Among other leading companies, HDFC Bank ranked fourth with a market capitalisation of ₹12.16 lakh crore, followed by ICICI Bank at ₹11.28 lakh crore.
Strong Q2 earnings lift Airtel shares
Airtel’s rise in the market capitalisation rankings came a day after the telecom major reported strong financial results for the September quarter of FY27.
The company’s consolidated net profit increased 31% year-on-year to ₹8,887.5 crore, compared with ₹6,791.6 crore in the corresponding period last year.
India mobile revenue grew 10.1% year-on-year, supported by improved customer realisations. Average revenue per user (ARPU), a key profitability indicator for telecom operators, increased to ₹271 from ₹256 a year earlier.
Operational performance also strengthened, with consolidated earnings before interest, taxes, depreciation and amortisation (EBITDA) rising 17.8% to ₹35,240 crore from ₹29,919 crore in the year-ago quarter.
On Friday, Airtel shares rose 1.66 per cent close at Rs 2,096.25.
Bharti Airtel vs Jio Platforms
A comparison of the two telecom giants shows that Airtel leads in revenue, profit and average revenue per user (ARPU), while Jio maintains a larger customer base and stronger net profit margins.
Airtel reported revenue of ₹60,878 crore, up 16.7% year-on-year, compared with Jio Platforms’ ₹40,475 crore, which grew 11.4%.
Airtel’s net profit stood at ₹8,888 crore against Jio’s ₹8,389 crore. However, Jio recorded a higher PAT margin of 20.7%, compared with Airtel’s 14.8%.
On operating profitability, Airtel reported EBITDA of ₹35,240 crore and a margin of 57.9%, compared with Jio’s EBITDA of ₹21,879 crore and a margin of 54.1%.
Airtel also maintained a significant lead in monthly ARPU at ₹271, compared with Jio’s ₹218.8.
However, Jio led in subscriber numbers, with 54.2 crore customers against Airtel’s 49.8 crore. Jio also had 3 crore fixed broadband customers, nearly double Airtel’s 1.53 crore.
Airtel’s net debt stood at ₹1.67 lakh crore, substantially higher than Jio’s ₹8,822 crore.
ALSO READ: Bharti Airtel Q2 net profit rises 31% to Rs 8,888 crore; ARPU climbs to Rs 271
What Citi Research says
In its November 5 report, Citi Research maintained a Buy rating on Bharti Airtel with a target price of ₹2,230, citing strong operational performance and improving customer monetisation.
The brokerage noted that Airtel’s India mobile revenue and EBITDA grew 3.4% and 3.8%, respectively, quarter-on-quarter, exceeding its estimates.
However, subscriber additions slowed as customer churn increased following the withdrawal of Airtel’s ₹299 entry-level prepaid smartphone plan.
Citi expects tariff increases, greater 4G and 5G adoption, and a shift towards postpaid connections to support future ARPU growth. It flagged competition, delayed tariff hikes and higher capital expenditure as potential risks.
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