Uninor's revenues double in Q3 to Rs 162 crore

Increased subscriber base and higher margins helped Uninor double its revenues for the third quarter.

Norwegian telecom major Telenor’s Indian subsidiary reported revenues of Rs 162 crore (214 million NoK) for the September quarter — more than twice the second quarter figure at Rs 77 crore (103 million NoK).

Uninor’s average revenue per user (ARPU) also increased by eight per cent on a quarter-on-quarter basis to Rs 98.4 (13 NoK). According to the company, the increase was driven by higher usage per subscription.

“I am pleased to see promising development for Uninor in India this quarter, with strong growth in subscriptions and increased average revenue per user,” said Jon Fredrik Baksaas, president and CEO of Telenor. Telenor owns 67.25 per cent in Uninor.

However, analysts said the third quarter ARPU was lower than the industry average of Rs 150. “The industry average of ARPU is calculated based on the total number of SIM cards. The company calculates it based on an active subscriber base. The number could be far lower if it is calculated on total number of SIM cards,” said Sanjay Chawla, research analyst at Anand Rathi Securities. The company’s operating losses went up marginally during the quarter at Rs 1,012 crore (1,337 million NoK) — one per cent increase over the last quarter figure at Rs 1,001.5 crore (1,323 million NoK).

Uninor added four million subscribers in the quarter, taking its total number of subscribers to 7.9 million. In the subscriber data released by the Cellular Operators’ Association of India for September, Uninor was placed as the second highest GSM operator in terms of net adds, and was number one in the 13 circles, where it operates.