Smartphone users alert! Your mobile bill could increase in 2022, here's why

Telecom companies could increase mobile tariffs in the coming months.

New Delhi: In what could be a setback for smartphone users, telecom companies could increase the mobile tariffs in the coming months. Notably, telecom companies such as Bharti Airtel, Reliance Jio and Vodafone Idea had increased the tariffs on prepaid plans by around 20 per cent in late-November 2021. 

Airtel, which recently reported its quarterly earnings for Q3FY22, has pointed towards another tariff hike in the ongoing calendar year. In the post-earnings call, the company’s top management noted that there could be another tariff hike. 

The management also noted that the hike could come in the current calendar year, even if it doesn’t happen in the coming three to four months. They also added that Airtel won’t shy from taking a lead in tariff hikes this time. 

The company is also hoping to increase the average revenue per user (ARPU) to Rs 200 per month. For the third quarter of the ongoing financial year, the ARPU of the company stood at Rs 163. 

"We did see significant SIM consolidation during the quarter that we have been through. But remember the level of consolidation that we saw was much lower than that we saw in the first round of tariff raise that happened back in 2019," said Gopal Vittal, MD and CEO, India and South Asia during a virtual interaction with investors.

Bharti Airtel`s consolidated net profit fell 2.8% during the third quarter of the ongoing financial year to Rs 830 crore on a year-on-year basis. In Q3 FY21, the consolidated net profit of the telecom firm stood at Rs 854 crore. Also Read: Redmi Note 11, Redmi Note 11S launched in India: Price, specs, features

Meanwhile, Airtel’s total revenues grew 12.6 per cent to Rs 29,867 crore in Q3FY22, as against Rs 26,518 crore in Q3FY21. Also, the company’s EBITDA grew 22.4 per cent to Rs 14,905 crore, against Rs 12,178 crore reported in Q3FY21. Also Read: Paytm cashback offer: Get up to Rs 100 back on 4 UPI transactions, check how