Reliance Jio Q1 Results: ARPU Stays Flat, Profit Rises
Reliance Jio Infocomm Ltd.’s quarterly profit rose even as its average revenue per user remained flat.
Net profit rose 4.2% sequentially to Rs 3,501 crore in the quarter ended June, according to its exchange filing. Analysts’ estimates compiled by BloombergQuint had pegged the bottom line at Rs 3,153.6 crore.
Revenue rose 3.7% over the previous quarter to Rs 17,994 crore— compared to the Rs 18,014-crore estimate.
Operating profit rose 3.9% to Rs 8,617 crore.
Margin expanded to 47.9% from 47.8%.
Average revenue per user rose stayed largely flat at Rs 138.4 per month.
The mobile operator's total customer base was 44 crore as of June-end. It added 1.4 crore customers in the quarter ended June.
The company dominates India’s mobile market and maintained over 35% gross subscriber market share since July 2020, according to telecom regulator data. It has also maintained a stable market share in terms of active subscribers with 33.5 crore users in April 2021.
Total data traffic for Jio grew 38.5% over the same quarter to 2,030 gigabytes during the quarter. Voice traffic rose 19.5%. The churn rate reduced to 0.95% in the first quarter of FY22 compared with 1.26% in the preceding three months.
Jio Fibre has more than 30 lakh connected houses and the fibre is physically present outside 1.2 crore premises. The company expects to increase connectivity once the Covid-19 pandemic subsides.
Jio’s parent Reliance Industries Ltd. has reported a 7% sequential decline in profit.