scorecardresearchBharti Airtel Q1 profit jumps multi-fold to ₹1,607 crore

Bharti Airtel Q1 profit jumps multi-fold to 1,607 crore

Updated: 09 Aug 2022, 07:20 AM IST
TL;DR.

Bharti Airtel India's revenue increased by 24 per cent to 23,319 crore, compared to 18,828.4 crore in Q1 FY22.

A signage of Bharti Airtel Ltd., outside company's store in Mumbai, India, on Wednesday, Aug. 3, 2022. The South Asian nation sold spectrum, including 5G airwaves, worth 1.5 trillion rupees ($19 billion) across multiple bands, India�s telecom minister�Ashwini Vaishnaw�told reporters in New Delhi on Monday, confirming the government�s forecast of a�record�collection. Photographer: Dhiraj Singh/Bloomberg

A signage of Bharti Airtel Ltd., outside company's store in Mumbai, India, on Wednesday, Aug. 3, 2022. The South Asian nation sold spectrum, including 5G airwaves, worth 1.5 trillion rupees ($19 billion) across multiple bands, India�s telecom minister�Ashwini Vaishnaw�told reporters in New Delhi on Monday, confirming the government�s forecast of a�record�collection. Photographer: Dhiraj Singh/Bloomberg

(PTI) Telecom operator Bharti Airtel on Monday posted an over five-fold jump in its consolidated profit to 1,607 crore for the quarter ended June 2022, mainly on account of hike in tariffs.

The company had posted a profit of 283.5 crore in the same period a year ago.

Consolidated revenue from operations of Bharti Airtel increased by about 22 per cent to 32,805 crore during the reported quarter from 26,854 crore earlier.

Bharti Airtel India's revenue increased by 24 per cent to 23,319 crore, compared to 18,828.4 crore in Q1 FY22.

The mobile services revenue of Bharti Airtel in India grew 27 per cent on a year-on-year (YoY) basis to 18,220 crore from 14,305.6 crore.

Bharti Airtel's total customer base grew by 4.7 per cent on YoY basis to 49.69 crore, with India accounting for 36.24 crore subscribers.

"Our enterprise and homes business has strong momentum and delivered strong double digit growth, improving the diversity of the overall portfolio. Airtel's strategy of winning with quality customers continues to yield good results with an industry beating ARPU at 183.

"As India gets ready to launch 5G, we are well positioned to raise the bar on innovation," Bharti Airtel MD and CEO Gopal Vittal said in a statement.

The hike in mobile service tariffs during the reported quarter led to an increase of 25.4 per cent in average revenue per user (ARPU) of Bharti Airtel in India to 183 from 146 a year ago.

Its 4G customer base in India accounted for 65.2 per cent of the total customer base and grew by 11.3 per cent YoY to 20.52 crore from 18.44 crore in the June 2021 quarter.

"We continue to garner a strong share of the 4G customers in the market and added 20.8 Mn 4G customers to its network over last year, an increase of 11.3 per cent YoY. ARPU continues to be the best in the industry, average data usage per mobile data customer at 19.5 GBs per month and voice usage per customer at 1,104 minutes per month," the statement said.

Revenue from the home services division, which comprises fixed broadband services, grew 42 per cent to 926.5 crore in the reported first quarter from 653.1 crore earlier.

Airtel Business segment revenues increased by 15.2 per cent to 4,366 crore from 3,789.3 crore in the corresponding quarter last year.

Bharti Airtel Africa's revenue grew by about 15 per cent in constant currency terms to USD 1,270 million (about 10,098 crore) from USD 1,102 million earlier.

South Asia revenue declined by 30 per cent to 66.7 crore from 95.2 crore.

The company made capital expenditure of 5,288 crore in India and 1,088 crore in Africa.

In the recently concluded spectrum auctions, Airtel acquired acquired 19,867.8 MHz spectrum by securing a pan-India footprint of 3.5 GHz and 26 GHz bands and select purchase of radiowaves in low and mid-band spectrum for a total consideration of 43,040 crore.

The consolidated net debt excluding lease obligations for the company stands at 1,19,509 crore as on June 30, 2022, compared to 1,26,511.7 crore as on June 30, 2021. 

First Published: 09 Aug 2022, 07:20 AM IST