(LiveMint)
If the strong subscriber addition continues at Reliance Jio Infocomm Ltd, it may soon emerge as the leading wireless telecom company in India. Reliance Jio’s net revenue may have crossed Bharti Airtel Ltd’s wireless revenue in India last quarter, according to analysts at Kotak Institutional Equities Research. If the Reliance Industries Ltd (RIL) unit maintains the momentum, then it may emerge as the largest telecom company as early as the end of 2018.
“We expect Bharti Airtel’s net India wireless revenues (reported gross wireless revenues less estimated gross interconnect revenues) to be around ₹87-88 billion for 2QFY19. Reliance Jio’s reported revenues of ₹92.4 billion are net of interconnect revenues as the company adjusts interconnect revenues in the interconnect costs line,” analysts at Kotak Institutional Equities Research said in a note.
“If Bharti does not report a material beat on our estimated wireless revenues for the quarter, Reliance Jio has perhaps crossed Bharti on net India wireless revenues to become #2 after Vodafone Idea. If the current trends continue, Reliance Jio will likely become #1 on net revenues as early as 3QFY19E,” the note said.
