Despite a poor December quarter performance marked by a 15 per cent fall in average revenue per user (Arpu) and a 93 per cent drop in India mobile profit before interest and taxes (PBIT), brokerages believe Bharti Airtel is well placed to ride out the Reliance Jio (RJio) pricing aggression.
Given the recent price cuts by RJio and indications that an Arpu increase for the sector is still a couple of quarters away, there are a few moving parts that could help boost the company’s financials. The first is the completion of two of the company’s acquisitions--Telenor and Tata Teleservices.