Telecom operator Idea Cellular today reported a marginal decline in consolidated net profit at Rs 764.21 crore for the quarter of 2015-16. The company had posted a net profit of Rs 767.06 crore for the same period a year ago.
The net sales of the company increased by 12.37 per cent to Rs 9,009.69 crore during the reported quarter from Rs 8,017.47 crore in corresponding period of 2014-15.
A sharp 75.8 per cent growth in mobile data (2G, 3G, 4G) and 16.7 per cent expansion in voice minutes drove the revenue growth in the quarter.
However, decline in ‘voice realised rate’ at 10.6 per cent (including impact of interconnect usage charge regulation) and mobile data realised rate at 17.2 per cent depressed overall “gross revenue” growth, it added.
During the quarter, Idea launched 3G service on its own network in 13 circles. It also launched its 4G services in four south Indian telecom service areas.
“The data ARPU (average revenue per user) of a 3G Data customer is at a healthy level of Rs 196 during third quarter of FY 2016, in addition to customer spend on Voice and Non data value added services.
“The capex spend in the third quarter of financial year 2016 of Rs 2,313.5 crore was financed by cash profit of Rs 2,349.30 crore for the quarter,” the statement said.
The company’s net debt increased by more than three-fold to Rs 37,690 crore from Rs 11,089.1 crore it reported at the end of corresponding quarter a year ago.
“The net debt now at Rs 37,690 crore, includes almost all deferred payment liability from past spectrum auctions, including March 2015 auction,” the statement said.
The rise in debt also led to increase in finance cost of the company to Rs 346.51 crore in the third quarter from Rs 204.05 crore during the period.