us going from strength to strength. We have added 800,000 subscribers in Digital Cable TV business and 120,000 subscribers in broadband business year-to-year and look forward to maintain our growth. The main strategy is to consolidate the industry and enhance customer experience through layering of services. I will now hand over the call to Mr. Piyush Pankaj, who will take you through the quarterly business and financial performance of the company. Piyush.

Thank you, Mr. Jadeja. Good evening, everyone. The company has recorded its highest ever quarterly revenues, beating the previous quarter, and is well on track to be the highest revenue grossing financial year. Our KPIs have also increased both on a quarterly and yearly basis. First, I will talk on the Digital Cable TV business. Active subscriber base as on 30th September 2023 stands at 9.4 million, driven by 350,000 Q-o-Q and 800,000 Y-o-Y. Paying subscribers stand at 8.70 million. Paying subscribers increased by 400,000 Q-o-Q and 700,000 Y-o-Y. In the broadband business, we have added 120,000 new subscribers, an increase of 14% on a Y-o-Y basis to reach 990,000. Homepass subscribers stood at 5.55 million as of 30th September 2023, of which 35% are available for FTTX conversion. Homepass grew by 550,000 on Y-o-Y basis and 150,000 on a Q-on-Q basis. The broadband ARPU for quarter 2 FY '24 stood at INR 460, an increase of INR 10 on a Y-o-Y basis, and stable on a quarterly basis. The average data consumption per customer per month stood at 310 GB, a 25% increase Y-o-Y. This quarter, we announced Mr. Kartik Aaryan and Ms. Rashmika Mandanna as the new brand ambassadors of our company. They will be part of our new ad campaign, the Abke Zamane Ka Connection, to highlight the variety of services that we are well equipped to provide. On a consolidated level, revenue grew by 19% Y-o-Y to INR 7,900 million. The Digital Cable TV subscription revenue stood at INR 3,226 million, up by 17% Y-o-Y and 8% Q-o-Q. The broadband revenue stood at INR 1,317 million, an increase of 10% Y-o-Y and 2% Q-o-Q. The consolidated EBITDA stood at INR 1,351 million with an EBITDA margin of 17.1%. Profit after tax for quarter 2 FY '24 stood at INR 344 million. The stand-alone revenue stood at INR 5,121 million, an increase of 21% Y-o-Y. EBITDA stood at INR 765 million, with an EBITDA margin of 14.9%. PAT for quarter 2 FY '24 stood at INR 243 million. The net debt to equity continues to remain negligible as the company remains conscious of its CapEx and leveraging efforts. This is all from my side. Thank you, everyone. We can now begin with Question-and-Answer Session.

[Operator Instructions] The first question is from the line of Vinit Manek from Karma Capital Advisors.

Yes. Can you hear me?

Yes, yes, yes. Yes, Vinit, go ahead.

So our first question is on the side of the margins. So we had marked an improvement in the margins from Q1 to Q4, but still we committed to stay on the 20% EBITDA margin by the end of Q4. So can you help us understand that how do you plan to achieve this 20% margin journey by Q4 with our expenses, which are increasing at a faster rate versus the revenue growth? So can you help us understand that?

Yes, Vinit. Actually, if you see, we have improved our 100 basis points this quarter, from 16.1%, we have gone up to 17.1% in the EBITDA margin. And as you see that the NTO 3.0 implementation has happened and because of that quarter 2 is still showing a higher side of the cost, which has stabilized now. So we have increased our revenue and we have increased the cost also. So now the cost has stabilized, so we are looking forward that somewhere the EBITDA margin is again going to improve. Last year, we were at 20%. That we are going to achieve by quarter 4. And some new projects are also on the anvil, which I can't disclose here, but we are confident that with those new projects coming into the fold of GTPL, our margin is going again back to the 20%, as what overhead we had to take for the NTO 3.0 and all has already happened in quarter 1 and quarter 2.

Okay. So on the pay channel cost, the INR 434 crores that we reported this quarter, you expect that expense to be at a steady rate versus the revenue growth going forward?

Yes. So if you see, the increase in the pay channel cost is not going to happen on that rate. We have increased -- the revenue is going to happen in the higher pace, because revenues are still getting realized, cost has already stabilized.

Okay. And how should we look at the other expenses, which is INR 182 crores for the quarter? So do you expect the similar growth rate going forward in the following quarters or do you expect that to decelerate?

The other expenses are going to be on the normal rate now. As you see, other operating, admin and selling expense, which has gone up by 4% quarter-to-quarter, and if I talk about H1 to H1, it has gone up by around 19%. But INR 182 crores, which we are seeing, is right now already considered the whatever increase we have to do. So as whatever the expansion we have to do in the North and all, which is we have to take, that's already taken in quarter 4 and quarter 1 and quarter 2 of the cost. So we are not seeing that it is going to go up much, and it will be on a normal rate only.

Okay. Okay. And my second question comes to the broadband segment. So even on the broadband segment, our growth rate is now coming down to a 10% kind of a growth versus in the previous year in few quarters where we were growing upwards of 15% to 20%. So how are you looking growth over there? And has the B2C component of the subscribers that we were adding it on an inorganic basis, has that come in or it is yet to come in for us?

No, B2C is coming in still. B2B, as last quarter, we have added good numbers. This quarter, B2B is a bit down as some of the technical problems and all we have faced on some of the network. So B2C, whatever the numbers you are seeing, that 30,000 we have increased in the quarter, around 25,000 is around B2C. So we have increased from 960,000 to 990,000 we have gone, that's 30,000 increase in the quarter. Out of that 25,000 is B2C and 5,000 is just B2B in that.

Okay. So the B2B revenue is yet to come in the coming quarters?

That's right. That's right.

Okay. And should we expect that growth rate coming back to 15% kind of a growth rate which we have...

Yes. Y-o-Y, we are looking forward. We are down to 10% right now. Y-o-Y, we are looking forward, it should come back to 15% again.

Okay. Okay. And just one last question from my side. So even on the depreciation side, we had seen a slight acceleration versus the previous quarter run rate during this quarter, which is INR 820 crores. So any one-off in that? Or this is a steady state number that will be there going forward?

As we consolidated Metro Cast, so that's why you have seen some increase in the depreciation over there. So we have added the assets of Metro Cast in our case, where the Metro Cast had some arrears on the asset side. So that's considered in the depreciation also there.

Okay. So this is a steady-state number that will go forward?

Yes. This is a stable number, I would say, which is going to remain.

The next question is from the line of Urvi Shah from Dolat Capital. The participant has left the queue. The next question is from the line of [ Rahul Jain ], an individual investor.

So with the World Cup going on, we may expect higher marketing incentive. So can you help me understand the typical structure between the advertisers, say, Pepsi, the channel, for example, Star Sports and broadcasters such as ourselves?

[ Rahul ], we didn't get the question, sorry. Can you repeat that question, [ Rahul ]?

Hello? Am I audible?

Yes. Audible, audible. Can you repeat the question that...

Yes, yes. Sure, sure, sure. So I'm saying, we may expect higher-margin marketing incentive during the World Cup as the World Cup is going on. So can you help me understand the typical structure between an advertiser say, Pepsi, and the channel, for example, Star Sports, and the broadcasters such as ourselves?

[ Rahul ], no, we don't get the margins on the advertisement side. Advertisement is solely for the broadcasters. Yes, we get the enhancement in our subscriber base. Because of that, I'm seeing that -- right now, I'm seeing that around 120,000 customers have come back within the first week of October, you can say from 4th October till date and more are coming back on that. So I'm seeing the surge in our subscriber base, especially the subscriber base who has already had the boxes and all in their homes and they had stopped the services, they are coming back. So that said, we have seen, within a week's time, we have got around more than 120,000 subscriber base back in our book.

Okay. So my question is like do we have some leverage for the placement of marketing incentive when it comes to our 50-plus channels that we own and operate?

You are talking about leverage on what? On the World Cup, or you are talking about in general leverage?

In general leverage.

In general, yes, if the number of channels are higher, then we get more incentives on those from the broadcaster, because they have to put all 50 channels together. They have to put that -- we should put them in our packages also and all, so that is the case. So we get more incentive if the number of channels are higher.

Okay. So like I understand that the whole effect of NTO means that paid channel cost and placement revenue are higher on a year-on-year basis. But can you explain the performance on a quarter-on-quarter basis?

We have just 2 quarters. So we have started implementing on quarter 1 somewhere from the mid of April. And by this quarter, the whole market has got stabilized. So whatever increase has to happen at the pre-channel side has already happened. And now we are at a stable stage from quarter 3 onwards, where the cost side is at least totally stable now.

[Operator Instructions] The next question is from the line of Urvi Shah from Dolat Capital.

Can you hear me?

Yes.

Apologies, I got disconnected earlier. Sir, so I had a quick question. We can see that there is higher increase in depreciation and interest on Q-o-Q basis. So what is the reason for that?

Yes. The reason is that we have consolidated Metro Cast in the quarter and their depreciations and their fixed assets also came into our books. And because of that, we are seeing that around from INR 173 crores, it has gone up to INR 182 crores -- from INR 73 crores, INR 74 crores, it has gone up to INR 82 crores, that is an increase of INR 8 crores happened, about 11% is the increase because of that.

The next question is from the line of [ Rahil Shah ] from Crown Capital.

Hello? Am I audible?

Yes, [ Rahil ].

Yes.

Yes. This ARPU, which has stayed flattish quarter-on-quarter basis, so what is the outlook on that? I mean do you see this increasing?

You're talking about broadband business?

Yes, yes, broadband. Yes.

No. I explained in earlier calls also, [ Rahil ], that the broadband, we are looking for more sort of volume gain rather than the value gain. Being sensitive market, the ARPU range will be between INR 400 to INR 460. And this increase also what you are saying that we have gone up from somewhere INR 450 to INR 460 in the last 2 years, if you see our trend, from INR 400 to INR 460, that is only because that people are going for the higher packages, that they are going from 50 mbps packages to 80 mbps to 100 mbps, where the prices are high. So that is the way. We still consider, if you ask me, that broadband business is more of a start-up business. Out of 315 million homes, only 35 million homes are there in wired broadband. So it's still a long way to go. And it's going to be more of a volume gain like telecom rather than a value gain right now.

Okay. So headroom is huge and you see near term a good traction for that in volumes?

Yes, yes. Traction is going to increase because as you know, our all the focus is there in the digital India and broadband. Government is pushing it, everyone is pushing it. Everyone is going for the digital. And more and more, as more consistency we're going to require, as more financial transactions are going to happen through those, then wired broadband will be one of the most consistent providers and most consistent, you could say, giving the bandwidth and everything, and it's a proven technology, it's a worldwide proven technology. So we are hopeful that wired broadband is going to grow as it has grown in the markets that we talk about. In U.S. already penetration is more than 70%. If we talk about eurozone, it is already more than 60%, China 55%. So those markets have already gone up. So we are looking forward that India will also come close to 50% at least in wired broadband.

So based on your knowledge about the industry, by when do you expect India reaching that stage, in general?

Yes. We are looking forward that half a decade, 5 years, [indiscernible] it should be there...

Okay. And then we'll be more than ready to capture a good market share there?

Yes, yes. So 50% penetration, that is going to be somewhere, 150 million households for the wired broadband.

Right, right. Okay. And lastly on -- you said, pay channel cost increase will not happen at the same rate as the revenue growth, right? So what kind of -- what are your expectations about the full year then in terms of revenues? You've seen a good growth in quarter 2. So is this sustainable quarter-on-quarter? Any outlook there?

As I talked about that we are a very -- Y-o-Y 17% increase is already happening there. I'm looking forward that if you see my trend from last 5 years, 6 years, the CAGR of subscription revenue is between 18% to 21%. That's what we are going to maintain in this year also. Already, we are at 17%. So yes, going forward also, we are seeing that it will be somewhere 18% to 21% of subscription revenue. Yes, pay channel is now stabilized. So we are looking forward that the revenue will grow and the cost will be stabilized, main cost, so that we will see that the margin will improve. And from 17% margin right now, we are going to go up, again, on the normalized margin of 20%. That's what we are trying to achieve.

Perfect. Perfect. Okay. And this GTPL Genie, how is that doing?

GTPL Genie is doing good. Initial days I would say, because still the product is new for the subscribers. Around 90,000 subscribers subscribed, mainly more towards the broadband. Cable is little... But yes, right now, we are rejigging the whole, you can say, the offers, and by quarter 3 or end of quarter 3, we are going to relaunch Genie with a new avatar. So that's the plan right now. But yes, this Genie has -- I think there is a good traction, 90,000 around, but we are seeing that a slowness is coming over there at this point of time. So this requires a rejig, which we are going to do in this quarter.

The next question is from the line of [ Saloni Shah ], an individual investor.

Sir, I've a few questions specific to the different revenue items. The first one being revenue base from activation. So we've seen an increase in active and paying subscribers. But the activation revenue is lower if we see the Y-o-Y and Q-on-Q basis. So I think if you can just throw some light on how the subscriber base has moved on gross basis, addition of new subscribers, Metro Cast subscribers and churn rather than the net basis?

Yes. So activation revenue is more of what you are recovering at the time of putting the boxes at the subscriber's homes, which is on activation of the boxes what revenue you are getting. Yes, activation revenue was very high in the past. And it is getting deferred -- according to the accounting standard, it is getting deferred for 5 years. So it's a deferred revenue, which is coming back to our books. The realization of the money has already happened in the past. So see, this revenue is continuing at the time when the digital -- actually the digitization of whole industry was happening and those boxes were getting placed in the customers' homes. That was happening and at that point of time, you are giving the boxes in bulk. It's like -- because every customer, the new box has to go into their household and you are collecting the activation income from them as you are putting the assets in their households. And those are getting deferred for 5 years according to the Ind AS, and those revenues are coming back. So right now, Ind AS, I would say, the activation revenue is very less, because whenever you are giving the box, activation is normal course of business now rather than a special course of business at the time of DAS implementation, when we were doing the whole digitization of the industry. So that's why you are seeing there is a decline. And we are looking forward that activation revenue will be in the range of -- negligible in the whole, you can say, the whole P&L. And you can see that in the quarter 2 also it's hardly INR 4 crores, which is there. It will remain in the same range, INR 3 crores to INR 4 crores every quarter, not more than that.

Okay, sir. My next question being what is the increase in the subscription income from cable TV attributable to, as in like, what portion of it is NTO effect and how much is the natural growth?

Most of it is NTO.

Yes. If we talk about subscription income, right now, 8% growth has happened there. The quarter 1 and quarter 2, if we talk about, there is an increase in the numbers of around 400,000, which is mainly because of Metro Cast, you can say. So somewhere -- in this, around Metro Cast has contributed of around INR 18 crores. Rest is the NTO 3.0, if we talk about H1 to H1.

Okay, sir. And sir, my last question is, I think our other income is mostly attributable to EPC work that we do. So do we have any EPC contract expected to win? And also if it's there, what is the tenure left on the existing EPC contract?

So right now, we don't have any EPC. We have the O&M, operation and maintenance, of what D2C project we're doing. And right now, 3 years has been lapsed. 4 years is already there -- more there for O&M of BharatNet project, which we did earlier. Yes, there is in the pipeline. As you know that parliament has just passed the BharatNet project and sanctioned the amount. And we are expecting that the tender will start coming from December, January. We are going to be one of the prominent players to go for the tender, especially now strategically. Apart from that, yes, we are looking forward for some of the government projects, which is under the pipeline. And most probably, some will come in quarter 3, some will come in quarter 4. So yes, we have the capabilities that we are looking forward to take big projects, the government projects also, and BharatNet projects also.

[Operator Instructions] The next question is from the line of from Madhur Rathi from Counter Clinical Investments (sic) [ Counter Cyclical Investments ].

Sir, you had guided that going forward, 50% of our subscribers will be from organic acquisition -- organic base and 50% will be through acquisitions. So if you could highlight the strategy that we are following, as well as what kind of valuations are we looking when we are going for acquisitions? As well as at what rate have we acquired Metro Cast, like what multiple have we acquired Metro Cast?

Metro Cast, already we have given the figure in all the [indiscernible] to the public. And already given the subscribers which we have gained from that. So you can see that in the [indiscernible] which we have posted. So from there [indiscernible] what is the per subscriber base that was given over there. Right now, yes, the strategy is the same [indiscernible] industry, which Mr. Jadeja has also mentioned that we are going to consolidate the industry. And do the layering of the services also in both the cases. Yes, the strategy is same. This quarter, we have not done any acquisitions yet, but the acquisitions are in the pipeline. Already we did one big Metro Cast as acquisition in the first H1. And we are looking forward for the next 2 quarters also to do some more acquisitions. Yes, organic has always -- we're continuing effort on the organic side, which is going on. Strategy is there, but we are not doing the strategic [indiscernible] and we are working towards that only.

And sir, the multiple that was used for the acquisition will be similar to the Metro Cast that we have given, or it will be in those ranges...

No, it depends on the scale and the market which the larger players are working on. So...

It actually varies market to market. So...

Okay. Sir, can you just quantify what will be the minimum IRR or the ROC that we'll expect from this kind of investment going forward?

Minimum IRR if you talk about, we look forward that it is going to be more than the cost of capital, which is somewhere around 14%. So we look forward that IRR should be more than 14% we have invested.

Next question sir. So Genie, we have seen a 90,000 subscriber base. So is this a profitable business for us right now? Or as those subscribers grow, we will see profitability coming in?

Not much profitable, you can say. But yes, right now what we have seen that we are not incurring any losses on this business. Whatever we have to [indiscernible] we have given it, that's whatever operational cost is there, we've taken it. And we are making a very high margin business. But yes, as I said that we are rejigging the whole thing and coming up with the more attractive prices and more attractive packages on that and relaunching it, so that's going to give us -- but yes, there is no loss in this whole business. It's more of a profit, but very small, very small margin.

Okay. Sir, so like the margin that we are guiding 20%. At what kind of subscriber base can we achieve that 20% EBITDA margin?

We are looking forward to close subscriber base of around 10 million by this financial year, that's the target on which we are hopping. And in the broadband side, we are looking forward for around somewhere between 1.05 million to 1.07 million.

Okay. So between 1.05 million to 1.07 million we could achieve a 20% EBITDA margin going forward?

That's correct.

Yes.

The next question is from the line of [ Karan Mehta from Nirzar Securities ].

Hello. Am I audible?

Yes, [ Karan ]. Please go ahead.

I just have a couple of questions. So firstly, there's a new concept of LAN sports where people playing online games stream their videos and performance over the web. This is more like a social media handle where good videos attract a lot of viewership. So do we have any plans to enter into LAN sports? And what's the opportunity size in this? Also, what's the business model that could be employed in this to create a new robust revenue stream?

Right now, we don't have any plan on this, [ Karan ]. Yes, we are going to introduce gaming as we are talking about the layering of the business, but that is going to be with partners like we are doing it for the OTT. And we are going to play on the margins like we are saying on the OTT. But this type of product still we have not considered in our stable, [ Karan ].

Yes. Actually, such ideas did come to us before earlier, but we have not yet considered or tried to go ahead with it. But will it be done in the future? Maybe, we might. I'm not sure.

Okay. But sir, just wanted to understand, like we have seen that cable business is a very stagnant business. Broadband is the new leg of growth that I think would be there in the media industry. So don't you think having this kind of diversification in the broadband business itself will create a new revenue stream?

[ Karan ], first, I disagree with you that our cable business is not a growing business. We are looking forward that we will grow in the cable -- as a cable company. I'm not talking about the industry. Industry might be stable, but yes, as a company, as we are consolidating and we have a lot of opportunities to grow as around 45 million subscriber base is with the smaller MSOs, which is up for the grab, plus the TV industry, or you can say, the whole cable or satellite industry is still growing or TV is growing at a rate of 1.66% CAGR. Still 100 million to 150 million subscriber base is not having TV in their homes or not having TV in the country. So still, we look forward that cable business is a growing business and you can look at in our numbers also that our subscription revenue in the cable and the numbers are still growing. Yes, the second thing, which is coming on the broadband, you are right that broadband is more like a sunrise, as I said earlier in this call only, that is more of like a start-up and like a sunrise sector. So a lot of growth -- more growth -- rate of growth is going to be higher in this. And you are right that this type of product, which is more of innovative products and going to attract more and more younger people and the social media frenzy. So yes, we should consider this now. So thanks a lot for bringing it to us. We will see what innovative product we can introduce.

Okay. Sir, just one related question. So Reliance has initiated RISE program, which is Reliance Initiative for Sports and Entertainment, which has acquired IPR for streaming online games. So now being a Reliance Group company, what could be the potential benefit that we can gain from this?

See, right now we have not talked about the content sharing with our parent company. We have to talk about those strategies and all. We are more focusing on our cable and broadband business and how we are going to layer more and more services in a brand. That is more of -- yes, content sharing, we have to see, because a lot of things come into play on that, whether they can share this with their subsidiaries or their associates or not. So all those problems come [indiscernible], but yes, we have not explored that right now.

Okay. Sir, just one last question. What are our expansion plans for this fiscal in both cable as well as broadband business, this and next fiscal?

Expansion, you can say that already we are in 22 states. We are looking forward to go for one more state and 2 more UTs. So somewhere that we are going to consider in the next 2 quarters. Already the plan is there and we are working towards that. In the broadband side, yes, being focused -- or the main expansion part is going to be from the B2B. Already we are covering some of the states. Slowly, we have to cover all 22, 23 states where we are present in the cable, and we are working towards that.

What's our presence right now in the broadband? How many states?

Right now, if you talk about, we are present in around 9 states, which I've given you in my presentation also, if you see. The first slide of my investor presentation, you will get our presence in the cable and broadband both.

9 states.

Yes, which states we are present in.

The next question is from the line of Ketan Athavale from RoboCapital.

Can you please reiterate your guidance for FY '24, '25 and '26 on a consolidated basis?

Ketan, right now, I can just say that we are looking forward to come back to our group's CAGR, which is, if you see total revenue of somewhere between 18% to 20% in [indiscernible]. And the same was growing in the range of 18% to 20% in the case of CATV and around 15% to 16% in the case of broadband. So that's what we are looking forward for the next 2 years also. EBITDA growth was in the range of somewhere around 12% to 13%, which we are looking forward that we will maintain that. This quarter, we made around 7% growth in the -- from INR 125 crores to INR 135 crores. We look forward that somewhere we will maintain that CAGR, which we gathered over the years on the EBITDA side. Subscriber base and all, yes, in the next 2 years, as I said that we are going to cross around 10 million this year. We look forward to have 1 million more subscriber base in 2 years on the cable side. And in the broadband side, so I have said that we are going to cross 1.05 million to 1.07 million somewhere, and we are looking forward that in the next 2 years we'll be close to the 1.2 million -- between 1.2 million to 1.25 million on the broadband side, as we've B2B business [indiscernible].

[Operator Instructions] The next question is from the line of [ Sahil Bajoria ] from individual investment.

Yes. So I have a couple of questions. So besides the smaller [indiscernible] acquisition, so what is our natural expansion strategy? Like in the current presentation as we have shared that we are expanding aggressively in states such as Delhi, Tamil Nadu, Andhra or Haryana. So sir, can you share like our progress in these states for like year-to-date?

Yes, sure. So if I talk about Andhra and Telangana, we are already crossing 1 million subscriber base, which we achieved in last 3 years. And still we are going very strong over there and looking forward that we will continue to grow on Andhra, Telangana markets, both together. If I talk about Maharashtra, we are already more than 1 million in Maharashtra and going very strong over there. Maharashtra market is a bit packed market, you can say, but a lot of opportunities are there for the acquisitions, which we are looking forward to grow in acquisition side in Maharashtra. Tamil Nadu, already in the last 2 years, we have gotten more than 1 million subscribers. And we look forward that more and more will come into the fore. Here, the focus is more on the organic side than inorganic or acquisition side. Acquisition is more happening in the North market, where we are talking about Delhi, Haryana, Uttarakhand, Uttar Pradesh, there more of acquisitions market we are looking forward, that we will do more acquisitions over there and garner them. So that's the strategy on which we are working. Every state has a different strategy. Based on their dynamics, based on the numbers availability, based on the number of players investing over there, based on the number of MSOs working on those markets, and based on what ARPU is going into that market, what type of packages are getting built. So all those things are there, but yes, specifically for the state, I've given you what are the strategies which we are looking forward to.

Okay, sir. Also, sir, just a follow-up question. Like given our strong position in Gujarat and West Bengal, so like what is the headroom of further expansion or like consolidation in these states?

Yes, there is a lot of headroom in the West Bengal market as we are #2 player over there, not the #1. So still a lot of headroom to become #1 over there. So we are looking forward to that. In Gujarat, we are #1 and dominant, and we look forward to make competition with DTH, which we are doing that. So that is the case in these 2 markets, yes.

Ladies and gentlemen, this was the last question of the day. I now hand the conference over to the management for closing comments.

Thanks. I would like to express my thanks to every participant who took their time out to attend the call. For any queries, please feel free to connect with Orient Capital, which is our Investor Relations adviser. Thank you once again. Have a good day.

Thank you.

Ladies and gentlemen, on behalf of Emkay Global Financial Services, that concludes this conference. Thank you for joining us, and you may now disconnect your lines.