Bharti Airtel Info

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bharti airtel bharti airtel limited is a leading global telecommunications company with operations in 19 countries across Asia and Africa. The company offers mobile voice & data services, fixed line, high speed broadband, IPTV, DTH, turnkey telecom solutions for enterprises and national & international long distance services to carriers. bharti airtel has been ranked among the six best performing technology companies in the world by business week. bharti airtel had 200 million customers across its operations. Highlights »  Airtel dedicates 4th A irtel Delhi Half M arathon to “Friends” » 2011 FORMULA 1 AIRTEL GRAND PRIX OF INDIA set to flag off Indias Formula 1 dreams  » Bharti Airtel announces two new CEOs for Consumer Business Group » Bharti Airtel announces its first quarter ended June 30, 2011 on August 3, 2011 » Bharti Airtel to announce its results for first quarter ended June 30, 2011 on August 03 2011 (Wednesday) our vision & promise By 2015 airtel will be the most loved brand, enriching the lives of millions. " Enriching lives means putting the customer at the heart of everything we do. We will meet their needs based on our deep understanding of their ambitions, wherever they are. By having this focus we will enrich our own lives and those of our other key stakeholders. Only then will we be thought of as exciting, innovation, on their side and a truly world class company. " 

Transcript of Bharti Airtel Info

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bharti airtel

bharti airtel limited is a leading global telecommunications company with operations in 19countries across Asia and Africa. The company offers mobile voice & data services, fixed line,

high speed broadband, IPTV, DTH, turnkey telecom solutions for enterprises and national &

international long distance services to carriers. bharti airtel has been ranked among the six bestperforming technology companies in the world by business week. bharti airtel had 200 million

customers across its operations.

Highlights»  Airtel dedicates 4th Airtel Delhi Half Marathon to “Friends” 

» 2011 FORMULA 1 AIRTEL GRAND PRIX OF INDIA set to flag off India‟s Formula 1 dreams 

» Bharti Airtel announces two new CEOs for Consumer Business Group  

» Bharti Airtel announces its first quarter ended June 30, 2011 on August 3, 2011  

» Bharti Airtel to announce its results for first quarter ended June 30, 2011 on August 03 2011 (Wednesday)  

our vision & promise

By 2015 airtel will be the most loved brand, enriching the lives of millions.

" Enriching lives means putting the customer at the heart of everything we do. We will meet

their needs based on our deep understanding of their ambitions, wherever they are. By havingthis focus we will enrich our own lives and those of our other key stakeholders. Only then will

we be thought of as exciting, innovation, on their side and a truly world class company. " 

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Name

Bharti Airtel Limited.

business description

Provides GSM mobile services in all the 22 telecom circles in India, Srilanka, Bangladesh and now in 16 countries ofAfrica.

Provides telemedia services (fixed line and broadband services through DSL) in 87 cities in India.Provides an integrated suite of Enterprise solutions, in addition to providing long distance connectivity both Nationallyand Internationally.We also offer DTH and IPTV Services

Established

July 07, 1995, as a Public Limited Company

ISIN

INE397D01024

proportionate revenue

Rs. 169,749 million (ended June 30, 2011-Audited)Rs. 122,438 million ( ended June 30, 2010-Audited)As per IFRS Accounts  

proportionate EBITDA

Rs. 57,058 million ( ended June 30, 2011 - Audited)Rs. 44,456 million ( ended June 30, 2010 - Audited)As per IFRS Accounts  

shares in issue

3,797,530,096 as at June 30, 2011

Listings

Bombay Stock Exchange Limited (BSE)National Stock Exchange of India Limited (NSE)

stock exchange symbol

NSE – BHARTIARTLBSE – 532454

customer base

India & South Asia: 174,941,000 GSM mobile, 3,322,000 Telemedia customers and 6,262,000 Digital TV Services(status as on June 30, 2011)Africa: 46,306,000 GSM mobile customers.(status as on June 30, 2011)

registered office

Bharti Airtel Limited(A Bharti Enterprise)Bharti Crescent, 1 Nelson Mandela Road,Vasant Kunj, Phase II,New Delhi - 110 070.Tel. No.: +91 11 4666 6100Fax No.: +91 11 4666 6411

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Awards and recog

airtel has won the „Most Preferred Cellular Service Provider Brand‟ award at the CNBC Awaaz Consumer 

Awards in Mumbai. This is 6th year in a row that airtel has won the award in this category. This year, the

awards were based on an exhaustive consumer survey done by The Nielsen Company. Over 3,000

consumers, spanning 19 cities and 16 states in India, rated brands across different categories to choose

brands which delivered true value for money.

bharti airtel has received the prestigious Businessworld-FICCI-SEDF Corporate Social Responsibility

Award 2009-2010. The FICCI Socio Economic Development Foundation (FICCI-SEDF) and

Businessworld CSR award was instituted in 1999 to recognize exemplary responsible business practices

by the Indian industry.

BSE: 532454 | NSE: BHARTIARTL

Market Cap  146527.7 * EPS (TTM)  19.01 * P/E  20.30 * P/C  12.84

* Book Value  115.42 * Price/Book  3.34 Div(%)  20.00% * Div Yield(%)  0.26

Market Lot  1000 Face Value  5.00 Industry P/E  20.99

BSE NSE

Open 391.55 388.80

Day High 391.55 389.80

Day Low 382.20 381.65

Previous Close 387.10 387.10

52-Week high 444.70 447.85

52-Week low 304.00 303.40

P/E 26.26 26.25

Market Cap (Rs cr) 146527.31 146508.32

Volume 185280.00 N/A

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 Bharti Airtel  Previous Years »

Mar '11 Mar '10 Mar '09 Mar '08 Mar '07

12 mths 12 mths 12 mths 12 mths 12 mths

Income

Sales Turnover 38,015.80 35,609.54 34,048.32 25,761.11 17,851.61

Excise Duty 0.00 0.00 0.00 0.00 0.00

Net Sales 38,015.80 35,609.54 34,048.32 25,761.11 17,851.61

Other Income 218.20 1,118.46 -1,261.75 104.04 105.62

Stock Adjustments 7.20 -34.91 5.29 9.05 30.07

Total Income 38,241.20 36,693.09 32,791.86 25,874.20 17,987.30

Expenditure

Raw Materials 251.30 278.72 286.94 42.90 52.16

Power & Fuel Cost 0.00 0.00 0.00 0.00 0.00

Employee Cost 1,304.50 1,401.66 1,397.54 1,297.88 1,076.95Other Manufacturing Expenses 14,204.20 11,882.41 8,627.13 7,339.01 5,017.27

Selling and Admin Expenses 8,137.70 6,856.42 9,385.68 5,892.50 4,030.48

Miscellaneous Expenses 699.60 1,482.39 1,409.89 535.46 444.28

Preoperative Exp Capitalised 0.00 -293.31 -269.25 0.00 0.00

Total Expenses 24,597.30 21,608.29 20,837.93 15,107.75 10,621.14

Mar '11 Mar '10 Mar '09 Mar '08 Mar '07

12 mths 12 mths 12 mths 12 mths 12 mths

Operating Profit 13,425.70 13,966.34 13,215.68 10,662.41 7,260.54

PBDIT 13,643.90 15,084.80 11,953.93 10,766.45 7,366.16

Interest 296.70 283.35 434.16 393.43 282.07

PBDT 13,347.20 14,801.45 11,519.77 10,373.02 7,084.09

Depreciation 4,193.70 3,890.08 3,206.28 3,166.58 2,353.30

Other Written Off 417.90 207.84 178.82 266.07 137.80

Profit Before Tax 8,735.60 10,703.53 8,134.67 6,940.37 4,592.99

Extra-ordinary items 11.80 -50.78 -46.15 -60.67 9.92

PBT (Post Extra-ord Items) 8,747.40 10,652.75 8,088.52 6,879.70 4,602.91

Tax 1,007.60 1,177.87 321.78 632.43 566.79

Reported Net Profit 7,716.90 9,426.15 7,743.84 6,244.19 4,033.23

Total Value Addition 24,346.00 21,329.56 20,551.00 15,064.84 10,568.98

Preference Dividend 0.00 0.00 0.00 0.00 0.00Equity Dividend 379.80 379.79 379.65 0.00 0.00

Corporate Dividend Tax 60.10 64.55 64.52 0.00 0.00

Per share data (annualised)

Shares in issue (lakhs) 37,975.30 37,975.30 18,982.40 18,979.07 18,959.34

Earning Per Share (Rs) 20.32 24.82 40.79 32.90 21.27

Equity Dividend (%) 20.00 20.00 20.00 0.00 0.00

Book Value (Rs) 115.42 96.24 145.01 106.34 60.19

Profit & Loss account ------------------- in Rs. Cr. -------------------

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Bharti Airtel  Previous Years »

Key Financial Ratios ------------------- in Rs. Cr. -------------------

Mar '11 Mar '10 Mar '09 Mar '08 Mar '07

Investment Valuation Ratios

Face Value 5.00 5.00 10.00 10.00 10.00

Dividend Per Share 1.00 1.00 2.00 -- --

Operating Profit Per Share (Rs) 35.29 36.65 69.50 56.16 38.28

Net Operating Profit Per Share (Rs) 100.11 93.77 179.37 135.73 94.16

Free Reserves Per Share (Rs) 103.84 84.64 121.78 83.18 49.88

Bonus in Equity Capital 82.49 82.49 82.51 82.53 82.61

Profitability Ratios

Operating Profit Margin(%) 35.25 39.08 38.74 41.37 40.65

Profit Before Interest And TaxMargin(%)

24.12 28.04 29.12 28.78 27.31

Gross Profit Margin(%) 24.22 28.15 29.33 29.08 27.47

Cash Profit Margin(%) 32.10 35.25 36.96 38.03 36.26

Adjusted Cash Margin(%) 32.10 35.25 36.96 38.03 36.26

Net Profit Margin(%) 20.21 26.36 22.58 23.99 22.46

Adjusted Net Profit Margin(%) 20.21 26.36 22.58 23.99 22.46

Return On Capital Employed(%) 15.97 23.86 28.40 27.95 29.06

Return On Net Worth(%) 17.60 25.79 28.13 30.94 35.35

Adjusted Return on Net Worth(%) 17.43 23.27 33.74 32.04 35.23

Return on Assets ExcludingRevaluations

115.42 96.24 145.01 106.34 60.17

Return on Assets Including

Revaluations115.43 96.25 145.02 106.35 60.18

Return on Long Term Funds(%) 16.89 24.36 29.01 28.52 29.83

Liquidity And Solvency Ratios

Current Ratio 0.70 0.70 0.69 0.57 0.47

Quick Ratio 0.77 0.67 0.65 0.55 0.47

Debt Equity Ratio 0.27 0.14 0.28 0.33 0.47

Long Term Debt Equity Ratio 0.21 0.12 0.26 0.30 0.43

Debt Coverage Ratios

Interest Cover 80.09 85.82 46.28 34.38 23.45

Total Debt to Owners Fund 0.27 0.14 0.28 0.33 0.47

Financial Charges Coverage Ratio 45.69 49.64 30.93 27.77 26.09

Financial Charges Coverage RatioPost Tax

42.55 48.73 26.63 25.60 24.13

Management Efficiency Ratios

Inventory Turnover Ratio 1,105.11 1,307.05 547.83 453.06 373.35

Debtors Turnover Ratio 16.97 15.30 12.78 12.28 14.31

Investments Turnover Ratio 1,105.11 1,307.05 547.83 453.06 373.35

Fixed Assets Turnover Ratio 0.82 0.88 1.00 1.03 0.75

Total Assets Turnover Ratio 0.93 0.93 1.06 1.09 1.27

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Asset Turnover Ratio 0.82 0.88 1.00 1.03 0.75

Average Raw Material Holding -- -- -- -- --

Average Finished Goods Held 0.47 0.41 0.98 1.18 1.36

Number of Days In Working Capital -28.43 -36.57 -42.30 -82.77 -113.65

Profit & Loss Account RatiosMaterial Cost Composition 0.66 0.78 0.84 0.16 0.29

Imported Composition of RawMaterials Consumed

-- -- -- -- --

Selling Distribution CostComposition

8.36 6.75 6.49 7.15 6.30

Expenses as Composition of TotalSales

4.77 5.03 5.31 6.00 8.82

Cash Flow Indicator Ratios

Dividend Payout Ratio Net Profit 5.70 4.71 5.73 -- --

Dividend Payout Ratio Cash Profit 3.56 3.28 3.99 -- --

Earning Retention Ratio 94.25 94.78 95.22 100.00 100.00

Cash Earning Retention Ratio 96.41 96.48 96.50 100.00 100.00

AdjustedCash Flow Times 0.97 0.40 0.61 0.66 0.82

Mar '11 Mar '10 Mar '09 Mar '08 Mar '07

Earnings Per Share 20.32 24.82 40.79 32.90 21.27

Book Value 115.42 96.24 145.01 106.34 60.19

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 Capital Structure (Bharti Airtel)

Period Instrument AuthorizedCapital

Issued Capital - P A I D U P -

From To(Rs. cr)  (Rs. cr) 

Shares (nos) Face Value Capital2010 2011 Equity Share 2500 1898.77 3797530096 5 1898.77

2009 2010 Equity Share 2500 1898.77 3797530096 5 1898.77

2008 2009 Equity Share 2500 1898.24 1898239796 10 1898.24

2007 2008 Equity Share 2500 1897.911897907446

10 1897.91

2006 2007 Equity Share 2500 1895.93 1895934157 10 1895.93

2005 2006 Equity Share 2500 1893.88 1893879304 10 1893.88

2004 2005 Equity Share 2500 1853.37 1853366767 10 1853.37

2003 2004 Equity Share 2500 1853.37 1853366767 10 1853.37

2002 2003 Equity Share 2500 1853.37 1853366767 10 1853.37

2001 2002 Equity Share 2500 1853.37 1853366767 10 1853.37

2000 2001 Equity Share 110 106.24 106235060 10 106.24

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Company Background - Bharti Airtel

Industry Name Telecommunications – Service

House Name Bharti Group

Collaborative Country Name N.A.

Joint Sector Name N.A.

Year Of Incorporation 1995

Year Of Commercial Production N.A.

Regd. Office

Address Bharti Cresent,, 1, Nelson Mandela Road,

District New Delhi

State Delhi

Pin Code 110070

Tel. No. 011-46666100,011-46666500

Fax No. 011-46666137,011-41666149

Email : [email protected]  Internet : http://www.airtel.com 

Auditors S R Batliboi & Associates

Company Status N.A.

Registrars

Name Karvy Computershare Private Ltd

Address Plot No.17-24, Vittalrao Nagar, Madhapur, Hyderabad - 500081, Andhra Pradesh

Tel. No. : 040-23420815, 23420816, 23420817, 23420818 Fax No. : 040-23420814

Email : [email protected]  Internet : http://www.karvy.com 

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History

Sunil Bharti Mittal founded the Bharti Group. In 1983, Sunil Mittalwas into an agreement with Germany's Siemens to manufacture the

company's push-button telephone models for the Indian market. In1986, Sunil Bharti Mittal incorporated Bharti Telecom Limited (BTL)and his company became the first in India to offer push-buttontelephones, establishing the basis of Bharti Enterprises. This first-mover advantage allowed Sunil Mittal to expand his manufacturingcapacity elsewhere in the telecommunications market. By the early1990s, Sunil Mittal had also launched the country's first faxmachines and its first cordless telephones. In 1992, Sunil Mittal wona bid to build a cellular phone network in Delhi. In 1995, Sunil Mittal

incorporated the cellular operations as Bharti Tele-Ventures andlaunched service in Delhi. In 1996, cellular service was extended toHimachal Pradesh. In 1999, Bharti Enterprises acquired control ofJT Holdings, and extended cellular operations to Karnataka andAndhra Pradesh. In 2000, Bharti acquired control of SkycellCommunications, in Chennai. In 2001, the company acquiredcontrol of Spice Cell in Calcutta. Bharti Enterprises went public in2002, and the company was listed on Bombay Stock Exchange and

National Stock Exchange of India. In 2003, the cellular phoneoperations were rebranded under the single Airtel brand. In 2004,Bharti acquired control of Hexacom and entered Rajasthan. In 2005,Bharti extended its network to Andaman and Nicobar.'2009, Airtellaunched its first international mobile network in Sri Lanka. In 2010,Airtel began operating in Bangladesh.

[citation needed ] 

Today, Airtel is the largest cellular service provider in India and fifthlargest in the world.

[citation needed ] 

[edit] 

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Key drivers’  Bharti Airtel, one of the leading emerging markets' telcos, has recently announced youth specific

pack and activities in Gujarat. The 'Youth Pack' comes loaded with Tariff & VAS benefits. From Nightcalling to FM radio to SMS & GPRS offerings, the product has everything bundled together to the

liking of today's youth.

The fully loaded youth pack has Night Calling for which an Airtel customer can call Local Airtel to

 Airtel at just ì 1 for 20 minutes, 200 SMS Free per day for 365 days, 200 MB surfing free for 7 days,

Free Voice Blog where an Airtel customer can interact with celebrities like Lara Dutta, Mirchi Mobile -

where an Airtel customer can listen to Radio Mirchi FM from any part of the country, Love Tips, 2

free action packed games, Friends Chat etc. All the services are activated within 24 Hrs. of activation

for 30 days.

CONCLUSION

The conclusion of my study is that AIRTEL¶s Advertising has a major impact its users.

People like its schemes very much .AIRTEL had created avery good image on the

mind of the new users of cellular service. AIRTELhas adopted a very good strategy by

providing a new connection with NOKIA who is market leader in mobile set, many new users

buy Nokia setsand they get a free connection of AIRTEL. AIRTEL is successful incapturing

the highest market share by adopting Celebrity EndorsementStrategy. A.R.Rehmaan¶s tune for AIRTEL worked as free advertising for AIRTEL as another

service user uses it too. Other celebrities like ShahrukhKhan (bollywood) and

Sachin Tendulkar (Cricket) has also contributed verymuch in AIRTEL

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Chairman's SpeechPrint 

Mar2009  Mar 2010 

The past one year has been a truly momentous one for your Company. Not only have we excelled in reiterating

our leadership in the domestic market but also embarked upon an exciting journey into the global telecom

space. After fifteen years of successful operation and an impressive presence across the South Asian region,Bharti Airtel is truly on the cusp of a huge transformation, and ready to move to the next level.

As a conscious strategy, we have decided to focus on the emerging markets of Asia and Africa. We believethese markets will continue to be the growth engines of the telecom world.

With its billion plus population, vast natural resources and a tele-density of less than 30%, I firmly believe,Africa is going to be a market for the future and the next growth engine of the global economy. As a first step,we have successfully completed the acquisition of Zain Africa BVs operations in 15 countries having 42 mncustomers for an enterprise value of USD 10.7 bn. In view of the tremendous future potential of these markets

and Zains leadership position therein, we consider this a game changing acquisition. This has catapulted us tothe league of leading mobile operators in the world. With a total customer base of more than 185 mn, we arewithin striking distance to be among the top three operators in the world by 2015.

Closer home, we have further strengthened our presence in the South Asian region. After our successful forayinto Sri Lanka last year, we entered the Bangladesh market during the year by acquiring a majority stake inWarid Telecom. Brand Airtel has been well received in Sri Lanka, where the Company became the fastestgrowing telecom operator to cross one million customer mark within the first six months of operation. We willsoon be launching the Airtel brand in Bangladesh and Africa

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Bharti Airtel  Previous Years »

Balance Sheet ------------------- in Rs. Cr. -------------------

Mar '11 Mar '10 Mar '09 Mar '08 Mar '07

12 mths 12 mths 12 mths 12 mths 12 mths

Sources Of Funds

Total Share Capital 1,898.80 1,898.77 1,898.24 1,897.91 1,895.93

Equity Share Capital 1,898.80 1,898.77 1,898.24 1,897.91 1,895.93

Share Application Money 278.60 186.09 116.22 57.63 30.00

Preference Share Capital 0.00 0.00 0.00 0.00 0.00

Reserves 41,932.10 34,650.19 25,627.38 18,283.82 9,515.21

Revaluation Reserves 2.10 2.13 2.13 2.13 2.13

Networth 44,111.60 36,737.18 27,643.97 20,241.49 11,443.27

Secured Loans 17.10 39.43 51.73 52.42 266.45

Unsecured Loans 11,880.40 4,999.49 7,661.92 6,517.92 5,044.36

Total Debt 11,897.50 5,038.92 7,713.65 6,570.34 5,310.81

Total Liabilities 56,009.10 41,776.10 35,357.62 26,811.83 16,754.08

Mar '11 Mar '10 Mar '09 Mar '08 Mar '07

12 mths 12 mths 12 mths 12 mths 12 mths

Application Of Funds

Gross Block 61,437.50 44,212.53 37,266.70 28,115.65 26,509.93

Less: Accum. Depreciation 20,736.70 16,187.56 12,253.34 9,085.00 7,204.30

Net Block 40,700.80 28,024.97 25,013.36 19,030.65 19,305.63

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Capital Work in Progress 6,497.60 1,594.74 2,566.67 2,751.08 2,375.82

Investments 11,813.00 15,773.32 11,777.76 10,952.85 705.82

Inventories 34.40 27.24 62.15 56.86 47.81

Sundry Debtors 2,375.80 2,104.98 2,550.05 2,776.46 1,418.52

Cash and Bank Balance 126.60 54.89 153.44 200.86 239.11

Total Current Assets 2,536.80 2,187.11 2,765.64 3,034.18 1,705.44

Loans and Advances 11,186.10 7,072.42 5,602.83 5,103.13 3,160.02

Fixed Deposits 7.20 761.86 2,098.16 302.08 541.35

Total CA, Loans & Advances 13,730.10 10,021.39 10,466.63 8,439.39 5,406.81

Deffered Credit 0.00 0.00 0.00 0.00 0.00

Current Liabilities 16,104.80 12,979.55 13,832.49 12,400.38 9,809.83

Provisions 627.60 658.75 634.40 1,961.95 1,232.84

Total CL & Provisions 16,732.40 13,638.30 14,466.89 14,362.33 11,042.67

Net Current Assets -3,002.30 -3,616.91 -4,000.26 -5,922.94 -5,635.86

Miscellaneous Expenses 0.00 0.00 0.09 0.20 2.66

Total Assets 56,009.10 41,776.12 35,357.62 26,811.84 16,754.07

Contingent Liabilities 49,771.40 3,921.50 4,104.25 7,140.59 7,615.04

Book Value (Rs) 115.42 96.24 145.01 106.34 60.19