Bharti Airtel , one of India's leading telecom operators, has reported robust financial results for the second quarter of fiscal year 2026, demonstrating strong growth across key metrics. The company has also received a significant ratings upgrade from Moody's Ratings.

Financial Performance

Revenue

• Consolidated revenues: Rs 52,145.00 crore, up 25.7% year-on-year (YoY)
• India revenues: Rs 38,690.00 crore, up 22.6% YoY
• Mobile services in India: 13.2% YoY revenue increase

Profitability

• Consolidated EBITDA: Rs 29,919.00 crore, up 35.9% YoY
• EBITDA margin: Expanded to 57.4%
• India business EBITDA margin: 60.0%
• Net income (before exceptional items): Rs 6,792.00 crore, more than doubled from Rs 3,911.00 crore in Q2 FY25

Operational Highlights

• Overall customer base: Grew 10.7% YoY to approximately 624 million across 17 countries
• Mobile data traffic: Increased 27.7% YoY to 25,207 petabytes
• Average Revenue Per User (ARPU) in India: Rs 256, up from Rs 233 in Q2 FY25
• Postpaid net additions: 0.95 million during the quarter
• Homes business: 951,000 net customer additions

Segment Performance

Mobile Services India

• Revenue: Up 13.2% YoY
• EBITDA margin: 60.3%
• 4G/5G data customers: Increased by 22.2 million YoY

Homes Services

• Revenue growth: 30.2% YoY
• Customer base: Expanded by 39.5% YoY to 11.9 million

Airtel Business

• Revenue growth: 4.3% sequentially

Africa Operations

• Revenue (in constant currency): Up 24.2% YoY
• EBITDA margin: Improved to 48.8%

Financial Position

• Consolidated net debt to EBITDA ratio (annualized): Improved to 1.63 times from 2.50 times as of September 30, 2024
• Net debt (excluding lease obligations) to EBITDAaL ratio: 1.19 times
• The company's leverage is expected to improve to 1.8x by FY2025-26 and 1.5x by FY2026-27, aided by earnings growth and debt reduction
• Bharti prepaid Rs 260 billion in deferred spectrum liabilities during FY2024-25
• Excellent liquidity with Rs 134 billion in cash and short-term investments as of September 30

Moody's Ratings Upgrade

Moody's Ratings has upgraded Bharti Airtel's issuer rating to Baa2 from Baa3 and changed the outlook to stable from positive. This upgrade reflects:

• Significant improvement in the company's financial profile
• Increasing market share
• Structural changes in India's mobile sector
• Moderating competition

Bharti Airtel now ranks among the world's top three telecom service providers with 624 million users across 17 countries.

Management Commentary

Gopal Vittal, Vice-Chairman and MD of Bharti Airtel, commented on the results: "We delivered another quarter of solid performance, achieving a consolidated revenue of Rs 52,145 crore growing 5.4% sequentially and underscoring the strength of our portfolio. Our India revenue, including Passive Infrastructure Services, increased by 2.9%. Africa delivered another quarter of standout performance with constant currency revenue growth of 7.1%."

He further added, "Our solid balance sheet is a reflection of disciplined capital allocation, continued deleveraging and sustained operational excellence."

Conclusion

Bharti Airtel's Q2 FY26 results demonstrate the company's ability to drive growth across its diverse portfolio. The strong performance in both India and Africa, coupled with improvements in key financial metrics and the Moody's ratings upgrade, positions the company well for continued success in the telecom sector.

The robust revenue growth, expanding margins, and strengthening balance sheet highlight the company's positive trajectory. Bharti Airtel's focus on customer acquisition, particularly in high-value segments like postpaid and homes services, appears to be yielding results.

The Moody's ratings upgrade further validates the company's financial strength and market position, reflecting the structural improvements in India's mobile sector and Bharti Airtel's competitive advantage.

Bharti Airtel , one of India's leading telecommunications service providers, has announced its financial results for the second quarter of fiscal year 2026, ending September 30, 2025. The company reported robust growth across key metrics, demonstrating strong performance in both its India and Africa operations.

Financial Highlights

• EBITDA margin improved to 57.4%.

Operational Performance

• Overall customer base expanded to approximately 624 million across 15 countries.
• In India:
  • Customer base stood at 450 million.
  • Domestic revenue rose by 22.6% to Rs 38,690.00 crore.
  • EBITDA grew 34.2% to Rs 23,204.00 crore with a 60% margin.

Capital Expenditure

• Capital expenditure for the quarter was Rs 9,643.00 crore.

Management Commentary

Gopal Vittal, Vice-Chairman and MD of Bharti Airtel, commented on the results: "We delivered another quarter of solid performance, achieving a consolidated revenue of ₹52,145 crore growing 5.4% sequentially and underscoring the strength of our portfolio. Our India revenue, including Passive Infrastructure Services, increased by 2.9%. Africa delivered another quarter of standout performance with constant currency revenue growth of 7.1%."

The company's focus on quality customers, network expansion, and digital services appears to be yielding positive results, as reflected in the strong financial performance across segments. With ongoing investments and strategic initiatives, Bharti Airtel seems well-positioned to capitalize on the growing demand for digital connectivity and services in its key markets.