Reliance Industries Ltd’s (RIL) digital giant Jio Platforms reported an 11.6% rise in net profit to INR 5,445 Cr in the December quarter (Q3) of the financial year 2023-23 (FY24) from INR 4,881 Cr in the previous year’s quarter.
However, on a quarter-on-quarter (QoQ) basis, the company saw a mere 2.7% growth in net profit from INR 5,297 Cr.
Revenue from operations increased at a similar rate as its bottom line, up 11.3% YoY and 3% QoQ to INR 27,697 Cr in Q3 FY24.
The company had reported an operating revenue of INR 24,892 Cr in the previous year’s quarter.
Jio Platforms attributed the growth in operating revenue to robust subscriber growth across mobility and homes, and benefits of mix improvement in average revenue per user (ARPU).
The company’s ARPU increased to INR 181.7 per subscriber per month from INR 178.2 in Q3 FY23. However, it was flat on a QoQ basis.
In a statement, RIL said the growth in ARPU was partially offset by unlimited data allowance on the 5G network.
The company said its 5G rollout accelerated the subscriber addition momentum and Jio continued to outpace competition with 11.2 Mn net additions in 3Q FY24. Its monthly churn stood at 1.7%.
Total customer base increased to 47.1 Lakh in the reported quarter, rising 8.8% YoY.
“Jio has accomplished the fastest rollout of 5G network witnessed anywhere in the world and is now available across India. JioAirFiber has seen strong initial demand and customer engagement, especially in underserved tier 3/4 towns and rural areas,” said Akash Ambani, chairman of Reliance Jio Infocomm, in the statement.
“Jio’s ahead of the curve investments on next-generation network, digital technologies and tailor-made products for all customer cohorts will ensure sustainable industry leading growth in coming years,” he added.
As per the company, JioAirFiber is now available in over 4,000 cities or towns, with pan-India coverage expected in the first half of 2024.
On the other hand, the company’s newly-launched feature phone JioBharat currently holds over 45% market share in the sub INR 1,000 segment, Jio Platforms claimed.
Speaking on the developments, Mukesh Ambani, chairman and MD of RIL, said, “The strong uptake of the JioBharat phone and JioAirFiber services has resulted in continued expansion of Jio’s subscriber base, contributing to the stellar growth numbers of the digital services business.”
Meanwhile, Meanwhile, Reliance Jio Infocomm’s standalone revenue rose 10.3% YoY to INR 25,368 Cr, while net profit jumped nearly 12.2% YoY to INR 5,208 Cr in Q3 FY24.
On a consolidated basis, RIL reported a 10.9% YoY rise in net profit to INR 19,641 Cr in Q3 FY24.
The conglomerate giant’s operating revenue rose 3.5% YoY but declined about 3% QoQ to INR 2.29 Lakh Cr in the reported quarter.
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