Telecom major Bharti Airtel on Tuesday reported 3% decline in consolidated net profit attributable to owners at Rs 830 crore for the quarter ending December 31, 2021. It earned net profit of Rs 854 crore in the year-ago period.
Airtel reported a 12.6% rise in third-quarter revenue, helped by recent tariff hikes and subscriber additions.
The company’s consolidated revenue from operations for the quarter ended Dec. 31 climbed to Rs 29,867 crore from Rs 26,518 crore a year ago.
Airtel said its average revenue per user (ARPU) – a key performance indicator in the telecoms industry – was Rs 163 for the third quarter, up from Rs 146 a year ago.
Airtel, in late-November, increased tariffs on prepaid plans, as did Reliance Jio and Vodafone Idea, while reiterating that the industry’s mobile ARPU needs to be at Rs 200, and eventually at Rs 300, for a financially healthy business model.
Gopal Vittal, MD and CEO, India & South Asia, said: “We have delivered another quarter of sustained performance across all our business segments. Overall Sequential revenue growth was at 5.4% and EBITDA margins came in at 49.9%. The recent tariff revision for mobile services has gone down well and we are exiting the quarter with an industry leading ARPU of Rs 163. The full impact of the revised mobile tariffs, however, will be visible in the fourth quarter. Google’s recent investment is a strong validation of Airtel’s role in being a leading pioneer of India’s digital revolution. Our emerging digital services portfolio across Airtel IQ, AdTech, digital market place, Nxtra and digital banking positions us well to build an Airtel of the future.”
On Tuesday, Airtel’s scrip on BSE closed trading nearly flat at Rs 706.95.