India’s largest telecom company Bharti Airtel reported net profit of Rs 97.3 crore for the fiscal first quarter.
Bharti Airtel Q1 Results 2018: India’s largest telecom company Bharti Airtel reported 73.5 percent on-year fall in the consolidated net profit at Rs 97.3o crore for the fiscal first quarter. The telecom major had registered a consolidated profit of Rs 367.30 crore in the corresponding quarter of last year. Interestingly, majority of the brokerage houses had expect the company to report losses for the quarter due to tariff cuts in January and interconnect usage charges (IUC) on international incoming calls.
Consolidated income of the Sunil Bharti Mittal-led firm declined by 8.6 per cent to Rs 20,080 crore for the first quarter of this fiscal from Rs 21,958 crore in corresponding period of 2017-18. “Industry pricing continues to remain untenable. However, led by our successful bundles, content partnerships and handset upgrade programs, our mobile data traffic surged 355 per cent on a YoY basis,” the company’s MD and CEO (India and South Asia) Gopal Vittal said in a statement. India revenues during April-June 2018 period declined by 7 per cent on year-on-year basis to Rs 14,930 crore, the company said.
“Full quarter impact of tariff cuts in Jan-18 and IUC rate cut on international incoming calls from 53p to 30p from February 1, 2018 to weigh on revenues. Incumbents prepaid Smartphone customers ARPU remain above the most competitive bundled plans. Their down trading continue to exert pressure on revenues of incumbents,” HDFC Securities said in a report.
Consolidated EBITDA at Rs 6,837 crore.
Consolidated EBITDA margin at 34.0%, down 1.6% Y-o-Y.
Africa EBITDA margin at 36.4%, up 7.8% Y-o-Y.
Net Income for the quarter at Rs 97 crore (Q4‟18: Rs 83 crore) vs. Rs 367 crore in the corresponding quarter last year.
Total Capex spends for the quarter at Rs 8,217 crore.
India revenues down 7.0% Y-o-Y on an underlying basis; Africa revenues up 13.9% Y-o-Y.
Overall customer stands at 457 million across 16 countries, up 21.2% Y-o-Y excluding divested units.
Mobile data traffic
Mobile data traffic grows to 2,236 Bn MBs in the quarter; growth of 328% Y-o-Y.