Idea Cellular drops after weak sequential Q3 earnings

Idea Cellular lost 3.65% to Rs 140 at 10:12 IST on BSE after net profit declined 0.07% to Rs 398.10 crore on 4.64% growth in total revenue to Rs 6610.50 crore in Q3 December 2013 over Q2 September 2013.

The Q3 result was announced after market hours on Monday, 27 January 2014.

Meanwhile, the S&P BSE Sensex was up 48 points or 0.23% at 20,755.45.

On BSE, so far 2.53 lakh shares were traded in the counter as against average daily volume of 4.86 lakh shares in the past one quarter.

The stock hit a high of Rs 149 and a low of Rs 138.75 so far during the day. The stock had hit a 52-week low of Rs 101.10 on 8 April 2013. The stock had hit a record high of Rs 188.35 on 15 October 2013.

The stock had underperformed the market over the past one month till 27 January 2014, sliding 13.23% compared with the Sensex's 2.29% fall. The scrip had also underperformed the market in past one quarter, declining 15.42% as against Sensex's 0.12% rise.

The large-cap company has equity capital of Rs 3318.16 crore. Face value per share is Rs 10.

Idea Cellular's EBITDA (earnings before interest, taxation, depreciation and amortization) rose 4.04% to Rs 1813.50 crore in Q3 December 2013 over Q2 September 2013. EBITDA margin declined to 27.4% in Q3 December 2013, from 27.6% in Q2 September 2013.

Idea Cellular's net profit jumped 108.32% to Rs 398.10 crore on 17.8% growth in total revenue to Rs 6610.50 crore in Q3 December 2013 over Q3 December 2012.

On a consolidated basis, Idea Cellular's net profit rose 4.49% to Rs 467.70 crore on 4.58% growth in total revenue to Rs 6613.10 crore in Q3 December 2013 over Q2 September 2013. EBITDA rose 4.27% to Rs 2055.70 crore in Q3 December 2013 over Q2 September 2013. EBITDA margin stood at 31.1% in Q3 December 2013, lower than 31.2% in Q2 September 2013.

Ideal Cellular's consolidated net profit jumped 104.6% to Rs 467.70 crore on 18% growth in total revenue to Rs 6613.10 crore in Q3 December 2013 over Q3 December 2012. EBITDA surged 39.5% to Rs 2055.70 crore in Q3 December 2013 over Q3 December 2012. EBITDA margin on YoY basis improved 4.7% to 31.1% in Q3 December 2013.

The growing consumer demand and brand affinity, expanding infrastructure and strong cash flows of Idea reaffirms the company's ability to remain on course with its stated mission of consistent, competitive, responsible and profitable growth and meet all volatile, uncertain, complex and ambiguous developments, as it consolidates its market standing both in mobile voice and data market, Idea Cellular said in a statement.

Idea Cellular, part of the Aditya Birla Group, is the third largest listed wireless operator in India.

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