Home
>
Articles
>
Bharti Airtel Update: Airtel Share Price, Deal with TCS, Subscriber Additions & More

Bharti Airtel Update: Airtel Share Price, Deal with TCS, Subscriber Additions & More

Last updated: 28 Jun, 2021 | 04:37 pm

Bharti Airtel Update: Airtel Share Price, Deal with TCS, Subscriber Additions & More

A lot has been going on at Bharti Airtel. Data released by telecom authority showed robust subscriber additions for March-21 by Bharti Airtel. The company also announced a new deal with TCS for implementing 5G networks in India. Here are the details:

Subscriber numbers

  • Undeterred by the competition from Reliance Jio, Bharti Airtel continued its steady run-rate of 4.8 million active subscriber additions in the month of March-21 (average additions of ~4m in the last 9-10 months)
  • The total number of active subscribers increased to 344 million in Mar’21. It maintained its top spot in terms of active subscriber market share (SMS) at 34.6%. 
  • Quality of subscriber additions is reflected in the higher active-to-gross subscriber addition ratio and strong 3.6 million 4G subscriber additions.
  • As expected, Reliance Jio continued its strong march, adding 7.4 million subscribers in the month. Jiophone’s contribution helped RJio achieve stellar 4G additions, improving its 4G market share by 10bps to 56%.

New deal with TCS

Bharti Airtel recently announced a new deal with TCS for implementing 5G networks solutions for India. Here are key highlights: 

  • Bharti Airtel will deploy this solution as part of its 5G rollout plans in India, for which the  pilot will start in January 2022.
  • Airtel is a board member of the O-RAN Alliance and is committed to explore and implement O-RAN based networks in India. 
  • Earlier in 2021, Bharti Airtel became the first telecom company in India to demonstrate 5G over its LIVE network in Hyderabad. The Company has started 5G trials in major cities using spectrum allocated by the Department of Telecom.

Outlook on Bharti Airtel

  • Despite heavy competition from Jio, Airtel was able to add subscribers in March due to ‘market share reallocation’ from Vodafone Idea. Global brokerage firm Goldman Sachs expects this trend to continue over the medium term
  • Tariffs have not increased for more than a year-and-a-half now. Following the announcement of the deal with TCS, the 5G rollout will help Airtel come out with new plans, which could be much higher in terms of tariff. It may also help the company in terms on ARPU growth. In the latest quarter, Bharti Airtel’s ARPU rose to Rs 145. The company has guided for an ARPU of Rs 200 over the long-term. 
  • The telecom sector has been benefited by the Covid-19 crisis given the surge in demand for telecom services as a result of digitization of workplaces and business. Bharti is well positioned in the future to gain market share due to a strong spectrum footprint, robust balance sheet, and strong execution.
We are a SEBI registered investement advisor