About the Stock:

Bharti Airtel Limited, headquartered in New Delhi, is a global leader in telecommunications. As one of the top three mobile service providers worldwide by subscriber count, we pride ourselves on our extensive and reliable network, spanning across the USA, Europe, Africa, the Middle East, Asia-Pacific, India, and SAARC regions.

Our diverse product portfolio is supported by a robust infrastructure of strategically located submarine cables and satellite networks, covering over 365,000 RKMs across 50 countries and 5 continents. We are committed to pushing the boundaries of digital service delivery, focusing on providing an exceptional end-user experience, ensuring round-the-clock infrastructure availability, and maintaining superior service quality. At Bharti Airtel, our mission is to connect people and businesses globally, leveraging our advanced technology and global reach to deliver unparalleled ICT services.

Business Model / Products & Services:

• Global Presence: Headquartered in New Delhi, Bharti Airtel is a leading global telecommunication company.
• Wide Network Coverage: Operates across the USA, Europe, Africa, Middle East, Asia-Pacific, India, and SAARC regions.
• Market Position: Among the top 3 mobile service providers worldwide by subscriber count.
• Diverse Product Portfolio: Offers a broad range of ICT services through submarine cables and satellite networks.
• Extensive Infrastructure: Manages over 365,000 RKMs of network infrastructure across 50 countries and 5 continents.
• Focus on Quality: Prioritizes enhanced user experience, continuous infrastructure availability, and superior service quality.

Company Valuation
Sector	Telecom
NSE	BHARTIARTL
BSE	532454
Market Capitalization	Rs 8,82,000 Crore (As of July 26, 2024)
Book Value Per Share	Rs 138
Face Value	Rs 5
P/E ratio	111.66
52 week H/L	1539 / 848
Dividend Yield (%)	0.55

Shareholding Pattern
Particulars	Sep-23	Dec-23	Mar-24	Jun-24
Foreign Promoters %	16.4	15	14.11	14.03
Indian Promoters %	38.35	39.57	39.37	39.14
DIIs %	19.81	19.61	19.31	19.25
FIIs %	21.87	22.69	24.35	24.62
Others %	3.57	3.13	2.86	2.96

Ratios (Consolidated)
Particulars	Mar 2019	Mar 2020	Mar 2021	Mar 2022	Mar 2023
ROCE %	4.73	–	0.96	14.99	16.21
ROE %	1.89	–	–	13.25	17.08
ROA %	0.52	–	–	2.48	3.19
Interest Coverage Ratio	0.81	–	0.12	1.75	1.86
D/E	1.76	1.53	2.2	2	2.14
P/B	1.87	3.12	4.83	6.35	5.49

Balance Sheet (Consolidated Figures in Rs. Crores.)
(Year-end March)	Mar 2019	Mar 2020	Mar 2021	Mar 2022	Mar 2023
Share Capital	1,999	2,728	2,746	2,795	2,837
Reserves	69,349	74,350	56,119	63,659	74,552
Borrowings	1,25,428	1,17,619	1,29,790	1,32,915	1,65,545
Other Liabilities	69,484	1,39,067	1,37,287	1,44,363	1,84,748
Total Liabilities	2,66,260	3,33,763	3,25,941	3,43,731	4,27,681
Fixed Assets	2,00,832	2,29,256	2,23,480	2,44,083	2,77,394
Capital WIP	8,843	3,997	4,367	4,239	11,029
Investments (Long Term)	11,088	11,709	23,472	28,488	28,249
Other Assets	45,497	88,802	74,623	66,921	1,11,009
Total Assets	2,66,260	3,33,763	3,25,941	3,43,731	4,27,681

Profit & Loss (Consolidated Figures in Rs. Crores.)
(Year-end March)	Mar 2019	Mar 2020	Mar 2021	Mar 2022	Mar 2023	TTM
Sales	80,780	87,539	1,02,517	1,16,547	1,39,145	1,49,983
Other Income	2,799	1,935	643	534	937	1,435
Expenses	56,626	51,057	56,009	59,013	67,871	71,691
Operating Profit	26,954	38,417	47,151	58,068	72,210	79,728
OPM%	33	44	46	50	52	53
Interest	10,622	13,992	15,091	16,616	19,300	22,648
Depreciation	21,348	27,690	29,404	33,091	36,432	39,537
Profit Before Tax	-2,087	-43,499	-13,259	10,060	16,561	9,970
Tax%	164	28	-70	42	26	38
Net Profit	410	-32,183	-15,083	4,255	8,346	7,468
PATM%	1	-37	-15	4	6	5

Cash Flows (Consolidated Figures in Rs. Crores.)
(Year-end March)	Mar 2019	Mar 2020	Mar 2021	Mar 2022	Mar 2023
Cash from Operating Activity	19,788	18,129	48,205	55,017	65,325
Cash from Investing Activity	-28,501	-30,492	-26,888	-41,870	-39,080
Cash from Financing Activity	9,464	19,144	-24,910	-15,203	-24,469
Net Cash Flow	751	6,781	-3,594	-2,056	1,775

Q4 FY24 Result Update:

• Revenue Performance: Revenue fell by 0.8% to Rs 37,599 crore, compared to Bloomberg’s estimate of Rs 38,607.3 crore.
• Operating Profit: Operating profit declined by 2.3% to Rs 19,365 crore, below Bloomberg’s estimate of Rs 20,480.4 crore.
• Profit Margin: The operating profit margin stood at 51.5%, down from the previous margin of 52.28%.
• Average Revenue Per User (ARPU): ARPU increased to Rs 209 from Rs 208 in the previous quarter.
• Customer Base: Bharti Airtel’s India customer base increased by 2% from the quarter-ended December, now standing at 56.19 crore subscribers across 16 countries.

Quarterly Results (Consolidated Figures in Rs. Crores)
Particulars	Dec 2022	Mar 2023	Jun 2023	Sep 2023	Dec 2023	Mar 2024
Sales	35,804	36,009	37,440	37,044	37,900	37,599
Other Income	258	285	348	330	440	317
Expenses	17,351	17,312	17,842	17,530	18,085	18,234
Operating Profit	18,711	18,982	19,947	19,844	20,255	19,682
OPM%	52	53	53	54	53	52
Interest	4,686	5,163	5,614	5,186	6,645	5,203
Depreciation	9,298	9,406	9,654	9,734	10,074	10,075
Profit Before Tax	4,058	4,413	1,263	3,354	3,405	1,948
Tax%	27	18	26	55	36	36
Net Profit	1,588	3,006	1,613	1,341	2,442	2,072
PATM%	4	8	4	4	6	6

Conclusion:

Despite slight declines in revenue and operating profit, Bharti Airtel shows strong fundamentals with a stable profit margin and a growing customer base. The increase in ARPU indicates effective revenue strategies, and the 2% growth in subscribers across 16 countries demonstrates the company’s expanding market presence. Bharti Airtel’s resilience and strategic positioning continue to make it a solid player in the telecom industry, offering promising long-term growth potential.