Bharti Airtel share falls ahead of Q4 earnings, here's what to expect
Bharti Airtel stock touched an intraday low of Rs 548.65 , falling 2.12% on BSE
- May 17, 2021,
- Updated May 17, 2021 1:12 PM IST
Share of Bharti Airtel slipped over 2% ahead of the telco's Q4 earnings set to be announced today. Bharti Airtel stock touched an intraday low of Rs 548.65 , falling 2.12% on BSE.
Airtel stock has lost 3.51% in the last 4 days. However, the large cap stock trades higher than 20 day, 50 day, 100 day and 200 day moving averages but lower than 5 day moving averages.
The large cap share has lost 0.35% in one year and risen 8.41% since the beginning of this year.
Market cap of the firm fell to Rs 3.03 lakh crore on BSE.
Total 3.40 lakh shares changed hands amounting to turnover of Rs 18.81 lakh crore.
Bharti Airtel share hit 52-week high of Rs 623 on February 4 , 2021 and fell to 52 week low of Rs 394.05 on October 19, 2020.
Axis Securities expects Airtel to report a profit of Rs 1,453 crore in Q4. Sale is expected to rise 0.6 per cent sequentially to Rs 26,681 crore or an increase of 12.5 per cent YoY from Rs 23,723 crore.
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"We see positive net DTH additions and higher commission cost and S&M cost which will lead to lower margin expansion of 661 basis points (bps) at 49 per cent. Ebitda is seen at Rs 13,195 crore, up 29.8 per cent YoY," the brokerage said.
Emkay expects net sales to remain flat sequentially, but rise 11.7 per cent YoY, at Rs 26,498.8 crore. Strong data subscriber additions should aid in limiting the ARPU decline to 7 per cent QoQ at Rs 155, Emkay said.
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"Data volumes and minutes on the network are likely to rise 9 per cent and 5 per cent QoQ, respectively. Supported by a low base, revenue for the home broadband business should see a 4 per cent QoQ rise, while the enterprise segment should see a moderation. The home broadband segment should witness a moderation in ARPU due to the residual impact of lower-priced plans," the brokerage said.
"Consolidated Ebitda is projected to rise 2.1 per cent QoQ to Rs 12,302.2 crore, aided by sustained operating leverage in the India wireless business via continued subscriber mix improvement. Ebitda margin is seen growing 97 bps QoQ to 46.4 per cent," it said.
ICICI Securities sees continued traction in subscriber addition for Airtel at around 90 lakh for the quarter. Impact of IUC is seen going to zero, impacting both topline and costs in Q4
"The reported ARPU is likely to see around 6.5 percent QoQ decline (around 9 percent decline owing to IUC impact offset by around 2.5 percent like to like growth) at Rs 155," it said.
Share of Bharti Airtel slipped over 2% ahead of the telco's Q4 earnings set to be announced today. Bharti Airtel stock touched an intraday low of Rs 548.65 , falling 2.12% on BSE.
Airtel stock has lost 3.51% in the last 4 days. However, the large cap stock trades higher than 20 day, 50 day, 100 day and 200 day moving averages but lower than 5 day moving averages.
The large cap share has lost 0.35% in one year and risen 8.41% since the beginning of this year.
Market cap of the firm fell to Rs 3.03 lakh crore on BSE.
Total 3.40 lakh shares changed hands amounting to turnover of Rs 18.81 lakh crore.
Bharti Airtel share hit 52-week high of Rs 623 on February 4 , 2021 and fell to 52 week low of Rs 394.05 on October 19, 2020.
Axis Securities expects Airtel to report a profit of Rs 1,453 crore in Q4. Sale is expected to rise 0.6 per cent sequentially to Rs 26,681 crore or an increase of 12.5 per cent YoY from Rs 23,723 crore.
Stocks in news: Bharti Airtel, Mphasis, Cipla, Hero MotoCorp and more
"We see positive net DTH additions and higher commission cost and S&M cost which will lead to lower margin expansion of 661 basis points (bps) at 49 per cent. Ebitda is seen at Rs 13,195 crore, up 29.8 per cent YoY," the brokerage said.
Emkay expects net sales to remain flat sequentially, but rise 11.7 per cent YoY, at Rs 26,498.8 crore. Strong data subscriber additions should aid in limiting the ARPU decline to 7 per cent QoQ at Rs 155, Emkay said.
Reliance Jio pips Bharti Airtel in Feb; Vi in the black after 15 months: TRAI
"Data volumes and minutes on the network are likely to rise 9 per cent and 5 per cent QoQ, respectively. Supported by a low base, revenue for the home broadband business should see a 4 per cent QoQ rise, while the enterprise segment should see a moderation. The home broadband segment should witness a moderation in ARPU due to the residual impact of lower-priced plans," the brokerage said.
"Consolidated Ebitda is projected to rise 2.1 per cent QoQ to Rs 12,302.2 crore, aided by sustained operating leverage in the India wireless business via continued subscriber mix improvement. Ebitda margin is seen growing 97 bps QoQ to 46.4 per cent," it said.
ICICI Securities sees continued traction in subscriber addition for Airtel at around 90 lakh for the quarter. Impact of IUC is seen going to zero, impacting both topline and costs in Q4
"The reported ARPU is likely to see around 6.5 percent QoQ decline (around 9 percent decline owing to IUC impact offset by around 2.5 percent like to like growth) at Rs 155," it said.