11.1 million Jio subscribers added during Q2, JIO Platforms’ Q2 revenue up 10.6% at Rs315.37 Bn
FinTech BizNews Service
Mumbai, 28 October, 2023: JIO Platforms’ Q2 net profit increased 12% y/y to Rs 5,297 cr against Rs 5,098 cr in the Q1 of the current FY and Rs4,729 cr a year ago.
Quarterly Performance (2Q FY24 vs 2Q FY23)
• Operating revenue (net of GST) growth was driven by industry leading subscriber growth across mobility and homes and scale-up of digital platforms.
• Steady 12.6% Y-o-Y growth in EBITDA led by revenue increase and 80 bps Y-o-Y increase in margins.
• Depreciation increased due to higher network utilization and incremental addition to gross block.
Operational Update
• Net subscriber addition continued to accelerate with Jio adding an industry leading 11.1 million subscribers during the quarter. Monthly churn was 1.7% in 2Q FY24.
• ARPU increased 2.5% Y-o-Y to Rs 181.7 driven by better subscriber mix across mobility and wireline partially offset by start of 5G services.
• Engagement on Jio network remained strong with an addition of over 3 Exabytes of data traffic for the second successive quarter in 2Q FY24. Total data and voice traffic increased 28.5% and 8.3% Y-o-Y, respectively.
• Strong subscriber growth across mobility and wireline services and scale up of digital services platform drove JPL consolidated revenue and EBITDA growth.
Strategic Progress
•Jio has deployed over 1 million 5G cells pan-India with coverage across 8,000 cities/ towns. Third-party research companies have underlined Jio’s superiority in network performance and availability. Jio has contributed to 85% of the overall 5G capacity in the country till date. This has been powered by a 100% in-house 5G stack, designed, developed and manufactured entirely by Indian talent.
9 awards for Mobile Networks
• Jio has emerged as the #1 Network in India, winning all nine awards for Mobile Networks in the market, including all awards for 5G networks in Ookla’s Speedtest Awards for 1Q–2Q 2023. This is a first for any service provider anywhere in the world. Jio won awards for Best Mobile Network, Fastest Mobile Network, Best Mobile Coverage, Top Rated Mobile Network, Best Mobile Video Experience, Best Mobile Gaming Experience, Fastest 5G Mobile Network, Best 5G Mobile Video Experience, and Best 5G Mobile Gaming Experience.
Substantial share in non-smartphone market
• JioBharat phone has gained substantial market share in the non-smartphone segment within the first few months of its launch. The platform is now getting extended to multiple SKUs to widen the reach and address demand across various price points. The JioBharat platform continues to allow OEMs and application developers to join the vision of 2G-mukt Bharat.
World class experience at affordable prices
• JioAirFiber was launched in 8 cities (Ahmedabad, Bengaluru, Chennai, Delhi, Hyderabad, Kolkata, Mumbai and Pune) on the auspicious occasion of Ganesh Chaturthi in September 2023, with pan-India coverage expected in coming months. JioAirFiber will overcome the challenges of last mile connectivity and provide an opportunity to TV and broadband users to upgrade to a world class entertainment, broadband and digital experience at much more affordable prices. Tariff has been designed keeping in mind the unique digital and connectivity needs of various customer segments with monthly plans ranging from Rs 599 to Rs 3,999. JioAirFiber is expected to accelerate Jio’s home penetration from 10 million homes currently to over 100 million homes.
FR2 SA mmWave rollout
• During the quarter, Jio completed the first-ever FR2 SA mmWave rollout globally at a commercial scale. This indigenously developed technology extends benefits of low latency and high throughput to the mmWave band through 5G standalone core. This is being deployed across banks, education hubs, hospitals and government establishments with speeds of up to 2 Gbps being clocked.
Customer engagement & access
• Jio Platforms, in collaboration with NVIDIA, will build state-of-the-art cloud-based Artificial Intelligence (AI) infrastructure in India. This infrastructure will enable accelerated computing and high-speed secure cloud networking to run workloads safely and with extreme energy efficiency. NVIDIA will provide CPU, GPU, networking, and AI operating systems for building the most advanced AI models, while Jio will manage and maintain the AI cloud infrastructure and oversee customer engagement and access.
Strategic Investment
• JPL completed its strategic investment in Accops Systems through acquisition of a majority stake. Accops is a leading ‘Make in India’ software product company and has established itself as a prominent player in the cybersecurity industry, building innovative products in the secure remote access and digital workspace domain. Accops serves over 800 enterprises and SMEs across verticals, like BFSI, healthcare, pharmaceuticals, government, IT/ITes, education and defense.
Leadership Quote
Akash M. Ambani, Chairman of Reliance Jio Infocomm, said “Jio True5G will soon be available pan-India to usher in a new digital era for Indians. JioAirFiber has seen very strong customer interest and is set to transform broadband infrastructure in the country by offering fiber like digital experience to homes and small enterprises. Ubiquitous 5G, JioBharat and JioAirFiber are three big growth engines for Jio which would accelerate market share gains and profitability.”
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