Bharti Airtel Q3 results: Net profit skyrockets 505% to Rs 14,781 crore

Bharti Airtel Q3 FY25 results: Arpu grew to Rs 245 in Q3 FY25 from Rs 208 in Q3 FY24

Telecom major Bharti Airtel on Thursday reported an impressive 505 per cent rise in its consolidated net profit at Rs 14,781 crore for the third quarter (Q3) of the financial year 2024-25 (FY25), up from Rs 2,442 crore reported during the same period last year. Sequentially profit soared 311 per cent from Rs 3,593 crore. 

The growth was driven by strong performance in its India business, sustained constant currency expansion in Africa, and the consolidation of Indus Towers Ltd, which became effective on November 19, 2024. 

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The telco reported a 19 per cent rise in consolidate total income at Rs 45,599 crore year-on-year (Y-o-Y) from Rs 38,339 crore. 

Average revenue per user (Arpu) grew to Rs 245 in Q3 FY25 from Rs 208 in Q3 FY24. Mobile data consumption rose 23.2 per cent Y-o-Y, with average monthly consumption per customer reaching 24.5 GB, the company said. 

 

The Homes business also saw accelerated customer additions, with 674,000 new subscribers in Q3 FY25.

 

Airtel Q3 results: Segment-wise growth

Airtel’s India business reported revenue of Rs 34,654 crore, up 24.6 per cent Y-o-Y and 9.8 per cent quarter-on-quarter (Q-o-Q). This was primarily fueled by the impact of tariff hikes in its mobile segment, strong momentum in the Homes business, and the Indus Towers consolidation. Mobile services revenue in India rose 21.4 per cent Y-o-Y, supported by higher tariffs, increased smartphone customer additions, and a stronger revenue mix. 

 

Airtel Business revenue increased by 8.7 per cent Y-o-Y, while the Homes segment maintained its growth trajectory, reporting an 18.7 per cent Y-o-Y rise in revenue and a record net customer addition of 674,000. 

 

However, Digital TV revenue declined by 2.9 per cent Y-o-Y. The Passive Infrastructure Services segment contributed 5.7 per cent to India’s revenue growth.

 

The India business posted Ebitda of Rs 19,850 crore, reflecting an earnings before interest, taxes, depreciation and amortisation (Ebitda) margin of 57.3 per cent.

 

Operationally, the number of smartphone data customers increased by 25.2 million Y-o-Y and 6.5 million Q-o-Q, with smartphone users now making up 75.8 per cent of its total mobile customer base.  

Commenting on the results, Bharti Airtel’s Vice-Chairman and Managing Director Gopal Vittal said, “We are in the middle of comprehensive re-tooling of our Airtel Business portfolio by stepping-up investments in digital services across Cloud, Security and IoT while shedding very low margin commodity voice and wholesale business. This is likely to impact the top line of this business in the coming quarters but will have an insignificant impact on the margins.” 

“Our balance sheet remains solid, supported by robust cash generation, prudent capital allocation and continued deleveraging. During the quarter, we prepaid another tranche of Rs 3,626 crore of high-cost spectrum dues. At the same time, we believe the industry needs further tariff repair to ensure sustained investments and long term value creation,” Vittal added. 

 

Bharti Airtel’s shares closed trading at Rs 1,619.55, down 2.47 per cent on the BSE,  before the Q3FY25 financial results were released.