TRAI: Telecom Service Providers Gross Revenue Increases 5.88% YoY to Rs 80,899 Crore in Q1 FY24

New Delhi: According to the Telecom Regulatory Authority of India's (Trai) Performance Indicator Report, the gross revenue of telecom service providers in India increased by 5.88% year-on-year to Rs 80,899 crore in the quarter ended June 2023. However, on a quarterly basis, the gross revenue declined by 5.22% from Rs 85,356 crore in March 2023.

Growth in AGR and ApGR

The applicable gross revenue (ApGR) and adjusted gross revenue (AGR), which are used to calculate the government's share of revenue, increased by 6.17% and 8.42% to Rs 78,349 crore and Rs 65,354 crore, respectively. On a year-on-year basis, AGR increased by an impressive 8.42% in the quarter ended June 2023.

Quarterly Changes

During the quarter ended June 2023, gross revenue decreased by 5.22%, ApGR fell by 0.36%, and AGR increased by 1.75%. On a year-on-year basis, GR increased by 5.88%, ApGR rose by 6.17%, and AGR increased by 8.42% in the quarter ended June 2023.

Government Revenue

The government's licence fee collection increased by 8.3% to Rs 5,246 crore, while spectrum usage charge (SUC) declined by over 59% to Rs 818 crore during the reported quarter. This decline in SUC is due to the government's decision to not charge SUC on spectrum that will be auctioned in the future.

AGR Contribution by Access Services Providers

Access services providers such as Jio, Airtel, Vodafone Idea (VIL), and others contributed 80.52% of the total AGR of telecom services. Among these providers, Reliance Jio's AGR increased by 9.02% to Rs 23,457.11 crore, Bharti Airtel's AGR rose by 12.34% to Rs 19,256 crore, VIL's AGR declined by 1.21% to Rs 7,267.76 crore, BSNL's AGR fell by 5.88% to Rs 2,049.95 crore, MTNL's AGR decreased by 33.17% to Rs 142.79 crore, and Tata's AGR rose by 12.36% to Rs 598.91 crore.

The telecom industry in India continues to show steady growth, with increasing revenue and AGR. The government's decision to not charge SUC on future spectrum auctions is expected to further boost the industry's growth. The performance of access services providers like Jio, Airtel, and VIL will play a crucial role in shaping the future of the telecom sector in India.