Jio Q4 results: Net profit up 26% to ₹7,022 crore; Arpu at ₹206.2 | Company Business News

Reliance Jio, the telecom arm of Mukesh Ambani’s Reliance Industries Ltd, surpassed analyst expectations on net profit, revenue, and average revenue per user (Arpu) in the March quarter, driven by the residual benefit of the July 2024 tariff hike, subscriber additions, and growth in data consumption.

The company’s parent, Jio Platforms reported a 2.3% quarter-on-quarter (q-o-q) growth in its consolidated net profit to ₹7,022 crore for the fourth quarter of 2024-25. Consolidated revenue from operations rose 2.8% sequentially to ₹33,986 crore.

In year-on-year (y-o-y) terms, the company clocked 17.7% revenue growth and 25.7% increase in net profit for the quarter, beating market estimates.

earnings before interest, taxes, depreciation, and amortisation (Ebitda) too surpassed analysts’ estimates and rose 18.5% on-year and 2.6% on-quarter to ₹17,016 crore in the quarter, owing to the impact of last tariff hikes. Analysts had expected Jio’s Ebitda at ₹15,800 crore.

Ebitda margin was flat sequentially at 50.1%. On a y-o-y basis, margin expanded 40 basis points from 49.7%

“Steady increase in subscriber base, with an improving mix and increasing user engagement metrics boosted earnings. Strong adoption of our 5G services and our home broadband offerings continues with accelerated addition in subscribers and in the number of home-connects,” said Mukesh D. Ambani, chairman and managing director of Reliance Industries Ltd.

Owing to the impact of tariff hikes in July 2024 and user additions, the company’s Arpu per month rose 13.5% on-year and 1.4% on-quarter to ₹ ₹206.2.

The company said the Arpu growth was partly impacted by the lower number of days in the quarter.

Reliance Jio added 6.1 million subscribers during the quarter, taking its base to 488.2 million.  

“New additions were driven by the rebound of mobility additions post-tariff hike and the steady ramp-up of connected home,” the company said in the earnings release.

During the quarter, Jio saw monthly subscriber churn at 1.8%, the lowest in the industry.