Bharti Airtel Q4 FY21 results: Key highlights from the company’s earnings concall

The company’s fourth quarter total revenue came in Rs 25,747 crore, up 17.6 percent year-on-year (YoY) on a comparable basis and 11.9 percent YoY on a reported basis.

‘); $ (‘#lastUpdated_’+articleId).text(resData[stkKey][‘lastupdate’]); //if(resData[stkKey][‘percentchange’] > 0){ // $ (‘#greentxt_’+articleId).removeClass(“redtxt”).addClass(“greentxt”); // $ (‘.arw_red’).removeClass(“arw_red”).addClass(“arw_green”); //}else if(resData[stkKey][‘percentchange’] = 0){ $ (‘#greentxt_’+articleId).removeClass(“redtxt”).addClass(“greentxt”); //$ (‘.arw_red’).removeClass(“arw_red”).addClass(“arw_green”); $ (‘#gainlosstxt_’+articleId).find(“.arw_red”).removeClass(“arw_red”).addClass(“arw_green”); }else if(resData[stkKey][‘percentchange’] 0) { var resStr=”; var url = ‘//www.moneycontrol.com/mccode/common/saveWatchlist.php’; $ .get( “//www.moneycontrol.com/mccode/common/rhsdata.html”, function( data ) { $ (‘#backInner1_rhsPop’).html(data); $ .ajax({url:url, type:”POST”, dataType:”json”, data:{q_f:typparam1,wSec:secglbVar,wArray:lastRsrs}, success:function(d) { if(typparam1==’1′) // rhs { var appndStr=”; var newappndStr = makeMiddleRDivNew(d); appndStr = newappndStr[0]; var titStr=”;var editw=”; var typevar=”; var pparr= new Array(‘Monitoring your investments regularly is important.’,’Add your transaction details to monitor your stock`s performance.’,’You can also track your Transaction History and Capital Gains.’); var phead =’Why add to Portfolio?’; if(secglbVar ==1) { var stkdtxt=’this stock’; var fltxt=’ it ‘; typevar =’Stock ‘; if(lastRsrs.length>1){ stkdtxt=’these stocks’; typevar =’Stocks ‘;fltxt=’ them ‘; } } //var popretStr =lvPOPRHS(phead,pparr); //$ (‘#poprhsAdd’).html(popretStr); //$ (‘.btmbgnwr’).show(); var tickTxt =’‘; if(typparam1==1) { var modalContent = ‘Watchlist has been updated successfully.’; var modalStatus = ‘success’; //if error, use ‘error’ $ (‘.mc-modal-content’).text(modalContent); $ (‘.mc-modal-wrap’).css(‘display’,’flex’); $ (‘.mc-modal’).addClass(modalStatus); //var existsFlag=$ .inArray(‘added’,newappndStr[1]); //$ (‘#toptitleTXT’).html(tickTxt+typevar+’ to your watchlist’); //if(existsFlag == -1) //{ // if(lastRsrs.length > 1) // $ (‘#toptitleTXT’).html(tickTxt+typevar+’already exist in your watchlist’); // else // $ (‘#toptitleTXT’).html(tickTxt+typevar+’already exists in your watchlist’); // //} } //$ (‘.accdiv’).html(”); //$ (‘.accdiv’).html(appndStr); } }, //complete:function(d){ // if(typparam1==1) // { // watchlist_popup(‘open’); // } //} }); }); } else { var disNam =’stock’; if($ (‘#impact_option’).html()==’STOCKS’) disNam =’stock’; if($ (‘#impact_option’).html()==’MUTUAL FUNDS’) disNam =’mutual fund’; if($ (‘#impact_option’).html()==’COMMODITIES’) disNam =’commodity’; alert(‘Please select at least one ‘+disNam); } } else { AFTERLOGINCALLBACK = ‘overlayPopup(‘+e+’, ‘+t+’, ‘+n+’)’; commonPopRHS(); /*work_div = 1; typparam = t; typparam1 = n; check_login_pop(1)*/ } } function pcSavePort(param,call_pg,dispId) { var adtxt=”; if(readCookie(‘nnmc’)){ if(call_pg == “2”) { pass_sec = 2; } else { pass_sec = 1; } var url = ‘//www.moneycontrol.com/mccode/common/saveWatchlist.php’; $ .ajax({url:url, type:”POST”, //data:{q_f:3,wSec:1,dispid:$ (‘input[name=sc_dispid_port]’).val()}, data:{q_f:3,wSec:pass_sec,dispid:dispId}, dataType:”json”, success:function(d) { //var accStr= ”; //$ .each(d.ac,function(i,v) //{ // accStr+=”+v.nm+”; //}); $ .each(d.data,function(i,v) { if(v.flg == ‘0’) { var modalContent = ‘Scheme added to your portfolio.’; var modalStatus = ‘success’; //if error, use ‘error’ $ (‘.mc-modal-content’).text(modalContent); $ (‘.mc-modal-wrap’).css(‘display’,’flex’); $ (‘.mc-modal’).addClass(modalStatus); //$ (‘#acc_sel_port’).html(accStr); //$ (‘#mcpcp_addportfolio .form_field, .form_btn’).removeClass(‘disabled’); //$ (‘#mcpcp_addportfolio .form_field input, .form_field select, .form_btn input’).attr(‘disabled’, false); // //if(call_pg == “2”) //{ // adtxt =’ Scheme added to your portfolio We recommend you add transactional details to evaluate your investment better. x‘; //} //else //{ // adtxt =’ Stock added to your portfolio We recommend you add transactional details to evaluate your investment better. x‘; //} //$ (‘#mcpcp_addprof_info’).css(‘background-color’,’#eeffc8′); //$ (‘#mcpcp_addprof_info’).html(adtxt); //$ (‘#mcpcp_addprof_info’).show(); glbbid=v.id; } }); } }); } else { AFTERLOGINCALLBACK = ‘pcSavePort(‘+param+’, ‘+call_pg+’, ‘+dispId+’)’; commonPopRHS(); /*work_div = 1; typparam = t; typparam1 = n; check_login_pop(1)*/ } } function commonPopRHS(e) { /*var t = ($ (window).height() – $ (“#” + e).height()) / 2 + $ (window).scrollTop(); var n = ($ (window).width() – $ (“#” + e).width()) / 2 + $ (window).scrollLeft(); $ (“#” + e).css({ position: “absolute”, top: t, left: n }); $ (“#lightbox_cb,#” + e).fadeIn(300); $ (“#lightbox_cb”).remove(); $ (“body”).append(”); $ (“#lightbox_cb”).css({ filter: “alpha(opacity=80)” }).fadeIn()*/ $ (“#myframe”).attr(‘src’,’https://accounts.moneycontrol.com/mclogin/?d=2′); $ (“#LoginModal”).modal(); } function overlay(n) { document.getElementById(‘back’).style.width = document.body.clientWidth + “px”; document.getElementById(‘back’).style.height = document.body.clientHeight +”px”; document.getElementById(‘back’).style.display = ‘block’; jQuery.fn.center = function () { this.css(“position”,”absolute”); var topPos = ($ (window).height() – this.height() ) / 2; this.css(“top”, -topPos).show().animate({‘top’:topPos},300); this.css(“left”, ( $ (window).width() – this.width() ) / 2); return this; } setTimeout(function(){$ (‘#backInner’+n).center()},100); } function closeoverlay(n){ document.getElementById(‘back’).style.display = ‘none’; document.getElementById(‘backInner’+n).style.display = ‘none’; } stk_str=”; stk.forEach(function (stkData,index){ if(index==0){ stk_str+=stkData.stockId.trim(); }else{ stk_str+=’,’+stkData.stockId.trim(); } }); $ .get(‘//www.moneycontrol.com/techmvc/mc_apis/stock_details/?sc_id=’+stk_str, function(data) { stk.forEach(function (stkData,index){ $ (‘#stock-name-‘+stkData.stockId.trim()+’-‘+article_id).text(data[stkData.stockId.trim()][‘nse’][‘shortname’]); }); });

Telecom major Bharti Airtel on May 17 reported a net profit of Rs 759.2 crore for the quarter ended March 31, 2021 (Q4FY21). The firm had posted a loss of Rs 5,237 crore in the year-ago period. In the December quarter, profit stood at Rs 853.6 crore.

The company’s fourth quarter total revenue came in Rs 25,747 crore, up 17.6 percent year-on-year (YoY) on a comparable basis and 11.9 percent YoY on a reported basis.

Its earnings before interest, tax, depreciation and amortisation (EBITDA) stood at Rs 12,583 crore, up 28.9 percent YoY and EBITDA margin was at 48.9 percent, an expansion of 647 basis points (bps).

EBIT of the company came in at Rs 5,048 crore, up 75.5 percent YoY and EBIT margin at 19.6 percent, an expansion of 711 bps.

Here are the highlights from Bharti Airtel’s Q4 FY21 earnings call as compiled by Narnolia Financial Advisors:

According to the management of Bharti Airtel, 20 percent of customers contribute to 80 percent of the share. The company is focusing on tapping the rest 80 percent of customers for which it is trying to insourcing the entire sales force which was previously outsourced to build digital channels and indulging in adjacent areas.

During the quarter the company launched Airtel Ads, Airtel IoT and Airtel Safe Pay. It has a dedicated channel for high-value homes. Total high-value homes in India are around 50 million and the company is in relation with around 30 million providing at least one service.

Within the country, Bharti Airtel has 33 percent of the share of the liberalized spectrum which is the strongest holding in India which can be converted to 5G over time. It has also accelerated coverage footprint in this quarter by adding 8300 sites, the management said.

The company’s ARPU grew from Rs 146 to 148 which is the highest in the country and is mainly on account of opening up of lockdown, customer additions and customer mix. Management expects growth in ARPU going ahead. It raised USD 12 billion in FY21 and refinanced high-cost debt with lower rates, the company said.

Average overall debt breakup:

DoT and AGR debt is 56 percent of the total debt while accounting lease contributes to 19 percent. Debt has increased however company expects it to go down in years coming forward. The company has successfully monetized assets including Airtel Money and tower in Africa and also monetized unutilized 800 MHz spectrum, Airtel added.

The company has added around 16000 towers in H2FY21. Management guided capex will be same as of FY21 mainly on the back of transport capex for runout of 5G and capex on broadband business and 4G radio capex. Operating expense increased on account of massive roll out of network, the company management said.

Mobile Business:

EBITDA Margin on mobile business is around 45 percent. Management is hoping to reach 60 percent in the coming years.

Digital Business:

The company is showing sequential growth of 15-20 percent every quarter and expects to show growth in FY22.

Digital Platform:

The company has 200 million active users. It is on road to profitability and expects to achieve it in FY22, the company said.

Home Broadband:

ARPU of Rs 684 dropped due to a pricing change done in Q3. Management guided sequential increase in home passes and in a couple of years it expects 20-25 million home passes.

DTH Business:

The company has a market share of 22 percent as of December 2019 and expects to it grow to 27 percent. Management sees strong upside in DTH business in FY22. Management has assured that promoter has no intension of any block sale or selling of any stake.