The Hindu Business Line : Cell firms' Q4 revenues up 10.5 pc

The average revenues for mobile operators have been on the decline over the last two years with drastic cuts in tariffs. With the cost of offering services declining and the subscriber base increasing, it could not have been better for cellular operators.

According to a report released by the Cellular Operator's Association of India (COAI), private cellular operators also recorded a rise of 10.5 per cent in revenues in the last quarter of the financial year ended March 2005.

The adjusted gross revenues have risen from Rs 3,207 crore for the quarter ended December 2004 to Rs 3,546 crore for the quarter ended March 2005.

The adjusted gross revenues of private GSM operators have risen from Rs 8,304 crore as on March 2004 to Rs 12,309 crore as on March 2005, registering an increase of 48.2 per cent during the financial year 2005.

In a press statement, the COAI said, "The ARPU appears to have stabilised at around Rs 400 in the financial year 2005. During the January - March 2005 quarter, the Delhi circle has recorded the highest ARPU at Rs 514.5, followed closely by Mumbai circle at Rs 483.2."

Earlier, PricewaterhouseCoopers had said in a study that the cost incurred by cellular operators per subscriber has fallen drastically from Rs 992 per month in 1999 to Rs 210 in 2004. In the last one year, the cost per subscriber has decreased by 27 per cent.

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