Post SC ruling, gross revenue gives better idea of telecom growth, not AGR: ICICI

New Delhi: Adjusted gross revenue (AGR) of telecom companies as a performance indicator for third quarter of FY19 may not be comparable to previous quarter numbers since the Supreme Court widened the definition of AGR in October, ICICI SecuritiesNSE -0.71 % said.

Its note added that gross revenue (GR) comparison would give a more accurate picture of industry trend. “Q3 AGR is strictly not comparable due to change in AGR definition post the recent Supreme Court verdict that reduces passthrough, thereby, increasing AGR,” ICICI said.

On October 24, the Supreme Court widened the definition of AGR to include non-core revenue.