Bharti Airtel Shares Rise 2% After Q4 FY25 Results: Should You Buy, Hold, or Sell?

Published: May 14, 2025

Bharti Airtel's shares experienced a 2% uptick on May 14, 2025, following the announcement of its Q4 FY25 results. The telecom giant reported a 77% year-on-year increase in adjusted net profit, reaching ₹5,223 crore, and a 27% rise in revenue to ₹47,876 crore. These robust figures have prompted investors to reassess their positions in the stock.(@EconomicTimes)

Key Financial Highlights

• Adjusted Net Profit: ₹5,223 crore, up 77% YoY

• Reported Net Profit: ₹11,022 crore, a 432% YoY increase, boosted by a one-time tax gain

• Revenue: ₹47,876 crore, up 27% YoY

• Average Revenue Per User (ARPU): ₹245, compared to ₹209 in Q4 FY24

• Dividend: Proposed final dividend of ₹16 per share for FY25 (mint, mint)

Market Reaction

The stock's 2% rise reflects investor confidence in Airtel's strategic direction and financial health. The company's focus on premiumization and tariff adjustments has contributed to improved ARPU and overall profitability. Additionally, the proposed dividend underscores Airtel's commitment to shareholder returns.(The Economic Times, Samco, @EconomicTimes)

Segment Performance(mint)

India Operations(The Economic Times)

Airtel's India revenue grew by 29% YoY to ₹36,735 crore, driven by a 21% increase in mobile revenue. The company's emphasis on acquiring high-value customers and enhancing service offerings has paid off, as evidenced by the ARPU growth. (mint)

Africa Operations(Samco)

In Africa, Airtel witnessed a recovery in revenue growth in reported currency terms. The region's performance contributed positively to the consolidated revenue figures, highlighting the company's diversified revenue streams. (mint)

Investment Considerations(The Economic Times)

Buy: Investors with a long-term horizon may find Airtel attractive due to its strong financials, growing ARPU, and strategic initiatives in 5G and digital services.

Hold: Current shareholders might consider holding their positions, monitoring the company's execution of its growth strategies and market dynamics.

Sell: Those with a short-term focus or concerns about market volatility may evaluate their risk tolerance, especially considering the stock's recent appreciation.