Reliance Comm Q1 net jumps, beats forecast

Written by Reuters | Mumbai, July 31: | Updated: Jul 31 2007, 21:23pm hrs
Reliance Communications, India's second-largest mobile firm, said on Tuesday its June quarter net profit more than doubled, beating forecasts, as it added more users in the world's fastest-growing mobile market.

Reliance Communications, which had more than 32 million mobile users at end-June, said net profit for the June quarter rose to 12.21 billion rupees, from 5.13 billion reported a year earlier.

Revenue rose 32 per cent to 43.04 billion rupees from 32.50 billion reported a year earlier. The firm gets more than 65 per cent of its revenue from wireless subscribers.

A Reuters poll of ten brokerages had forecast a rise in net profit to 11.11 billion rupees on revenue of 42.56 billion.

Larger rival Bharti Airtel last week reported that its quarterly net profit had doubled to 15.12 billion rupees.

Shares in Reliance Communications, India's fifth-most valuable firm, gained 23.1 per cent during April and June, outperformimg a 12.1 per cent rise in the benchmark index.