Reliance Jio Infocomm Ltd.'s quarterly profit missed estimates even as its revenue and average revenue per user rose.
Net profit rose 0.6% sequentially to Rs 3,524 crore in the quarter ended September, according to its exchange filing. Analyst estimates compiled by BloombergQuint had pegged the bottom line at Rs 3,713 crore.
Revenue rose 4.1% over the previous quarter to Rs 18,735 crore— compared to Rs 18,789-crore estimate.
Operating profit rose 4.3% to Rs 8,989 crore.
Margin widened to 48% from 47.9%.
Average revenue per user rose 3.7% sequentially to Rs 143.6 per month.
Reliance Jio's total customer base was 42.93 crore as on Sept. 30, which fell by 1.12 crore in the second quarter amid a churn during the second wave of the Covid-19 pandemic. The company witnessed healthy traction in both mobility and fibre broadband during the quarter.
Average monthly consumption of data and voice consumption per user increased 12.8% (to 17.6 GB) and 2.7% (840 minutes), with a significantly higher customer engagement on the network, the company said.
The company dominates India's mobile market and has over 35% gross subscriber market share since July 2020, according to the latest data from the telecom regulator. It has also maintained a stable market share in terms of active subscribers with 35.01 crore active users in August 2021.
JioFiber has over 40 lakh customers and and Jio's optical fibre network is present physically outside 1.6 crore premises. The optical-fiber network will help address the strong demand for good-quality fixed broadband services.
Jio's parent Reliance Industries Ltd.'s September-quarter profit rose 11.5% over the preceding three months.
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