Bharti Airtel Q3 results: According to the brokerage, Airtel’s sales could increase by 4.7 percent sequentially, driven by greater wireless revenues in India and Africa. According to the report, operating margins are expected to expand marginally due to lower commissioning and S&M expenses.
Bharti Airtel Ltd is preparing to release its quarterly earnings later today. Analysts expect the telecom operator’s revenue to increase by 5-8 percent year on year, but their predictions on profitability differ significantly. The average revenue per user (ARPU) is improving sequentially.
Axis Securities anticipates a 10.5% YoY decline in Bharti Airtel’s profit, estimating it to be Rs 2,340 crore compared to Rs 2,614 crore in the same quarter last year. The quarter’s net sales have risen by 8.4% YoY to Rs 38,800 crore from Rs 35,804 crore. The expected EBITDA margin is 28%, reflecting a 273 basis points increase. The brokerage suggests that Airtel’s revenues may show a positive 4.7% sequential growth, driven by increased wireless revenues in India and Africa. They also predict a slight expansion in operating margins due to reduced commissioning costs and S&M expenses. According to Emkay Global, Bharti Airtel’s average revenue per user (ARPU) is expected to increase by 1.3% sequentially to Rs 205, thanks to a better mix and more people switching from 2G to 4G. Subscribers are expected to increase by 35 lakh, compared to 37 lakh in the September quarter.
Bharti Airtel Q3 results today: Analysts’ views on Africa business, ARPU, and margin.
“We project Africa revenue to be $1,228 million (down 1.4% QoQ) and Ebitda at $604 million (49.1% margin, up 64 bps QoQ) due to currency devaluation. Africa surpassed 150 million subscribers by the end of December 2023, indicating an addition of 2.3 million subscribers in Q3 compared to 4.6 million in Q2. On a consolidated basis, we anticipate a 1.1% QoQ increase in revenue and a 0.9% improvement in Ebitda, with a 9 bps expansion in Ebitda margin,” stated the report. Emkay Global reports Rs 3,002 crore in profit after taxes. Sales total Rs 37,461 crore. According to ICICI Securities, Bharti Airtel’s sales have increased by 4.4% to Rs 37,365 crore. Profit is estimated to be Rs 2,556 crore. – Bharti Airtel Q3 results
Prabhudas Lilladher expects an adjusted profit of Rs 1,546 crore, down 25.8 percent. It expects revenues to rise 5.8 percent to Rs 37,895 crore. PL estimated a net subscriber increase of 36 lakh and an average ARPU of Rs 205 in the third quarter. According to the report, Africa, enterprise, and home services will increase steadily in the coming years, while the DTH business will remain flat.
