Active Stocks
Thu Mar 28 2024 15:59:33
  1. Tata Steel share price
  2. 155.90 2.00%
  1. ICICI Bank share price
  2. 1,095.75 1.08%
  1. HDFC Bank share price
  2. 1,448.20 0.52%
  1. ITC share price
  2. 428.55 0.13%
  1. Power Grid Corporation Of India share price
  2. 277.05 2.21%
Business News/ Industry / Telecom/  ARPUs rising to 300-levels critical, will happen in due course: Airtel CEO
BackBack

ARPUs rising to ₹300-levels critical, will happen in due course: Airtel CEO

The top honcho also outlined the 'future of Airtel' strategy entailing broad themes around a resilient and diverse portfolio, rural push into high-potential villages, and opportunities in the top 150 cities, among others.

After Haryana and Odisha, Bharti Airtel has raised entry-level tariffs from ₹99 to ₹155 in 17 circles now. (MINT)Premium
After Haryana and Odisha, Bharti Airtel has raised entry-level tariffs from 99 to 155 in 17 circles now. (MINT)

Bharti Airtel CEO Gopal Vittal on Wednesday asserted that Average Revenue Per User (ARPUs) rising to 300-level is "critical" for respectable return of capital employed, and hoped that it will "happen in due course".

The top honcho also outlined the 'future of Airtel' strategy entailing broad themes around a resilient and diverse portfolio, rural push into high-potential villages, and opportunities in the top 150 cities, among others.

"We believe that ARPU needs to go up and the ARPU of 300 is critical for a respectable return of capital employed. And that is something, we hope will happen in due course of time," Vittal said during an analyst call, a day after the company reported its Q3 FY23 scorecard.

After Haryana and Odisha, Bharti Airtel has raised entry-level tariffs from 99 to 155 in 17 circles now.

"We took up tariff of entry-level plans from 99 to 155. We are pleased it exceeded our standards in Haryana and Odisha...We have taken this across 17 circles in the country," Vittal said.

The telco on Tuesday reported a 91.5 per cent year-on-year rise in consolidated net profit at 1,588 crore for the three months ended December 2022, helped by growth across businesses.

Total revenue rose nearly 20 per cent to 35,804 crore in the third quarter of the current financial year "backed by strong and consistent performance delivery across the portfolio", the company said in a statement on Tuesday.

Its consolidated net income (after exceptional items) stood at 1,588 crore for the third quarter, translating into an increase of 91.5 per cent year-on-year.

The consolidated net income (before exceptional items) was at 1,994 crore, up 147 per cent compared to the year-ago period.

India Mobile ARPU increased to 193 during the reporting quarter from 163 in December 2021 quarter, according to the company. The company had reported ARPU of 190 in the 2022 September quarter.

To a question during analyst call, Vittal emphasised that tariff hikes cannot be done unilaterally.

"If we did it and lost marketshare then to claw that marketshare back will be far more difficult," Vittal said.

Unlock a world of Benefits! From insightful newsletters to real-time stock tracking, breaking news and a personalized newsfeed – it's all here, just a click away! Login Now!

This story has been published from a wire agency feed without modifications to the text.

Catch all the Industry News, Banking News and Updates on Live Mint. Download The Mint News App to get Daily Market Updates.
More Less
Published: 08 Feb 2023, 11:18 PM IST
Next Story footLogo
Recommended For You
Switch to the Mint app for fast and personalized news - Get App