Reliance Jio Q4 net profit soars 24% to ₹4,173 cr

Reliance Jio Infocomm reported a net profit of ₹4,173 crore for the quarter ended March 31, 2021, marking a 24% increase year-on-year compared with ₹3,360 crore seen in the corresponding quarter of the previous year.

The telecom major recorded a rise in revenue from operations at ₹20,901 crore during the quarter under review, as opposed to ₹17,358 crore seen in the year-ago period. The company’s total income for the quarter stood at ₹20,945 crore, against ₹17,381 crore a year ago.

Jio paid ₹6,533 crore as network operating expenses and ₹2,504 crore as license fees and spectrum charges in Q4 FY22, higher than ₹5,754 crore and ₹1,952 crore under both heads respectively in Q4 FY21. Employee benefit expenses increased to ₹368 crore from ₹345 crore in the same quarter last year.

Total expenses for the March quarter of FY22 stood at ₹15,353 crore, compared with ₹12,883 crore in the corresponding quarter of FY21.

The net profit for the entire financial year 2021-22 stood at ₹77,204 crore compared with ₹70,436 crore for the previous fiscal.

The revenue for operations at the end of FY22 increased to ₹76,977 crore, against 69,888 crore a year ago. Total income surged to ₹77,204 crore from ₹70,436 crore.

Jio saw its average revenue per user (ARPU) improve to ₹ 167.6 per user — and increase of 21.3% on annual basis — following a tariff hike, better subscriber mix and ramp-up of FTTH services. The company had a subscriber base of 410.2 million as on March 31, 2022, as SIM consolidation post the December 2021 tariff hike led to a net reduction of 10.9 million in customer base in March quarter.

It registered a 47.5% year-on-year growth in total data traffic at 24.6 billion GB during the quarter under review, whereas total voice traffic increased 16.8% on-year to 1.2 trillion minutes during this period. For the full year total data traffic and total voice traffic increased to 91.4 billion GB and 4.51 trillion minutes, growing 46.3% and 17.9% on-year, respectively.

Gross subscriber addition in Jio’s connectivity business continued to remain strong with total gross addition of 35.5 million in Q4 FY22 with sustained traction in mobility and FTTH businesses.