Bharti Airtel Shares inclined 3% during intraday trading after the company announced excellent results for June quarter.
Net profit of Bharti Airtel climbed 24% to Rs. 1,554 crore in June quarter. The increase could be attributed to a one-time gain from the sale of African assets and strong performance of India business.
The net sales of the company were Rs. 23,670.9 crores, 3% more than last quarter’s sales.
Outperformed the Market
Bharti Airtel outperformed the market due to a one-time gain from African business.
According to a report published by Thomson Reuters, experts had forecasted the company to post a quarterly profit of Rs. 1,355 crore. The results showcase exceptional items worth Rs. 1,431 crore in the June quarter.
Bhavesh Gandhi, Telecom Analyst, IIFL, stated that the top line of Airtel was better than market’s expectations.
Airtel’s results were hugely supported by its Indian business, where the company managed to post excellent margins. Total revenue in the Indian market was Rs. 13,799-crore, 2.9% higher than the last quarter and the EBITDA margin was 40.4%.
According to Mr. Gandhi, it was great to see Bharti Airtel expanding in terms of traffic as well as margin.
Bharti Airtel’s excellent financial results made it the second-best performing stock on S&P BSE Sensex on Wednesday morning. It had recently sold a few phone towers in Africa for $1.3 billion, which helped it outperforming the estimates even after the company reported a loss in the African region.
The senior management team of Bharti Airtel is thrilled to see this excellent growth and hopes to have a better time going forward.
According to Gopal Vittal, CEO & MD, India & South Asian region, Airtel’s data traffic in India surged by 83.4% while mobile minutes increased 7.4%. He further added that the company would focus on continuing this growth path throughout the year.