Airtel sees 14% jump in revenue, profit flat in Q1-2023

Bharti Airtel has announced its quarterly results for 1Q23, recording a net profit of Rs 1,612 crores, almost the same as the profit of Rs 1,607 crores last year.

During the first quarter of the current fiscal year, the telecommunications company earned ₹37,440 crore in revenue from operations, a 14% increase compared to the ₹32,850 crore earned in the same period last year.
The company’s earnings before interest, taxes, depreciation, and amortisation (EBITDA) during the June quarter increased by 19% to ₹19,746 crore, with EBITDA margins growing 277 basis points to 53.7% YoY. By the end of the June quarter, the net debt-EBITDA ratio (annualised), including the impact of leases, was 2.63 times. T

The average revenue per user (ARPU) per month, which is an essential metric for measuring revenue generation, increased by 9.28% to ₹200 compared to the corresponding period last year. This was due to the company’s focus on acquiring quality customers and improving realisations through premiumization.
In the latest quarter, the India branch of the company generated revenues of Rs 26,375 crore, a 13% increase from the previous year. The mobile services sector of the India branch saw a 12% increase in revenues in the prior year, with a significant contribution from the addition of 4G customers and an increase in ARPU. The Airtel business also saw a 16% increase in revenues year-on-year, driven by strong demand for data and connectivity solutions and emerging competencies.
The telco’s customer base reached 38.3 crores at the end of the June quarter, with the highest-ever net additions of 8 lakhs in the postpaid segment. The 4G segment saw an increase of 2.45 crore 4G data customers on the network from the previous year, a 12% YoY increase.
In addition, the home business had revenue growth of 25% YoY due to the growing demand for high-speed and reliable broadband in India. The company’s focus on digitization and acquiring high-value customers led to 4,13,000 new customer additions during the quarter, bringing the total base to 65 lakhs.