Bharti Airtel witnessed a surprise profit in the second quarter of 2018. On the one hand, the profit added to the gain of the company. On the other hand, the company also faced huge loss due to the loss of customer base to Reliance Jio.
According to Airtel, the combined net profit of the company has reached 119 Cr INR. It is 65.4% more than the profit that the company earned in the first quarter when the profit was 97.3 CR INR.
As per the recent statement of a company official, Bharti Airtel has gained 1013.7 Cr INR given to its DTH tax asset. India’s leading telecom company has also gained profit by writing off a tax payment of 1089 Cr INR.
Last year the company had gained 472.4 Cr INR profit while it has lost 965 Cr INR. The company faced a loss of 1,646.4 Cr INR and a profit of 649.6 Cr INR in the last year. However, according to a telecom analyst, the primary reason for Airtel to worry is that the company has faced a sequential fall of 7.2% in its combined EBITDA.
The current net debt of Airtel is 113,204 Cr INR while the amount was 91,500 Cr INR last year and 1,03,000 Cr INR earlier this year. The share of Bharti Airtel encountered a downfall of 6.6% on Thursday. The Indian operation of Airtel, which is responsible for 68% of its revenue, declined almost 11% this year. However, the company has been able to penetrate the market and increase the customer base a little through offer packages.