Bharti Airtel Q3 Profit Rises 34%, Driven by Telecom User Growth and Tariff Upgrades
2026-02-06 11:26
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Wedoany.com Report on Feb 6th, India's second-largest telecom operator, Bharti Airtel, recently released its third-quarter financial report, showing the company has achieved profit growth for the seventh consecutive quarter. This was mainly driven by an expanding user base and the effective implementation of its tariff upgrade strategy.

Competition in India's telecom market has intensified in recent years, with operators actively pushing users towards higher-value service plans to boost revenue. Both Bharti Airtel and its main rival, Reliance Jio, have adjusted their entry-level tariff strategies to guide users towards better-priced options.

This quarter, Airtel's average revenue per user (ARPU) increased by 5.7% year-on-year to 259 rupees, a key profitability metric that stands out in the industry. Simultaneously, the proportion of users on high-speed 4G and 5G networks significantly rose to 79%.

As of December 31, Airtel's user base in India reached 465.9 million, a 12.6% increase compared to the same period last year. Although its user base remains lower than Reliance Jio's 515.3 million, the company has effectively enhanced overall profitability through its tariff upgrade strategy.

Financial report data shows that Airtel's consolidated profit before tax for the third quarter was 125.58 billion rupees (approximately $1.39 billion), a 34.4% increase from the 93.46 billion rupees reported in the same period last year. The company's overall revenue grew by 19.6% to 539.82 billion rupees.

Airtel's Executive Vice Chairman, Gopal Vittal, stated in a release: "The company's balance sheet remains robust, supported by consistent cash generation and improving leverage, providing us a strong foundation to seize new growth opportunities."

It is noteworthy that this quarter's performance includes an expense of 2.57 billion rupees related to the implementation of new labor regulations. In contrast, last year's profit for the same period received an additional gain of 75.5 billion rupees due to the increased valuation of its stake in Indus Towers. Airtel completed the acquisition of a majority stake in Indus Towers last year, and related gains have been included in this quarter's revenue.

During the same period, Reliance Jio reported an 11% profit increase, while another operator, Vodafone Idea, saw an improvement in its loss situation. Amidst intense competition in the Indian telecom market, operators are seeking sustainable development through differentiated strategies.

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