Bharti Airtel shares drop over 2% on Q3 numbers

MUMBAI: Shares of Bharti Airtel today closed down by over 2 per cent as the telecom player posted 72 per cent slump in the third quarter net profit.

Bharti's shares closed at Rs 330.50 apiece on the BSE, down by 2.62 per cent, amid a weak broader market. In intra-day trade, shares fell by 3.62 per cent to a low of Rs 327.10 apiece.

On the National Stock Exchange, shares of the country's largest telecom provider plunged by 3.24 per cent to close at Rs 328.60 apiece. During the trading session, the stock touched a low of Rs 326.70.

The company's market capitalisation stood at Rs 1.25 lakh crore at the end of the trading session.

"Bharti Airtel's third quarter 2013 revenue as well as operating margins came broadly in-line with the estimates but the company disappointed on the bottom line because of higher interest charges, forex loss and higher tax," Angel Broking Research Analyst Ankita Somani said.

Bharti Airtel's net profit declined for the 12th consecutive quarter, dropping 72 per cent to Rs 284 crore for the October-December 2012 quarter as a weaker rupee boosted interest and network equipment costs for the company.

The total revenues of billionaire Sunil Mittal owned company, however, rose 9.5 per cent to Rs 20,239 crore for the quarter from Rs 18,477 crore in the year-ago period.

The BSE's benchmark sensitive index, Sensex, dropped by 114 points or 0.57 per cent to end at 19,781.19 points.