Mumbai, May 20: Vodafone India today reported a 13 per cent growth in earnings at Rs 37,606 crore for the year ended March 31 on the back of a strong growth in data revenues, customer additions and higher call rates.
The 100 per cent subsidiary of the British telecom giant garnered revenues of around Rs 33,282 crore in the previous year.
A key highlight of the annual performance was the robust rise in margins to 31.8 per cent, a jump of 3.1 percentage points. Vodafone said the improvement in margin was driven not only by higher data revenues and tariff hikes but also the cost benefits from having a large operation and a significant focus on cost efficiency.
Vodafone India ended the year with a subscriber base of 166.6 million, of which 89.4 million belonged to rural areas and accounted for nearly 54 per cent of its users. There was also a strong growth in voice minutes, which led to a 6.2 per cent growth in average revenue per minute (ARPM) at 47 paise against 44.3 paise in the previous year.
On the data front, Vodafone India’s users stood at 52 million, accounting for around 31 per cent of the total base. Of this, 7 million were 3G customers. Data revenues rose around 72 per cent to Rs 3,436.9 crore over 2012-13.
The adjusted operating profit of Vodafone’s local unit stood at £354 million compared with £221 million a year earlier.
“Service revenue in India grew 13 per cent as the growing customer base used greater quantities of voice and data traffic, supported by effective voice price increases," Vodafone said in a statement.
Vodafone Group’s adjusted operating profit fell 37.4 per cent to £7.87 billion at the end of 2013-14. Revenues declined 1.9 per cent to £43.6 billion.
Vodafone said it planned to invest about £19 billion in the next two years.
“We have concluded the vast majority of network vendor negotiations and have already started the rollout of this programme, principally in India and Germany. We expect total investments to be around £19 billion over the next two years,” it said.
“The strategic steps we have taken in the last two years, allied to our planned organic investments of around £19 billion over the next two years, place us in a very strong long-term position within the industry,” Vodafone added.