NEW DELHI: Reliance Jio Infocomm net profit grew 1.2 per cent sequentially in the fourth quarter, helped by strong subscriber additions.
However, average revenue per user (ARPU) fell sequentially triggered by the sharp cut in its base offer to JioPhone users at Rs 49/month, and users moving to lower priced bundled plans.The Mukesh Ambani-owned company, which upended the market since its entry in September 2016 with its initially free voice and data and now much cheaper mobile internet services, posted profit of Rs 510 crore compared with Rs504 crore in October-December.Revenue rose 3.6% sequentially to Rs 7,128 crore.
Indias fourth largest telco by user base started reporting results from three-month period ended September when it posted a loss of Rs 271 crore, but has since then, turned into black, reporting back to back profits.
This compares with the first net loss for Bharti Airtels India operations in nearly 15 years.The strong financial results of Jio in a competitive market environment demonstrates the robustness of the Jio business model and ability to offer the most value to our customers and partners.
Jio has demonstrated that it can scale and sustain its strong financial performance, Mukesh Ambani, CMD, Reliance Industries, Jios parent.