Bharti Airtel net plunges 37%
India's largest telecom service provider Bharti Airtel has posted a decline in profit for the 10th quarter in a row in April-June.india Updated: Aug 08, 2012 21:40 IST
India's largest telecom service provider Bharti Airtel has posted a decline in profit for the 10th quarter in a row in April-June.
The company on Wednesday announced a net profit of Rs. 762.2 crore, a dip of 37% over the previous year's Rs. 1,215.2 crore profit, as stiff competition squeezed margins.
The road ahead is likely to remain difficult for the company as it may have to pay for the excess spectrum that it holds.
Bharti blamed the poor figures on the restriction on sales of combo packs by the telecom regulator, and the service tax hike from 10.3% to 12.36% that came into effect on April 1.
"Telecom revenues in India have been depressed due to hyper-competition and recent regulatory and tax developments," said Sunil Mittal, CMD, Bharti Airtel.