Tax cuts bring no key benefits for telecom sector: I-Sec

New Delhi: The redcution of corporate tax to 25 per cent, from 35 per cent, brings little cheer to telecom companies given their continued losses, which make the tax cut irrelevant to them, broking firm I-Sec said in its sectoral report on Monday.

According to the report, the tax cut means at the most that Bharti Airtel (Bharti) will see a small benefit on cashflow basis in the near term.

Bharti Infratel. however, stands to benefit, says I-Sec sees and has raised the firm’s earning per share (EPS) estimate by 17 per cent each for the current fiscal and 2020-21/ FY21E, while it sees “small benefits” for Bharti Airtel.