Airtel Africa reports $7 million net profit for Q1, revenue drops 16%

Bharti Airtel's Africa unit Airtel Africa has reported a consolidated net profit of USD 7 million for the June 2024 quarter against a USD 170 million loss in the year-ago period.

Its net profit was primarily impacted by the USD 80 million of exceptional derivative and foreign exchange losses (net of tax) and lower EBITDA due to significant currency devaluation across key markets, Airtel Africa said.

It had reported a loss of USD 91 million for the fourth quarter ended March 2024 on account of tax impact and forex loss.

"Strong fundamentals and focussed execution continue to support operating performance despite challenging macro-economic environment," the company, which operates in 14 African countries, said.

The company's consolidated revenue fell 16 per cent in Q1 FY25 to USD 1,156 million from USD 1,377 million a year ago.

The decline in revenue reflects the impact of currency devaluation, particularly in Nigeria, the company said.

"We have initiated a comprehensive cost ...