Reliance Jio’s Q1 revenue, EBIT up 14% QoQ, PAT up 20%, RIL EBIT up 30%

Reliance Jio, the telecom arm of Reliance Industries, continued to post strong numbers.

For the Apr-Jun quarter, Reliance Industries reported a 15% sequential jump in both revenue and EBIT (earnings before interest and tax) for its digital services division, which houses Jio operations.

Digital services revenue for Reliance Industries rose to 9,653 cr for the three months from Rs 8,421 cr in the preceding three months. Out of this, Jio revenue was 9,567 cr, up 14% on quarter.

EBIT for the digital services division was up at Rs 1,715 cr from Rs 1,495 cr in the preceding three months. Out of this, Jio EBIT was Rs 1,708 cr, also up 14% on quarter.

Net profit for Jio was Rs 612 cr, slightly higher than the Rs 510 cr reported in the preceding quarter.

Other highlights of Jio’s results as follows:

Total data consumption was at 6.57 trillion MB, compared to Airtel’s 2.15 trillion MB.

Subscriber addition was at 28.7 million against 26.5 million in the previous quarter.

Jio added 30.5 million subscribers, but lost 1.8 million. In comparison, Airtel added 9.1 mln mobile broadband users during the quarter, taking the total to 85.7 mln.

Jio average revenue per user fell to Rs 134.5 per month due to the influx of Jiophone users. Airtel’s India mobile ARPU had fallen to Rs 105 per subscriber per month for the same period.

Average data consumption per Jio user per month was 10.6 GB, while average voice consumption was 744 minutes per user per month.

An average user consumed 15.4 hours of video per month, it said.

You can read Jio full results and RIL full results here.

On an overall company level, net profit was flattish on a sequential basis at Rs 9,485 cr, but was higher by about 5% on year. On a like to like basis, net profit was higher by about 15%.

Operating profit or EBIT for Reliance Industries was up about 30% at Rs 13,726 cr compared to 10,536 cr last year. On a sequential basis, it was up modestly from Rs 13,246 cr.

Revenue at the company level was Rs 1.33 lakh cr, up from Rs 0.91 lakh cr in the year ago period and Rs 1.29 lakh cr in the preceding three months.

Reliance Jio has caused massive upheaval in India’s telecom market with its ultra-efficient offerings.

RIL RESULTS

The company is credited with bringing down data prices by more than 90% in the last two years with its ‘unlimited’ offers.

While analysts were not expecting the company to report profits for several years, the company reported a net profit of Rs 504 cr for the last three months of 2017.

Earlier in the day, Bharti Airtel reported a slight sequential improvement in India mobile revenues to Rs 10,304 cr from Rs 10,222 cr, the first time revenue has grown since Jio’s launch.