India telecom weak demand puts pressure on OnMobile revenue in 2011-12

Telecom Lead India: OnMobile revenue during fiscal
2011-12 increased 19 percent to Rs 6,380 million from Rs 5,372 million in
previous fiscal.

 

Net Profit decreased by 7 percent to Rs 831 million from
Rs 892 million.

 

OnMobile said revenue growth is at healthy pace driven by
international operations off-setting sluggish domestic business.

 

While EBITDA of OnMobile increased 16 percent to Rs 1,399
million from Rs 1,208 million, operating Margin came down by 13 percent to Rs
559 million from Rs 642 million.

 

 

In Q4 2011-12, revenue increased 33 percent to Rs 1,776
million from Rs 1,333 million.

 

Net Profit is down by 82 percent to Rs 48 million from Rs
269 million. OnMobile’s EBITDA increased 33 percent to Rs 413 million from Rs
309 million. Operating Margin came down by 7 percent from Rs 165 million to Rs
153 million.        

 

International revenues contributed to 52 percent of
topline in Q4 compared to 32 percent a year ago. On a full year basis,
international revenue contributed to 45 percent of top-line revenue.

 

OnMobile has launched with one more country as part of
the Telefonica LatAm deployment during the quarter taking our reach to 12
countries and 99 percent of the addressable subscriber base in that market.

 

OnMobile’s business in other emerging markets, notably
Africa and in developed markets like Europe and North America also showed
impressive gains with new customer deployments and product launches.

 

The company said it maintained EBITDA margins in line
with revenue growth, despite continuing investments towards geographical
expansion in Latin America, North America and Africa.

 

OnMobile’s products span a range of channels including
SMS, Voice, Video, WAP, Web, USSD and On-Device Portals, enabling OnMobile’s 92
telecom and media customers to generate high revenues.

 

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