Bharti Airtel stated that CRISIL Ratings had upgraded its long-term rating on the company’s bank facilities and debt program to “AA + / Stable” from “AA / Stable” and reaffirmed the rating of “A1 +” on the corporate debt program. commercial paper.
CRISIL said the rating action reflects the continuous improvement of Bharti Airtel (BAL) operating parameters resulting in a healthy financial risk profile.
He expects a further improvement in the company’s overall credit risk profile in the short to medium term through improved cash accumulations, deleveraging plans, including the issuance of rights, notwithstanding income. Gross Adjusted (AGR) and the additional expenditure made for the acquisition of the spectrum at the auction held in March 2021.
On September 15, 2021, the Union Cabinet approved several structural and process reforms in the telecommunications sector and provided various relief measures to telecommunications operators.
Pending more precise details of these measures, CRISIL Ratings believes that these reform and relief measures will facilitate cash flow and ensure optimal use of resources, increase their accessibility and accelerate investments in the sector. telecommunications.
Ratings continue to reflect BAL’s strong market position and improved operational performance of the mobile and non-mobile home segment, cross-company diversification, healthy operations in Africa, improved debt protection measures and great financial flexibility.
These strengths are partly offset by the company’s exposure to regulatory and technological risks.
Bharti Airtel is a global provider of communication solutions. The company ranks among the top three mobile operators in the world. Airtel is the largest provider of integrated communications solutions in India and the second largest mobile operator in Africa. The company had 32.1 crore of mobile subscribers in India as of June 30, 2021 and 12.1 crore in Africa.
The telephone company reported a consolidated net profit of Rs 284 crore in the first quarter of fiscal 22, compared with a net loss of Rs 15,933 crore in the first quarter of fiscal 21. Total revenue increased by 15.3 % year on year to reach Rs 26,854 in the first quarter.
The script rose 0.13% to currently trade at Rs 697.15 on BSE.
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