RCom consolidated profit increases 3.2%

Reliance Communications Ltd (RCom) today posted a 3.2 per cent increase in consolidated net profit for the June quarter at Rs 162 crore, compared with Rs 157 crore a year earlier.

The Anil Ambani-led company’s total income increased 7.5 per cent to Rs 5,319 crore in April-June from Rs 4,946 crore in the corresponding quarter last year. “We are very highly satisfied with the quarterly results in a tough quarter. We have a very stable Ebidta (earnings before interest depreciation taxes and amortisation) margin of 31 per cent, which is among the highest in the industry,” said Gurdeep Singh, president of wireless business of RCom.

On a standalone basis, however, RCom posted a net loss of Rs 253 crore for the quarter ended June. Its standalone total income went down seven per cent to Rs 2,794 crore, from Rs 3,002 crore a year ago.

Reliance Communications also said its rate per minute had been stable for the last nine quarters, at 43.1 paise per minute. It also claimed of having four million active 3G data users. “We believe it is the highest in the industry,” said Singh.

Its total data users account to 24 million.

“RCom continues to be free cash flow positive, and generated operational cash flow (ebitda) of Rs 1,650 crore in the first quarter. This is the second full year of positive free cash flow for the company and this trend will continue in succeeding years,” the company said in a press release.