Reliance Jio’s net profit up 45% at Rs 990 cr in Q2 FY19

Agencies
October 19, 2019

Mumbai, Oct 19: Reliance Jio on Friday reported Rs 990 crore net profit for Q2 ending September, marking a year-on-year growth of 45.4 per cent on a standalone basis even as its average revenue per user (ARPU) fell while both data and voice volume grew significantly.

It's standalone revenue from operations was Rs 12,354 crore while standalone Ebitda stood at Rs 5,166 crore. The company's net profit was Rs 891 crore in the previous quarter.

Reliance Jio has become the world's second largest single country operator with over 350 million subscribers, the company said in a statement.

Mukesh Ambani, Chairman and Managing Director, Reliance Industries Limited, said, "Jio crossed the 350 million subscriber mark to remain the world's fastest growing digital services company, and we are still adding more than 10 million new customers every month. Jio is not only India's largest telecom enterprise in terms of subscribers and revenues, but has also become the digital gateway of India."

Jio crossed Ebitda of Rs 5,000 crore with 41.8 per cent margin and is on track to achieve a 50 per cent margin.

The company said its ARPU stood at Rs 120 per month in the July-September period, coming down from Rs 122 per month in the previous quarter. Its ARPU fell for the seventh straight quarter.

Reliance Jio's ARPU was expected to decline as the operator has been aggressively adding JioPhone users who usually subscribe to low-cost plans. This is the seven straight time that Jio's ARPU fell, underlying low-paying user additions into its network. It means the additional users are not adding to the company's revenues.

Vodafone Idea posted an ARPU of Rs 108 in the June quarter. Airtel and Vodafone Idea are yet to announce their financial results for the September quarter.

Earlier this month, Reliance Jio had announced that it will charge customers 6 paise a minute for voice calls made to rival networks, but will compensate them by giving free data of equal value.

Last month, the telecom operator forayed into broadband business by offering six plans to users in the range of Rs 699 to Rs 8,499, with bundled in router, 4K set-top box, a television set and content and streaming services under its FTTH service.

The company's subscriber base was at 355.2 million as of September 30, as it added 2.4 crore subscribers in the second quarter.

Data traffic grew 56 per cent year-on-year, while voice growth was recorded at 52 per cent over last year.

The company is on track to achieve 50 per cent Ebitda margin. Its gross customer addition at 31.6 million and monthly churn rate reduced sequentially to 0.74 per cent. Inter-user connect charges for the last quarter was Rs 652 crore.

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News Network
April 19,2020

New Delhi, Apr 19: With 1,334 fresh cases of coronavirus reported in the last 24 hours, the total number of confirmed cases of COVID-19 in India has reached 15,712 including 507 deaths, said Lav Aggarwal, Joint Secretary, Health and Family Welfare, here on Sunday.

As many as 2,231 people have recovered from the disease so far, said Aggarwal during the daily media briefing on the coronavirus. "This equals 14.1 per cent of the total cases," he added.

"A total of 15,712 confirmed cases have been reported in India including 507 deaths and 2,231 people, who were COVID-19 positive, have recovered. Out of the total deaths, 27 deaths have been reported in the last 24 hours," said Aggarwal.

The Joint Secretary said that no new case was reported in Mahe in Puducherry and Karnataka's Kodagu in the last 28 days.

"A total of 54 other districts beside these two in 23 States/Union Territories did not report any cases in the last 14 days," he said.

He informed that there are 755 dedicated COVID-19 hospitals and 1,389 dedicated health care centres in the country, which takes the total dedicated facilities where severe or critical patients can be treated to 2,144.

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News Network
January 28,2020

Jan 28: China said on Tuesday that 106 people had died from a new coronavirus that is spreading across the country, up from the previous toll of 81.

The number of total confirmed cases in China rose to 4,515 as of Jan. 27, the National Health Commission said in a statement, up from 2,835 reported a day earlier.

The United States warned against travel to China on Monday and Canada issued a more narrow travel warning as the death toll from the spreading coronavirus passed 100, with tens of millions stranded during the biggest holiday of the year and global markets rattled.

Global stocks fell, oil prices hit three-month lows, and China's yuan dipped to its weakest level in 2020 as investors fretted about damage to the world's second-biggest economy from travel bans and the Lunar New Year holiday, which China extended in a bid to keep people at home.

The health commission of China's Hubei province said on Tuesday that 100 people had died from the virus as of Jan. 27, according to an online statement, up from the previous toll of 76, with the number of confirmed cases in the province rose to 2,714.

Other fatalities have been reported elsewhere in China, including the first in Beijing, bringing the deal toll to 106 so far, according to the People's Daily. The state newspaper put the total number of confirmed cases in China at 4,193, though some experts suspect a much higher number.

On Monday, US President Donald Trump offered China whatever help it needed, while the State Department said Americans should "reconsider" visiting all of China due to the virus.

Canada, which has two confirmed cases of the virus and is investigating 19 more potential cases, warned its citizens to avoid travel to China's Hubei province, at the heart of the outbreak.

Authorities in Hubei province are taking increasing flak from the public over their initial response to the virus. Chinese Premier Li Keqiang visited the city of Wuhan, epicentre of the outbreak, to encourage medical workers and promise reinforcements.

Visiting Wuhan in blue protective suit and mask, Li praised medics, said 2,500 more workers would join them in the next two days, and visited the site of a new hospital to be built in days.

The most senior leader to visit Wuhan since the outbreak, Li was shown on state TV leading medical workers in chants of "Wuhan jiayou!" - an exhortation to keep their strength up.

China's ambassador to the United Nations, following a meeting with UN Secretary-General António Guterres on Monday, said "the Chinese government attaches paramount importance to prevention and control of the epidemic, and President Xi Jinping has given important instructions. ...

"China has been working with the international community in the spirit of openness, transparency and scientific coordination," he said.

Guterres said in a statement, "The UN appreciates China's effort, has full confidence in China's ability of controlling the outbreak, and stands ready to provide any support and assistance."

MOUNTING ANGER

On China's heavily censored social media, officials have faced mounting anger over the virus, which is thought to have originated from a market where wildlife was sold illegally.

Some criticised the governor of Hubei province, of which Wuhan is the capital, after he corrected himself twice during a news conference over the number of face masks being produced.

"If he can mess up the data multiple times, no wonder the disease has spread so severely," said one user of the Weibo social media platform.

In rare public self-criticism, Wuhan Mayor Zhou Xianwang said the city's management of the crisis was "not good enough" and indicated he was willing to resign.

The central Chinese city of 11 million people is in virtual lockdown and much of Hubei, home to nearly 60 million people, is under travel curbs.

Elsewhere in China, people from the region faced questioning about their movements. "Hubei people are getting discriminated against," a Wuhan resident complained on Weibo.

Cases linked to people who travelled from Wuhan have been confirmed in a dozen countries, from Japan to the United States, where authorities said they had 110 people under investigation in 26 states. Sri Lanka was the latest to confirm a case.

INVESTORS WORRIED

Investors are worried about the impact. The consensus is that in the short term, economic output will be hit as authorities limit travel and extend the week-long New Year holiday — when millions traditionally travel by rail, road and plane - by three days to limit spread of the virus.

Asian and European shares tumbled, with Japan's Nikkei average sliding 2%, its biggest one-day fall in five months. Demand spiked for safe-haven assets such as the Japanese yen and Treasury notes. European stocks fell more than 2%.

The US S&P 500 closed down nearly 1.6%.

"China is the biggest driver of global growth so this couldn't have started in a worse place," said Alec Young, FTSE Russell's managing director of global markets research.

During the 2002-2003 outbreak of Severe Acute Respiratory Syndrome (SARS), which originated in China and killed nearly 800 people globally, air passenger demand in Asia plunged 45%. The travel industry is more reliant on Chinese travellers now.

Chinese-ruled Hong Kong, which has had eight cases, banned entry to people who had visited Hubei recently.

Some European tour operators cancelled trips to China, while governments around the world worked on repatriating nationals.

Officially known as 2019-nCoV, the newly identified coronavirus can cause pneumonia, but it is still too early to know just how dangerous it is and how easily it spreads.

"What we know about this virus it that transmission occurs through human contact but we are speaking of close contact, i.e. less than a meter," said Jerome Salomon, a senior official with France's health ministry.

"Crossing someone (infected) in the street poses no threat," he said. "The risk is low when you spend a little time near that person and becomes higher when you spend a lot of time near that person."

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News Network
June 10,2020

New Delhi, Jun 10: India on Wednesday reported a spike of 9,985 more COVID-19 cases in the last 24 hours, taking the country's COVID-19 count to 2,76,583, according to the Union Ministry of Health and Family Welfare.

279 deaths were reported in the last 24 hours taking the total death toll to 7,745.

The total number of active cases has reached 1,33,632 while 1,35,205 patients have recovered. While one person has migrated.

With 90,787 cases, Maharashtra reported the highest number of coronavirus cases in the country followed by Tamil Nadu with 34,914 cases.

According to the Indian Council of Medical Research (ICMR), 1,45,216 samples were tested in the last 24 hours while overall 50,61,332 samples have been tested so far.

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