Telecom industry's revenue growth may improve to double digits in FY21

Analysts project double-digit growth in FY21 to around 12%, largely driven by Jio

While the telecom industry’s revenues declined in the January-March quarter, analysts say that the sector’s revenue growth could improve to double digits in FY21 to around 12 per cent, largely driven by Reliance Jio.

For the current financial year, analysts expect a modest 7-8 per cent year-on-year (YoY) growth (without interconnect rate), assuming no price hike happens.

Adjusted gross revenue (AGR) for the industry, including national long distance (NLD) revenue and excluding Reliance Communications, declined 1 per cent quarter-on-quarter (QoQ) to Rs 31,520 crore. NLD revenue was down 4 per cent QoQ to Rs 6,800 crore, driven by an 18