GTPL Hathway Ltd (NSE: GTPL) Q4 2026 Earnings Call dated Apr. 16, 2026
Corporate Participants:
Anirudhsinh Jadeja — Promoter and Managing Director
Piyush Pankaj — Business Head of CATV and Chief Strategy Officer
Saurav Banerjee — Chief Financial Officer
Analysts:
Aryan Tripathi — Analyst
Suvarna Bhoir — Analyst
Richard Saini — Analyst
Harsh Patel — Analyst
Vinit Manek — Analyst
Vrishti Gupta — Analyst
Viral Jain — Analyst
Presentation:
Operator
Ladies and gentlemen, good day, and welcome to GTPL Hathway’s Limited Q4 FY ’26 Earning Conference Call hosted by Emkay Global Financial Services Limited.
This conference call may contain forward looking statements about the company which are based on the beliefs, opinions and expectation of the company as on date of this call. These statements are not the guarantee of future performance and involve risk and uncertainties that are difficult to predict.
[Operator Instructions] And there will be an opportunity for you to ask question after the presentation concludes. [Operator Instructions]
I now hand the conference over to Mr. Aryan Tripathi from Emkay Global Financial Services Limited. Thank you and over to you, sir.
Aryan Tripathi — Analyst
Good afternoon, everyone. I would like to welcome the management and thank them for this opportunity. We have with us today Mr. Anirudhsinh Jadeja, Promoter and Managing Director; Mr. Piyush Pankaj, Business Head, B2B and Chief Strategy Officer; and Mr. Saurav Banerjee, Chief Financial Officer.
I shall now hand over the call to the management for the opening remarks. Over to you Mr. Jadeja.
Anirudhsinh Jadeja — Promoter and Managing Director
[Technical Issues] call of GTPL Hathway Limited to discuss financial performance of quarter four FY ’26. We remain the country’s largest MSO while constantly deepening our footprint as a significant player in the fast evolving speed broadband landscape. Both our cable TV and broadband businesses deliver steady operational performance over the year.
Over the past financial year, we have focused on launching and scaling consumer-centric products and services. And with the newly launched GTPL Infinity, our HITS platform will enable to scale our operation, speed of ground implementation and cost efficiency. In line with our constrained dividend paying policy from last nine years, for the financial year FY ’26, the Board of Directors have recommended dividend of 20% of face value INR2 per share.
I now hand over the call to Mr. Piyush Pankaj, who will take you through the KPI for the Cable TV and Broadband segment as well as highlights of our efforts throughout the year. Piyush?
Piyush Pankaj — Business Head of CATV and Chief Strategy Officer
Thanks Mr. Jadeja. Good evening, everyone. The KPIs for both the businesses are as follows: First, Cable TV segment. Our digital cable TV subscriber base as on March 31, 2026 stood at 9.40 million. Among the total subscriber base, paying subscribers stood at 8.70 million. In the broadband business, active subscriber base at the end of the quarter stood at 1.06 million, adding 15,000 new subscribers on a Y-o-Y basis. Homepass stood at 5.95 million as of 31st March 2026, of which 75% are available for FTTX.
The broadband ARPU for quarter four FY ’26 stood at INR465. Average data consumption per month stood at 436 GB, a 10% increase Y-o-Y. The number of Indian households is expected to increase from 332 million in 2025 to 345 million by 2028, alongside a rise in per capita income from USD2,800 to USD3,600. This growth is expected to expand India’s middle class to approximately 715 million people by 2030-’31, creating a strong foundation for higher television and broadband ownership and consumption. Television household penetration in India is around 60% which is expected to be around 65% by 2030. India’s demographic and economic trends continue to support long term growth in television and broadband penetration.
This quarter has become exceptional as the company has reported negative profit after tax. The decline impact is driven by mainly three factors. First, the revenue impact, subscription, cable subscription and ISP revenues were lower due to the lower operating days in the quarter which is a two day impact and a marginal decline in subscriber base. The impact is of around INR12 crore.
Second is year end accounting adjustments higher one-time provision towards conservative accounting and impairment being the end of FY, which is the impact is of around INR7.5 crore and one-time forex loss of around INR9 crore. The revaluation loss due to INR depreciation linked to geopolitical developments in the Middle East. Because of that the company has lost around INR9 crore and the impact is there in the pack.
I will now hand over the call to Mr. Saurav Banerjee, CFO, who will take you through the financial performance of the company.
Saurav Banerjee — Chief Financial Officer
Thank you Mr. Piyush, and good evening to everyone joining us today. On a consolidated basis for the quarter, total revenue rose 4% year-on-year to INR9,344 million. Subscription revenue came in at INR2,850 million, while broadband revenue increased 3% year-on-year to INR1,394 million. Consolidated reported EBITDA was INR908 million, reflecting a margin of 9.7%. Operating EBITDA for the quarter stood at INR854 million with a margin of 18%.
Looking at the full year FY ’26, consolidated revenue grew 7% annually to INR37,466 million. Subscription revenue reached INR11,862 million, while broadband revenue rose 2% year-on-year to INR5,580 million. Consolidated reported EBITDA for the year was INR4,321 million, translating to a margin of 11.5%. Operating EBITDA stood at INR4,026 million, maintaining a margin of 22% compared to the prior year. Net profit attributable to the parent was INR156 million.
On a stand alone basis for the quarter, total revenue grew by 9% Y-o-Y and 1% Q-on-Q to INR6,185 million. Standalone reported EBITDA for the quarter was INR596 million at a margin of 9.6%. Standalone figures for FY ’26 stood as follows. Total revenue was stable annually at INR8,685 million. Reported EBITDA stood at INR2,369 million at an EBITDA margin of 9.6%. Net profit for the period was INR56 million.
Balance sheet of the company remains healthy with a debt-to-equity of 0.18 times as on 31st March. Net cash flow from operations for the full year stood at a robust INR3,601 million and we are also free cash flow positive for the financial year.
Now, I request the moderator to open the floor for question-and-answer session.
Questions and Answers:
Operator
Thank you so much, sir. Ladies and gentlemen, we will now begin the question-and-answer session. [Operator Instructions] Thank you. Our first question comes from the line of Suvarna from Chanakya Capital. Please go ahead.
Suvarna Bhoir
Hi, thank you for the opportunity. This is Suvarna from Chanakya Capital. Can you hear me?
Piyush Pankaj
Yeah, Suvarna, we can hear you. Please go ahead.
Suvarna Bhoir
I have two questions. We have noticed that there has been no growth in cable TV and broadband subscribers during this quarter. So could you please explain the reason behind it? And my second question is, could you please provide more detail on the personal items of INR56.89 million and whether this is likely to be there going forward? Thank you.
Piyush Pankaj
For the first question, yes, you’re right. There is no increase in the subscriber base of cable TV and broadband both sides. Cable TV, as you know, we have started implementing Headend in the Sky. So we are concentrating right now more of converting the current subscriber base and going further cost savings, which will start reflecting from first quarter rather than the expansion in the first half in this quarter. The — all the expansion and all the things will happen from the first quarter of FY ’27. So you will start seeing some positive traction on that way.
Yes, as you know, the competition is very high right now. And the environment is also not very favorable for the cable TV business, but still we are holding our base and retaining our base throughout. And plus from the next quarter, we are going to increase the, our pace of operations the Headend in the Sky, and we have to start getting more subscriber base on that way. So that’s the way on the cable side. Broadband side, this quarter is a bit muted. Overall, in the year, we have added 15,000. But this quarter was a bit muted but next quarter — from the next quarter onwards, we will start seeing the addition in the subscriber base again.
And the one-time, which we have seen, the exception, which is the investment impairment, which I have talked about on my statement that how it is impacting our PAT. And that is the part of that, that is a one-time investment impairment of some of the investments, which conservative accounting, our auditor has recommended us to take it, and we have taken in this year, but it is only one-time, it will not continue.
Suvarna Bhoir
Okay. Thank you. Thank you so much.
Operator
Thank you. Our next question comes from the line of Richard Saini [Phonetic] from HKR Capital. Please go ahead.
Richard Saini
Hello. Yes. Sir, I had a question in line of the previous question. This particular industry has been consolidating since quite some time now. How prolonged can this consolidation Phase 3 according to you? Like any reason for this consolidation?
Piyush Pankaj
Yeah, you’re right. This industry is in the consolidation stage, and we are also preferring to go for the acquisitions and do the consolidation of the industry. As you know that out of around 80 million subscriber base, still 40 million to 45 million subscriber base is with the smaller MSOs, where with the changing technology and the quality and all it is difficult for them to hold the subscriber base for long. As you know, the change in technology is happening and whether it is OTT and whether it is other YouTube and Insta or Facebook, all have become a threat because they all are now a content companies rather than a social media companies.
And because of that, you have to improve your quality. You have to improve your interactions with the customers. You have to be at the, you can say, improve your quality, that is the problem with this industry that smaller MSOs are in the long term are not able to do it. And that’s why the consolidation is required so that you can retain those subscribers in the industry. And they we will remain enjoying the cable TV service. So that’s one of the reasons that’s happening in the industry for the last four, five years. This year, as you see that we have our numbers have not decreased. It is almost safe because we have reduced our acquisitions or consolidation activity as we have concentrated more towards the Headend in the Sky launch and putting the capex over there to create the one of the state-of-the-art uplinking center and doing all the downlinking in the market.
So that’s why we have not gone for the very aggressive consolidation in all of which we used to do it for the last two to three years. But now we are doing it, and you will start seeing the results from the first quarter only. From this quarter only that for the consolidation. And we believe that consolidation is good for the industry as 800 MSOs are there in the country right now, which should reduce and fewer players should be there who can serve the customer better.
Richard Saini
So just to understand that we have been able to capture the benefit of consolidation to a certain extent and we’d be able to get good benefit from it in future, correct?
Piyush Pankaj
Yeah, yeah. That’s the way we are working towards. We are very aggressive towards the consolidation, and we will work towards that. After our Headend in the Sky platform, we are going to be very, very aggressive for the consolidation of industrial.
Richard Saini
Okay. And sir, from an industry standpoint, we now see that apart from month, only one other HITS operator remains active. Given this limited competitive landscape, should you help us understand what has prevented like more players from adopting the HITS model?
Piyush Pankaj
Now you have to broaden your origin as for the competitors because right now, your competitors are everyone who is providing the content. That’s why I’ve taken the name of — you talk about telcos, you talk about YouTube, you talk about Insta, Facebook, everyone, who all are giving the content and who are taking the eyeballs of the customer. Those have become your competitors. So you have to broaden your horizon on the competitors. You don’t have to go for traditional competitors. Traditional competitors are always there, and they are going to remain there. But we have to broaden the competitive landscape. And we are working towards on that basis that we have the competition with all the players who are providing content.
Richard Saini
Got it, sir. Got it. And sir, then one more question. Sir, the cable TV industry have been facing some structural challenges due to the OTT platform. But now players like you, Airtel, Jio, we have started giving OTT with normal TV channels as a part of our safe top box plan. So how do you see the cable TV subscriber base evolving over the next few years with this?
Piyush Pankaj
You see the whole world is moving towards the connected TVs where you will getting the TV also means cable connection or DTH connection, plus you are having one or two OTTs or three OTTs there at the home. And that is the way which we look forward also that the future will be like that because content, you can say it is more of platform agnostic. So content has to reach to the customer. So if it is a good content, customer will go and see that content whether it will be on any platform. So you have to go according to the customer perspective, what their requirement is.
And if contents are getting available on those platforms that you have to go for those platforms, and you have to. So we look forward, look towards our center pipe. If you see, we are a pipe, which is reaching at home right now. Right now, we are distributing broadcasters channels. We can distribute OTT also, we can distribute gaming also, which we have started. We can distribute financial services also we can do. So it’s more of like a layering of the services to the customers. So you are — you have the reach at home, how you are going to utilize that so that your customers is satisfied whatever he wants, he is getting that. So that’s the way we look into the business. And that’s why we are providing all type of combinations of different services. And that’s the way we look forward for the future.
Richard Saini
Okay, sir. Okay. Got it. Thank you so much, sir. I’ll join the queue for the further questions.
Piyush Pankaj
Sure.
Operator
[Operator Instructions] Our next question comes from the line of Harsh from Alpha Alternatives. Please go ahead.
Harsh Patel
Piyush ji, you are talking about the 4 crores to 5 crores customers in the MSO space, right? You are saying that you’ll be very aggressive. Can you just tell us in the next coming year, like FY ’27 and ’28 how much of this 4 crores to 5 crores customer you can acquire very confidently?
Piyush Pankaj
It’s a very speculative question Harsh, as you know. We are in talk with different players, big players, I will say, and which you will start getting the announcement in first quarter only. As now, we already we have implemented Headend in the Sky, and now we are going ahead for the call. So I will say, yes, good substantial number will come. I can’t give you exact numbers. As you know, it’s more of a population [Phonetic]. But yes, we are on the job. And my next quarter call, you will get that, okay, this much number has come and then we will start seeing the trends on that side. But yes, we are doing the consolidation and one of our main strategy is that.
Harsh Patel
So this would be acquisition of MSO, right?
Piyush Pankaj
Come again. Sorry, Harsh. I didn’t get it.
Harsh Patel
So you’re talking about acquiring few of the MSOs.
Piyush Pankaj
Yes, we are talking about acquisitions. But yes, we are looking forward to go ahead and do it. So, yes.
Harsh Patel
Got it. Secondly, I just wanted to understand on your cable TV base, how difficult it is to take a INR5, INR6 hike in ARPU?
Piyush Pankaj
See, ARPU you can do higher. We are doing it this year also. We did it last year also. But as you know, Indian markets are very sensitive about the ARPU. We are increasing it. And every time, if you see it’s increasing by INR3 to INR4 to INR5, which is hardly, we can say, 3% to 4% increase. But that 3% to 4% increase will happen every year. That is going to happen. So in three years’ time, you will say, yes, 10% to 12% increment has happened in the ARPU. But drastic improvement in ARPU is not — we are not looking forward to that. We are more going or playing the volume game rather than the value game here. That value is going to be 2% to 3%, 4% maximum. And main volume game is going to give you the returns and the revenues.
Harsh Patel
So the volume side will be taken care of by the acquisition of MSO, right? So from where you see the volume growth…
Piyush Pankaj
Inorganic, organic, everything we see. See, Harsh, there is a — I’ll just give you the largest perspective on that basis that I’ve just given that there are 332 million households that they are out of that. The TV households is just 193.94 billion. And still, it is somewhere around 60% only. So still 40% is there, which is without TV, which is you can say, non-cable, non-DTH, non-TV areas in the country right now, which is somewhere around, you can say, 130 million to 140 million households, which is there. So that opportunity is — because there’s an opportunity there, which you can increase. You can go for inclusiveness of them in the — as becoming the TV households. Now, one of the reasons that we have gone from the Headend in the Sky so that we can be present in every nook and corner of the country and we can start the business weeks time to 10 days.
And that’s one of the prime things that how you can bring this 140 million households into the wave of your territory. So that’s one of the bigger, bigger target. Plus, the other target becomes as I tell you 40 million to 45 million households, which is still with the smaller MSOs and they are like a low-hanging fruit for go and acquire them. But yeah, there is some cost involved, yes, cost involved. But you go and acquire them and you will increase the subscriber base on that basis.
The third comes the DTH because now you are at par with DTH from last four, five years, as we have the number of same number of channels, we have the same quality after digitization. And you have a big portion of DTH as a competition where we can win back because DTH has won the customers from the cable and grow and now that we should win from them. So all those things.
And one more portion is your free dish, because free dish has — they have increased tremendously. Only because there was no option at the rural areas for the other players to go into or have the reach to — have to reach those households through your P2P or fiber and everything. And DTH is, direct to home is too costly for them. And that’s why they have gone into the fold of free dish. So there is 40 million, 50 million subscriber base is lying in the free dish, which you can now hamper because you are also reaching there through a Headend in the Sky.
So the possibilities are large. Yeah, we have to take it one by one. But possibilities are large, and we can attack in everyone. And there is a lot of work of next decade, I will say that you can do this and increase these businesses twofold to threefold to fivefold. So that’s, you can say the large perspective is there to increase our business.
Harsh Patel
Got it. So lastly, on your capex and depreciation, how should we model this going forward?
Piyush Pankaj
Yeah. Capex, this year, we did around INR290 crores of capex total. Out of that, around INR110 crores is in the broadband at INR180 crores, which includes the HITS capex is INR180 crores. We are looking forward that next year, we will be again back to INR350 crores, somewhere. We are looking forward that INR150 crores to INR160 crores will be on the broadband and the rest will be on the cable and HITS.
Harsh Patel
When will the capex peak, sir?
Piyush Pankaj
Sorry Harsh, your voice was cracking?
Harsh Patel
When will the capex peak out?
Piyush Pankaj
Maximum. Maximum will peak out means you’re talking about the quarter wise peak out or…
Harsh Patel
No, no, no. So you are doing INR300 crores [Phonetic] run rate every year, right? So that will come down to about INR100 crores of maintenance by when?
Piyush Pankaj
Okay. You’re talking about when it will get — start reducing.
Harsh Patel
Yeah, yeah.
Piyush Pankaj
We are not looking forward to reduce it as we have seen that this is the time for the growth for both the businesses. As I said to you, the cable business, a lot of HITS is the cable business. There’s a lot of perspective. Same is there in the broadband side. As you know, in the broadband only for 6 million households are in the wired side right now. And as you see the wireless costs are going up with the time. So this is a time where you can hunt your thing and out of 332 million, only 46 million, which is already around 14% — 13% to 14% penetrations are there. So there is — I will say this is the next decade is going to be both for broadband and cable for both the businesses where you can increase your stake and the whole participation in the country. So I’m not looking forward for at least for the next three years that we will going to reduce our capex.
Harsh Patel
Got it. Okay. Thanks. That’s all from my side.
Operator
Thank you. [Operator Instructions] Our next question comes from the line of Vinit Manek from Karma Capital. Please go ahead.
Vinit Manek
Yeah. Hi Piyush ji, can you hear me?
Piyush Pankaj
Yeah, yeah, Vinit. Go ahead.
Vinit Manek
Piyush ji, just one question from our side, It was really disappointing to see a loss this quarter. But sir, overall, despite of all the efforts that you mentioned on the call that we have been doing it for so long, our margins have been at least on the operating side that we used to say that 24% margin we used to make that was down to 22% and now it is down to 18%. And in fact, if we see on a CATV basis, also, we are seeing a degrowth. Our broadband business is also growing at a very smaller pace. So how should we look at the long term business structurability about the profitability of the business because margins have been falling and growth has not been so great for us. So that was the first part of the question.
And the second part is that can you slightly elaborate on the exceptional charges that you said on the investment that you have taken with the recommendation of the auditor that what was largely that was attributable to and the nature of it, if you can explain. Thank you.
Piyush Pankaj
Yes, sure, Vinit. So first question, you are right, Vinit, that this quarter is a bit disappointing because we have gone for the negative path. And this year also, if we can, as I say that at the beginning also that we are — have a very muted number on both the businesses as we have not lost the number. But yes, we have not increased the numbers, which was expected that we should increase our number now. As the cable business side, I will say that we were more concentrating towards not going overboard of acquisitions and all and concentrate on our Headend in the Sky capex, so that we can be ready for the future. So that’s why we have a bit muted.
In the broadband side, I guess, the competition mainly from the new technology, which has come as the air fiber and that has suddenly taken us on the leap. And now we are recovering from that as our net addition has started increasing now, and we are hopeful that next year is going to be better that business also and cable business also.
Yeah, the profitability side, I will say we have maintained our operational profit if you see 22%. But yes you’re right that at some point of time, we were at 24% to 25% in 2022 or 2023, and we have come down to 22%. But we are looking forward that with the implementation of HITS as we are going to save a lot of money in your delivery cost that is going to increase here, which is directly going to increase your EBITDA plus the new businesses which we are going to get is going to increase that.
So you are able to control your cost if you go through our employee cost and our operational costs and also, we have worked tremendously towards that this year, and we have brought it down both our other operating expenses and all and overall and the employee cost plus, you can see the pre-channel cost also, it is consistent same, if we talk about the operational profit, operational — slide number 24 in our investor presentation on that way.
But yes, you are right that in one loop, this is a great situation. And this quarter is really, really impacted, which I have given in my statement also. The another one, you’re talking about the impairments and all. This is two parts are there. One is the impairment, which has happened on some of our old investment, which has happened. On those investments which we did, you can see, invested a long time back in 2011, 2012, 2013 in the analog era, those investments has become invalid, you can say on those according to the auditors and they have recommended to go for impairment for the more of like a cleaning of the books one time, and that has appeared there, which is below the EBITDA is around INR5.7 crore and above the EBITDA is around more of INR2 crores, INR2.5 crores. So total is around INR7.5 crores to INR8 crores is there.
And the second portion, which we have got hit because of our — the forex fluctuation. As you know, that the accounting of Headend in the Sky, the transponders, which we have taken in from Indonesia, where the contracts are in the dollars, and we have started taking that in the depreciation plus those costs, which we have to do on an ROE basis. And those fluctuations — because of those fluctuations as on 31st March, the depreciation was very high for the INR and forex on 2nd April it got back, but we have to go according to the 31st March, and we got hit by around INR9 crores because of that. In the books, which is like a one-time. If those one-time would have not happened, we would have — those are the notional costs, I would say, we would be positive, having better margins, and that is the case.
Future, I will say, Vinit, we are very, very hopeful. As you know, we are rethinking on the whole business from last one, one and a half years, as we told you earlier also, and that’s why we are implementing or taking bigger steps where we are spending on the capex on the new platforms, we are spending on the capex in the broadband side also, different technology set. So all those things we are doing on the basis that, yes, we are going to implement our strategies in the coming years. And again, which I’ve talked about the next three years, we are going to be very, very aggressive, which we used to around five years back. So we are going to use to those again, the next three years is going to be aggressive. And we are hopeful that we are again going to improve our margins. And again, we are going to start seeing positive PAT. And again, the PAT will go up, like it has reached to INR200 crores at some point of time, and then it declined. We are hopeful that we will again reach to that level in the next three or four years.
Vinit Manek
And sir, the 18% margin that we reported, the operating margin that we reported this quarter was because of the one-time charges included in that from 22% to 18% or that one-time charges below the line item that…
Piyush Pankaj
No. It is below the line item. 22% is the — in operational, slide number 24, if you see.
Vinit Manek
But 22% full year, right? FY ’26 is 22%. This quarter, it went down to 18% on an operating basis.
Piyush Pankaj
This quarter — One minute. One minute. Yeah. This quarter we have 18%. That is one of the exceptional because two days revenue has gone. So always quarter four is lower within because in quarter four you get just the 90 days, not the 92 days. So if you see the quarter three, it was 24%. It was exceptional because you got 92 days there. So that’s why revenue goes up and down. So it’s better to see on the yearly basis that where we are standing.
Vinit Manek
Okay, okay. Got it. Thank you, sir. Thank you for that.
Operator
Thank you. Our next question comes from the line of Vrishti Gupta [Phonetic] from VG Finance. Please go ahead.
Vrishti Gupta
Hello, sir. Am I audible?
Piyush Pankaj
Yeah, Vrishti.
Vrishti Gupta
Yeah. So my question is like what is the churn profile for cable customers and which retention initiatives are shown the best result?
Piyush Pankaj
Churn, if we talk about, the industry churn is somewhere around 17% to 18%. We are at the same level. And if I talk about 17% to 18% churn, then you can see that if we are retaining our customer at the same level, I will say that it is a reducing churn year-to-year, because when the COVID time was there, the churn has gone up to 24% and then started reducing and reducing and now it is at around 17%, 18% which is there. And we are hopeful that it will go down with the time as more retention will come into that. We are doing the all efforts on the retention and that’s why we are going down to 17%, 18%. Still industry it is at 20%, 21% churn is going on there. So we are doing better than industry and on the churn matter and — so that is the case.
Vrishti Gupta
Okay. Okay, sir. And what is the strategy for setup box upgrades or replacement and how are the cost recovered?
Piyush Pankaj
See, if you are talking about replacement and all the replacements are happening and generally we are doing the replacement with our used box, refurbished box and if it is has to be in the new box, then there is a cost involved on that for the replacement. So that’s where you are recovering your investment on that way. So there is a two way you can replace if a box is not working, either it has to be a refurbished box which is like a used box which is repaired and retrieved and repaired box. Through that you can recover at the very small cost. Or if you have to go for the new box, then you have to pay for the new box. That is the policy.
Vrishti Gupta
Okay, okay. And like, how do we coordinate between business teams of cable and broadband to maximize our cross-sell opportunities?
Piyush Pankaj
No, the teams are different. Yes, you can say that the collaboration is always there between the teams on the strategic matters, on the ground matters where you have to give the, you can say the leads here and there. But yes, as both the businesses are different, require different skills. So the teams are different. Yes, you give the leads, you collaborate between them in the same areas. Technical people are there who are going to help each other. All those things are there. All the synergies are there on the helping side. But yes, there is a broadband team is different and the cable team, dedicated teams are there.
Vrishti Gupta
Okay. And in the broadband, what is the expected ARPU mix as customer moves to high higher speed tires?
Piyush Pankaj
So right now ARPU is INR465. If you see from last three years, the ARPU was at around INR440 and it has gone up to INR465. We have not increased our package price, we have reduced it a bit. But because customers are migrating to higher packages, higher speed packages. Because of that you have shift last two years we have seen that around INR25 increase has happened in the ARPU. And we are looking forward that that increase will come in the future also.
Vrishti Gupta
Okay, okay. Further, I also wanted to know that how long does it typically takes us to convert the Homepass into a paying broadband customer and what steps are short in that timeline, what steps we have taken?
Piyush Pankaj
See, once you meet the Homepass and you declare it that it is available for the sale, generally it takes 18 months for converting those Homepass up to around 17% to 20% or extracting the customer to that way. And it depends on the area. So if it is a very dense area, then it can go up to 25% to 30% also. And if it is a rural area it might be 12% to 15%. But yet the industry norm is 20% conversion of the Homepass. That’s the best. We are at around 17%, 18% right now. But we are extracting more and more with the time.
Vrishti Gupta
Okay, okay. And how do we prioritize which neighborhood or circles to roll out next? And what commercial criteria drive that choice?
Piyush Pankaj
Those are, I think we have — you’re going into the details of operations that how we do that criterias [Phonetic] and all like then we can connect offline and I’ll give you all the details of those, as far as the criterias we keep it for different, different areas and whether it is a rural, whether it is urban, what type of speed and what type of packages we have to take on those areas. So all have different criteria. So if I talk about that if I am doing something in Anand, it’s a different strategy. If I’m doing something in Sanand which is a different strategy. If I’m doing in, you can say, Nasik, it’s going to be a different type, if we’re doing in the Bombay because it’s going to be different. So that’s way, that’s operational thing. It’s not you can say standardized thing. Standardized is some basic standardization but you have to go according to the market or according to the customer you’re targeting on those markets.
Vrishti Gupta
Okay. Okay. Thank you so much sir.
Operator
Thank you. Next question come from the line of Viral Jain [Phonetic] from MSG Finance. Please go ahead.
Viral Jain
Yeah. Hi. Am I audible?
Piyush Pankaj
Yes, Viral, you are.
Viral Jain
Yeah. Thank you for the opportunity. Few quick question from my side. The first one was on the capex side. So can you just provide us a guidance for the capex plan for going forward let’s say for two years from ’27 to ’29? And what could be the split between the cables, broadband and HITS and how much of it will be for growth and what will be the maintenance capex?
Piyush Pankaj
Yeah. So we are looking forward for somewhere around INR350 crores per annum. That’s the capex which we are looking forward. And out of that around INR150 crore is going to be in broadband and the rest INR200 crore in the cable and HITS. Cable and HITS together because cable is going to get into HITS with the time. And so that’s the way. If we talk about the maintenance capex, maintenance capex will be somewhere around 50% in the both sides going to be in the maintenance capex and 50% is going to be the growth capex. That’s why we are going up under the capex. That’s why you can say next two years somewhere around INR700 crore, what we are trying to do. Out of that, INR50 crores will be the maintenance capex and INR350 crore will be the growth capex.
Viral Jain
Got it, sir. My next question was with regards to the ROCE. So if we look historically from FY ’14 to ’18, we could see that we were doing ROCE of around 12% to 15%. But during the COVID year and post it grew up exceptionally high to around 25% and post it we can see that it’s already coming back to normal range of 12% to 15% in FY ’23 to ’24. So however, but the last year we saw that the ROCE of was in the single digit. So what could be our expected target for ROCE in FY ’27 to ’30 and what will be the initiatives? Will it drive?
Piyush Pankaj
Yeah, because see the normalization is somewhere around 50% ROCE, what we are going to achieve years back. This year is exceptional as I said that we have not gone for big acquisitions and all or increasing the number in both the businesses as we were more concentrating towards implementing the new platforms or structures in such a way for the futures and the investment has gone towards that and the capex and the new platforms and all. And that’s where the incremental or the sustainable capex is required more rather than the growth capex which we did and that’s why you will see the ROCE has come down a bit. But going forward, as I mentioned that there is going to be a good growth capex spend and that is going to increase the ROCE and we are hopeful that we will achieve back again 15% in next two to three years, ROCE level.
Viral Jain
Back to 15%. Got it. So that was all from my side. Thank you.
Piyush Pankaj
Thank you,
Operator
Thank you. As there are no further question from the participant, I would like to hand the conference over to the management for the closing remarks. Thank you, and over to you, team.
Piyush Pankaj
Yeah, thanks. I would like to express my thanks to every participant who took their time out to attend the call. I would like to thank Emkay for organizing this call. For any queries, please feel free to contact MUFG IR, who are our Investor Relations advisors. Thank you and have a good day.
Operator
[Operator Closing Remarks]