Jefferies reports that aggregate telecom sector revenue growth accelerated to 16% YoY in Q3, driven by tariff hikes and continued market share gains for Bharti Airtel. The sharp rebound in net subscriber additions suggests that the market has absorbed the recent tariff hikes.
While tariff increases have benefited all telecom players, Bharti Airtel has emerged as the biggest gainer, recording a 17% revenue increase since Q1, compared to 6-11% growth for Vodafone Idea (VIL) and Reliance Jio.
Jefferies maintains that Bharti Airtel and Bharti Hexacom remain its preferred picks to benefit from the ongoing tariff improvement in India’s telecom sector.
Disclaimer: The above stock update is based on brokerage reports and company announcements. Investors are advised to conduct their own research and consult with a financial advisor before making any investment decisions.
