Airtel Africa Q3 result: Net profit slumps 23% YoY on higher tax outgo

Bharti Airtel’s Africa unit reported a net profit of $103 million (Rs 735 crore) in the quarter ended December 31, a 23 per cent fall from $133 million in the same period a year before.

The decline in the third quarter (Q3) was mainly on account of higher tax payment, of $95 million against $13 million in the corresponding earlier period. Operating profit for the telecom entity rose 24 per cent to $399 million.

“Revenue growth accelerated in Q3 to 14.2 per cent, as a result of improved performance in the Rest of Africa, supported by solid results in Nigeria and East Africa. This is now the eighth consecutive quarter that we have delivered double-digit revenue growth and Ebitda (operating earings) margin expansion in constant currency,” said Raghunath Mandava, chief executive officer, Airtel Africa.