Reliance Jio Infocomm, India’s leading telecom company, has reported a 4% increase in its net profit for the second quarter. The company’s Q2 net profit rose to ₹5,058 crore from ₹4,863 crore in Q1. Additionally, its revenue from operations increased by 3% to ₹24,750 crore compared to ₹24,042 crore in the previous quarter.
The operating margin of Reliance Jio also expanded by 2 basis points sequentially, reaching 26.4% from 26.2% in the last quarter. The company’s net profit margin rose by 2 basis points to 17.4%. These impressive results were announced by Reliance Jio on Friday.
Analysts predicted these positive outcomes. Morgan Stanley’s report stated that they expected revenue growth of ₹247.8 billion, a 3.1% increase quarter-on-quarter and a 10.1% increase year-on-year. They also projected EBITDA (earnings before interest, taxes, depreciation, and amortization) of ₹129.8 billion, a 3.2% increase quarter-on-quarter and a 12.9% increase year-on-year.
On a year-on-year comparison, Reliance Jio’s Q2 net profit increased by almost 12%, and revenue from operations rose by 9.8%.
In the first quarter, Reliance Jio reported a 2.2% sequential growth in net profit and a similar 2.5% growth in revenue from operations. The company also added 9.2 million subscribers during that quarter. The average revenue per user (ARPU) grew to ₹180.5, a 1.7% increase sequentially. Total expenses grew 2.5% sequentially and 9% year-on-year.
Reliance Jio made headlines on Friday by unveiling India’s first satellite-based giga-fibre service, known as JioSpaceFiber. This service aims to provide high-speed and affordable internet services in inaccessible areas across the country. Reliance Jio partnered with Luxembourg-based satellite telecommunications network provider SES to utilize the latest medium earth orbit (MEO) satellite technology, capable of delivering gigabit, fiber-like services from space.
Prime Minister Narendra Modi was present at the first day of the ‘India Mobile Congress 2023,’ where JioSpaceFiber was showcased.
(This article is a developing story and will be updated with additional details.)
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