Bad News: Bharti Airtel incurred a massive loss of Rs 1,035 crore in the third quarter
Good News – company witnessed a highest-ever quarterly rise in 4G users and a surge in data traffic
What does it mean for a normal consumer? No one does the loss business if you are not Reliance to afford. There will be a one more raise again soon to cover their loses.
What to observe?
Airtel’s results come as the apex court is slated to hear Bharti Airtel’s petition to modify its October 24 order that made the company liable to pay Rs. 35,586 crores of adjusted gross revenue (AGR) dues by January 23. Vodafone Idea and Tata Teleservices have also filed pleas to seek more time to pay AGR related dues though the telcos want to negotiate a staggered payment schedule with the Department of Telecommunications (DoT), which has issued demand notices worth over Rs 1 trillion for revenue share, interest, and penalty.
Ending a 14-year court battle, the Supreme Court on October 24 upheld the government’s definition of revenue, on which it calculates levies on telecom operators, dealing a body blow to the telecom industry, which is already burdened with falling tariffs and mounting debt.
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