Strong subscriber gains, tariff hikes keep shareholders tuned in to Airtel

Mumbai: Shares of Bharti Airtel Ltd have gained 13% since 8 January when the company released its key operating metrics for the December quarter. The numbers showed a strong growth in customer additions, notably 4G users. Voice traffic grew at a decent pace and data volumes maintained the double digit growth tempo.

The numbers had led to the belief that the company will also report an impressive financial performance. But the earnings translation has not been as strong.

Quarterly financial results, released after market hours on Tuesday, indicate a not so impressive performance. Operating profit at its India mobile services business grew just 0.5% from the September quarter. This is despite a 5% expansion in revenue and average revenue per user (ARPU).