Shares of Bharti Airtel rose 2.12% to ₹1,859.20 on Tuesday morning, reversing a four-session losing streak, after the company posted its Q4FY25 results. The telecom major reported a consolidated net profit of ₹11,022 crore for the March quarter, significantly higher than previous quarters. However, this figure included a one-time deferred tax gain of ₹4,233 crore.
Despite the mixed reaction to some of the underlying metrics, Bharti Airtel remains a favourite among analysts. Of the 34 brokerages tracking the stock, 29 maintain a ‘Buy’ rating, three recommend ‘Hold’ and only two advise ‘Sell’. Price targets range from Emkay’s ₹1,400 to Ais Capital’s bullish projection of ₹2,232 per share.
Key Q4 Takeaways:
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India business EBITDA (excluding Indus Towers) exceeded expectations due to stronger Airtel segment performance.
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India mobile revenue grew 1.3% QoQ and 21% YoY.
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Capex in India surged QoQ, contributing to a 4% rise in consolidated net debt, also impacted by Airtel Africa stake acquisition.
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Africa operations delivered a notable surprise in both revenue and profitability.
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Final dividend declared at ₹16 per share, marking a 100% YoY jump and beating estimates.
Analyst commentary:
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Morgan Stanley: Maintains ‘Equal-Weight’ rating with a target of ₹1,870, citing inline FY25 guidance (9% YoY decline).
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CLSA: ‘Outperform’ rating, price target ₹2,030.
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Citi: ‘Buy’ rating, price target ₹1,980.
While India’s mobile revenue performance was modest due to seasonal softness, analysts remain optimistic due to improving fundamentals and growth in digital and enterprise services. The dividend hike has also helped boost investor sentiment.
