Robi’s Revenue Grew By 3.7% YoY In Q2’222 min read
Robi, the second largest telecom company in Bangladesh has published its Q2 financial report for the year 2022 (Apr-Jun). Revenue of the company grew by 3.7% YoY from Tk 20,309 Mn in Q2’21 to Tk 21,504 Mn in Q2’22. However, the company incurred a loss of Tk 122 Mn in Q2’22 which was Tk 466 Mn in the same period last year.
Topline growth was driven by growth in mobile revenue
The 3.7% YoY revenue growth of Robi was mainly driven by 4.4% YoY growth in mobile revenue. Mobile revenue which includes revenue from voice, non-voice traffic, data traffic, and connection fees increased from Tk 18,457 Mn in Q2’21 to Tk 19,275 Mn in Q2’22.
Interconnect revenue (commission, IT professional services, and digital services) decreased by 2.9% YoY from Tk 1,179 Mn in Q2’21 to Tk 1,145 Mn in Q2’22.
However, ARPU (Average revenue per user) decreased by 0.8% YoY from Tk 125 in Q2’21 to Tk 124 in Q2’22. The ARPU was offset by increasing mobile subscribers in Q2’22. Mobile subscribers increased by 5.2% YoY in Q2’22 to 54.5 Mn (Q2’21: 51.8 Mn).
The continued rise of OTT services usage like WhatsApp, IMO, messenger, etc is driving the declining trend of AMPU (Average minute per user). AMPU declined by 4.7% YoY from 170 Min in Q2’21 to 162 Min in Q2’22.
Decline in Data Revenue despite strong internet subscriber acquisition
Data revenue of the company declined by 4.5% YoY from around Tk 8,000 Mn in Q2’21 to Tk 7,600 Mn in Q2’22. Data revenue declined despite growth in internet subscribers (+8.0% YoY) and higher internet consumption (+31.3% YoY).
MB per subscriber increased significantly from 3,999 MB in Q2’21 per subscriber to 5,250 MB per subscriber in Q2’22. The only plausible explanation for the decline in data revenue is lower price offerings to entice users to consume more data services.
Profitability impacted by volatile Forex Exchange Market
Robi has been impacted significantly by the volatile forex exchange market. Due to the volatility, the company incurred a forex exchange loss of Tk 1,720.2 Mn which ultimately led to a net loss of Tk 122.0 Mn. According to the press release of Robi, the company would have been in Tk 8.6 Mn profitability without the forex volatility.
A higher proportion of internet users remains key for Robi
Around 74.2% of Robi’s subscriber base were internet subscribers in Q2’22 which was the highest in the industry. 48.3% (65.1% of data users) of the total subscribers were 4G users. It remains the key factor for the future growth of Robi as users are moving from voice calls to OTT services like Messenger, and WhatsApp.
Even internet consumption is increasing due to the rise of streaming services like Bongo, Netflix, etc. The company is investing heavily in 4G as the company now covers 98.2% of the population with its 14,961 4G sites.
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