The decline in revenue is despite Reliance Communications’ customer base growth of 2.7 percent to 147 million from 143 million in the previous quarter.
Net profit plummetted 43.4 percent to Rs 252 crore in second quarter of 2011-12 from Rs 446 crore in the same period last fiscal.
This is Reliance Communications’ ninth straight drop in quarterly profit. Reliance Communications had aggressively cut prices and gave away free voice minutes to lure customers during the price war and a senior executive said in August it expects to see the full benefit of the recent call price increase in about two quarters, according to Reuters.
Wireless revenue grew to Rs 4,417 crore in Q2 2011-12 from Rs 4,161 crore in Q2 2010-11, driven by growth of paid minutes and strong growth in non-voice / data business.
Wireless minutes of usage increased to 98.9 billion.
Revenute per minute grew 0.5 percent to 45 paise / minute, amongst the highest in the industry and stable for the last seven consecutive quarters.
Reliance Communications said its 3G active customers stand at 2.1 million.
The second largest mobile service provider’s wireless revenue grew to Rs 4,417 crore in Q2 2011-12 from Rs 4,161 crore in Q2 2010-11. Q2 2011-12 was the third consecutive quarter of consumption led revenue growth in the wireless business.
Global Enterprise (GEBU) revenue declined to Rs 2335 crore from Rs 2,501 crore.
The decline in global business is despite growth in the Middle East in carrier segment and enterprise business in India.
By Telecomlead.com Team
editor@telecomlead.com
