Bharti Airtel reported strong consolidated performance for Q3 FY2026, with revenues growing 3.5% sequentially. Key focus areas included portfolio premiumization and disciplined cost control, leading to a consolidated EBITDAaL margin of 51.3%. Investments are accelerating in Data Centers (target: 1 GW capacity) and digital transformation powered by AI, while the India mobile ARPU remains under pressure pending tariff repair.
Bharti Airtel Consolidated Performance
The earnings call for the quarter ended December 31, 2025, highlighted another period of strong execution across India and Africa. Consolidated revenue reached approximately Rs. 54,000 crores, marking a 3.5% sequential growth. Africa contributed solid performance with 5.8% constant currency revenue growth.
Key Financial Metrics
- Consolidated EBITDAaL stood at over Rs. 27,700 crores, a 4.2% growth, with a margin of 51.3% (30 bps sequential improvement).
- Operating Free Cash Flow was strong at Rs. 15,900 crores.
- Consolidated Net Debt to EBITDAaL improved to 1.02x.
India Business Highlights
The India strategy centers on portfolio premiumization, network strengthening, and accelerating digital adoption.
Mobility and 5G Expansion
Mobility added 4.4 million revenue earning customers, with ARPU at Rs. 259. 5G site deployment was robust, adding 11,000 sites, covering about 74% of the population. The company noted strong growth in international roaming revenues, up over 30% YoY.
Broadband and Digital Growth
Broadband delivered a record quarter with 1.2 million net adds, crossing 13 million connected homes, and FWA customer base exceeding 3 million. The digital portfolio delivered robust revenue growth, increasing 39% YoY, with Airtel Finance loan disbursement run-rate now above Rs. 500 crores.
Strategic Pillars and Capex Focus
Executive Vice Chairman Gopal Vittal emphasized the strategic focus on Data Centers, aiming for 1 GW capacity in the next three to four years, seeking a 25% market share. The company is committed to prudent capital allocation, directing investments towards growth areas like Cloud, IoT, Cyber Security, and strengthening the core business, while maintaining a strong balance sheet.
Bharti Hexacom Performance (Rajasthan & North East)
The call transitioned to Bharti Hexacom, which also delivered consistent results.
- Revenue for the quarter was Rs. 2,360 crores (1.8% sequential growth).
- EBITDAaL reached over Rs. 1,120 crores, maintaining a margin of 47.6%.
- Mobile ARPU stood at Rs. 253, driven by portfolio premiumization.
- Homes business saw robust growth, achieving a record 73,000 net adds, driving revenue growth over 10% sequentially.
Hexacom Strategy Discussion
Management discussed the priority sequence for fixed broadband deployment: Fiber first, followed by FWA, and lastly UBR where necessary, driven entirely by customer demand and ability to deliver a superior experience. The relatively lower base compared to Airtel explains the larger proportional increase in capex for home expansion in Hexacom circles.
Source: BSE
