Bharti Airtel will report its quarterly earnings later today and the telecoms major is likely to sluggish growth this time around.
- The numbers should be out post market hours. The street is expecting a muted quarter. So on a consolidated basis, there is a possibility that Bharti Airtel could report a loss. The expectations are that it could be a loss to the tune of about Rs 1,000 crore.
- On the topline, revenues will be seen flat while the consolidated margins could come down by 50 basis points (bps) on account of the pressure seen in their India wireless business.
- On Indian side of the business, the revenues according to CNBC-TV18 poll are down close to about a percent and a half.
- Margin pressure should continue for Bharti’s India business for yet another quarter. Bharti’s India margins have halved. It was trading at above more than 40 percent prior to Jio’s entry and now this quarter 20 percent figure is expected.
- The key to track will be the average revenue per user (ARPU) because there is a possibility that after many quarters, the ARPU - which has been steadily declining – could show some improvement and the key reason is the fact that management had introduced this minimum prepaid pack of Rs 35 per month.