Telecom major Bharti Airtel is embracing stable earnings for June quarter this year, witnessing overall revenue increase of 4.3 percent to Rs.26,850 crore driven by robust revenue growth in not only India, but Africa as well.

In India the telecom major witnessed robust improvement in mobile businesses and a healthy Africa business added more to its operating performance.

Ebitda, commonly referred to earnings before interest, tax, depreciation and amortization, received an increase of about 5.3 percent to Rs.12,980 crore. The consolidated Ebitda option at 49.2 percent acquired about 170 foundation factors during the June quarter in comparison to the previous quarter.

One hundredth of a share level is a foundation level. Also, Healthy 4G and postpaid offers aided the increase in cell ARPU, which increased by one percent sequentially.

Traders are concerned about excessive capital expenditure and mounting debt, despite the fact that the company's earnings were substantially in line with expectations on key criteria.

Airtel's capex remained high in the June quarter, at Rs6,590 crore, keeping free cash flow tight.

This, combined with an increase of Rs11,000 crore in deferred spectrum legal liability from the most recent spectrum acquired through a public sale, has increased internet debt to Rs1,26,500 crore from Rs1,15,500 crore.

According to experts at Motilal Oswal Monetary Providers Ltd, Airtel's free cash flow generation and deleveraging have been weak over the previous 12 months, despite its 30% Ebitda.
However, according to a research from the house brokerage firm, these are expected to rise in FY22.

Analyses from abroad are brought back to the United States.
Airtel's India business is expected to become free cash flow positive in FY22, according to Goldman Sachs.

It has increased its FY22-24 Ebitda estimates by as much as tw percent and sees additional upside in the event of market share features from competitor Vodafone Concept Ltd.

Bharti Airtel's stock has risen 10 percent in the last month, helped by market share features from the faltering Vodafone Concept.

Meanwhile, the pandemic has taken a toll on its 4G subscriber additions, which have dropped to 5.1 million from 14 million in the previous three quarters, despite the total number of customers remaining flat due to lockdown restrictions.