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Telecom operator Reliance Communications (RCOM) has reported a total 31.1 million data customers for the quarter ending June 30, 2013 (Q1-FY14), up 5.8% quarter-on-quarter (QoQ), of which 7.7 million are 3G customers, which saw 7% growth QoQ. RCOM’s data related numbers for Q1-FY14:

– 1.7 million data customers added during the quarter, as compared to 1.4 million data customers added last quarter.
– Data subscriber base is up 5.8% to 31.1 million customers from 29.4 million in the previous quarter. Do note that its not clear if RCOM classifies its EVDO data card users as 3G users or merely “data users”.
– 3G subscriber base increased by 7% to 7.7 million subscribers from 7.2 million subscribers in the previous quarter. RCOM claims that its 3G customer base is the highest in India.
– Data traffic on its network has increased to 31,050 million MB, up 14% QoQ from 27,240 million MB.
– Data usage per subscriber is up 7.2% to 342 MB per connection from 319 MB last quarter, which the company claims is the highest in the industry.
– Non-voice accounts for 21.3% of RCOM’s wireless revenues for the quarter, up from 21% in the previous quarter.

Wireless

– The company’s wireless revenues were up 4.1% QoQ to Rs 4,816 crore while its wireless EBITDA was up 6.6% QoQ to Rs 1,314 crore. The company informs that this is the highest revenue and EBITDA growth in three years.

– RCOM’s revenue per minute for the quarter remained flat at Rs 0.46, up 4% QoQ. The company attributed this increase to tariff hikes and its focus on paid and profitable minutes.

– Wireless customers were at 125.7 million for the quarter, up from 123 million in the previous quarter.

– Wireless ARPU was at Rs 129 for the quarter, up from Rs 128 in the previous quarter.

– Wireless minutes of usage were 105.5 billion minutes for the quarter, up from 105.3 billion minutes in the previous quarter.

– During the quarter, RCOM reduced its 3G tariff by 50%, making its 3G data plans cheaper than its 2G data plans.

– RCOM had demerged its real estate business into a separate company called Reliance Properties Ltd. The company had informed that this demerger is part of the company’s strategic plan to divest non-core assets, and focus on its core wireless and enterprise business.

– In June 2013, RCOM had tied up with Apple to launch iPhone 5 GSM version on its network along with special tariff plans for new and old RCOM iPhone subscribers. As part of the tariff plans, it was also offering free access to Facebook, Twitter & WhatsApp for 90 days.

– In June 2013, RCOM had partnered STAR Sports to offer unlimited live streaming of the ongoing ICC Champions Trophy 2013 tournament on STAR Sports mobile site to its subscribers.

– in May 2013, it had started using Aadhaar’s online authentication process to activate new connections.

– In April 2013, it had inked a 2G intra circle deal with Aircel, allowing both companies to share their mobile towers to offer a pan-India 2G Intra-circle roaming (ICR) coverage to subscribers of both the networks.

– In April 2013, RCOM inked a Rs 1,200 crore deal with Reliance Jio Infocomm to share its nationwide inter-city fibre optic network infrastructure and also get access to the optic fiber infrastructure being built by RIL. Following this, it also inked a Rs 12,000 crore deal with Reliance Jio Infocomm in June 2013 to share its 45,000 ground and rooftop based towers for RIL’s 4G service. RCOM CEO (Wireless) Gurdeep Singh had also indicated that it was in talks for a third deal with Reliance Jio Infocomm to share optic fibre in cities and the deal is expected to be announced by December 2013.

– In April 2013, RCOM had also inked a deal with Twitter to launch a new plan – ‘Reliance Twitter Access Pack’ which offered free Twitter access across Twitter.comMobile.twitter.com and Twitter’s official mobile apps, to its GSM subscribers for 90 days.

–  RCOM has 3G coverage in 333 towns across India and it has 11,659 3G sites across the country, same as 11,659 sites in the previous quarter.

Digital TV

– Reliance Digital TV has marginally increased to 4.7 million subscribers quarter-on-quarter, with 8% share of the DTH market in India.
– Reliance Digital TV is available at more than 36,950 outlets across 8,365 towns in the country, down from 37,950 outlets across 8,350 towns in the country in the previous quarter.
– The Set Top Box (STB) failure rate was at 0.59% up from 0.52% in the previous quarter.

Consolidated Financials

– Total revenue of Rs 5,135 crore, up from Rs 5,130 crore in the previous quarter and but down from Rs 5,319 crore in Q1-FY13.
– Net profit for the period was Rs 108 crore, down from Rs 307 crore last quarter, and Rs 162 crore for the same period last year.

Global

– Revenues from RCOM’s Global Enterprise Business Unit (GEBU) was at Rs 2,300 crore for the quarter, down 6.7% QoQ from Rs 2,466 crore in the previous quarter. EBITDA was at Rs 518 crore, down 8.9% QoQ.
– Total International Long Distance minutes decreased to 4,797 million this quarter compared to last quarter’s 5,315 million.
– Total National Long Distance Minutes witnessed a decline at 14,739 million minutes
– Broadband Access lines saw an addition of 1,000 access lines, registering a total of  1.48 million access lines (1,483,000 access lines)

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