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OnMobile Global FY10 Revenues Up To Rs. 4.54Bn; Profit Down To Rs. 423M

OnMobile Global's quarterly estimates of Mobile Value Added Services (VAS) suggests that there is recovery, in line with Bharti Airtel's pronouncement of the same for the segment. After two negative (-2.9% and -7.1%) and one flat (0.5%) quarter, Mobile VAS (excluding P2P SMS and GPRS data) for Bharti Airtel, Idea Cellular, Reliance Communications and Vodafone Essar, India's top four telecom operators, are estimated to have risen by as much as 10.9% on a sequential basis for the quarter ended March 31st 2010; however, year-on-year comparison for the quarter suggests that growth, at least for the big four telecom operators, remained flat. Download OnMobile Financials and additional charts  here OnMobile Results On a consolidated basis, OnMobile reported an 11.82 percent increase in total revenues to Rs. 4.54 billion; Industry execs (not analysts) we had spoken to had expected around Rs. 4.5-Rs.4.6 Bn in revenues for the year from the company, so it has met expectations. The revenue growth is despite the company "mutually terminating" its relationship with a telecom operator which contributed over 10 percent of revenues in FY09; contribution from that operator for the year was down to lower single digits; the company also estimated that the impact of TRAI's guidelines on additional confirmation for "press Star (*) to copy" was 10% for the year; it has significant implications for OnMobile's RBT product. However, profit on a consolidated basis was down as much as 50.29 percent, with a 28.91 percent increase in consolidated expenditure. Remember that OnMobile is in the process…

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Founder @ MediaNama. TED Fellow. Asia21 Fellow @ Asia Society. Co-founder SaveTheInternet.in and Internet Freedom Foundation. Advisory board @ CyberBRICS

MediaNama’s mission is to help build a digital ecosystem which is open, fair, global and competitive.

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