For a company with the kind of market cap and revenue Airtel has, Ad revenue through Wynk or Thanks App will not be meaningful for at least the next 3 years. One can only use these to assess if the company is forward looking but not from a business performance perspective. This is not even like the hotels business is for ITC
More details on the Airtel Ads platform.32 Cr odd customer and more targeted and premium ad platform. One more building block erected towards digital vertical…
How Airtel Ads plans to eat into Google, Facebook ad revenue with its premium inventory (businesstoday.in)
With spectrum auction over and Jio has spent north of USD 7 Billion. What is your view when the tariff hike will be taken (everyone guessing VI to initiate it). With Jio lagging Airtel in ARPU atleast by 15% . Is not Jio answerable to global investor(32% sold) why its not taking charge of data growth in India. After auction Airtel has Net Debt to Ebidta at 3.5 time and Jio is at 2.7 times. Any thought where from here. More Jio disruption or a rational tariff hike for industry . Govt response is almost out with sounds like no business friendly country has set floor price for tariff in Telecom sector.
So right! Just the extra servicing of spectrum payments+downpayment means 300 increase per year just to keep the boat steady. So Jio and Airtel should lead the raise…Also ARPU for IdeaVodafone is the lowest…so they have headroom
Continous 6 months more active subscriber addition compared to Jio. Telecom business become more lurcative when more and more susbcriber comes on-board and asset utilized to fullest level. Vodafone loosing subscriber each month.Such is the situation mngmnt thinking at operation only in 16 circle where voda is strong.
Hi,
Bharti Backed OneWeb Launches 36 satellites from Russian Cosmo drum
Thanks,
Deb
Reading reports that Bharti wants to spin out Airtel Digital and Airtel Ad Tech branches out of the telecom entity. If it does happen it is bound to unlock a lot of value for Airtel considering the likes Affle and InMobi are valued quite richly compared to the entire Airtel entity currently.
Sunil Mittal seems to be taking a page out of Jio and going for a platform route rather than a traditional telecom business which makes sense if he wants to keep competing with Jio.
An optionality in the business is also OneWeb which also aims to build a low earth orbit satellite network like StarLink and seems to be the only good competitor for StarLink.
Attaching an extract from a report by The Ken
I don’t see Airtel as a pure play telecom company and valuing the same accordingly would be wrong in my opinion. Market seems to be discounting all these other aspects of Airtel and if the digital entity is actually hived off and listed separately from Airtel it could create a lot of value.
Wanted to understand perspective of others who are following this stock on this thread. Please excuse me if I am talking gibberish, I have recently started researching about this.
Isn’t OneWeb owned by Bharti Enterprises and not Bharti Airtel?
Not actually owned, Bharti Enterprises is an investor. That’s why I used the term optionality while addressing One Web.
It may not amount to anything meaningful now but potentially in future (and that’s with a 5 year view), could create synergies with Airtel. If the proposed step up corporate rejig happens current Airtel stakeholders will get shares of this new step up org (similar to how Google Investors got shares of Alphabet when the step up org was created).
Truce…
Looks like ARPU increase sooner than later
Main reason ARPU is not increasing is Jio’s aggressive pricing and they are volume market leader. Now that Jio is already getting constrained for spectrum they will not have strong appetite for on-boarding huge volume of additional users. This also shows Jio’s willingness to cooperate with other operators for optimal use of resources.
Spectrum trading is legal and will go through DoT. Bharti has excess and Jio is deficient. Just like one company selling excess raw material to another.
This is not violating any competition law or targeted at anyone else, though that may be intended/unintended intention in long term. But on other hand VIL is one on deathbed due to low ARPU and they will benefit most in short term due to ARPU increase.
Hi,
How it will benefit Airtel??
Thanks,
Deb
Airtel press release.pdf (572.3 KB)
The new structure envisages Airtel Digital Limited folding into the listed entity, Bharti Airtel. This will now house all of the digital assets spanning Wynk Music, Airtel X stream, Airtel Thanks, Mitra Payments platform
used by a million retailers, Airtel Ads, Airtel IQ, Airtel Secure, Airtel Cloud and all future digital products
So we as shareholder would be under Airtel Ltd, if I am correct. Also, trying to understand future benefits of this restructuring for us retail investors.
Disc : Invested
Hi,
For 3 months in a row Bharti adds more active users compared to Jio
Thanks,
Deb
Hi,
Bharti Airtel has come reported Q4 results today.
Some highlights->
ARPU continues to be best in industry, Q4’21 at Rs 145 vs Rs 135 in Q4’20 on a comparable basis
The consolidated revenues at Rs 25,747 crore grew 17.6% YoY on a comparable basis and 11.9% YoY on a reported basis
Consolidated EBITDA witnessed an increase of 28.9% YoY to Rs 12,583 crore in Q4’21. This led to an improvement in EBITDA margin from 42.4% in Q4’20 to 48.9% in Q4’21. EBITDA margins across businesses remained healthy, with mobile services EBITDA improving from 39.2% in Q4’20 to 47.5% in Q4’21.
The Net Debt-EBITDA ratio (annualized) and including the impact of leases as on March 31, 2021 is at 2.95 times as compared to 3.19 times as on March 31, 2020. Excluding pending AGR dues, the Net Debt-EBITDA ratio (annualized) is at 2.46 times as on March 31, 2021.
For more details you can refer the below link.
Thanks,
Deb
Dear Investors,
I was just wondering, irrespective of reasonable numbers reported by Airtel for Q4 21, and also the fact that ARPU on the increasing trend and they seem to fight off Jio resonably well but the stock price hasn’t gone anywhere. Is there something else which is dragging the price?