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Airtel net profit in Q3 dives on Jio onslaught

NEW DELHI: Stiff festival persisted to batter the profits of Bharti Airtel as it posted a 72% decline (yearon-year) in profits in the third quarter (October-December) of 2018-19, hit hard by means of competitive tariff and customer-acquisition spree of Reliance Jio. Just a little ray of hope for Airtel used to be a four% growth in average revenue in keeping with person (ARPU) — the mostcritical metric to pass judgement on the efficiency of telecom corporations — on a sequential basis, despite the fact that ARPU used to be down 15% year-on-year.

The company, which has misplaced the crown of the highest telco to Vodafone-Idea, has been going through a tough time since the launch of Jio in September 2016. Its profits were in a downward spiral since then, shrinking from Rs 1,461crore in Q2 of 2016-17 to Rs 86 crore in Q3 of 2018-19.

The company’s subscriber base shriveled by means of four.8 crore at the end of the third quarter to 28.four crore in comparison to 33.2 crore customers at the end of the July-September quarter.

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