Reliance Jio and Bharti Airtel are projected to make substantial investments of approximately Rs 75,000 crore in the ongoing fiscal year to enhance their network infrastructure, according to JM Financials report, as cited by news agency PTI.
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The report indicates that Jio is likely to allocate roughly Rs 42,000 crore, while Bharti Airtel is expected to invest around Rs 33,000 crore during FY24. However, it is anticipated that these investments will gradually decrease once they achieve their 5G network rollout objectives, as previously announced.
"Bharti's management capex guidance implies India business capex could decline to approximately Rs 200 billion (Rs 20,000 crore) from FY25 (versus Rs 280 billion, or Rs 28,000 crore in FY23) though we continue to conservatively build in approximately Rs 270 billion (Rs 27,000 crore) for FY25 and Rs 330 billion (Rs 33,000 crore) for FY24," the report said.
According to the report's projections, Jio's capital expenditure (capex) is anticipated to be around Rs 42,163 crore for FY24, with the possibility of decreasing to approximately Rs 30,000 crore in FY25.
Earlier, Jio announced its plans to complete roll-out of 5G services PAN India by December 2023. Meanwhile, Airtel plans to do the same by March 2024.
Airtel’s share price is trading 0.19% higher in Thursday's volatile session. The stock opened at Rs 925 per piece, against previous close at Rs 924.25.
On the other hand, Reliance Industries opened in green, trading 0.032% higher at Rs 2,314 per share.