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Airtel Q1 net profit rises 60.9 pc to ` 1,108 cr [Mail Today (India)]
[July 30, 2014]

Airtel Q1 net profit rises 60.9 pc to ` 1,108 cr [Mail Today (India)]


(Mail Today (India) Via Acquire Media NewsEdge) BHARTI Airtel reported 60.9- per cent jump in net profit to ` 1,108 during the April- June quarter from ` 689 crore during the same quarter last fiscal despite the drag due to its African operations.



The Sunil Bharti Mittal- run company's African business has been pulling it down four years after it spent $ 9 billion ( ` 52,000 crore) to acquire high capexdriven mobile phone assets in the competitive market there.

Bharti's African operations make up about 30 per cent of its total revenue.


Indian operations have seen a healthy performance led by growth in mobile data, improved realisation in voice services due to reduced competition and lower finance costs. Leading mobile carriers in India started gaining market share in 2013 and were able to raise tariffs for voice calls after the Supreme Court order on the 2G scam forced some smaller companies out of the market.

For the quarter ended June, Airtel saw 68.2 per cent rise in mobile data revenue and 20.7 per cent rise in its digital TV business. Airtel's overall operating margin improved by 1.3 percentage points on year to 33.6 per cent during the April- June quarter. However, its operating free cash flow fell 12.1 per cent to ` 3,734 crore. Overall revenue increased by 13.3 per cent to ` 22,962 crore.

Net loss from African business widened to ` 836 crore from April to June compared to $ 52 million ` 317 crore) in the corresponding period of the previous year. Earnings before interest, taxes, depreciation, and amortisation in Africa was $ 283 million ( ` 1,726 crore).

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