The decline in subscriber base during April was preceded by a loss of 28 lakh connections in March, which saw the lockdown being imposed towards the end, India Ratings and Research said in note. The biggest losers were Bharti Airtel and Vodafone Idea, it said, adding sector leader Reliance Jio witnessed a growth in its base.
Major industris are facing a specific set of problems in a time where Covid-19 outbreak is prevailing.
Credit Suisse estimates Jio's EV to $88.5 billion propelled by non-wireless business, ARPU & subscriber growth
According to Monday's note, Jio's EBITDA could be significant at $1.5-2.0 billion.
As the world locks itself down and people’s movements are severely restricted, it is ‘virtual connectivity’ that is rising to the occasion. The value of telecommunication networks —both mobile and fixed — has never been more pronounced. Advances in technology are ensuring that the world can, and is, operating seamlessly through telecom platforms.
The new tariff order, notified on January 1, has been challenged by top television broadcasters, the Indian Broadcasting Foundation (IBF), and the Film & TV Producers Guild of India in the Bombay High Court.
Covid-19 pandemic has severely impacted Tata's key overseas markets in Europe, the US, UK, China & UAE.
“This (slowdown) will continue in Q1 and some segments will start picking up in the second quarter while others will take longer. Telecom and healthcare will start seeing growth, while automotive will take a few more quarters. Chemicals and oil and gas could take up to 3-4 quarters to start growing,” said Keshab Panda, chief executive of L&T Technology Services.
Cellular Operators' Association of India (COAI) said in case Trai and the government still feel the need for extension of benefits to all prepaid feature phone subscribers, then this should be provided in the form of a subsidy to the telecom sector like many other essential services.
The 24th edition of Aon's annual Salary Increase Survey in India shows that while e-commerce and professional service firms are expected to give a 10% hike this year, transport and logistics sector, at 7.6%, ranks the lowest in terms of projected salary hikes for 2020.
Having staff work from home is difficult because of rules on handling of sensitive material.
Sterlite has 1.4 crore route kilometer (rKm) optical fibre production in China and 3.6 crore km capacity in India.
It is up to the nations to step up and emerge from the crisis into a better future.
Investment information and credit rating agency ICRA said the domestic impact of the coronavirus can be far reaching as witnessed around the 2003 SARS period when the Indian hospitality industry also witnessed a slump.
"The government should move to cancel the license, spectrum if dues are being wiped out. If telcos are unwilling to pay, we will directly cancel spectrum allocation," remarked Justice Arun Mishra, heading the three member bench in the AGR case.
Operators said net subscriber additions may fall by at least 2 million in March alone, and may dip further if the social isolation advisories are kept in place for a long duration. There is not vaccine yet to treat Covid-19, which has infected over 200,000 people worldwide and killed more than 8,000.
The pandemic & accompanying economic crisis need short-term measures to combine with a long-term vision.
Mukesh Ambani hails RIL staff as 'frontline warriors', reiterates co's role in India's war against COVID-19
In a mailer to over two lakh employees of the oil-to-telecom conglomerate, the country's richest person said he was humbled to witness each one of them displaying extraordinary levels of commitment in battling most formidable adversity in modern history. In an internal note emailed on April 4, he informed of comprehensive COVID-19 tracking and treatment facility for all RIL staff.
The bears were in charge with losers outpacing gainers in the ratio of nearly 2:1 on BSE.
Six months from the first nationwide lockdown in March, with a sharp economic contraction looming large, all eyes are on the shape of the recovery graph. Macroeconomic outlook resembles an alphabet soup.
Government services such as tax administration, egovernance, cloud operation, passport services; healthcare and insurance-related processing; support to utilities such as gas, electricity, mobile network, broadband, etc and ecommerce services and support to banking and payment services have been identified as “essential services”.
A critical piece of ammo the Chinese had was access to ultra-fast fifth generation wireless broadband networks. In fact, the hours of live video calls and video-conferencing to guide Chinese medical workers in the frontlines happened over 5G networks and the HD cameras, hospital robots and remote-controlled mobile trolleys were also powered by 5G.
View: The global spread of coronavirus holds lessons for protecting not just citizens, but also global value chains
The global spread of coronavirus holds lesson for global value chains to rethink their future strategies.
The benchmark BSE Sensex tumbled 2,661 points to 38,661 from 41,323 in 6 sessions.
For the report, leading consultancy EY India analysed March quarter results of the top 300 BSE-listed companies and 115 global firms spanning over 12 sectors to evaluate the impact of Covid-19 disruptions.
"Broadband service is being offered free of charge for one month to all citizens across the country, who have BSNL landline and do not have any broadband, so that they can use this service either to work from home, educate from home or anything that can minimise the need to move outdoor," BSNL Director (CFA) Vivek Banzal said in a statement.
More than 100,000 people were expected to attend this year, with about 6% from China.
Kellner’s fortune, now at $10 billion, has dropped the most this year among the richest eastern Europeans outside of Russia, mostly because of a $1.5 billion plunge in the value of his stake in Home Credit. It’s now worth an estimated $2.8 billion, based on the performance of publicly traded peers, according to the Bloomberg Billionaires Index.
Government estimates up to 50-bps hit in FY21, economists see deeper impact caused by the coronavirus outbreak.
The lockdown is expected to arrest 4G subscriber addition and churn while accelerating SIM-consolidation, Edelweiss said in its latest telecom sector update. Maintaining a positive stance on the sector, it however flagged specific but "distant" risks including possibility of a prolonged economic slowdown eroding consumers' ability to spend.
Most of the efficient players in the cement industry tend to have low debt on their balance sheets, says Dongre, a fund manager with UTI Asset Management.
Mukesh Ambani saw a V-shaped recovery in his wealth losing 19% of his wealth in the initial weeks and regaining 18% in dollar terms.
Prodded the lockdown, India’s large IT firms have ensured as many as 85% of their employees are working from home, even while continuing to support global clients.
Bharti Airtel had, on Monday, reported Q4 loss at Rs 5,237 crore, mainly on account of provisioning for paying statutory dues, while its full year losses ballooned to a record Rs 32,183 crore.
Coronavirus outbreak impact: Ericsson pulls out of MWC 2020, says safety of employees highest priority
The company said that the most responsible business decision was to withdraw participation from this year's event.
"Intensifying Covid-19 pandemic and a looming global recession have cast an unprecedented cloud over the credit quality outlook of India Inc, which has already been impacted by a slowing economy. This has forced CRISIL to slash its base-case gross domestic product (GDP) growth forecast for fiscal 2021 to 3.5%," Crisil said in a release on April 02.
Impact analysis: Which sectors to take biggest hit from virus crisis & which ones will survive with some bruises
These businesses would have to take care of both inventory and inventory valuation issues.
A lot of activities which were not seen as lending themselves to automation will now be so. That means much displacement in people and working equations. Tech will underpin many basic and complex activities. Knowing how to navigate the new world will make you indispensable and not knowing it will make you dispensable, says the COO of IndusInd Bank.
While the institutional investors have ploughed money into Dalal Street, overseas ETF and mutual fund investors have been busy withdrawing from India-focused funds.
IT campuses will never be the same: How India’s 4 million IT workers shifted to working from home overnight
IT companies had to move desktops that employees were using at their workplaces to their homes as they could not procure laptops in multiple thousands at such short notice. Alongside, there was the critical aspect of ensuring compliance and security. Despite all this, all of India's IT majors successfully executed this humongous shift.
Rapid and effective epidemiological testing is key to implementing a containment plan. Two types of tests are used to evaluate the impact of any infection on human populations: a direct identification of the infectious agent (e.g., viral RNA, bacteria in body fluids etc.) and a measure of the host response (e.g., antibody tests also known technically as serology tests).
Experts though have called on the government to consider a three-month moratorium on operators’ revenue-share commitments for the April-June quarter FY21, which would be more significant relief for the debt-laden telecom sector that is currently reeling under the impact of the adjusted gross revenue (AGR) payments crisis.
FY20 (April 2019 to March 2020) fiscal EBITDA growth for the telecom industry is estimated at 25 per cent.
While the weakness will be broadbased, financials are likely to be the only bright spot, whose top line is projected to grow 13 per cent and PAT 12 per cent.
The benchmark Nikkei average gained 0.5 per cent to 20,133.73, erasing early losses.
Many governments are writing blank cheques to tackle economic slowdown because of coronavirus.
Market breadth was neutral as gainers and losers were almost equal in number on BSE.
Chairman and Managing Director Mukesh Ambani will hold a meeting almost every third day to take stock of the impact of novel coronavirus (Covid-19) outbreak on his employees and business, officials said. The oil-to-telecom conglomerate initiated a work from home protocol for its employees across the country and overseas in response to the evolving Covid-19 situation. This protocol will be effective until March 31.
India recorded 89 deaths in last 24 hours, one of the highest since the coronavirus pandemic.
Oil-to-telecom conglomerate RIL alone contributed 431 points to Sensex’s gains as it jumped 7.10 per cent on reported that the company was close to sealing a deal with Future Group for acquiring their retail business.
Tata Consultancy Services (TCS), Nestle, HSBC, Paytm, Franklin Templeton and others have put in place protocols to lessen the chances of employees catching the disease. In countries that have seen a high number of infections, workers have been asked to stay away from office.
Until the last quarter, the impression was that barring a few banks, SCBs had generally turned the corner on non-performing assets, CARE said.
Kunj Bansal, Partner & CIO, Sarthi Group, says with the results season over, the market has started focussing on the impact of coronavirus.
NATO Secretary General Jens Stoltenberg said China was coming closer to the West in various ways - in the Arctic, in cyberspace and in critical infrastructure, including telecommunications.
"As the new coronavirus pandemic wreaks havoc on the global and national economy, the country's top 100 most valuable brands could lose up to 15 per cent of brand value cumulatively, a potential drop of nearly USD 25 billion compared to the original valuation as of January 1, 2020," a report by Brand Finance said.
Despite the sharp decline in frontline indices, the market breadth was neutral as gainers and losers were nearly equal in number on the BSE.
India has seen about 1.8 million new accounts opened by first-time investors since March.
A surge in IT stocks limited the losses for the flagship index. Sector leader Tata Consultancy Services (TCS) rose 2.26 per cent while peer Infosys climbed 2.75 per cent.
A BBB rating denotes adequate credit quality. As per the ratings terminology, A BBB rating means that "the capacity for the payment of financial obligations is considered acceptable. May be vulnerable to future events".
Analysts believe the market may correct some more but abundant liquidity is likely to ensure the uptrend resumes.
Financials contributed the most to benchmark Sensex’s 595-point gain.
The market is likely to gather evidence from the global economy before deciding its journey.
Under the circumstances, pharma companies having a significant domestic presence such as Torrent Pharma, Natco Pharma, Sun Pharma are looking good at current levels and are worth picking, says Sudip Bandyopadhyay, Director, Inditrade Capital.
Asian shares stepped back from three-week highs on Monday as investors weighed the near-term hit on global growth from a fast-spreading coronavirus outbreak in China.
The shift online has been a key safety net for a collapsing world economy and will change how we study & work.
The incremental cumulative damage of Covid-19 will be much deeper, Raamdeo said.
Markets will continue to remain jittery until the virus comes under complete control.
MPC in a statement said the virus may impact tourist arrivals in India and global trade.
About two-thirds of the 4.3 mn ITBPO workforce across the country have moved to a work-from-home model.
While India may start seeing disruption in the next few weeks, the crisis could also seed opportunities.
Deaths from the virus rose to 1,350 on Thursday and airlines are bracing for lower ticket sales as worries over the virus's spread hit appetite for travel and caused conferences and events to be scrapped. Mobile World Congress, an annual telecoms industry gathering of 100,000 people, was also cancelled.
Among sectoral indices, BSE Bankex was the biggest loser as it shed 0.94 per cent.
With the outbreak of coronavirus, RIL faces multiple challenges -- oil prices have declined along with a fall in global oil product demand as a result of the lockdown across India and multiple geographies, potential slowdown in fashion/electronics demand for its retail segment, slower monetisation of telecom investments, and still relatively high debt post the investment cycle.
Market breadth was positive with gainers beating losers in the ratio of 1.2:1 on the BSE.
Among the sectoral indices, BSE Oil & Gas index dropped the most.
The impact of the pandemic is pressuring corporates to refine their priorities.
Better to invest in times of panic and not cash out, says CIO, Equity, Sundaram AMC
The association has issued a limited advisory to its members based on one from the US Centers for Disease Control and Prevention (CDC). “There is real fear among workers that the highly contagious virus might spread through machinery, components and devices imported from China,” Mohindroo said.
The portfolio inflows have done little to arrest the decline in the rupee.
The plea filed through advocate Shadan Farasat, while seeking restoration of 4G internet services, alleged that the action of the government was violative of Articles 14 (right to equality), 19 (freedom of speech) and 21 (right to life) of the Constitution.
Ambani and Zuckerberg had toyed with the idea of a collaboration almost 14 months back.
The steep decline implies no value is being assigned to RIL’s energy business, says UBS.
Even as frontline indices advanced, the market breadth titled towards the bears.
SBI Cards and Payments (SBI Card) is scheduled to debut on the bourses today.
Twitter asks employees to work from home; TCS, HCL Tech instruct staff to avoid non-essential travel
Twitter says it’s mandatory for employees in Hong Kong, Japan and South Korea to work from home, but that other offices will remain open for those who choose or need to come in. Twitter’s policy on working from home is a step beyond what most companies in the U.S. are doing as the virus spreads.
While LG has become the first major South Korean company to give MWC 2020 a miss, others may soon follow suit, considering the threat that the virus poses, according to industry watchers. Telecom industry insiders said that the withdrawal of LG and ZTE from MWC is a significant development. However, they added that it remains to be seen if they would have a cascading effect on the show.
The rally was broad based, with three shares advancing for every share that declined on BSE.
Tech platforms, telecom companies and governments need to come together at a time like this to work together towards addressing the balance between protecting individual privacy and data sharing that is critical to the public good.
"We expect revenue and Earnings before Interest, Tax Depreciation and Amortisation (EBITDA) for wireless service providers to improve led by tariff hike taken in December 2019, though the full impact is expected only in Q1FY21 when most users come for recharge," it said.
The report said growth of telecom infrastructure providers will be hurt by slowdown in government spending on projects like BharatNet.
Google is reportedly considering to buy a stake of about 5 per cent in Vodafone Idea.
Threat of coronavirus will be the single most important factor dictating the market this week.
BSE Telecom was the biggest sectoral loser as it tumbled 4.64 per cent.
In the 30-pack Sensex, 23 stocks ended in the green with NTPC leading the gainers’ pack.
Gradual opening up of the economy after Covid-19 lockdown and global cues to decide outlook.
Data-gathering exercises conducted once in every 10 years are inadequate in today’s times for policymaking, and are prone to being used as political fodder.
For some strange reason companies that insured your life were not permitted to insure against illness. The regulator has taken a baby step in to permit life insurers cover your health. When it happens, without conflict of interest of dominant shareholders, it would be a new dawn.
"India's response to the COVID-19 crisis lacks major or innovative near-term fiscal support, and fails to provide the much-needed impetus to stimulate growth and kick-start economic growth," Credit Suisse Wealth Management's Head (India Equity Research), Jitendra Gohil, said.
The bears ruled the market as losers were more than three times the number of gainers on BSE.
Covid-19 outbreak: Nirmala Sitharaman says steps soon to ease supply woes, secretaries to meet today
Sitharaman today met industry and trade associations to assess the impact of the virus on businesses. The finance minister said that a meeting of the concerned secretaries will be held tomorrow. The finance minister assured the industry that she will speak to the PMO on steps to provide any relief.
BSE mid and smallcap indices fell 0.31 per cent and 0.16 per cent, respectively.