GTL Infra Share Price

GTL Infrastructure Limited is an Indian company that provides, owns and oversees telecom towers. These towers are shared among wireless telecom operators. It is the largest independent telecom tower company in India. GTL Infra is a publicly listed company registered as an Infrastructure Provider Category 1 (IP-1) with the Department of Telecommunication, Government of India.

The market capitalisation of GTL Infrastructure Limited is over ₹1,900 crore as of January 5, 2023. GTL Infra share price has gained over 80% in three years.

Business operations

GTL Infrastructure Ltd is the leader in shared telecom infrastructure in India. The company specialises in providing pre-built infrastructure to wireless telecom operators. GTL Infra is involved in constructing and managing these infrastructural sites. The company's services encompass passive infrastructure solutions and in-building solutions.

Using its infrastructure, telecom operators also construct, operate and manage their networks, enjoying savings on both capital and operational expenses.

GTL provides shared telecom towers accessible to all telecom operators in India, supporting 2G, 3G, 4G and 5G networks. The company has 26,000 telecom towers spread across all 22 telecom circles. Its most well-known clients are Airtel, Jio, Vodafone Idea, BSNL and Tata Communications.

The company owned 22,847 towers as of March 31, 2023. Of these, 10,670 were in use with 22,247 radiating tenants, resulting in a tenancy ratio of 2.1 on these occupied towers. In the previous fiscal, there were 11,028 towers in use, hosting 23,475 radiating tenants with a similar tenancy ratio of 2.1 on occupied towers.

GTL Infra witnessed a shutdown or exit of 14 telecom customers leading to the abandonment of over 14,000 towers owned by the company in FY23. These towers remained unoccupied, causing a loss of revenue from infrastructure provisioning fees or rental charges associated with the towers. The company's infrastructure-sharing business model helps telecom operators shift their capital expenditure to a fixed and predictable expense. This frees up their capital for core activities.

GTL Infra's revenues come from long-term contracts with wireless telecom operators which are renewed upon expiration depending on the services provided. The operations and maintenance (O&M) cost includes rents for cell site locations, security expenses, power and fuel costs, operational and maintenance expenses. Other operating expenses mainly consist of site security costs.

GTL Infra is actively engaged in many projects supported by the Department of Telecommunications (DoT) and the Cellular Operators Association of India (COAI). These projects are USO (Universal Services Obligation Fund) for rural telecom infrastructure and MOST (Mobile Operator Shared Tower).

Services

Infrastructure Sharing:

GTL Infra facilitates telecom operators in housing their active equipment at its sites, offering space and ideal heights on towers for antenna mounting. Their infrastructure-sharing model gives strategic advantages to its customers.

Energy Management:

GTL Infra ensures uninterrupted power supply to towers at predetermined costs for its customers. It also manages energy sources and storage solutions.

Financial Highlights

GTL Infra’s revenue from operations for FY23 stood at ₹1,457.86 crore, down 0.3% from ₹1,462.73 crore in FY22. The company recorded a loss (loss after tax) of ₹1,816.91 crore in FY23 against ₹1,474.67 crore in FY22. In FY23, the earnings before interest, taxes, depreciation and amortisation (EBITDA) fell to ₹213.2 crore from the previous year's ₹233.5 crore. The company's earnings per share (EPS) stood at ₹- 1.41 in FY23 compared to ₹- 1.14 in FY22.