Lockdown, WFH Effect: Bharti Airtel Posts Highest-Ever Quarterly Revenue

Telecom major Bharti Airtel on Tuesday reported a revenue of ₹ 25,785 crore in the July-September period, its highest ever in a quarter, boosted by higher tariffs and a rise in data usage from a coronavirus-fuelled shift to remote working. The jump in revenue for Bharti Airtel comes at a time when the country’s telecom sector is grappling with low tariffs due to a price war that ensued after billionaire Mukesh Ambani’s Reliance Jio entered the space.

  1. In a regulatory filing after market hours, the private sector company said its net loss narrowed to ₹ 763.2 crore in the second quarter of current financial year, compared to ₹ 23,044.9 crore in the corresponding quarter a year ago. Its revenue jumped 22.02 per cent in the September quarter compared to the year-ago period. 
  2. Bharti Airtel said its ARPU or average revenue per user – a measure of profitability – improved to Rs 162 per month in the July-September period, from ₹ 157 in the previous quarter and ₹ 128 in the three-month period ended September 30, 2019.
  3. “Despite being a seasonally weak quarter, we delivered a strong performance… Our data consumption grew by 58 per cent year-on-year which reflects strong engagement of customers on our network… Other lines of business also continued with steady growth momentum, with Airtel business growing 7.5 per cent,” said Gopal Vittal, managing director and CEO, India and South Asia, Bharti Airtel.
  4. Bharti Airtel said it sees sees a gradual return to normalcy with the series of unlocks throughout the country.
  5. Bharti Airtel said its domestic business delivered strong growth in terms of revenue, margins as well as customers.
  6. The New Delhi-based company said its India revenue rose 22 per cent to ₹ 18,747 crore, led by “strong 4G customer momentum and up-trading”.
  7. The company’s 4G data customers rose by 1.44 crore to 15.27 crore in the quarter ended September 30. The company said its digital services are now amongst the strongest in the country, with 16 crore digitally-engaged customers, as it continues to enable customers and businesses to remain connected during the coronavirus crisis. 
  8. The country’s highly-indebted telecom sector is characterised with intense competition with the aggressively priced high-speed data packs and free voice calls from rival Reliance Jio Infocomm.   
  9. Last year, telecom operators hiked tariffs as they were ordered to pay dues of ₹ 92,000 crore to the government’s Department of Telecommunications.
  10. Shares in Bharti Airtel ended 0.24 per cent lower at ₹ 433 apiece on the BSE ahead of the earnings announcement by the company, underperforming the benchmark S&P BSE Sensex index which rose 0.94 per cent.

Comments

Post a Comment

Popular posts from this blog

Top features why a dedicated WordPress hosting is best for your website

Dedicated servers are often looked upon as over-expensive web hosting solutions. You may consider them an overkill for your business, but there is no denying the fact that they are the best hosting solution out there. Today, we will tell you some features of a dedicated WordPresshosting that makesit the best for your business. Reliability This is the key factor why most businesses choose a dedicated WordPress server hosting to host their website. A dedicated WordPress hosting server is administered and maintained by a team of professionals who provide online support and work towards optimising the performance of the server. Unlike shared and VPS hosting plans which give you access to limited resources, dedicated server hosting provides a good hosting support. This in turn increases the reliability. Scalability Every business aims to grow their customer base and increase revenues. However, with the limited resources provided by theshared hosting, it can be challenging to handle the high
Read more

Elon Musk's "Use Signal" Post Spurred Massive Rally For The Wrong One

A two-word app recommendation from Elon Musk has turned into a massive rally in the shares of a tiny medical device company in another case of mistaken identity. “Use Signal,” the Tesla Inc. chief executive officer wrote on Twitter on Jan. 7, apparently referring to the encrypted messaging service. By the end of the day, Signal Advance Inc. shares had surged more than sixfold. That was enough to push Signal Advance’s rally more than 5,100% in three trading days giving it a market valuation of $390 million. Despite reports about the confusion on Friday, the stock has continued to rally. Shares of the Rosharon, Texas-based company surged as much as 885% on Monday before paring the gains. “We strongly recommend people do their due diligence and always invest with care,” the company’s chief executive officer, Dr. Chris Hymel, said when reached by phone on Monday. Signal Advance doesn’t have an association with Musk or the Signal app, he said. Signal Advance hasn’t filed an annual report wi
Read more

RBI Policy: MPC may keep policy rate unchanged at 6%; owl may sound hawkish

N- Urjit Patel, Governor of the Reserve Bank of India (RBI), and his five colleagues on the Monetary Policy Committee will not find it too hard to keep the key policy interest rate unchanged at the upcoming policy review on February 7. The 2-day deliberations on February 6 and 7 by the MPC on the repo rate decision are expected to remain tilted towards a pause mode, keeping the near term outlook hawkish. However, they may raise rates later given the risks of higher inflation with fiscal slippages and higher food prices with the government planning to increase the Minimum Support Price (MSP). In the Budget last week, the government promised to ensure MSP of key crops at 1.5 times the cost of production. This could mean at least a 50-70-basis-points increase in the headline inflation number. While banks and bond markets have already signaled the end of the interest rate easing cycle, the MPC may keep the repo rate unchanged at 6 percent. Inflation risks Although, experts suggest the infl
Read more