# Bharti Airtel Q2 Earnings Preview: Higher ARPU and Subscriber Upgrades Strategic tariff hikes and premiumization drive revenue growth expectations for India's second-largest telecom operator. - **Source:** [mint - companies](https://www.livemint.com/rss/companies) - **Published:** 2026-11-04 - **Topic:** [Business](https://brifing.si/c/business) - **Original article:** - **On Brifing:** https://brifing.si/s/e3ddf49c-f582-49c6-9ca0-07028a5e4485 ## Strategic Tariff Adjustments Bharti Airtel is shifting its subscriber base toward higher-priced plans by discontinuing its entry-level ₹299 prepaid offering. Customers are now encouraged to adopt the ₹349 plan, which represents a 16.7% price increase. This strategic move aims to boost the Average Revenue Per User, a critical metric for long-term financial performance. ## Financial Performance Forecasts Consolidated revenue is projected to rise 15.6% year-on-year to ₹60,298 crore for the second quarter of fiscal 2027. Net profit estimates suggest a significant 45.7% growth compared to the previous year, reaching ₹9,897 crore. These figures reflect the early benefits of recent tariff changes and consistent growth across diverse business segments. ## ARPU and Market Dynamics Analysts expect Airtel's ARPU to increase by 2.7% sequentially to ₹271 in the September quarter. This growth is supported by 5G and 4G upgrades, alongside a successful transition from prepaid to postpaid services. Meanwhile, competitor Jio reported an ARPU of ₹218.8, highlighting the competitive landscape within the Indian telecom market. ## Subscriber Churn Risks While tariff hikes drive revenue, market observers are closely monitoring potential subscriber churn. Airtel added 1.9 million subscribers in the quarter, reaching a base of 378.4 million. Analysts remain cautious about whether these unilateral price actions might push price-sensitive customers toward rival operators, impacting the total net subscriber growth figures. ## Operational Efficiency Metrics EBITDA is expected to grow approximately 17% year-on-year to ₹34,493 crore, maintaining a stable margin of 56.9%. Capital expenditure is projected to decline sequentially, excluding investments in home broadband infrastructure. These operational efficiencies are essential for sustaining profitability amidst ongoing investments in network expansion and advanced digital service offerings. ## Diversified Revenue Streams Growth is not limited to Indian mobile services, as Airtel Africa reported a 26% year-on-year revenue increase to $1.97 billion. Additionally, the enterprise business, covering data centers, cloud, and IoT solutions, is expected to grow by 10% year-on-year. These segments provide a necessary buffer against volatility in the domestic mobile market. ## Competitive Market Positioning The recent stock market debut of Jio Platforms, which achieved a market capitalization of ₹13 trillion, has shifted the industry hierarchy. Bharti Airtel now holds the third position among India’s most valuable companies. This new competitive environment forces Airtel to balance aggressive pricing strategies with the need to maintain its premium market standing. ## Future Outlook Indicators Investors are looking for signals regarding further tariff increases and the impact of 5G slicing plans on postpaid adoption. Future capital expenditure, particularly in data centers, remains a key focus area. The company's ability to navigate regulatory shifts and consumer price sensitivity will define its performance in the second half of 2027. ## Sources covering this story - https://www.livemint.com/companies/news/bharti-airtel-q2-results-fy27-revenue-profit-arpu-subscriber-growth-11793772859175.html — --- _Summary written by Brifing from the original reporting. Copyright in the original article belongs to its publisher; read the full piece at the link above._