Bharti Airtel reported a strong improvement in quarterly revenues, but continued to see its profits under pressure from investments and competition. Sales for the three months to 30 September rose 13.4 percent year-on-year to INR 172.7 billion. Sales in its home market India and south Asia were up 11.7 percent to INR 126.8 billion, helped by recent mobile price increases and growth in TV, and sales in Africa grew 22.9 percent to USD 1.03 billion. Mobile ARPU in India fell 4 percent from the previous quarter and 9 percent from a year earlier to INR 183, while African ARPU was largely stable at USD 7.3. Group EBITDA improved 13 percent to INR 58.2 billion. The EBITDA margin was stable at 33.7 percent, helped by an improvement in Africa to 26.2 percent from 23.2 a year ago and a move to breakeven at the digital TV business in India. However, net profit tumbled to INR 10.3 billion from INR 16.6 billion a year ago due to higher amortisation for 3G roll-outs, provisions for regulatory and legal decisions in India and forex losses. Bharti Airtel finished September with a total 237 million customers. In Africa, the base rose 5 percent from three months earlier to 48.44 million, and mobile customers in India and south Asia were up 3 percent on a sequential basis to 178.61 million. Fixed-line and broadband customers in India were unchanged at 3.3 million, and the TV subscriber base rose 6 percent from the previous quarter to 6.6 million. The operator increased quarterly capex 43 percent from a year ago to INR 47.3 billion, while operating free cash flow fell 41 percent to INR 10.9 billion.
