Reliance Jio Q1 Profit Rose To Rs 2,520 Crores! Boost In Data Consumption
As per the reports, the Reliance Jio’s net profit almost tripled in the June quarter which is also the 11th profitable quarter in a row, thanks to the increased tariff, decent customer additions and lower finance costs after reducing debt.
Reliance Jio Q1 Quarter Results
At the end of the June quarter, Reliance Jio reported a 182.8% rise in year-on-year net profit to Rs 2,520 crores.
The subsidiary of Reliance Industries, Reliance Jio, posted a net profit of Rs 891 crores for the corresponding quarter last year.
With is release, Jio’s quarterly revenue rose 34% on year to Rs 16,557 crores.
As of June 30, the total customer base of Reliance Jio also raised to 398.3 million.
In accordance with the nationwide lockdown, the work-from-home boosted data consumption during this quarter and average revenue per user (ARPU) grew by 7.5% to Rs 140.3.
In the case of wireless data traffic, it has risen to 30.2% YoY to 1,420 crores GB during the quarter.
What Does Reliance Jio Say?
According to the telecom service provider, “There has been strong wireless gross addition of 15.1 million during the quarter despite COVID-19 related restrictions across the country,”.
In a statement, Reliance Industries Limited said, “Monthly churn rate for wireless subscribers at only 0.46% during the quarter,”.
In addition, the customer engagement also gained during the June quarter with a “nationwide lockdown driving average wireless data consumption per user per month to 12.1 GB and average voice consumption to 756 minutes per user per month.”
The chairman and managing director, Reliance Industries Limited, Mukesh Ambani said, “Jio started with a vision of connecting everything by building a robust and secure wireless and digital network and extending the benefits of digital connectivity to everyone in India,”.
What About The Revenue Growth?
Reliance Jio’s revenue in addition to the access revenues for the June quarter sums at Rs 19,513 crore.
The standalone revenue from operations, including access revenues, grew by 33.7% YoY to ?16,557 crores.
For the June quarter, Jio’s standalone EBITDA reported a 55.4% YoY rise to Rs 7,281 crore.
Jio Platform Limited in total raised Rs 152,056 crore from thirteen investors which include Google, Facebook, Vista Equity Partners, Silver Lake, General Atlantic, KKR, Mubadala, TPG, ADIA, L Catterton, Public Investment Fund of Saudi Arabia, Intel Capital and Qualcomm.
Mr. Ambani said, “thirteen investors, which include the largest technology companies and investors globally, now share a common vision with us,”.
On the completion of the investment, Reliance Industries would hold 66.48% equity stake in the Jio Platform on a fully diluted basis.
According to Reliance Industries, “the company has evaluated the implications of the COVID 19 pandemic and has determined that there is no significant impact on its financial position and performance,”.