Telecom tower firm Bharti Infratel today reported 19 per cent jump in net profit at Rs 662 crore for the quarter ended March 31, 2016, on the back of growth in network rollout by operators.
The company had reported a net profit of Rs 558 crore in the same period last fiscal.
Revenue of the company also increased 7 per cent to Rs 3,162 crore for the reported period as compared to Rs 2,947 crore last year.
The company also announced buy back of equity shares worth Rs 2,000 crore and proposed a dividend of Rs 3 per equity share.
“The total cash outgo for the dividend and buyback inclusive of Rs 116 crore as tax on dividend will amount to Rs 2,685 crore,” the company said in a statement.
For the fiscal ended March 31,2016, the company reported 20 per cent increase in net profit to Rs 2,382 crore as compared to Rs 1,992 crore last year.
Revenue increased by 5 per cent to Rs 12,308 crore in 2015-16 as compared to Rs 11,668 crore in previous year.
“As anticipated, the year 2015-16 witnessed a major growth in rollout of mobile broadband networks by the telecom operators, with the number of 3G and 4G installations growing three times over the previous year,” Bharti Infratel Chairman Akhil Gupta said.
Gupta added the company is confident that as more operators step up their rollouts, this trend would further accelerate in the coming year.
“Bharti Infratel & Indus Towers being the leaders are fully geared to serve their customers’ demand and are in the best position to capitalise on this growth,” he said.
The total tower base of of the company stood at 88,808 with an average sharing factor of 2.19.
“The board of directors have proposed a final dividend of Rs 3 per equity share for the year ended March 31, 2016. In addition to the dividend, the board has also approved a buy back of Rs 2,000 crore,” the statement said.
It added the payment of proposed final dividend and buy back is subject to approval of the shareholders in the ensuing annual general meeting of the company.