For the first quarter of FY24, Reliance Jio posts financial results largely in line with the Street estimates. The revenues grew 10 percent year on year to Rs 24,042 crore, compared with Rs 21,873 crore in the same quarter of last year.

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The earnings before interest, tax, depreciation and amortisation (EBITDA) at Rs 12,578 crore is 15 percent higher year on year compared with Rs 10,964 crore in first quarter of FY23. The EBITDA margins are at 52.3 percent, a sharp improvement from 50.1 percent in first quarter of FY23.

The net profits grew 12 percent year on year to Rs 4,863 crore compared with Rs 4,335 crore in first quarter of FY23.

Mukesh D. Ambani, Chairman and Managing Director, Reliance Industries Limited said "Jio’s wide range of quality offerings at affordable price points has enabled strong growth in subscriber base, which reflects in the financial performance of the digital services business. Accelerated roll-out of Jio’s True 5G services is propelling the nation’s digital transformation at an unprecedented pace. In another step towards democratizing internet in India, Jio launched the “JioBharat” Phone Platform, making internet technology accessible and affordable to every Indian."

Jio continued to lead industry’s net subscriber addition with 9.2 million in the quarter. Monthly churn reduced to 1.8 percent during the quarter. The customer base stood at 448.5 million as on 30th June 2023 versus 419.9 million as on 30th June 2022.

Jio’s average revenue per user (ARPU) increased 2.8 percent year on year to Rs 180.5 driven by better subscriber mix and ramp-up of wireline business. This is to be compared with Rs 175.7 in the June 2022 ended quarter.

Furthermore, the data traffic is at 33.2 billion GB versus 25.9 billion GB year on year, while the voice traffic is at 1.34 trillion minutes versus 1.25 trillion minutes year on year.

Market expert, Prakash Diwan says "Going forward any kind of potential ARPU increase, price hikes and the pace of adoption of 5G thanks to the introduction of Bharat handset, are the driving vectors going ahead". He adds "telecom is a growth engine for Reliance".

First Published:Jul 21, 2023 4:50 PM IST