Eyeing higher Average Revenue Per User, Airtel hikes tariffs by up to 20-25 per cent

NEW DELHI: With eyes on increasing profitability and return on capital, telecom operator Bharti Airtel on Monday decided to hike tariff rates by 20-25% for various prepaid offerings from November 26. The company said the move would provide a reasonable return on capital that allows for a financially healthy business model.

“Bharti Airtel has always maintained that the mobile Average Revenue Per User (ARPU) needs to be at Rs 200 and ultimately at Rs 300, so as to provide a reasonable return on capital that allows for a financially healthy business model,” said Airtel in an official statement.