New Delhi: Reliance Communications expects the full revenue impact of its recent tariff hike to reflect by the next financial year. (Agencies)
"During the quarter, RCom raised pre-paid tariffs by 25 percent across GSM and CDMA platforms. This decision is in line with our aim of maintaining a healthy RPM (revenue per minute) and improving average margin per user," RCom said during its earning call.
"We expect the full revenue impact of the tariff hike to reflect by the next financial year," it added. The company said it is looking to be aggressive in the post-paid segment.
"These are high-end users including corporate customers and like any other large customers are also keen for a great 'value for money' proposition," RCom said. During the July-September quarter, the company has reduced post-paid tariffs by 40 percent than those offered by other GSM operators.
The company said it has signed contracts of over Rs 360 crore under its enterprise business in the reported quarter. RCom said that is seeing positive development in the eco-system of 3G services like price of devices coming down. "This positive change in the eco-system is creating huge opportunity in data and wireless broadband services. In addition to focus on voice, we are continuing with our data led strategy for future revenue growth," the statement said.
RCom posted 59.5 percent drop in consolidated net profit at Rs 102 crore for the second quarter ended September 30. The company had posted a net profit of Rs 252 crore in the corresponding period last fiscal.
RCom President and Chief Executive Officer for Wireless Business Gurdeep Singh said that profit after tax of the company is mainly down due to interest outgo on money the firm had borrowed to buy 3G spectrum two years ago.
RCom provides wireless broadband services in over 1,300 top towns across the country as of September 30, 2012, including key metros, it added.
New Delhi: Reliance Communications expects the full revenue impact of its recent tariff hike to reflect by the next financial year.