Reliance Jio Reports Substantial Profit Growth in Q3, Boosted by Subscriber Additions

Before Market Opens
21 January, 2024

Reliance Jio, a unit of the conglomerate Reliance Industries, demonstrated a noteworthy recovery in its profit growth for the third quarter ending December 31, 2023. The net profit ascended by 12.3% to reach ₹5,208 crore (about $627 million), ending a previous trend of slowing profit growth over four quarters​​​​.

The company’s revenue from operations similarly exhibited a 10.3% increase compared to the previous year, totaling ₹25,368 crore. This improvement marks a break from five consecutive quarters of slowing growth. Despite this, the operating margin in Q3 slightly contracted to 26.3% from 26.6% a year ago​​.

A significant factor in this performance was the increase in ARPU, which rose by about 2% year-on-year to ₹181.7. This increase was led by a better subscriber mix, although it was partially offset by the unlimited data allowance on the 5G network. Notably, about 90 million subscribers migrated to Jio’s 5G network during this period​​.

Total expenses for the quarter also rose, reflecting increased network operating expenses and license fees. For the first nine months of the financial year 2023-24, Reliance Jio’s profit rose by 12% year-on-year to ₹15,129 crore. The company’s focus on expanding its subscriber base through products like the JioBharat phone and JioAirFiber services contributed significantly to these growth numbers​​.

Investments in Jio’s 5G network are noteworthy, with an estimated investment of $13-14 billion planned for the rollout of its 5G standalone network. The company’s future strategies, including tariff structure adjustments and cost recovery plans, are anticipated to come into focus post-2024​

24 February, 2024

Byju’s, once heralded as a flagship in India’s edtech sector, is grappling with severe financial and operational challenges, marked by a dramatic valuation drop. The company, which sought to stabilize its operations and finances, is now raising funds at a valuation significantly lower than its peak. This development comes amid efforts to address a substantial debt burden, with Byju’s proposing a repayment plan for its $1.2 billion loan. Investor confidence appears shaken, with some stakeholders pushing for drastic changes in leadership to navigate the crisis effectively. The turmoil reflects broader sectoral pressures and raises questions about the sustainability of high-growth trajectories in the edtech industry

10 February, 2024

Australia’s energy market is witnessing significant transitions and investments aimed at bolstering renewable energy infrastructure and securing gas supplies. Key developments include a $179 million investment by the Queensland Government for community battery projects, Santos’ $5.7 billion gas pipeline project following a legal battle win, and a $206 million energy savings package for NSW households. Additionally, the Australian government has secured new gas supply deals to support the east coast market, emphasizing the role of gas in transitioning to a renewable grid.

India 2024
9 February, 2024

The latest opinion polls, including the Mood of the Nation survey by India Today, predict a comfortable victory for Prime Minister Narendra Modi’s BJP and its allies in the National Democratic Alliance (NDA), with a projected win of 335 Lok Sabha seats in the 2024 general elections. This forecast suggests a slight decrease from the 2019 elections but still ensures a majority. The survey, involving interviews with over 149,000 respondents, reflects Modi’s enduring popularity based on his nationalist policies and economic reforms. Other polls echo these findings, although seat projections vary slightly. The opposition INDIA alliance is expected to secure a significant number of seats, yet not enough to challenge the NDA’s majority. These predictions highlight a political landscape that remains largely favorable to Modi and the BJP as the election approaches