In This Article:
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Consolidated Revenue: INR45,130 crores.
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India Revenue (excluding Indus): Over INR33,000 crores, 4.8% sequential growth.
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EBITDA Margin: 56.2%, an improvement of 1.4%.
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EBITDAL: INR16,306 crores with a margin of 49.3%.
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Operating Free Cash Flow: INR9,440 crores.
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CapEx: INR6,860 crores.
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Net Debt to EBITDAL Ratio: 1.8, improved from 2.5% a year ago.
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Mobile Segment Customer Additions: 4.9 million customers.
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ARPU: INR245, up from INR233 last quarter.
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Broadband Customer Additions: 674,000 customers.
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DTH Customer Additions: 29,000 customers.
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Airtel Business Revenue: Just under INR5,650 crores, 8.7% growth year-on-year.
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Payments Bank Monthly Transacting Users: 87 million.
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Payments Bank Annualized Revenue Run Rate: INR2,800 crores, 50% year-on-year growth.
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Deposits: Over INR3,300 crores, 42% year-on-year growth.
Release Date: February 07, 2025
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
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Bharti Airtel Ltd (BOM:532454) plans to transfer approximately 16,100 telecom towers to Indus Towers, which is expected to enhance operational efficiency and create long-term value.
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The company reported strong consolidated revenues of INR45,130 crores, with India revenue growth (excluding Indus) at 4.8% sequentially.
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EBITDA margins improved to 56.2%, with EBITDAL standing at INR16,306 crores and a margin of 49.3%, reflecting strong operational performance.
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Bharti Airtel Ltd (BOM:532454) added 4.9 million mobile customers and 674,000 broadband customers during the quarter, indicating healthy subscriber growth.
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The company has made significant progress in ESG initiatives, including expanding network coverage to over 89,000 villages and reducing carbon footprint through solarization and AI-driven network optimizations.
Negative Points
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The decision to exit low-margin wholesale commodity voice and messaging business may impact top-line revenue in the coming quarters.
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Despite strong growth in the home broadband segment, Bharti Airtel Ltd (BOM:532454) acknowledges it is not yet competitively where it should be compared to peers.
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The company faces challenges in scaling its digital revenue streams, with competition reportedly growing at a faster pace.
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There is a need for further tariff repair in India, as ARPU remains one of the lowest globally, impacting financial stability.
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The enterprise segment experienced a decline in EBITDA due to a shift towards bundled solutions with lower margins, impacting overall profitability.
Q & A Highlights
Q: Can you provide insights on the CapEx trends for Bharti Airtel, particularly in the India business, and any areas where CapEx might increase or decrease? A: Gopal Vittal, CEO, explained that while CapEx has reduced, it is expected to moderate further. The focus areas for CapEx include transport infrastructure, homes, and B2B, with a significant reduction in radio investments. The company aims to align CapEx with revenue growth, trending towards global peer levels.