Tata Teleservices (Tata Docomo) has posted 5.75 percent decrease in gross revenue in the first quarter of fiscal 2014 to Rs 2,833 crore.
The dip in gross revenue is mainly due to exit of the telecom operator from select circles.
Tata Teleservices gross revenue does not include its revenue from Tata Teleservices Maharashtra (TTML) that operates in Maharashtra and Goa circles.
For comparison, Aircel gross revenue in the first quarter of 2013-14 increased 9.9 percent to Rs 2,600 crore from Rs 2,366 crore in the same period previous fiscal.
Sistema Shyam TeleServices (MTS India) revenue decreased 30 percent year-on-year to $52 million in the second quarter of 2013. Closure of telecom circles impacted the growth in revenue.
Tata Teleservices has 7.5 percent market share in the Indian mobile service provider market in May 2013, according to TRAI data. Aircel has a market share 6.94 percent mobile subscriber market share against MTS India’s 1.16 percent.
The company’s poor financial performance is happening at a time when TTSL is looking for a strategic partner to grow further in the Indian telecom market. ( NTT Docomo may exit from Indian telecom market )
TelecomLead.com earlier reported that the ARPU of Tata Teleservices is Rs 136 compared with the industry average of Rs 140 a month. For the nine months ended December 2012, Tata Teleservices reported an operating loss of Rs 190 crore.
Tata Teleservices had a total debt of Rs 29,300 crore as on December 31, 2012. Tata Teleservices’ customer base stood at 66.9 million as of February 2013, compared with 80.2 million at the end of June 2012.
Meanwhile, Tata Teleservices (Maharashtra) (TTML) reported a loss of Rs 126.89 crore for the first quarter ended on June 30, 2013 against net loss of Rs 162.66 crore during the same period a year ago.
The company’s revenue increased 5 percent to Rs 695. 69 crore during the quarter compared to Rs 663.38 crore.