Bharti Airtel Transfers 69.94% Stake in Payments Bank to Subsidiary

12 Mar 2025 , 04:00 PM

Telecom major Bharti Airtel Ltd on September 10 worked an intra-group reorganisation by transferring its 69.94 per cent interest in Airtel Payments Bank to its wholly owned subsidiary, Airtel Ltd. The transfer was completed following the receipt of all necessary regulatory and corporate approvals.

Bharti Airtel’s regulatory filing said this is an internal restructuring move and does not affect overall ownership of Airtel Payments Bank. The transfer of ownership is scheduled to be finalized on mutual terms provided by the related parties on March 11, 2025, when the share transfer agreement was signed.

Though this transaction is a related party transaction, it will be conducted at arm’s length and in good faith on the basis of an independent fairness opinion obtained for this very purpose.

Bharti Airtel Delivers Solid Q3 Results, where the company recorded a net profit of ₹14,781 crore during Q3FY25. On an adjusted basis, excluding exceptional items, profit after tax (PAT) jumped 121% year-on-year (YoY) to ₹5,514 crore.

Net profit of Bharti Airtel in the same quarter last year was ₹2,442 crore. Revenue from operations showed a 19% YoY increase at ₹45,129 crore as against ₹37,900 crore in the same period the last fiscal year, said the telecom giant in a filing. The growth was led by robust performance from India, while Africa continues its growth momentum, strong in constant currency terms.

Bharti Airtel EBITDA (Earnings Before Interest, Taxes, Depreciation and Amortization) was up 24.1% YoY at ₹24,880 crore. The company’s EBITDA margin stood at 55.1%, a sign that profitability is improving.

EBITDAaL (Earnings Before Interest, Taxes, Depreciation, Amortization, and Adjusted Loss) rose by 26.1% YoY to ₹21,474 crore. OPT’s EBITDAaL margin was impressive at 47.6%, meaning that it was operationally efficient as well. EBIT (Earnings Before Interest and Taxes) was up 33.3% YoY to ₹13,126 crore with an EBIT margin of 29.1%.

Exceptional items, net income was ₹5,514 crore, strengthening Bharti Airtel’s overall financial stance. The overall capital expenditure (capex) of the company for the reported quarter is ₹9,161 crore, signalling ongoing investments in network and infrastructure expansion.