Idea Q4 beats street, net up 26%; data volume drives growth

Written By Unknown on Senin, 28 April 2014 | 20.07

The Aditya Birla Group company's data volume was up 31 percent while total voice minutes jumped 8.6 percent, in the quarter. Its average revenue per user (ARPU) stood at Rs 173 versus Rs 169 Q-o-Q, while average revenue per minute (ARPM) was almost flat at 43.6 paise compared to Rs 44.9 paise on a quarterly basis.

Moneycontrol Bureau

Idea Cellular 's March quarter earnings beat street estimates with net profit rising 26 percent to Rs  589.8 crore compared to Rs 467.7 crore quarter-on-quarter. Volume growth pushed fourth quarter revenue 6.5 percent higher to Rs 7,043.8 crore from Rs 6,613.1 crore on a quarterly basis.

According to CNBC-TV18 poll, the telecom operator's net profit was seen growing 10.3 percent to Rs 516 crore and revenue to rise 5.2 percent at Rs 6955 crore.

The Aditya Birla Group company's data volume was up 31 percent while total voice minutes jumped 8.6 percent, in the quarter. Its average revenue per user (ARPU) stood at Rs 173 versus Rs 169 Q-o-Q, while average revenue per minute (ARPM) was almost flat at 43.6 paise compared to Rs 44.9 paise on a quarterly basis.

The three quarters uptrend of ARPM was halted with decline by 2.8 percent but the voice elasticity of demand more than compensated the slide. In comparison, the company improved 'non voice revenue' share to 16.5 percent (16.1 percent in Q3FY14) led by data growth, the company said in a statement.

"The company added 5.1 million new 3G users in FY14 with 3G EoP base now at 10.2 million. The 3G user mobile data ARPU is steady at Rs 111 per month. The company clocked 17.7 million net subscribers on visitor location register (VLR) in FY14 against 14.9 million net subscriber VLR additions in FY13 strengthening its presence in Indian mobile market. Idea now serves 137.9 million quality subscribers as on March 31, 2014," it said.

 However, its EBITDA margin was flat at 31.7 percent

Addressing a press conference, the management said that the telecom company is generating cash flows of Rs 1,669 crore on a sequential basis. The company sees FY15 capex at Rs 3,500 crore on spectrum related payments.

The board has also recommended dividend at 4 percent with an overall payment of Rs 1,554million (including dividend distribution tax).

The stock closed at Rs 140.75, up Rs 0.25, or 0.18 percent on the BSE.

Posted by Nasrin Sultana


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