Jio, Airtel, Vodafone Idea may go slow on capex from next fiscal

Mumbai: The telecom operators could be moving towards a slowdown in capital expenditure, after the selling, general and administration (SG&A) costs tapered in the fourth quarter of fiscal 2023, analysts said.

In addition to trimming expenses, telecom operators will also look at monetisation of 5G, as well as 4G tariff hikes to make up for the high capex in the last fiscal year, they said.

“Large capex by (Reliance) Jio and (Bharti) Airtel has not translated into a large growth differential over VIL (Vodafone Idea) and we think the industry would look to rein in capex,” BNP Paribas analysts said in a recent report.