Airtel shares dive nearly 4 per cent as Q3 net dips to 4-year low
At NSE, shares of the company declined by 3.63 per cent to Rs 305.
New Delhi: Shares of Bharti Airtel today fell by nearly 4 per cent after the company reported its lowest profit in four years as demonetisation and intense competition with Reliance Jio hit revenues. The stock, after a weak opening, further lost 3.87 per cent to Rs 304.10 on BSE.
At NSE, shares of the company declined by 3.63 per cent to Rs 305. Consolidated net profit in October-December fell 54 per cent to Rs 503.7 crore as against Rs 1,108.1 crore in the same period a year ago, the company said in a statement yesterday.
"The quarter has seen turbulence due to the continued predatory pricing by a new operator," said Gopal Vittal, the CEO of Bharti Airtel.
"This has led to an unprecedented year-on-year revenue decline for the industry, pressure on margins and a serious impact on the financial health of the sector," he added.
Bharti Airtel's revenue fell 3 per cent to Rs 23,363.9 crore in the third quarter of FY2016-17. Mobile data revenue slowed to Rs 4,049 crore due to "free voice and data offering by a new operator".