Reliance Communications 1Q FY;16 Results Highlights:
RCOM achieved a fairly stable performance in 1Q;FY16 with significant growth in profitability Y-o-Y basis.
– PAT has grown significantly–by 34.2% Y-o-Y to Rs 177 crore
- Revenue has grown to Rs 5,541 crore from Rs 5,523 crore in same quarter previous year.
– EBITDA for the quarter is Rs 1,875 crore, an improvement of 0.7% Y-o-Y.
- EBITDA margins improved marginally to 33.8%, compared to 33.7% in 1Q;FY15. Indian Operations
- Telecom Revenues, as part of India Operations, grew by 3.4% Y-o-Y to Rs. 4,673 Crore.
- India Operations Revenue grew by 1.5% to Rs. 4,791 Crore from Rs. 4,718 in 1Q;FY15.
On a like-to-like basis, if the Rs 90-crore impact of reduced IUC and roaming rates were added to the topline, the increase would be 3.5% Y-o-Y.
Revenues for the quarter have been stable despite a reduction in IUC rates, lower ceiling on roaming tariffs and the onset of seasonality in Q1, when RCOMs fairly larger share of migrant and youth subscriber base moves out to their home locations from early May, impacting usage and voice revenues, Mr Gurdeep Singh, CEO, Consumer Business, RCOM, said. These subscribers generally come back on the network in early Q2, he added.
Non-voice contribution has improved significantly to 26.4% as compared to 24.1% in 1Q FY;15.
This stable performance has been achieved due to – Continuing success of our geography-led Go-To-Market Strategy
Differentiated data offerings Stabilized CDMA voice revenues on back of improved device ecosystem
- Successful launch and customer adoption of innovative products such as Wi-Pods, Wi-Fi Mi-Fi Routers and dongles.
MoU: The total minutes of usage on the network increased 1.8% Y-o-Y to 105 billion minutes.
ARPU/RPM: ARPU for the quarter is Rs 140, compared Rs 136, up 2.9% Y-o-Y. The blended RPM has hardened to 44.5 paisa from 43.8 paisa, up 1.6% Y-o-Y.
Data/ 3G: We are serving 35.4 mn data subscribers, out of which 17.9 mn are 3G subscribers, i.e. more than 50% of mobile Internet users on the RCOM network are 3G users, enjoying high-speed data services.
Data Traffic: We carry 92.8 billion MB of data traffic, an increase of 67.9% Y-o-Y We continue to be focused on deleveraging through monetisation of tower and fibre assets, and achieving business growth through our various initiatives.
Debt Finance charges:
Net Debt to Ebitda for FY15 ndash; 4.9X; For Q1 FY;16 – ~5X
- Net Debt ndash; at 38,596 Crore (vis a vis 36,726 Crore in Q4) = +1,870 Crore (auction ndash; Rs 1,100 Crore, and Foreign Exchange Impact (USD/INR: Q4 ndash; 62.5; Q1ndash;63.645) of ~Rs 500 Crore)
For more information and results table, click here