BSNL Reports Continuous Increase in Quarterly Profits for Two Consecutive Quarters
State-owned telecom giant Bharat Sanchar Nigam Limited (BSNL) has reported a significant turnaround in its financial performance, posting a net profit of Rs 280 crore during the January-March 2025 quarter, an upturn from the Rs 262 crore logged in the previous quarter. This marks BSNL's first back-to-back profitable quarters since 2007, signaling a resurgence for the telecom operator which had been grappling with financial problems.
BSNL announced its audited results for the year ended March 31, 2025, at a board meeting earlier today. The company had reported a loss of Rs 849 crore in the same quarter the previous year. For the entire financial year 2024-25, BSNL's loss was reduced by 58% - from Rs 5,370 crore in 2023-24 to Rs 2,247 crore.
The telecom operator also reported stronger operational metrics. Twenty-seven of BSNL's telecom circles turned EBITDA-positive in 2024-25, as compared to only 17 circles the previous year. Ten circles turned Profit After Tax-positive during the same period, up from just three the previous year.
BSNL's operating revenue for 2024-25 rose by 7.8% to Rs 20,841 crore, compared to Rs 19,330 crore in the previous financial year. All core revenue segments - mobility, Fiber to the Home (FTTH), Leased Lines, and Asset Monetization - showed increased growth when contrasted with the last financial year.
In a statement, the Ministry of Communications predicted a continuation of strong top-line revenue growth and a steady decline in operating costs, both critical factors for sustained profitability, for the coming year. Although higher depreciation and amortization arising from recent spectrum acquisitions and heavy capital expenditure may weigh on quarterly results, the ministry anticipates these investments to spur accelerated growth and profitability thereafter.
BSNL has almost doubled its asset monetization efforts compared to the previous year. The company's leadership attributed the turnaround to professional management, government support, cost control measures, and an aggressive focus on 4G and 5G network expansion. BSNL's strategy emphasizes providing affordable, high-quality connectivity to every Indian, prioritizing excellent service, reaching the underserved, and innovative inclusivity, with profits expected as a byproduct of excellence.
According to A Robert J Ravi I T S, CMD of BSNL, “The sharp turnaround is testimony to professional management, government support, and a relentless focus on both the top line and the bottom line. BSNL is not just being revived, but redefined." The company remains optimistic about sustaining this growth trajectory and delivering affordable, high-quality connectivity to every Indian while redefining telecom excellence in public service.
- The financial turnaround of BSNL, as evidenced by its back-to-back profitable quarters, has significant implications for the health of India's telecom sector, offering promise for future financial performance and business growth.
- BSNL's positive advertisement of stronger operational metrics, including a reduction in losses, the increase in EBITDA-positive circles, and growth in core revenue segments, underscores the potential for improved performance in various sectors, including technology and finance.
- The Ministry of Communications' prediction of continued top-line growth and decline in operating costs indicates a potential positive impact on the overall business environment and economy of India, suggesting a renewed importance in the role of public sector entities in driving national progress.
