BSNL narrows net loss to Rs 5,367 crore in FY24; revenue up marginally

Government-run Bharat Sanchar Nigam Limited’s (BSNL) net loss narrowed to Rs 5,367 crore in the fiscal year 2024, from Rs 8,161 crore in the preceding fiscal year, due to lower expenses, particularly finance cost, and a higher non-operating income.

BSNL’s revenue from operations grew marginally at 1% to Rs 19,343.6 crore. This, however, missed the Rs 20,008 crore target set by the Centre as part of the Rs 3.2 lakh crore mega revival package.

Its revenue from cellular services and the enterprise segment declined in the fiscla year ending March 31, 2024.

The telecom PSU’s expenses fell 2.5% to Rs 26,683 crore. Of this, employee cost increased 4.4% year-over-year to Rs 8,034 crore. Notably, employee cost accounts for 31.1% of the total expenses and 43% of the operating revenue of the telco.

Cellular services, contributing 36% to BSNL’s revenue from operations, saw a 6% fall to Rs 7,006 crore, which can be partly attributed to the subscriber churn to private telcos for 4G and 5G services, in the absence of the state-run telco’s own 4G services. Its enterprise business revenue was down by 4.5% to Rs 5,090 crore.

BSNL’s revenue from the broadband business was up by 9% to Rs 3,662 crore.

It has recently signed a deal with America’s Boston Consulting Group (BCG) to strategise a three-year revival plan for competing effectively against the top telco incumbents. BSNL will pay the firm Rs 132 for its advisory services.