Reliance Jio is reaching new heights every day, the company that was working in the loss for more than a year has finally turned profitable now. Reliance Jio Infocomm Ltd revealed its report for the period October-December 2017 in which the company gained a net profit of Rs 504 crore. In the last quarter results, Jio incurred a massive loss of Rs 271 crore. Jio’s managing director and chairman Mukesh Ambani commented on this achievement and said:
“I am happy to share record-setting consolidated quarterly earnings to mark the 40th anniversary of Reliance’s listing in January 1978. Fittingly, this quarter marks the culmination of our petrochemical expansion projects and the first positive net profit contribution from our newest business line – digital services.”
Jio started its commercial operations in September 2016 and started charging its users from April 2017.
According to these reports, Jio now has a user base of around 16.01 crore. Reliance Jio disturbed the whole scene of the telecom industry in a very short span of time. The company attracted a large segment of Indian customers by giving amazing offers in the initial days. It made other companies in the same niche to launch their plans at low rates.
“I would like to thank all our customers for partnering with us in this revolution which has made India a global digital powerhouse. I congratulate all our employees and partners for the strong performance. Our commitment is to keep pushing newer innovative products which would radically transform customer lives and generate huge societal value, Mukesh Ambani added.
Jio’s average revenue per user (ARPU) is around Rs 154 is way higher than Bharti’s ARPU of Rs 123 because most of the Jio subscribers are using Rs 309/399 plans. In the period from October to December, Jio’s revenues increased around 12%. With a revenue of Rs 6,879 crore, Jio is now very close to Idea Cellular. Idea earned a revenue of Rs 7,465 crore during the July to September quarter and is yet to reveal its report for the Oct-Dec quarter quarter.
Jio won the Indian market by making users habitual in using internet with a free mind. Jio customers used 431,00,00 million Mbs as compared to Airtel’s 110,58,39 million Mbs. In terms of data usage per user, Jio’s 9600 MB is just a tad behind Airtel’s 9620 MB.
The success story of Jio is a great example of earning profits by giving quality service to the customers. Along with ruling the telecom sector, Reliance Jio is planning to introduce its own cryptocurrency called Jiocoin shortly.
