Sunil Mittal-led-Bharti Airtel's net profit rises 167% in Q2; here are 2 key reasons for this jump

Telecom giant Bharti Airtel reported a 167 per cent rise in net profit in the second quarter of the financial year 2025, buoyed by robust performance in India and Africa segments. Sunil Mittal-led firm’s net profit stood at Rs 1,341 crore a year earlier.

Despite recording significant growth, Bharti Airtel’s net profit missed Street expectations. Earlier  Bloomberg poll had estimated a net profit of Rs 4, 398 crore. The revenue for the quarter under review surged 12 per cent y-o-y to Rs 41, 473 crore. Tariff hikes and an increase in the number of smartphone users helped revenue grow by 16.9 per cent y-o-y to Rs 31, 561 crore. 

The company’s average revenue per user also witnessed a rise of 14.7 per cent in India’s mobile segment. The ARPU shot up to Rs 233 against Rs 203 a year ago. The consolidated EBITDA registered a growth of 12 per cent on-year, with a margin of 53.1 per cent. While consolidated EBIT surged 10.7 per cent on-year and the EBIT margin is at 26.5 per cent. During the quarter, the company saw an addition of 4.2 million new smartphone data users in India, taking the total base to 75 per cent. Also, 0.8 million became the postpaid net additions.  

Mobile data consumption in India climbed 22.6 percent with average monthly usage reported to be 23.9 GB per customer. The company also expanded its network with new 5000 towers and 15, 200 mobile broadband stations. The new spectrum was put in place to enhance connectivity across regions during the quarter. 

Airtel’s Managing Director Gopal Vittal underscored the need for tariff repair. “Our balance sheet remains solid, supported by cash generation and continued deleveraging. However, the industry still requires further tariff repair for sustained investments, with ROCE for India at only 11 per cent,” he said. Meanwhile, the company’s share price fell marginally by 0.16 per cent to end the day at Rs 1,663.35 on NSE.