Bharti Infratel Q4 net profit rises 7%

Shares of Bharti Infratel declined over half a per cent in Friday’s early trade despite the company on Thursday reported a 7% growth in consolidated net profit for the March quarter at Rs 650 crore as against Rs 608 crore in the corresponding quarter last year.

The telecom tower infrastructures provider continued to report muted operating performance with negligible tenancy addition coupled with higher other expenses which led to lower than expected net profit.
It also extended the deadline for merger with Indus Towers by two more months to June 24.
Consolidated top line for Q4 FY20 came in marginally higher at Rs 3,624 crore.
Consolidated EBITDA came at Rs 1,721 crore, up 12% on year, and representing an operating margin of 47.5%.
The operating free cash flow was at Rs 847 crore during the said quarter, down by 27% on year.
The return on equity (RoE) pre-tax and post-tax increased to 30.1% and 24.3 percent as against 26.1% and 15.8%, respectively on a year basis.

The return on capital employed (RoCE) pre-tax was 24.3% against 31.8% on a year basis.
Bharti Infratel believes that thus far, there is no significant impact of Covid-19 pandemic on the financial position and performance of the company.
Bharti Infratel declared a third interim dividend of Rs 4.10 per equity share of Rs 10 each for 2019-20. This along with the two interim dividends of Rs 3.65 and Rs 2.75, would result in total dividend of Rs 10.5 per equity share of Rs 10 each for financial year 2019-20.

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