Quarterly Report On The Results For The Second Quarter and Half Year Ended September 30, 2012

Quarterly report on the results for the second quarter and half year ended September 30, 2012
Bharti Airtel Limited

(Incorporated as a public limited company on July 7, 1995 under the Companies Act, 1956)
Bharti Crescent, 1, Nelson Mandela Road, Vasant Kunj, Phase II, New Delhi 110 070, India
November 07, 2012
The financial statements included in this quarterly report fairly presents in all material respects the financial position, results of
operations, cash flow of the company as of, and for the periods presented in this report.
| Mobile Services I Telemedia Services I Airtel Business | Digital TV Services | Tower Infrastructure Services |
Supplemental Disclosures
Safe Harbor: - Some information in this report may contain forwardlooking statements. We have based these forward-looking statements
on our current beliefs, expectations and intentions as to facts, actions
and events that will or may occur in the future. Such statements
generally are identified by forward-looking words such as believe,
plan, anticipate, continue, estimate, expect, may, will or other
similar words.
A forward-looking statement may include a statement of the
assumptions or basis underlying the forward-looking statement. We
have chosen these assumptions or basis in good faith, and we believe
that they are reasonable in all material respects. However, we caution
you that forward-looking statements and assumed facts or basis almost
always vary from actual results, and the differences between the results
implied by the forward-looking statements and assumed facts or basis
and actual results can be material, depending on the circumstances.
You should also keep in mind that any forward-looking statement made
by us in this report or elsewhere speaks only as of the date on which
we made it. New risks and uncertainties come up from time to time, and
it is impossible for us to predict these events or how they may affect us.
We have no duty to, and do not intend to, update or revise the forwardlooking statements in this report after the date hereof. In light of these
risks and uncertainties, any forward-looking statement made in this
report or elsewhere may or may not occur and has to be understood
and read along with this supplemental disclosure.
General Risk: - Investment in equity and equity related securities
involve a degree of risk and investors should not invest any funds in this
Company without necessary diligence and relying on their own
examination of Bharti Airtel, along with the equity investment risk which
doesn't guarantee capital protection.
Convenience translation: - We publish our financial statements in
Indian Rupees. All references herein to Indian Rupees and Rs are to
Indian Rupees and all references herein to US dollars and US$ are
to United States dollars. Translation of income statement items have
been made from Indian Rupees to United States dollars (unless
otherwise indicated) using the respective quarter average rate.
Translation of Statement of financial position items have been made
from Indian Rupees to United States dollars (unless otherwise
indicated) using the closing rate. The rates announced by the Reserve
Bank of India are being used as the Reference rate for respective
translations. All amounts translated into United States dollars as
described above are provided solely for the convenience of the reader,
and no representation is made that the Indian Rupees or United States
dollar amounts referred to herein could have been or could be
converted into United States dollars or Indian Rupees respectively, as
the case may be, at any particular rate, the above rates or at all. Any
discrepancies in any table between totals and sums of the amounts
listed are due to rounding off.
Functional Translation (Africa): - Wherever Africa financials are
reported in the quarterly report, the same are published in their
functional currency i.e. US$. Refer Section A.2.4 Key Accounting
Policies as per IFRS.
Use of Certain Non-GAAP measures: - This result announcement
contains certain information on the Companys results of operations and
cash flows that have been derived from amounts calculated in
accordance with International Financial Reporting Standards (IFRS),
but are not in themselves IFRS measures. They should not be viewed
in isolation as alternatives to the equivalent IFRS measures and should
be read in conjunction with the equivalent IFRS measures.
Further, disclosures are also provided under Use of Non - GAAP
financial information on page 34
Others: In this report, the terms we, us, our, Bharti, or the
Company, unless otherwise specified or the context otherwise implies,
refer to Bharti Airtel Limited (Bharti Airtel) and its subsidiaries, Bharti
Hexacom Limited (Bharti Hexacom), Bharti Airtel Services Limited,
Bharti Infratel Limited (Bharti Infratel), Bharti Infratel Ventures Limited
(subsidiary of Bharti Infratel Limited), Bharti Telemedia Limited (Bharti
Telemedia), Bharti Airtel (USA) Limited, Bharti Airtel (UK) Limited,
Bharti Airtel (Canada) Limited, Bharti Airtel (Hong Kong) Limited, Bharti
Airtel Lanka (Private) Limited, Network i2i Limited, Bharti Airtel Holdings
(Singapore) Pte Limited, Bharti Infratel Lanka (Private) Limited
(subsidiary of Bharti Airtel Lanka (Private) Limited), Bharti Airtel
International (Netherlands) B.V., Bharti International (Singapore) Pte
Ltd, Airtel Bangladesh Limited, Airtel M Commerce Services Limited,
Bharti Airtel (Japan) Kabushiki Kaisha, Bharti Airtel (France) SAS,
Bharti Airtel International (Mauritius) Limited, Indian Ocean Telecom
Limited, Airtel (Seychelles) Limited, Bharti Airtel Africa B.V., Bharti Airtel
Acquisition Holdings B.V., Bharti Airtel Burkina Faso Holdings B.V.,
Bharti Airtel Cameroon Holdings B.V., Bharti Airtel Chad Holdings B.V.,
Bharti Airtel Congo Holdings B.V., Bharti Airtel Gabon Holdings B.V.,
Bharti Airtel Ghana Holdings B.V., Bharti Airtel Kenya B.V., Bharti Airtel
Kenya Holdings B.V., Bharti Airtel Madagascar Holdings B.V., Bharti
Airtel Malawi Holdings B.V., Bharti Airtel Mali Holdings B.V., Bharti
Airtel Niger Holdings B.V., Bharti Airtel Nigeria B.V., Bharti Airtel Nigeria
Holdings B.V., Bharti Airtel Nigeria Holdings II B.V., Bharti Airtel RDC
Holdings B.V., Bharti Airtel Services B.V., Bharti Airtel Sierra Leone
Holdings B.V., Bharti Airtel Tanzania B.V., Bharti Airtel Uganda
Holdings B.V., Bharti Airtel Zambia Holdings B.V., Airtel Burkina Faso
S.A., Airtel Congo S.A, Celtel Congo RDC S.a.r.l., Airtel Gabon S.A.,
Airtel (Ghana) Limited, Airtel Networks Kenya Limited, Airtel
Madagascar S.A., Airtel Malawi Limited, Celtel Niger S.A., Airtel
Networks Limited, Airtel Tanzania Limited, Airtel Uganda Limited, Celtel
Zambia plc, Bharti Airtel DTH Holdings B.V., Celtel Cameroon SA,
Partnership Investments Sprl, MSI-Celtel Nigeria Limited, Celtel
(Mauritius) Holdings Limited, Channel Sea Management Co Mauritius
Limited, Montana International, Zap Trust Company Nigeria Limited,
Airtel Mobile Commerce Tchad SARL, ZMP Ltd. (Zambia), Airtel Mobile
Commerce Limited (Malawi), Airtel Mobile Commerce Ghana Limited,
Airtel Mobile Commerce Kenya Limited, Airtel Money Niger S.A, Airtel
Mobile Commerce (SL) Limited, Africa Towers N.V., Airtel DTH
Services Ghana Limited, Airtel DTH Services Malawi Limited, Airtel
DTH Services Uganda Limited, Airtel Towers (Ghana) Limited, Malawi
Towers Limited, Airtel Money S.A. (Gabon), Socit Malgache de
Telephonie Cellulaire SA, Uganda Towers Limited, Airtel Mobile
Commerce Tanzania Limited, Airtel (SL) Limited, Airtel DTH Services
(K) Limited, Airtel DTH Services (Sierra Leone) Limited, Airtel DTH
Services Burkina Faso S.A., Airtel DTH Services Congo (RDC )S.p.r.l,
Airtel DTH Services Congo S.A., Airtel DTH Services Gabon S.A., Airtel
DTH Services Madagascar S.A., Airtel DTH Services Niger S.A., Airtel
DTH Services Nigeria Limited, Airtel DTH Services T.Chad S.A., Airtel
DTH Services Tanzania Limited, Bharti DTH Services Zambia Limited,
Airtel Money (RDC) S.p.r.l, Burkina Faso Towers S.A. , Congo RDC
Towers S.p.r.l., Congo Towers S.A., Gabon Towers S.A., Kenya
Towers Limited, Madagascar Towers S.A., Mobile Commerce Congo
S.A., Niger Towers S.A., Tanzania Towers Limited, Tchad Towers S.A.,
Towers Support Nigeria Limited, Bharti Airtel Developers Forum Ltd.,
Bangladesh Infratel Networks Limited, Africa Towers Services Limited,
Airtel Mobile Commerce B.V., Airtel Mobile Commerce Burkina Faso
S.A., Airtel Mobile Commerce Holdings B.V., Airtel Mobile Commerce
Madagascar S.A., Airtel Mobile Commerce Uganda Limited, Airtel
Rwanda Limited, Airtel Towers (S.L.) Company Limited, Bharti Airtel
Cameroon B.V., Airtel Tchad S.A., Rwanda Towers Limited, Zambian
Towers Limited, Zebrano (Mauritius) Limited.
Disclaimer: - This communication does not constitute an offer of
securities for sale in the United States. Securities may not be sold in the
United States absent registration or an exemption from registration
under the U.S. Securities Act of 1933, as amended. Any public offering
of securities to be made in the United States will be made by means of
a prospectus and will contain detailed information about the Company
and its management, as well as financial statements.
Page 2 of 54
TABLE OF CONTENTS
Section 1
Bharti Airtel Performance at a glance
Section 2
An Overview
Section 3
Financial Highlights as per IFRS
3.1
Consolidated - Summary of Consolidated Financial Statements
3.2
Region wise - Summary of Statement of Operations
3.3
Segment wise - Summary of Statement of Operations
3.4
Region wise & Segment wise - Investment & Contribution
12
Section 4
Operating Highlights
14
Section 5
Management Discussion & Analysis
5.1
India & South Asia
18
5.2
Africa
20
5.3
Results of Operations
22
5.4
Three Line Graph
25
Section 6
Stock Market Highlights
26
Section 7
Detailed Financial and Related Information
28
Annexure
Trends & Policies
A.1
Trends & Ratio Analysis
35
A.2
Key Accounting Policies as per IFRS
44
Glossary
48
Page 3 of 54
Section 1
BHARTI AIRTEL PERFORMANCE AT A GLANCE
Full Year Ended
Particulars
Quarter Ended
UNITS
2010
Operating Highlights
Total Customer Base
Total Minutes on Netw ork
Sites on Netw ork
Total Employees 3
No. of countries of operation
Population Covered
2011
2012
Sep 2011
Dec 2011
Mar 2012
Jun 2012
Sep 2012
000s
Mn Min
Nos
Nos
Nos
Bn
137,013
643,109
107,443
18,791
3
1.36
220,877 251,646
890,093 1,020,615
131,304 141,059
23,371
20,479
19
20
1.83
1.84
236,986
250,446
135,813
21,548
19
1.84
243,336
252,972
137,826
20,675
19
1.84
251,646
265,235
141,059
20,479
20
1.84
260,710
274,616
147,010
20,892
20
1.84
262,555
274,820
151,219
21,299
20
1.85
Rs Mn
Rs Mn
Rs Mn
418,948
168,149
105,317
595,383
200,718
98,652
714,508
237,123
103,442
172,698
58,151
26,312
184,767
59,584
23,739
187,294
62,329
27,646
193,501
58,487
20,916
202,732
63,508
24,948
Rs Mn
162,817
180,581
204,836
49,356
51,576
53,581
48,671
53,539
Rs Mn
Rs Mn
105,091
89,768
76,782
60,467
65,183
42,594
15,126
10,270
15,806
10,113
17,056
10,059
12,629
7,622
14,729
7,212
Rs
Rs
Rs
Rs
96,431
71,718
23,920
421,940
140,100
60,617
599,512
487,668
135,804
101,319
650,394
506,113
47,287
10,864
644,298
484,486
21,233
38,352
677,628
491,733
23,801
38,528
650,394
506,113
35,758
22,729
682,983
495,150
40,549
22,959
667,600
493,070
US$ Mn
US$ Mn
US$ Mn
8,797
3,531
2,211
13,063
4,403
2,163
14,937
4,957
2,162
3,782
1,273
576
3,649
1,177
469
3,723
1,239
550
3,583
1,083
387
3,673
1,151
452
US$ Mn
3,419
3,961
4,282
1,081
1,019
1,065
901
970
US$ Mn
US$ Mn
2,207
1,885
1,682
1,325
1,363
890
331
225
312
200
339
200
234
141
267
131
Capex 1
US$ Mn
Operating Free Cash Flow (EBITDA - Capex) US$ Mn
Net Debt 2
US$ Mn
Shareholder's Equity 2
US$ Mn
2,025
1,506
530
9,347
0
3,072
1,330
13,427
10,922
0
2,839
2,118
12,714
9,893
0
1,035
238
13,169
9,903
0
419
757
12,722
9,232
0
473
766
12,714
9,893
0
662
421
12,129
8,793
0
735
416
12,669
9,357
0
%
%
%
Times
Times
Times
Times
%
%
40.1%
25.1%
21.4%
0.06
0.15
0.15
30.66
24.5%
20.7%
33.7%
16.6%
10.2%
1.23
2.95
2.95
11.20
13.3%
10.8%
33.2%
14.5%
6.0%
1.29
2.56
2.56
8.40
8.6%
7.2%
33.7%
15.2%
5.9%
1.33
2.70
2.59
8.74
10.3%
7.9%
32.2%
12.8%
5.5%
1.38
2.58
2.71
8.08
9.5%
7.3%
33.3%
14.8%
5.4%
1.29
2.56
2.56
7.55
8.6%
7.2%
30.2%
10.8%
3.9%
1.38
2.54
2.80
6.29
7.7%
6.6%
31.3%
12.3%
3.6%
1.35
2.72
2.75
6.40
7.1%
6.2%
Rs Bn
US$ Bn
Rs Bn
Times
1,184
26.2
1,172
6.97
1,358
30.4
1,957
9.75
1,279
25.0
1,929
8.14
1,436
29.3
2,080
8.94
1,302
24.4
1,980
8.31
1,279
25.0
1,929
7.74
1,158
20.6
1,841
7.87
1,006
19.1
1,673
6.59
Consolidated Financials (Rs Mn)

Total Revenue
EBITDA
EBIT
Cash profit from operations before
Derivative & Exchange Fluctuations
Profit / (Loss) before Tax
Net income
Capex
Operating Free Cash Flow (EBITDA - Capex)
Net Debt
Shareholder's Equity
Consolidated Financials (US$ Mn)
Total Revenue 1
EBITDA 1
EBIT 1
Cash profit from operations before
Derivative & Exchange Fluctuations
Net income 1
Key Ratios
EBITDA Margin
EBIT Margin
Net Profit Margin
Net Debt to Funded Equity Ratio
Net Debt to EBITDA (LTM) - US$
Net Debt to EBITDA (Annualised) - US$
Interest Coverage ratio
Return on Shareholder's Equity
Return on Capital employed
Valuation Indicators
Market Capitalization
Enterprise Value
EV / EBITDA (Annualised)
Mn
Mn
Mn
Mn
1. Average exchange rates used for Rupee conversion to US$ is (a) Rs.47.63 for the financial year ended March 31, 2010 (b) Rs. 45.60 for the financial year ended March 31, 2011, (c) Rs.
47.84 for the financial year ended March 31, 2012 (d) Rs. 45.67 for the quarter ended September 30, 2011 (e) Rs. 50.63 for the quarter ended December 31, 2011 (f) Rs. 50.30 for the
quarter ended March 31, 2012 (g) Rs. 54.00 for the quarter ended June 30, 2012 (h) Rs. 55.19 for the quarter ended September 30, 2012 based on the RBI Reference rate.
2. Closing exchange rates used for Rupee conversion to US$ is (a) Rs. 45.14 for the financial year ended March 31, 2010 (b) Rs. 44.65 for the financial year ended March 31, 2011 (c) Rs.
51.16 for the quarter and financial year ended March 31, 2012 (d) Rs. 48.93 for the quarter ended September 30, 2011 (e) Rs 53.27 for the quarter ended December 31, 2011 (f) Rs. 56.31
for the quarter ended June 30, 2012 (g) Rs. 52.70 for the quarter ended September 30, 2012 being the RBI Reference rate.
3. Total employees include proportionate consolidation of 42% of Indus Towers Employees.
4. Key Ratios computed using translated US$ values may yield different results in comparison with ratios computed using Rupee values.
Page 4 of 54
Section 2
AN OVERVIEW
2.1
Introduction
We are one of the worlds leading providers of

telecommunication services with significant presence in 20
countries including India, Bangladesh, Sri Lanka and 17
countries in Africa. We served close to 262.6 million customers
as of September 30, 2012.
Our bouquet of services include telecommunication services
under wireless and fixed line technology, integrated suite of
telecom solutions to our enterprise customers and providing
long distance connectivity both nationally and internationally. We
also offer Digital TV and IPTV Services. All these services are
rendered under a unified brand airtel. The Company also
deploys, owns and manages Tower infrastructure pertaining to
telecom operations through its subsidiary and its joint venture
entity.
2.2
2.2.1
Business Divisions
Airtel Sri Lanka has 1.6 million customers with presence in all
25 administrative districts of Sri Lanka. We have launched
3.5G services in major towns and have created a nationwide
distribution network comprising of over 39,000 retailers.
Airtel Bangladesh has 5.6 million customers and offers mobile
services across 64 districts of Bangladesh with a distribution
network comprising of around 89,000 retailers across the
country. The burgeoning economy of Bangladesh coupled with
growing population coverage of nearly 72% presents a unique
market opportunity for telecom services.
Telemedia Services We provide broadband (DSL), data and
telephone services (fixed line) in 87 cities with growing focus
on various data solutions for the Small & Medium Business
(SMB) segment. We have 3.3 million customers of which 1.4
million have subscribed to broadband / internet services, as on
September 30, 2012.
India & South Asia
The operations of Bharti Airtel in India and South Asia are

divided into two distinct Customer Business Units (CBU) with
clear focus on B2C (Business to Customer) and B2B (Business
to Business) segments. The B2C organization consists of
Consumer Business and Market Operations. The B2B business
unit (Airtel Business) focuses on serving large corporate and
carriers
through
Bharti
Airtels
wide
portfolio
of
telecommunication solutions.
Our product offerings in this segment include fixed-line

telephones providing local, national and international long
distance voice connectivity, broadband internet access through
DSL, internet leased lines as well as MPLS (multiprotocol label
switching) solutions. We remain strongly committed to our
focus on the SMB segment by providing a range of telecom &
software solutions and aim to achieve revenue leadership in
this rapidly growing segment of the ICT market. The strategy of
this business unit is to focus on cities with high revenue
potential.
B2C Services:
Mobile Services (India & South Asia): We offer mobile
services using GSM technology in South East Asia across India,
Sri Lanka and Bangladesh, serving a total of 193 million
customers in these geographies.
In India, we have 185.9 million mobile customers as on
September 30, 2012, which makes us the largest wireless
operator in the country both in terms of customers and
revenues. We offer postpaid, pre-paid, roaming, internet, mCommerce and other value added services through our
extensive sales and distribution network covering over 1.5
million outlets. Our network is present in 5,121 census towns
and 457,053 non-census towns and villages in India, covering
approximately 86.6% of the countrys population. We also
provide 3G services in key cities of the country offering host of
innovative services to our customers like Mobile TV, video calls,
live streaming of videos, gaming along with access to high
speed internet. We have 5.4 million active 3G customers of
which 4.0 million are active 3G data customers as on September
30, 2012.
Our Airtel Money provides mobile wallet service, offering money
transfer between its own mobile wallets and bank accounts
including person to person money transfer capability.
Our 4G services currently launched in Kolkata, Bengaluru and
Pune are based on TD-LTE technology and offer a wide range
of services to our customers including rich content, superfast
access to High Definition (HD) video streaming, multiple
chatting, instant uploading of pictures etc.
Our national long distance infrastructure comprises of 162,457
Rkms of optical fibre, thereby providing a pan India reach.
Digital TV Services Airtel digital TV has 7.5 million

customers on its Direct-To-Home (DTH) platform. We also offer
High Definition (HD) Set Top Boxes and Digital TV Recorders
with 3D capabilities delivering superior customer experience.
We currently offer a total of 304 channels including 15 HD
channels and 5 interactive services. We are the first Company
in India which provides real integration of all the three screens
viz. television, mobile and computer enabling our customers to
record their favorite TV programs through mobile and web.
B2B Services:
Airtel Business Airtel business offers wide portfolio of
services that include voice, data, network integration, data
center & managed services, enterprise mobile applications and
digital media. It is Indias leading and most trusted provider of
communication and ICT services to large Enterprise,
Government, Small & Medium businesses and carrier
customers.
Airtel business offers network infrastructure, integration &
management with a combination of cutting edge global network
infrastructure, technical skills and world-class services through
a consultative approach. Our portfolio of MPLS and IP services
helps our customers in keeping mission critical applications
running and in managing the flow of information across the
globe. Our data center & managed services include entire suite
of managed hosting, storage, business continuity, data security
& cloud services. Airtel business also offers digital media
services, a centralized online media management and
distribution platform akin to a media exchange linking all the
content owners, production facilities and screens enabling
them to store, forward, share & trade multi versions of
produced content to multiple platforms across the globe.
Page 5 of 54
Our Global services for both voice and data, with strategically
located submarine cable systems across the world and satellite
connectivity in hard to reach areas, provide our customers
connectivity from anywhere to everywhere in the world. Our
international infrastructure includes ownership of the i2i
submarine cable system connecting Chennai to Singapore,
consortium ownership of the SMW4 submarine cable system
connecting Chennai and Mumbai to Singapore and Europe, and
our investments in new cable systems such as Asia America
Gateway (AAG), India Middle East & Western Europe (IMEWE),
Unity, EIG (Europe India Gateway) and East Africa Submarine
System (EASSy) expanding our global network to over 225,000
Rkms, covering 50 countries across 5 Continents. We also have
terrestrial express connectivity to neighboring countries
including Nepal, Pakistan, Bhutan and China.
Tower
Infrastructure
Services
(erstwhile
Passive
Infrastructure Services) We provide tower infrastructure
services through our subsidiary, Bharti Infratel and Indus
Towers, a joint venture in which Bharti Infratel, Vodafone India
and Aditya Birla Telecom hold equity interests of 42%, 42% and
16% respectively.
On a consolidated basis, Bharti Infratel is one of the largest
tower infrastructure providers in India, based on the number of
towers that Bharti Infratel owns and operates and the number of
towers owned or operated by Indus, that are represented by
Bharti Infratels 42% equity interest in Indus. The business of
Bharti Infratel and Indus is to acquire, build, own and operate
tower and related infrastructure. Bharti Infratel and Indus
currently provide access to their towers primarily to wireless
telecommunications service providers on a shared basis, under
long-term contracts.
We have a nationwide presence with operations in all 22
telecommunications Circles in India, with Bharti Infratels and
Indus operations overlapping in four telecommunications
Circles. As of September 30, 2012, Bharti Infratel owned and
operated 34,220 towers in 11 telecommunications Circles while
Indus operated 110,561 towers in 15 telecommunications
Circles. With Bharti Infratels towers and Bharti Infratels 42%
interest in Indus, we have an economic interest in the equivalent
of 80,656 towers in India as of September 30, 2012.
2.2.2
Africa
Mobile Services We offer mobile services in 17 countries

across Africa, namely: Nigeria, Burkina Faso, Chad, Congo B,
Democratic Republic of Congo, Gabon, Madagascar, Niger,
Ghana, Kenya, Malawi, Seychelles, Sierra Leone, Tanzania,
Uganda, Zambia and Rwanda. This makes Airtels footprint
across Africa, the largest amongst all telecommunication service
providers in the continent. We continue to grow as the most
loved brand and currently serve 58.7 million customers across
these geographies. We offer wide range of services to our
customers, which includes post-paid, pre-paid, roaming, OneNetwork, Airtel Money, internet services, content, media &
entertainment and other non-voice services.
Innovation with focus on 3G data and m-Commerce continues to
be the next growth frontier. We continue to focus on 3G through
roll-out of new sites across markets to increase the user base.
The Company is now offering 3G services in 11 countries
namely: Ghana, Kenya, Nigeria, Tanzania, Zambia, Congo B,
Sierra Leone, Malawi, Uganda, Rwanda and Madagascar.
Our offerings under Airtel Money brand allow our customers to
enjoy the convenience of banking on their mobiles with new,
secure & robust features and stable platforms. Three countries
launched Airtel money this quarter; namely Burkina Faso,
Madagascar & Nigeria taking the total number of countries to 15.
2.3
Partners
Strategic Equity Partners - We have a strategic alliance with

SingTel, which has enabled us to further enhance and expand
our telecommunications networks in India to provide quality
service to our customers. The investment made by SingTel in
Bharti is one of their largest investments made in the world
outside Singapore.
Equipment and Technology Partners - We have long term
strategic partnerships in all areas including network equipment,
Information technology and call center technology building
upon the unique outsourcing business models we pioneered.
Our business models have enabled us to partner with global
leaders who share our drive for co-creating innovative and
tailor-made solutions for the markets we operate in.
For 2G/2.5G and 3G network equipments, we have partnered
with Ericsson, Nokia Siemens Networks (NSN) and Huawei for
the markets in India, Africa, Sri Lanka and Bangladesh.
We have partnered with ZTE, Huawei & NSN for our TD-LTE
(popularly known as 4G) networks in the BWA telecom circles
of Kolkata, Karnataka and Maharashtra respectively.
We have also entered into Supply & Services Contracts for
enhanced packet core with Cisco, NSN & Huawei. These
partners will design, deploy and maintain a state of the art
packet core system to handle data traffic from 2G, 3G & LTE
access networks.
Besides wireless network with strategic partners, we have also
partnered with Alcatel Lucent, Huawei, ECI, Tejas Networks
and Cisco for fiber/ carrier Ethernet based 3G backhaul
products supply and deployment.
IBM is our strategic partner for all business and enterprise IT
systems. Our path breaking contract with IBM caters to, among
other things, technology evolution, scale, tariff changes and
subscriber growth. It is a Global IT outsourcing contract
covering India, Bangladesh, Sri Lanka and African regions
thereby taking our relationship to a truly global level. Under this
contract, IBM will provide and run all telecom-related IT
systems, software and services to support business
requirements. It is helping Bharti Airtel derive economies of
scale benefits, while ensuring similar customer services and
experience across regions.
IBM
Daksh,
Wipro,
Mphasis,
FirstSource,
Aegis,
Teleperformance, Tech Mahindra and HGSL are our call centre
partners and provide an excellent customer experience through
dedicated contact center operations. Our existing call centre
technology partners are Avaya, Wipro and Cisco. Infosys is our
technology partner for the Airtel m-Commerce services in India
and Comviva is for Africa. We have also launched cloud based
services in partnership with HP and Microsoft.
We work with other renowned organizations such as Comviva,
OnMobile, Acision, Yahoo, Google and Spice Digital, among
others, to provide each of our customers with a unique
experience in VAS like CRBT (caller ring back tone), Talk2Me
(Interactive sessions with Celebrities), SMS, Music on
Demand, Airtel Talkies (Movies via Audio), Buddy Finder,
Email services and other Airtel Live applications. We also have
an alliance with RIM for selling Blackberry enterprise & internet
services and with Apple Inc for selling iPhone. We have also
tied up Nokia, Blackberry and Apple to bring apps to our
customers from their respective App stores.
Page 6 of 54
SECTION 3
FINANCIAL HIGHLIGHTS
The financial results presented in this section are compiled based on the audited consolidated financial statements prepared in
accordance with International Financial Reporting Standards (IFRS) and the underlying information.
Detailed financial statements, analysis & other related information is attached to this report (page 28 - 30). Also, kindly refer to Section 7.4 - use of Non
- GAAP financial information (page 34) and Glossary (page 48) for detailed definitions.
3.1
Consolidated - Summary of Consolidated Financial Statements
3.1.1 Consolidated Summarized Statement of Operations (net of inter segment eliminations)
Quarter Ended
Particulars
Amount in Rs mn, except ratios

Half Year Ended
Y-on-Y
Sep-12
Sep-11
Grow th
Sep-12
Sep-11
Y-on-Y
Grow th
Total revenues
202,732
172,698
17%
396,233
342,447
16%
EBITDA
63,508
58,151
9%
121,995
115,209
6%
EB ITDA / To tal revenues
31.3%
33.7%
30.8%
33.6%
EBIT
24,948
26,312
-5%
45,864
52,057
Finance cost (net)
10,219
11,186
-9%
18,430
19,735
-7%
14,729
15,126
-3%
27,358
32,321
-15%
Income tax expense5
7,714
4,900
57%
12,592
10,041
25%
Net income / (loss) 5
7,212
10,270
-30%
14,834
22,422
-34%
Capex
40,549
47,287
-14%
76,306
90,770
-16%
22,959
10,864
111%
45,689
24,439
87%
1,877,197
1,700,728
10%
1,877,197
1,700,728
10%

Cumulative Investments
-12%
Note 5: During the quarter ended September 30, 2012, the Group has recognized additional tax charge on account of Dividend Distribution Tax relating
to the dividend received from Indus Towers Ltd for which no tax credit is available to the Group. As a result, tax expenses for the quarter are higher by
Rs 657 Mn and the net income is lower by Rs 566 Mn.
3.1.2 Consolidated Summarized Statement of Financial Position
As at
Sep 30, 2012
Amount in Rs mn
As at
Mar 31, 2012
Assets
Non-current assets
Current assets
Total assets
1,459,416
160,148
1,619,564
1,422,532
148,084
1,570,616
Non-current liabilities
Current liabilities
Total liabilities
619,961
479,781
1,099,742
547,935
488,873
1,036,808
493,070
26,752
519,822
506,113
27,695
533,808
1,619,564
1,570,616
Particulars
Equity & Minority Interest

Equity
Non-Controlling Interest
Total Equity & Minority Interest
Total Equity and liabilities
Page 7 of 54
3.2
Region wise - Summary of Consolidated Financial Statements
3.2.1 Summarized Statement of Operations (net of inter segment eliminations)

Quarter Ended Sep 2012
India & SA
Africa
Total

India & SA
Africa
Total
Half Year Ended Sep 2012

India & SA
Africa
Total

India & SA
Africa
Total
Total revenues
144,187
60,512
202,732
126,790
47,032
172,698
281,365
118,098
396,233
253,096
90,816
342,447
EBITDA
47,097
16,413
63,508
45,728
12,403
58,151
90,681
31,337
121,995
91,734
23,456
115,209
32.7%
27.1%
31.3%
36.1%
26.4%
33.7%
32.2%
26.5%
30.8%
36.2%
25.8%
33.6%
EBIT
20,552
4,397
24,948
22,524
3,768
26,312
38,085
7,802
45,864
45,997
6,040
52,057
Net incom e / (loss)
12,601
(5,388)
7,212
14,519
(4,266)
10,270
26,895
(12,037)
14,834
29,685
(7,282)
22,422
Capex
28,957
11,592
40,549
20,625
26,662
47,287
58,265
18,042
76,306
45,330
45,440
90,770
18,140
4,821
22,959
25,103
(14,259)
10,864
32,416
13,295
45,689
46,403
(21,984)
24,439
1,177,660
699,537
1,877,197
1,070,126
630,602
1,700,728
1,177,660
699,537
1,877,197
1,070,126
630,602
1,700,728
Particulars
3.2.2 Region wise Summarized Statement of Financial Position

Amount in Rs mn
Particulars
As at Sep 30, 2012

India & SA
Africa
Eliminations
Total
Non-current assets
930,210
662,223
(133,017)
1,459,416
Current assets
126,548
46,396
(12,796)
160,148
Total assets
1,056,758
708,618
(145,812)
1,619,564
172,294
447,667
Current liabilities
285,031
207,546
(12,796)
479,781
Total liabilities
457,325
655,213
(12,796)
1,099,742
Equity
571,519
54,568
27,914
(1,162)
(133,017)
-
493,070
Minority Interest
Total Equity & Minority Interest
599,433
53,405
(133,017)
519,822
1,056,758
708,618
(145,812)
1,619,564
Assets
Liabilities
-
619,961
Equity & Minority Interest
Total Equity and liabilities
26,752
Page 8 of 54
3.3
Segment wise Summarized Statement of Operations
INDIA & SOUTH ASIA

B2C Services
3.3.1 Mobile Services (India & South Asia) comprises of Consolidated Statement of Operations of Mobile Services India &
South Asia.
Quarter Ended
Half Year Ended
Particulars
Y-on-Y
Y-on-Y
Sep-12
Sep-11
Sep-12
Sep-11
Grow th
Grow th
Total revenues
EBITDA
111,170
34,437
EBIT
Capex
97,827
32,926
31.0%
33.7%
18,438
17,345
17,092
747,459
19,775
12,011
20,914
665,785
14%
5%
218,018
66,787
196,231
66,540
30.6%
33.9%
-7%
44%
-18%
12%
35,450
36,756
30,031
747,459
40,628
25,463
41,076
665,785
11%
0%
-13%
44%
-27%
12%
Note 6: Effective quarter ended Jun12, Cumulative investments include investments in 4G earlier reported under Telemedia services. Previous
quarters have been restated accordingly.
3.3.2 Telemedia Services

Half Year Ended
Quarter Ended
Particulars
Total revenues
EBITDA
EBIT
Capex
Sep-12
Sep-11
9,529
4,039
9,528
4,213
42.4%
44.2%
1,803
1,492
2,547
96,817
2,126
1,348
2,865
90,336
Y-on-Y
Grow th
0%
-4%
Sep-12
Sep-11
18,971
7,848
18,985
8,517
41.4%
44.9%
-15%
11%
-11%
7%
3,136
3,573
4,275
96,817
4,346
4,461
4,056
90,336
Y-on-Y
Grow th
0%
-8%
-28%
-20%
5%
7%
Note 7: Effective quarter ended Jun12, Cumulative investments in 4G earlier reported under Telemedia services have now been reported under
Mobile services (India & South Asia). Previous quarters have been restated accordingly.
3.3.3 Digital TV Services

Half Year Ended
Quarter Ended
Particulars
Total revenues
EBITDA
Y-on-Y
Grow th
Sep-12
Sep-11
3,135
26%
7,595
6,069
25%
116
-72%
10
166
-94%
Sep-12
Sep-11
3,937
33
Y-on-Y
Grow th
0.8%
3.7%
0.1%
2.7%
EBIT
(2,228)
(1,806)
-23%
(4,493)
(3,300)
-36%
Capex
1,630
2,610
-38%
4,871
5,624
-13%
(1,597)
(2,494)
36%
(4,861)
(5,458)
11%
37,876
31,522
20%
37,876
31,522
20%
Page 9 of 54
B2B Services
3.3.4 Airtel Business

Half Year Ended
Quarter Ended
Particulars
Sep-12
Sep-11
Y-on-Y
Grow th
Sep-12
Sep-11
Y-on-Y
Grow th
Total revenues
13,934
11,042
26%
25,840
21,452
20%
EBITDA
2,148
2,371
-9%
4,111
4,674
-12%
15.4%
21.5%
15.9%
21.8%
1,734
EBIT
770
1,051
-27%
1,361
Capex
458
116
293%
624
411
52%
1,690
2,255
-25%
3,487
4,263
-18%
42,268
43,676
-3%
42,268
43,676
-3%
-22%
3.3.5 Tower Infrastructure Services
Quarter Ended
Particulars
Total revenues
EBITDA
EBIT
Capex
Sep-12
Sep-11
25,567
9,577
23,766
8,902
37.5%
37.5%
4,090
5,679
3,898
243,664
3,520
3,743
5,159
229,486
Y-on-Y
Grow th
8%
8%
16%
52%
-24%
6%

Half Year Ended
Y-on-Y
Sep-12
Sep-11
Grow th
49,615
46,533
7%
18,364
17,487
5%
37.0%
37.6%
7,510
9,963
8,401
243,664
6,953
7,858
9,629
229,486
8%
27%
-13%
6%
Others
3.3.6 Others (India & South Asia)

Half Year Ended
Quarter Ended
Particulars
Total revenues
EBITDA
EBIT
Capex
Sep-12
Sep-11
946
(2,249)
(2,336)
2,353
(4,602)
9,576
859
(1,969)
(2,118)
787
(2,756)
9,322
Y-on-Y
Grow th
10%
-14%
-10%
199%
-67%
3%
Sep-12
Sep-11
1,763
(4,744)
(4,960)
2,478
(7,222)
9,576
1,650
(4,036)
(4,332)
1,513
(5,549)
9,322
Y-on-Y
Grow th
7%
-18%
-14%
64%
-30%
3%
Includes corporate office and other support units.
Page 10 of 54
AFRICA
3.3.7 Consolidated Africa comprises of 17 country operations in Africa.
Amount in US $ mn, except ratios

Half Year Ended
Quarter Ended
Particulars
Total revenues
EBITDA
EBIT
Capex
Y-on-Y
Grow th
Sep-12
Sep-11
1,030
6%
2,163
2,009
8%
270
10%
573
517
11%
26.5%
25.7%
142
330
243
13,274
131
995
(478)
12,889
Sep-12
Sep-11
1,097
298
27.2%
26.2%
80
210
88
13,274
81
575
(305)
12,889
-1%
-63%
129%
3%
Y-on-Y
Grow th
8%
-67%
151%
3%
Note 8: Africa financials reported above are in their functional currency i.e., US$.
Note 9: In constant currency terms, reported revenues of $ 1,097 Mn for the quarter ended Sep12 against $ 970 Mn in the same quarter last year,
represents a growth of 13.0%.
Page 11 of 54
3.4
Region wise & Segment wise Investment & Contribution
3.4.1 India and South Asia

Segment

As at Sep 30, 2012
Cummulative
% of Total
% of Total
Investments
60%
747,459
63%
5%
96,817
8%
6%
37,876
3%
2%
42,268
4%
20%
243,664
21%
8%
9,576
1%
100%
1,177,660
100%
0%
(430,548)
100%
747,112
Revenue
% of Total
EBITDA
% of Total
Capex
Mobile Services 10
Telemedia Services
Digital TV Services
Airtel Business
Tow er Infrastructure Services
Others
Sub Total
Eliminations
Accumulated Depreciation And Amortization
Total (India & SA)
111,170
9,529
3,937
13,934
25,567
946
165,083
(20,896)
77%
7%
3%
10%
18%
1%
114%
-14%
34,437
4,039
33
2,148
9,577
(2,249)
47,985
(888)
73%
9%
0%
5%
20%
-5%
102%
-2%
17,345
1,492
1,630
458
5,679
2,353
28,957
-
144,187
100%
47,097
100%
28,957
Consolidated
202,732
63,508
40,549
1,877,197
71%
74%
71%
63%
% of Consolidated

As at Sep 30, 2012

Segment
218,018
77%
66,787
74%
36,756
63%
Cummulative
Investments
747,459
Telemedia Services
18,971
7%
7,848
9%
3,573
6%
96,817
8%
Digital TV Services
7,595
3%
10
0%
4,871
8%
37,876
3%
Airtel Business
25,840
9%
4,111
5%
624
1%
42,268
4%
Tow er Infrastructure Services
49,615
18%
18,364
20%
9,963
17%
243,664
21%
Mobile Services
10
Others
Revenue
% of Total
EBITDA
% of Total
Capex
% of Total
% of Total
63%
1,763
1%
(4,744)
-5%
2,478
4%
9,576
1%
Sub Total
321,802
114%
92,376
102%
58,265
100%
1,177,660
100%
Eliminations
(40,437)
-14%
(1,695)
-2%
Total (India & SA)
281,365
100%
90,681
100%
Consolidated
396,233
121,995
76,306
1,877,197
71%
74%
76%
63%
0%
% of Consolidated
(430,548)
58,265
100%
747,112
Note 10: Cumulative Investments includes National optic fibre network.
Page 12 of 54
3.4.2 Africa
Amount in US$ mn, except ratios
As at Sep 30, 2012

Segment
Consolidated Africa
Revenue
% of Total
EBITDA
% of Total
Capex
% of Total
1,097
100%
298
100%
210
100%

Total (Africa)
100%
29%
298
100%
26%
210
Consolidated Africa
100%
29%
% of Consolidated
11,747
37%
Revenue
% of Total
EBITDA
% of Total
Capex
% of Total
2,163
100%
573
100%
330
100%

Total (Africa)
100%
Amount in US$ mn, except ratios

As at Sep 30, 2012

Segment
% of Total
(1,527)
1,097
% of Consolidated
Cummulative
Investments
13,274
Cummulative
Investments
13,274
% of Total
100%
(1,527)
2,163
29%
100%
573
26%
100%
330
24%
100%
11,747
37%
Page 13 of 54
SECTION 4
OPERATING HIGHLIGHTS
The financial figures used for computing ARPU, Realization per Minute, Revenue per Site, Non Voice revenue, Messaging & VAS
revenue, Data revenue, Others revenue, Gross revenue per employee per month, Personnel cost per employee per month are
based on IFRS.
4.1
Customers and Non Voice % - Consolidated
Parameters
Mobile Services
India & South Asia
Africa
Telemedia Services
Digital TV Services
Total
Non Voice Revenue as a % of Total Revenues
Unit
Sep 30,
2012
Jun 30,
2012
Q-on-Q
Grow th
Sep 30,
2011
Y-on-Y
Grow th
000's
000's
000's
000's
000's
000's
%
251,825
193,158
58,667
3,275
7,455
262,555
27.2%
250,038
194,183
55,855
3,272
7,400
260,710
26.6%
1%
-1%
5%
0%
1%
1%
227,044
178,606
48,437
3,328
6,614
236,986
26.5%
11%
8%
21%
-2%
13%
11%
Note 11: Effective quarter ended Jun12, Non Voice revenue includes revenue from non-telecom (refer glossary for definition). Previous quarters have
been restated accordingly. Also, refer to note 12.
4.2 Traffic Details Consolidated
Parameters
Unit
Sep 30,
2012
Jun 30,
2012
Q-on-Q
Grow th
Sep 30,
2011
Y-on-Y
Grow th
0%
Mn Min
266,780
Mn Min
243,134
267,511
247,860
-2%
242,683
224,734
10%
India & South Asia

Africa
Mn Min
23,646
19,651
20%
17,950
32%
Mobile Services
8%
Telemedia Services
Mn Min
4,156
4,162
0%
4,598
-10%
National Long Distance Services
Mn Min
22,997
22,241
3%
20,305
13%
International Long Distance Services
Mn Min
4,340
3,362
29%
3,519
23%
Total Minutes on Netw ork (Gross)
Mn Min
298,273
297,276
0%
271,106
10%
(20,660)
14%
250,446
10%
Eliminations
Mn Min
(23,453)
(22,660)
4%
Total Minutes on Netw ork (Net)
Mn Min
274,820
274,616
0%
Page 14 of 54
4.3 Mobile Services India
000's
%
000's
%
%
Sep 30,
2012 12
185,922
91.5%
(1,380)
96.0%
8.5%
Jun 30,
2012
187,302
90.8%
6,023
96.2%
8.8%
Q-on-Q
Grow th
-1%
Average Revenue Per User (ARPU)
Rs
177
185
-4%
183
-3%

Total Revenue / Minutes on Netw ork
US$
3.2
3.4
-6%
4.0
-20%
Parameters
Unit
Customer Base
VLR
Net Additions
Pre-Paid (as % of total Customer Base)
Monthly Churn
-123%
Sep 30,
2011
172,783
88.6%
3,595
96.3%
7.2%
Y-on-Y
Grow th
8%
-138%
paisa
42.6
42.7
0%
43.2
-1%
Rs
260,380
275,647
-6%
266,165
-2%
Minutes on the netw ork
Mn
234,224
239,338
-2%
217,408
8%
Voice Average Revenue Per User (ARPU)
Rs
148
154
-4%
153
-4%
Revenue per site per month

Voice
min
417
433
-4%
423
-2%
paisa
35.4
35.7
-1%
36.2
-2%
16.8%
16.3%
16.1%
Messaging & VAS as % of Mobile revenues
10.1%
10.8%
12.2%
Data as % of Mobile revenues
5.2%
4.3%
3.1%
Others as % of Mobile revenues
1.5%
1.2%
0.8%
Voice Usage per customer

Voice Realization per minute
Non Voice Revenue
% of Mobile revenues
Of Which
Data
000's
40,600
38,660
5%
NA
NA
000's
4,014
3,713
8%
NA
NA
21.8%
20.6%
Mn MBs
15,879
12,566
26%
NA
NA
Rs
43
40
9%
NA
NA
Data Usage per customer
MBs
133
112
19%
NA
NA
Data Realization per MB
paisa
32.4
35.3
-8%
NA
NA
Data Customer Base

Of which no. of 3G data customers
As % of Customer Base
Total MBs on the netw ork
Data Average Revenue Per User (ARPU)
NA
Note 12: In the quarter ended Sep 30, 2012, the Group was awarded a favourable order by TDSAT in respect of an outstanding dispute pertaining to
inter-connect agreements, for which accounting has been recognized, and for which KPI parameters reflect only the proportion applicable to the
quarter ended Sep 30,2012 with no prior period adjustments.
4.4 Telemedia Services
Parameters
Unit
Telemedia Customers
Of which no. of broadband (DSL) customers
Net additions
Non Voice Revenue as % of Telemedia revenues
000's
000's
%
000's
Rs
US$
%
Sep 30,
2012
3,275
1,380
42.1%
3
971
17.6
55.4%
Jun 30,
2012
3,272
1,371
41.9%
2
962
17.8
54.3%
Q-on-Q
Grow th
0%
1%
Y-on-Y
Grow th
-2%
-1%
32%
1%
-1%
2%
Sep 30,
2011
3,328
1,398
42.0%
7
955
20.9
52.1%
Sep 30,
2012
Jun 30,
2012
Q-on-Q
Grow th
Sep 30,
2011
Y-on-Y
Grow th
7,455
55
177
3.2
1.9%
7,400
172
166
3.1
1.7%
1%
-68%
6%
4%
6,614
352
161
3.5
1.2%
13%
-84%
10%
-9%
-60%
2%
-16%
6%
4.5 Digital TV Services

Parameters
Unit
Digital TV Customers
Net additions
Monthly Churn
000's
000's
Rs
US$
%
Page 15 of 54
4.6 Network and Coverage - India
Parameters
Mobile Services
Census Tow ns
Non-Census Tow ns and Villages
Population Coverage
Optic Fibre Netw ork
Sites on Netw ork
Of which no. of 3G sites
Telem edia Services
Cities covered
Airtel Business
Submarine cable systems
Digital TV Services
Districts Covered
Coverage
Unit
Sep 30,
2012
Jun 30,
2012
Q-on-Q
Grow th
Sep 30,
2011
Y-on-Y
Grow th
Nos
Nos
%
R Kms
5,121
457,053
86.6%
162,457
5,121
455,575
86.5%
159,762
1,478
6
3,905
2,695
5,115
453,148
86.3%
151,719
10,738
Nos
129,411
126,010
3,401
118,011
11,400
Nos
20,333
18,012
2,321
12,979
7,354
Nos
87
87
87
Nos
Nos
%
632
99%
616
96%
16
582
91%
50
Jun 30,
2012
79,452
151,458
Q-on-Q
Grow th
1,203
2,837
Sep 30,
2011
78,859
146,548
Y-on-Y
Grow th
1,797
7,748
3%
34,576
0%
4.7 Tower Infrastructure Services 16

4.7.1 Bharti Infratel Consolidated
Parameters
Unit
Total Tow ers 13

Total Co-locations 13
Key Indicators
Sharing Revenue per sharing operator per month
Nos
Nos
Sep 30,
2012
80,656
154,296
Rs
34,449
33,388
Times
1.91
1.90
Average Sharing Factor
1.85
Note 13: Represents the sum of the number of towers (and the co-locations thereof) owned and operated by Bharti Infratel (as set forth in table 4.7.2)
and 42% of the number of towers (and the co-locations thereof) owned and operated by Indus and includes the towers (and the co-locations thereof)
operated by Indus pursuant to the Indefeasible Right to use agreements.
4.7.2 Bharti Infratel Standalone

Parameters
Unit
Sep 30,
2012
Jun 30,
2012
Total Tow ers 14

Key Indicators
Nos
Nos
34,220
62,027
33,446
60,714
Rs
Times
36,839
1.81
36,170
1.82
Q-on-Q
Grow th
774
1,313
Sep 30,
2011
2%
36,293
1.79
32,993
59,366
Y-on-Y
Grow th
1,227
2,661
2%
Note 14: Represents Total Towers (and the co-locations thereof) owned and operated by Bharti Infratel and excludes the towers (and the co-locations
thereof) operated by Indus pursuant to the Indefeasible Right to use agreements.
4.7.3 Indus Towers
Nos
Nos
Sep 30,
2012
110,561
219,687
Jun 30,
2012
109,539
216,058
Q-on-Q
Grow th
1,022
3,629
Sep 30,
2011
109,204
207,575
Y-on-Y
Grow th
1,357
12,112
Rs
Times
31,711
1.98
29,777
1.96
6%
31,117
1.89
2%
Parameters
Unit
Total Tow ers 15

Key Indicators
Note 15: Represents Total towers (and the co-locations thereof) owned and operated by Indus and includes the towers (and the co-locations thereof)
Note 16: During the quarter ended Sep 30, 2012, the Company has changed the nomenclature and definitions of Tower infrastructure operational &
financial performance indicators to reflect the globally used tower companies terminologies. The revised definitions are enclosed as part of Glossary
and wherever necessary the previous quarter figures have been restated accordingly so as to conform to the revised definitions.
Page 16 of 54
4.8 Human Resource Analysis India
Parameters
Unit
Consolidated
Total Employees 17
Number of Customers per employee
Personnel cost per employee per month
Gross Revenue per employee per month17
Nos
Nos
Rs
Rs
Sep 30,
2012
Jun 30,
2012
Q-on-Q
Grow th
Sep 30,
2011
Y-on-Y
Grow th
15,579
12,623
118,425
15,256
12,977
118,119
15,611
11,705
116,451
2,896,814
2,935,716
323
(354)
0%
-1%
(32)
918
2%
9%
2,661,360
Note 17: Total Employees include proportionate consolidation of 42% Indus towers employees. Also refer to note 12.
4.9 Operational Performance - Africa
000's
%
000's
%
%
Sep 30,
2012
58,667
85.8%
2,812
99.3%
5.1%
Jun 30,
2012
55,855
85.3%
2,715
99.3%
5.1%
Sep 30,
2011
48,437
87.1%
2,131
99.3%
6.1%
Y-on-Y
Grow th
21%
US$
6.4
6.5
US
4.6
5.4
-2%
7.3
-12%
-15%
5.7
US$
22,872
23,134
-19%
-1%
25,836
-11%
Mn
23,646
US$
5.5
19,651
20%
17,950
32%
5.7
-3%
6.5
-15%
min
US
138
120
14%
128
8%
4.0
4.7
-15%
5.1
-21%
13.0%
12.9%
10.7%
6.9%
7.0%
6.0%
3.6%
3.4%
2.7%
2.5%
2.5%
2.0%
Parameters
Unit
Sep 30,
2012
Jun 30,
2012
Q-on-Q
Grow th
Sep 30,
2011
Y-on-Y
Grow th
Sites on Netw ork

Nos
Nos
15,979
5,347
15,439
4,787
540
560
13,628
NA
2,351
NA
Sep 30,
2012
4,984
11,771
6,015
73,335
Jun 30,
2012
4,907
11,383
5,436
72,831
Q-on-Q
Grow th
77
388
11%
1%
Sep 30,
2011
5,115
9,470
5,154
67,138
Y-on-Y
Grow th
(131)
2,301
17%
9%
Parameters
Unit
Customer Base
VLR
Net Additions
Monthly Churn
Q-on-Q
Grow th
5%
4%
32%
Voice
Non Voice Revenue

Of Which
Refer page 42 for KPIs in constant currency.
4.10 Network & Coverage - Africa
4.11 Human Resource Analysis - Africa
Parameters
Unit
Total Employees
Personnel cost per employee per month
Gross Revenue per employee per month
Nos
Nos
US$
US$
Page 17 of 54
SECTION 5
MANAGEMENT DISCUSSION AND ANALYSIS
5.1 India and South Asia

Missing forms in the audit will be treated as preactivated connections.
A. Key Industry Developments

1. TRAI direction on Providing Broadband Services
3.
On July 27, 2012, TRAI issued a Direction for delivering
broadband services in a transparent manner by
providing adequate information to broadband
consumers:
On Sep 7, 2012 TRAI directed all service providers

regarding menace of missed calls (Wangiri calls) as
below:
No ISD facility is activated on pre-paid SIM without the
explicit consent of the consumer.
Information about Data usage, speed limit and fair

usage policy to be furnished on website and in all
advertisements.
Inform all pre-paid subscribers having ISD facility,

through SMS, within ten days of the date of issue of this
direction, that ISD facility of the subscribers shall be
discontinued after sixty days. If any such subscriber
wants to continue with ISD facility, they should give
their explicit consent for availing such facility within sixty
days of the receipt of the SMS
Provide the above specified information to new

subscribers at the time of enrolment and to existing
customers through registered email ID and SMS on
registered mobile numbers
Ensure that speed of Broadband connection is not
reduced below 256 Kbps as specified in QoS
Regulation, 2006.
Inform through SMS, within ten days of the date of the

issue of this direction, all pre-paid cellular mobile
telephone service consumers not to respond to missed
calls from unknown international numbers with prefix
other than +91.
Provide alert to the customer at the time of login to the

network of the service provider when the data usage
reaches 80% of the data usage limit bundled with the
plan and to ensure that such alert shall be provided at
each login after data usage crosses the said limit.
Send alert to the customer either through SMS on the
mobile number registered with the service provider or to
the registered email, each time when the data usage by
the customer reaches 80% and 100% of the data usage
limit bundled with plan opted by the customer, or
through USSD at each login by the customer.
TRAI direction on Wangiri calls
Provide easy and transparent opt-in and opt-out facility

to the consumers of the cellular mobile telephone
service for activation or deactivation of ISD facility.
4.
TRAI direction on Blackout days

On Sep 14, 2012, TRAI issued a Direction prescribing
the following additional measures in the matter of
charging on blackout days:
2. DoT Instructions on verification of new mobile

subscribers (prepaid and postpaid)
The charges for calls or SMSs on blackout days shall

not exceed the rate in the tariff plan in which the
consumer is enrolled.
DoT has issued revised instructions on Aug 09, 2012,

which will be effective from Nov 10, 2012. Some of the
salient new features are as under:
Consumers shall be given intimation prior to start of

every blackout day and the date/ occasion of the
blackout day shall also be intimated.
Tele-verification of all new customers incoming and

outgoing will be barred till tele-verification, except calls
to operator.
List of blackout days applicable for the calendar year

shall be displayed on the website of service providers,
before start of every calendar year and shall be
published, service area wise, along with the tariff plans
of the service provider, every six months.
Activation only after completion of documentary

requirements and updation in database. Employee of
the Company has to certify and sign to this effect.
No bulk connection for individuals (more than 9).
Existing bulk connections shall be made compliant to
these instructions.
Penalty of Rs 50,000 for pre-activated SIMs.
5.
TRAI Regulation on Intelligent Network Services in

Multi Operator and Multi Network Scenario
TRAI on Sep 18, 2012 issued amendment to its
regulation on Intelligent Network Services in Multi
Page 18 of 54
Operator and Multi

highlights as below:
Network
Scenario
with
9.
key
On Sep 27, 2012 DoT has issued revised criteria for

allocation of MSC codes. The new slabs have been
introduced as follows:
All service providers who are already providing IN

based services or would start IN based services at later
date will enter into an agreement with all the access
providers within 90 days which can be extended to 180
days on SP request. Else TRAI would intervene &
specify the interconnect arrangement between the
operators.
0 - 15 Mn allotted codes - VLR utilization of 63%

The amendment would be useful for virtual calling card

(VCC) issued by long distance providers.
After the agreements between the service providers,
the subscribers will be able to make STD/ISD calls
using calling cards issued by NLDOs/ILDOs.
TRAIs Regulation on Port Charge
6.
On Sep 18, 2012, TRAI issued the second amendment

to the Port Charges Regulation and has prescribed the
following ceilings on Port charges w.e.f Oct 1, 2012:
DoT revised criteria for allocation of number series

/ MSC codes

> 25 Mn allotted codes - VLR utilization of 70%
B.
Key Company Developments

Bharti Airtel becomes the fourth largest mobile operator
in the world in terms of subscribers (Source: Wireless
Intelligence 'Scoreboard).
In August 2012, Bharti Airtel announced that it has
crossed the 200 million customer mark in India.
Rs 4,000 per port per annum for MSC connectivity.

Rs 10,000 per port per annum for TAX connectivity.
TRAI 52nd TTO prescribing financial disincentives
7.
On Sep 19, 2012 TRAI issued Telecommunication

Tariff (Fifty Second Amendment) Order (TTO)
prescribing financial disincentives on the service
providers in the following situations:
Service Provider is required to report a tariff to the TRAI
within 7 working days from the date of implementation /
launch, failing which a financial disincentive of Rs 5000/
per day for delay in filing subject to maximum of Rs 2
lakh has been prescribed.
It is mandatory to give a minimum notice period of 30
days to existing customers before terminating the tariff
plan.
Tariff Order provides for financial disincentives not
exceeding the amount of excess charges levied, in
addition to the refund made to affected subscribers.
8.
TRAI Regulation on MNP - Financial disincentive

On Sep 19, 2012 TRAI issued the telecommunication
Mobile Number Portability (Fourth Amendment)
Regulation 2012 incorporating the provisions for
levying financial disincentives on telecom service
providers for contravention of MNP Regulations
(Rejection of the porting request + timelines):
Rs 5,000 would be levied in case of deviation from the

specified timelines.
Rs 10,000 would be levied where contravention is

established in rejection of porting request by service
provider.
Bharti Airtel announced the launch of Airtel postpaid 4G

services in Pune thus becoming the first in
Maharashtra to bring the 4G experience for its
customers. Airtel Broadband TV and Games OnDemand have also been launched and are available for
Airtel 4G customers on free trial offer.
Airtel Bangladesh Limited announced its partnership
with Dutch Bangla Bank to introduce m-Commerce
Services for all airtel subscribers. This is going to offer
multiple services like cash in, cash out, send money,
mobile top up, remittance and salary disbursement etc.
In continuation of its focus on the friendship brand
idea, Airtel launched its Jo tera hai, woh mera hai
campaign depicting the preferences and behavioral
pattern of todays always online Indian youth.
A host of brand activations were announced for 2012
Formula One Airtel Indian Grand Prix. These included
the race partnership with MERCEDES AMG
PETRONAS, showcase of this years trophy design and
Airtel Grid Girls outfit, Join Our Pit Crew contest and
several other on-ground activations.
Airtel Delhi Half Marathon 2012 was organized on 30th
September 2012 and saw participation from some of
the worlds best long distance running athletes and over
31,746 participants across India.
As title sponsor of the tournament, Airtel unveiled the
trophy for the India - New Zealand Test & T20 Cricket
Series.
Airtel announced the launch of Airtel Smart Drive for its
customers a unique application that gives customers
access to voice guided navigation and live traffic
updates.
Airtel launched USSD-based self care facility for its
Airtel Digital TV customers
Page 19 of 54
MyAirtel application was launched for Airtel customers

across India. The app, which is available for free, allows
Airtel customers of various services (including mobile,
fixed line and DTH) to check outstanding bills, recharge
accounts, make payments, activate / deactivate
services, raise requests and complaints etc. thereby
enhancing the customer experience.
Airtel announced USSD access to Facebook for its
customers in Bangladesh.
Bharti Airtel announced the launch of its Cloud
Enablement Platform (CLEP) based on the HP
Aggregation Platform for SaaS (AP4SaaS). The
Company will offer hosted SaaS and IaaS applications
to the small and large enterprises on a pay as you go
model - thereby helping them to meet the ever evolving
business demands.
Bharti Airtel announced its partnership with Microsoft to
deliver Microsofts cloud based Office 365 business
productivity solutions to Small and Medium Businesses
by provisioning the service through its cloud platform.
Microsoft office 365 suite packaged with Airtel internet
products will address the growing ICT needs of SMB
segment by addressing their connectivity and
productivity requirements while allowing them to focus
on their core business activities
Bharti Airtel was awarded the Porter Prize in the
Exploiting Trade-offs category. The Porter Prize
Awards, named after renowned Professor Michael
Porter, are the most coveted awards in the field of
strategy and competitiveness. The award recognizes
and honors Indian companies which have embraced
the best strategic management practices.
Airtel was conferred the prestigious, global Adam Smith
Award 2012 for Highly Commended Best in Class
Benchmarking in recognition of its excellence in the
area of treasury operations.
The Airtel Centre of Excellence (ACE) has received the
'Excellence Award for Shared Service Centre
Operations in India' by All India Management
Association and Delhi Management Association in
recognition of their outstanding efforts to identify key
strategic drivers and implementing them to deliver value
to all stakeholders.
5.2 Africa
A.
Key Industry Developments

Burkina Faso
3G license
License terms and conditions have been agreed &
signed and License fee has been paid.
KYC
As per Regulator directive, no pre activated SIMs to be
sold from 1st October 2012.
Kenya
LTE
Airtel has submitted its proposal to be a part of the
Kenya Governments initiative on future LTE license
consortium.
Interconnection
The Regulator had asked for a report on the effect of
the previous reduction in Mobile Termination Rate
(MTR) on the macro economy of Kenya. On the basis
of this report and other consultations that have taken
place, the Regulator is expected to take a decision on
the reduction of MTR.
Switching off counterfeit phones
As per the Government directive all the counterfeit
phones needs to be switched off by 30th September. No
extension to deadline has been granted.
Niger
3G License
Negotiations are ongoing with the Government to
launch a national tender process to grant 3G licenses to
existing operators.
Nigeria
Interconnection Rate
The Regulator has appointed an external agency to
conduct a study on the current regime of Interconnect
rate.
Critical National Infrastructure
Airtel and other operators made submissions to
Regulator on the need to declare telecoms
infrastructure as Critical National Infrastructure.
Government is taking adequate steps to facilitate the
declaration & security has been enhanced around key
telecom infrastructure.
Rwanda
Interconnect Rates
New regulations have been introduced on the
International Gateway Traffic Verification System
(IGTVS). Contract has been signed with GVG
introducing higher international termination rates into
the country.
Tanzania
Taxes and fees
National Budget has increased excise duty from 10% to
12% and import duty relief on capital goods has been
reduced to 90%.
Interconnect rate review
The Regulator has appointed an external agency to
conduct a study on the Interconnect rates. New rates
are expected to be finalized by January 01, 2013.
Uganda
Congo DRC
3G License
The 3G license has been signed in July 2012 and the
license fee has been paid.
Interconnect rates
Post the government sponsored study, new
Interconnect rates have been announced which are
lower as compare to the previous rates. The Company
Page 20 of 54
is the process of signing off relevant agreement with

other operators.
Zambia
KYC
Commencing August 29, 2012, all operators need to
comply with the Know Your Customer (KYC) norms as
stated by the Regulator.
B.
Key Company Developments

Airtel has rolled out 3G services in Ghana, Sierra
Leone, Kenya, Nigeria, Zambia, Tanzania, Congo B,
Malawi, Uganda, Rwanda & Madagascar taking the
total number of countries to 11. Airtel now has the
largest network in comparison to competition which is in
line with Companys objective of being the largest 3G
network across Africa.
Airtels 3G services is ahead of competition in terms of
quality with a focus on coverage, speed and
affordability and all launches coincide with Video
Calling, Airtel Live 2.0 and a new set of innovative tariff
plans.
Airtel Money was launched in 3 countries namely
Burkina Faso, Madagascar & Nigeria bringing the total
countries to 15.
Airtel Nigeria, clinched three industry Awards at the

prestigious 8th edition of the Telecoms Awards. Airtel
beat other blue chip competitors to emerge the
Industrys Most Innovative Telecom Company of the
Year, Telecom Brand of the year and Customer
Friendly Operator of the year. Airtel was particularly
commended for its ability to chart new paths in meeting
the demands and needs of stakeholders through a
superior brand experience, rich portfolio of innovative
products and services, ranging from exciting voice
solutions to inventive data packages and mobile
broadband.
Airtel continues to drive the iconic stature of the brand.
Through its Airtel Rising Stars campaign, Airtel
attracted 18,000 football teams and 324,000 young
men and women across 15 countries in Africa. The
culmination of the youth football tournament was
flagged off by Kenyas Prime Minister in Nairobi.
Two soccer clinics were held in collaboration with
Manchester United and Arsenal, with Arsenal hosting
their first ever clinic in Africa through its partnership with
Airtel.
Airtel has rolled out numerous youth campaigns across
countries like Nigeria, Zambia, Gabon, Kenya, Ghana,
Niger etc to drive its brand equity among the youth.
A pan African partnership with Sanlam (one of the

largest insurance companies on the continent) has
been signed for distribution of insurance through Airtel
Money.
Page 21 of 54
5.3 Results of Operations

The financial results presented in this section are compiled based on the audited consolidated financial statements prepared in accordance with
International Financial Reporting Standards (IFRS) and the underlying information.
Key Highlights - For the quarter ended September 30, 2012
Overall customer base at 262.6 million.

Net addition of 1.84 million customers.
Total Revenues of Rs 202.7 billion (up 17% Y-o-Y).
EBITDA Rs 63.5 billion (up 9% Y-o-Y).
Net Income of Rs 7.2 billion (down 30% Y-o-Y).
Operating free cash flow of Rs 23.0 billion (up 111% Y-o-Y).
Bharti Airtel Consolidated

Quarter ended September 30, 2012
Customer Base
As on September 30, 2012, the Company had an aggregate
of 262.6 million customers consisting of 251.8 million Mobile,
3.3 million Telemedia and 7.5 million Digital TV customers.
Its total customer base as on September 30, 2012 increased
by 11% compared to its customer base as on September 30,
2011. The 250 million mark (wireless customers) is an
important milestone and has placed the Company as the
fourth largest mobile operator in the world (Source: Wireless
Intelligence Scorecard).
Revenues/Turnover
During the quarter ended September 30, 2012, the Company
recorded revenues of Rs 202,732 million, a growth of 17%
compared to the quarter ended September 30, 2011, with
Non-voice revenue contributing to approximately 27.2% of
the total revenues for the quarter.
Operating Expenses (excluding-revenue share license
and spectrum fee)
During the quarter ended September 30, 2012; the Company
incurred an operating expenditure of Rs 93,327 million
representing 46.0% of the total revenues. The operating
expense comprises of: Rs 46,297 million towards
network
operations cost (22.8% of total revenues), Rs 35,732 million
towards selling, general & administrative cost (17.6% of total
revenues), Rs 9,846 million towards employee costs (4.9%
of total revenues) and Rs 1,452 million towards cost of
goods sold (0.7% of total revenues). Market correction in
customer acquisition practices has enabled a reduction in
selling, general & administrative costs in India & South Asia
by Rs 1,049 million compared to the previous quarter ended
June 30, 2012.
EBITDA, EBIT & Finance Cost
had an EBITDA of Rs 63,508 million, a growth of 9%
compared to the quarter ended September 30, 2011. The
reported EBITDA margin for the quarter was 31.3%.
had depreciation and amortization expenses of Rs 38,560
million on the back of continuing investments on network.
The resultant EBIT for the quarter ended September 30,
2012 was Rs 24,948 million, a decline of 5% compared to
quarter ended September 30, 2011.
The net finance cost for the quarter ended September 30,
2012 was Rs 10,219 million. During the quarter, the interest
on borrowings & finance charges was Rs 11,644 million,
derivatives & exchange fluctuation loss of Rs 250 million
and the investment income (primarily related to income on
marketable securities) was Rs 1,675 million.
Profit / (Loss) Before Tax (PBT)

The Profit / (Loss) before tax for the quarter was Rs 14,729
million, a decrease of 3%, as compared to the quarter ended
September 30, 2011.
Net income
The net income for the quarter ended September 30, 2012
was Rs 7,212 million representing a Y-o-Y decline of 30%.
The current tax for the quarter ended September 30, 2012
was Rs 7,466 million, deferred tax income was Rs 686
million, dividend distribution taxes were Rs 657 million and
withholding taxes were Rs 278 million. The effective tax rate
for India & South Asia for the half year ended September 30,
2012 was 27.7% (26.0% excluding dividend distribution tax).
During the quarter ended September 30, 2012, the Group
was awarded a favorable order by the TDSAT in respect of
an outstanding dispute pertaining to inter-connect
agreements. The Group, based on the TDSAT judgment and
independent legal opinion, has recognized revenues of Rs
5,861 Mn, resulting in higher PBT and net income of Rs
3,448 million and Rs 2,386 million respectively in the current
quarter, relating to previous periods.
Statement of Financial Position
The Company had total assets of Rs 1,619,564 million and
total liabilities of Rs 1,099,742 million, as on September 30,
2012.The difference of Rs 519,822 million was on account of
Equity attributable to equity holders of parent and noncontrolling interest. Equity movement during the quarter
ended September 30, 2012 includes changes in foreign
currency translation reserve (FCTR) of Rs 4,171 million
arising from appreciation of the Rupee and the movements
of various functional currencies of overseas operations, on
net basis.
The Company had a net debt of Rs 667,600 million (US$
12,669 million) as on September 30, 2012, resulting in a Net
Debt (in US $) to EBITDA (LTM in US $) of 2.72. This
includes Rs 23,719 million, representing 49% of the net debt
of the Qualcomm subsidiaries, into which the Company had
acquired stakes in May, 2012. The consolidated Net Debt in
US$ terms has increased during the quarter by US$ 540
million.
Capital Expenditure & Operating Free Cash Flow
incurred capital expenditure of Rs 40,549 million. The
Operating Free Cash Flow during the quarter was Rs 22,959
million, a growth of 111% over the same period last year.
Human Resources
As on September 30, 2012, the Company had a total of
21,299 employees.
Page 22 of 54
B2C Services India & South Asia

Mobile Services
The quarter witnessed seasonal slowdown in activities
resulting in subdued top line growth. The quarter also
witnessed several initiatives taken by the industry to bring
more discipline in the customer acquisition process; this
resulted in lower customer additions and an industry wide
decline in the customer base.
Customer Base, Churn, ARPU and MoU - India
As on September 30, 2012, the Company had 185.9 million
GSM mobile customers on its network of which number of
3G customers were 5.4 million. The average monthly churn
for the quarter ended September 30, 2012 was 8.5%.
During the quarter, blended ARPU was Rs 177 (US$ 3.2)
per month. The blended monthly voice usage per customer
during the quarter was at 417 minutes reflecting the
seasonal slowdown in consumption.
The gross realization per minute during the quarter was 42.6
paisa. Voice ARPU was Rs 148 and Voice realization was
35.4 paisa per minute.
Value added services, which include revenue from services
apart from voice, data & others viz. SMS, MMS, Ring Back
Tones, Airtel Talkies, Music on Demand etc. contributed to
approximately 10.1% of the total revenues of the segment.
The Company strongly believes in placing customer interest
as its top priority. The Company had taken a leadership
position in meeting the TRAI guidelines on provision of VAS
services, resulting in seeking prior confirmation from
customers before activation of VAS services. This has
resulted in a decline in VAS revenue compared to the
previous quarter.
Data ARPU came in at Rs 43, helped by average data
download of 133 MBs per user per month, and blended data
realization rate of 32.4 paisa per MB. The Company had
40.6 million Data (Mobile Internet) customers, of which 4.0
million used 3G services. The continued actions to drive
penetration and consumption through innovative products
and affordable pricing have enabled the Company to
improve Data usage and Data ARPU.
Revenues, EBITDA and EBIT
The revenues for the quarter ended September 30, 2012 for
mobile services stood at Rs 111,170 million, a growth of
14% over the corresponding quarter last year. The revenue
from this segment contributed to 77.1% of the total revenues
of India & South Asia.
The EBITDA during the quarter ended September 30, 2012
was Rs 34,437 million representing a growth of 5% over the
quarter ended September 30, 2011. The EBITDA margin for
the quarter ended September 30, 2012 was 31.0%. The
EBIT for the quarter ended September 30, 2012 was Rs
18,438 million as compared to Rs 19,775 million for the
quarter ended September 30, 2011, a decline of 7%.
Capital Expenditure
incurred a capital expenditure of Rs 17,345 million in Mobile
Services (including investments towards launch of 4G
services).
Telemedia Services
Customer Base and ARPU
As on September 30, 2012, the Company had its Telemedia
operations in 87 cities. The number of customers stood at
3.3 million customers as on September 30, 2012. The
Company had approximately 1.4 million broadband (DSL)

customers. The ARPU for the quarter was Rs 971 (US$
17.6) per month.
For the quarter ended September 30, 2012, the revenues
from Telemedia operations remained flat at Rs 9,529 million
over the corresponding quarter last year. The EBITDA for
the quarter was Rs 4,039 million compared to Rs 4,213
million in the corresponding prior year quarter, a decrease of
4%. The EBITDA margin for this segment was 42.4%. The
EBIT was Rs 1,803 million as compared to Rs 2,126 million
for the quarter ended September 30, 2011, a decline of 15%.
Capital Expenditure
incurred a capital expenditure of Rs 1,492 million in
Telemedia Services.
Digital TV Services
Customer Base and ARPU
As on September 30, 2012, the Company had its Digital TV
operations in 632 districts. The number of customers stood
at 7.5 million customers as on September 30, 2012. The
ARPU for the quarter was Rs 177 (US$ 3.2) per month. The
improvement in ARPU has been achieved through product
innovations and up-selling.
For the quarter ended September 30, 2012, the revenues
from Digital TV operations of Rs 3,937 million represented a
growth of 26% over the corresponding quarter last year. The
EBITDA for the quarter was Rs 33 million representing a
decline of 72% over the corresponding quarter last year. The
EBITDA margin for this segment was 0.8% for the quarter
ended September 30, 2012. The EBIT loss for the quarter
was Rs 2,228 million as compared to loss of Rs 1,806 million
for the quarter ended September 30, 2011.
Capital Expenditure
incurred a capital expenditure of Rs 1,630 million in Digital
TV Services.
B2B Services India & South Asia

Airtel Business
Airtel Business stood at Rs 13,934 million, a healthy growth
of 26% over the corresponding quarter last year. The
revenue from this segment contributed to 9.7% of the total
revenues of India and South Asia. The EBITDA during the
quarter ended September 30, 2012 was Rs 2,148 million, a
decline of 9% over the corresponding quarter last year. The
EBITDA margin for the quarter ended September 30, 2012
was15.4%. The EBIT for the quarter ended September 30,
2012 was Rs 770 million as compared to Rs 1,051 million
for the quarter ended September 30, 2011, a decline of 27%.
With the transition from capex to opex model, the Company
believes that EBIT and Operating Free Cash Flow are the
right measures of profitability for this business.
With favorable exchange rate, the Company has been able
to offer competitive prices in the international market. This
has resulted in garnering higher traffic market share.
Capital Expenditure
incurred a capital expenditure of Rs 458 million in Airtel
Page 23 of 54
Business. The segment contributed a healthy Operating

Free Cash Flow of Rs 1,690 million; at 12.1% of revenues,
this reflects a strong cash generating business.
Tower Infrastructure Services
Tower Infrastructure Services were Rs 25,567 million, a
growth of 8% over the corresponding quarter last year. The
EBITDA during the quarter ended September 30, 2012 was
Rs 9,577 million representing a growth of 8% over the
quarter ended September 30, 2011. The EBITDA margin for
the quarter ended September 30, 2012 was 37.5%. The
4,090 million as compared to Rs 3,520 million for the quarter
ended September 30, 2011, a growth of 16.2%.
Capital Expenditure
incurred a capital expenditure of Rs 5,679 million in Tower
Infrastructure Services.
Towers and Sharing Operators
As at the end of the quarter, Bharti Infratel had 34,220
towers and average sharing factor of 1.81 times. As at the
end of the quarter, Indus Towers had 110,561 towers
and
average sharing factor of 1.98 times.
Mobile Services Africa
Economic headwinds still prevail in many African countries,
whose economies are adjusting to lower levels of aid and
grants. The telecom market witnessed intense competitive
activities including aggressive pricing by market leaders as
well as enhanced participation by newer players.
The Company has heightened growth stimuli through further
promotions and affordable services which have reflected in
increased traffic growth.
Customer Base, ARPU and MoU
At the end of the quarter ended September 30, 2012, the
Company had 58.7 million GSM mobile customers on its
network. During the quarter, the Company added 2.8 million
customers. The ARPU for the quarter was US$ 6.4 per
month. The blended monthly voice usage per customer,
during the quarter was138 minutes, reflecting a significant
improvement from usage level of 120 minutes in the
previous quarter.
Non voice revenue, which includes revenue from services
other than voice i.e., Messaging & VAS (including SMS,
GPRS, MMS, Ring Back Tone, Airtel Talkies, Music on
Demand), data, others etc. contributed to approximately
13.0% of the total revenues of the segment.
The Company now offers its low-cost, innovative airtel
money service in 15 African countries. The Company has so
far launched 3G in 11 countries with roll out of 5,347 sites.
The number of 2G sites has also increased by 17% to
15,979 over September 30, 2011.
During the quarter, in local currency terms, the Companys
revenue in Africa grew by 13% over the corresponding
period last year. In Rupee terms, Africa revenue came in at
Rs 60,512 million representing a strong growth of 29% over
last year, helping to lift the overall consolidated growth of the
Company.
EBITDA in Rupee terms of Rs 16,413 million grew by 32%
over the corresponding period last year, resulting from
strong growth in revenues, improved margin and favourable
currency movements. The EBITDA margin has improved to
27.1% from 26.4% in the corresponding quarter last year.
4,397 million representing a growth of 17% over the
corresponding quarter last year.
Net Income
The net loss for the quarter came in at Rs 5,388 million,
impacted by higher depreciation and finance costs.
Capital Expenditure
incurred a capital expenditure of Rs 11,592 million on its
African operations. The resultant Operating Free Cash Flow
in Africa was at Rs 4,821 million, reflecting sustained
positive cash generation for the last four quarters.
Page 24 of 54
5.4 Bhartis Three Line Graph

The Company tracks its performance on a three-line graph.
selling, general and administrative costs. This ratio

depicts the operational efficiencies in the Company
The parameters considered for the three-line graph are:

Capex Productivity this is computed by dividing
revenue for the quarter (annualized) by gross
cumulative capex (gross fixed assets and capital work
in progress) till date i.e. the physical investments made
in the assets creation of the Company. This ratio
depicts the asset productivity of the Company.
3.
1.
Total Revenues i.e. absolute turnover/sales
2.
Opex Productivity operating expenses divided by the

total revenues for the respective period. Operating
expenses is the sum of (i) equipment costs (ii)
employee costs (iii) network operations costs & (iv)
Given below are the graphs for the last five quarters of the Company:
5.4.1 Bharti Airtel Consolidated
202,732
205,000
195,000
70.9%
68.6%
80.0%
70.2%
71.1%
70.0%
72.2%
193,501
185,000
184,767
50.0%
45.4%
44.5%
47.4%
44.4%
46.0%
40.0%
5.4.2 Bharti Airtel - India & South Asia
5.4.3
144,187
64.1%
1,200
1,030
63.2%
64.6%
135,000
70.0%
60.0%
134,210
50.0%
125,000
42.6%
43.9%
49.6%
43.7%
Total Revenue (Rs mn) LHS
Opex to Total Rev (RHS)
Q2 FY13
Q1 FY13
Q4 FY12
Q3 FY12
30.0%
Q2 FY12
115,000
40.0%
Capex Productivity (RHS)
107.6%
102.5%
101.5%
600
45.9%
42.8%
1,066
1,071
1,097
160.0%
120.0%
111.3%
126,790
1,057
900
137,177
131,628
Bharti Airtel Africa
49.3%
48.4%
50.7%
100.3%
80.0%
50.9%
300
40.0%
0.0%
Q3 FY12
61.4%
63.2%
Q2 FY12
145,000
Q2 FY13
Total Revenue (US$) LHS
Q4 FY12
Total Revenue (Rs mn) LHS
Q1 FY13
Q3 FY12
Q4 FY12
30.0%
Q2 FY12
155,000
Q2 FY13
165,000
172,698
Q1 FY13
175,000
60.0%
187,294
Page 25 of 54
SECTION 6
STOCK MARKET HIGHLIGHTS

6.1
General Information
Shareholding and Financial Data

Code/Exchange
Bloomberg/Reuters
No. of Shares Outstanding (28/09/12)
Closing Market Price - BSE (28/09/12)
Combined Volume (NSE & BSE) (02/07/12-28/09/12)
Combined Value (NSE & BSE) (02/07/12-28/09/12)
Book Value Per Equity Share
Unit
532454/BSE
BHARTI IN/BRTI.BO
Mn Nos
Rs /Share
3,797.53
264.85
Nos in Mn/day
Rs bn /day
7.15
1.95
Rs bn
US$ bn
1,006
19.09
Rs /share
129.84
Market Price/Book Value
Times
2.04
Enterprise Value
Enterprise Value
Rs bn
US$ bn
1,673
31.75
Enterprise Value/ Annualised Q2 Revenue
Times
2.06
Enterprise Value/ Annualised Q2 EBITDA
Times
6.59
6.2
Summarized Shareholding pattern as of September 30, 2012
Category
Prom oter & Prom oter Group
Indian
Foreign
Sub total
Num ber of Shares
1,735,453,890
865,673,286
2,601,127,176
45.70%
22.80%
68.50%
Public Shareholding
Institutions
Non-institutions
Sub total
945,853,864
250,549,056
1,196,402,920
24.91%
6.60%
31.50%
Total
3,797,530,096
100.00%
Page 26 of 54
6.3
Bharti Airtel Daily Stock price (BSE) and Volume (BSE & NSE Combined) Movement
350
40,000
32,000
300
24,000
16,000
250
8,000
Volume (in 000's) RHS
24/9/2012
17/9/2012
10/9/2012
03/9/2012
27/8/2012
20/8/2012
13/8/2012
06/8/2012
30/7/2012
23/7/2012
09/7/2012
16/7/2012
0
02/7/2012
200
Share Price (Rs.) LHS
Source: Bloomberg
6.4 Comparison of Domestic Telecom Stock movement with Sensex and Nifty
Q 2 ' 13 vs. Q 1' 12
185
St o ck M o vement
165
145
125
105
B harti
-13.2%
TCOM
4.6%
Sensex
7.6%
NSE
8.0%
RCOM
85
2.0%
Idea
12.5%
M TNL
37.1%
Bharti
RCOM
Sensex
NSE
MTNL
TATA Comm
30/9/2012
23/9/2012
16/9/2012
09/9/2012
02/9/2012
26/8/2012
19/8/2012
12/8/2012
05/8/2012
29/7/2012
22/7/2012
15/7/2012
08/7/2012
01/7/2012
65
IDEA
Source: Bloomberg
Page 27 of 54
SECTION 7
DETAILED FINANCIAL AND RELATED INFORMATION

7.1
Extracts from Audited Consolidated Financial Statements prepared in accordance with International
Financial Reporting Standards (IFRS)
7.1.1
Consolidated Statement of Income
Quarter Ended
Particulars

Half Year Ended
Y-on-Y
Sep 2012 Sep 2011
Grow th
396,233
342,447
16%
Sep 2012
Sep 2011
202,732
172,698
Y-on-Y
Grow th
17%
98
66
48%
216
145
49%
Operating expenses
(139,322)
(114,613)
22%
(274,454)
(227,382)
21%
Depreciation & amortisation
(38,560)
(31,839)
21%
(76,131)
(63,153)
21%
24,948
26,312
-5%
45,864
52,057
-12%
Revenue
Other operating income
Profit / (Loss) from operations

Share of results of associates
Profit / (Loss) before interest and tax
Finance income
Finance costs
Profit / (Loss) before tax
Income tax income/(expense)
Net incom e / (loss) for the period
Income Attributable to :
Equity holders of the parent
Non controlling interests
Net Income / (Loss)
Earning Per Share
Basic, profit attributable to equity holders of parent (In Rs)
Diluted, profit attributable to equity holders of parent (In Rs)
7.1.2
(76)
24,948
26,312
-5%
45,788
52,057
-12%
3,600
(13,819)
2,480
(13,666)
45%
1%
6,218
(24,648)
3,176
(22,912)
96%
8%
14,729
15,126
-3%
27,358
32,321
-15%
(7,714)
(4,900)
57%
(12,592)
(10,041)
25%
7,015
10,226
-31%
14,766
22,280
-34%
7,212
(197)
7,015
10,270
(44)
10,226
-30%
348%
-31%
14,834
(68)
14,766
22,422
(142)
22,280
-34%
-52%
-34%
1.90
1.90
2.71
2.71
3.91
3.91
5.91
5.91
Consolidated Statement of Comprehensive Income
Quarter Ended
Particulars

Half Year Ended
Y-on-Y
Sep 2012 Sep 2011
Grow th
14,766
22,280
-34%
Sep 2012
Sep 2011
Net income / (loss) for the period
7,015
10,226
Y-on-Y
Grow th
-31%
Exchange differences on translation of foreign operations
(3,996)
(20,167)
-80%
(22,706)
(21,348)
6%
Total comprehensive income / (loss) for the period, net of tax
3,019
(9,941)
-130%
(7,940)
932
-952%
3,041
(9,886)
-131%
(8,019)
1,045
-867%
(22)
(55)
-60%
79
(113)
-170%
3,019
(9,941)
-130%
(7,940)
932
-952%
Total comprehensive income / (loss) attributable to :

Equity holders of the parent
Non controlling interests
Total Comprehensive Income / (Loss)
Page 28 of 54
7.1.3 Consolidated Statement of Financial Position

Particulars
As at
Sep 30, 2012
Amount in Rs mn
As at
Mar 31, 2012
Assets
Non-current assets
Property, plant and equipment
Intangible assets
Investment in associates
Derivative financial assets
Other financial assets
Other non - financial assets
Deferred tax asset
Current assets
Inventories
Trade and other receivable
Derivative financial assets
Prepayments and other assets
Income tax recoverable
Short term investments
Other financial assets
Cash and cash equivalents
Total assets
Equity and liabilities
Equity
Issued capital
Treasury shares
Share premium
Retained earnings / (deficit)
Foreign currency translation reserve
Other components of equity
Equity attributable to equity holders of parent
Non-controlling interest
Total equity
Borrow ing
Deferred revenue
Provisions
Derivative financial liabilities
Deferred tax liability
Other financial liabilities
Other non - financial liabilities
Current liabilities
Borrow ing
Deferred revenue
Provisions
Other non - financial liabilities
Derivative financial liabilities
Income tax liabilities
Trade & other payables
Total liabilities
Total equity and liabilities
687,485
678,691
3,327
16,153
17,563
56,197
1,459,416
674,932
660,889
24
2,756
17,086
15,568
51,277
1,422,532
1,355
77,332
1,606
37,537
7,104
16,303
1,011
17,900
160,148
1,308
63,735
2,137
32,621
9,049
18,132
802
20,300
148,084
1,619,564
1,570,616
18,988
(779)
56,499
406,104
(28,879)
41,137
493,070
26,752
519,822
18,988
(282)
56,499
395,682
(6,026)
41,252
506,113
27,695
533,808
559,293
9,135
8,435
593
14,273
24,683
3,549
619,961
497,154
2,892
7,240
401
11,621
23,076
5,551
547,935
145,856
36,283
1,745
15,694
499
3,468
276,236
479,781
193,078
43,282
1,290
10,811
166
7,596
232,650
488,873
1,099,742
1,619,564
1,036,808
1,570,616
Page 29 of 54
7.1.4 Consolidated Statement of Cash Flows

Particulars
Quarter Ended
Sep 30, 2012
Amount in Rs mn
Half Year Ended
Sep 30, 2012
Cash flow s from operating activities

Profit before tax
14,729
27,358
Adjustments for Depreciation and amortization

Finance income
Finance cost
Share of results of associated companies (post tax)
Amortization of stock based compensation
Other non-cash items
38,560
(3,600)
13,819
0
24
233
76,131
(5,318)
23,748
76
114
357
Operating cash flow before changes in assets and liabilities
63,765
122,466
(10,065)
(53)
3,539
291
(550)
1,915
(20,061)
(19)
32,209
897
(1,778)
2,342
58,841
136,056
690
(10,187)
799
(17,331)
49,344
119,524
(34,702)
(1,003)
17,269
3,379
(40)
(62,787)
(2,160)
2,993
(5,902)
(100)
(15,098)
(67,956)
64,820
(90,744)
(345)
(762)
(9,078)
33
(4,412)
(929)
(41,417)
160,268
(188,089)
(2,640)
(762)
(19,518)
44
(4,412)
(1,029)
(56,138)
(7,171)
(4,570)
1,670
(762)
8,207
2,705
8,037
2,705
Trade & other receivables and prepayments

Inventories
Trade and other payables
Change in provision
Other financial and non financial liabilities
Other financial and non financial assets
Cash generated from operations
Interest received
Income tax paid
Net cash inflow from operating activities
Cash flow s from investing activities
Proceeds/(Purchase) of property, plant and equipment
Purchase of intangible assets
Short term investments (Net)
Investment in associate / joint venture 19
Loan to associates
Net cash outflow from investing activities
Cash flow s from financing activities
Proceeds from issuance of borrow ings
Repayment of borrow ings
Short term borrow ings (net)
Purchase of Treasury stock
Interest paid
Proceeds from exercise of stock options
Dividend paid (including tax) to Company's shareholders
Dividend paid (including tax) to non - controlling interests
Net cash inflow / (outflow ) from financing activities
Net (decrease) / increase in cash and cash equivalents during
the period
Effect of exchange rate changes on cash and cash equivalents
Add : Balance as at the Beginning of the period
Balance as at the end of the period
Note 18: Cash and Cash Equivalents is excluding bank overdraft

Note 19: In the quarter ended June 30, 2012, investment of Rs 9,281 million in Qualcomm Indian BWA entities was accounted as an investment in
associate. During the quarter ended September 30, 2012, based on the developments in the operational front, the investment is now being treated as
Joint Venture, resulting in investment being accounted on proportionate consolidation basis. Consequently, the proportionate share of cash balance on
the date of acquisition has been disclosed as cash inflow.
Page 30 of 54
7.2 Schedules to Financial Statements

7.2.1 India & South Asia
7.2.1.1 Schedule of Operating Expenses
Particulars
Access charges
Quarter Ended
Sep 30, 2012
20,342
Amount in Rs mn
Half Year Ended
Sep 30, 2012
37,208
Licence fees, revenue share & spectrum charges
13,867
27,736
Netw ork operations costs

Cost of goods sold
Employee costs
36,390
240
5,220
71,783
561
10,320
Selling, general and adminstration expense

Operating Expenses
21,116
97,175
43,282
190,890
7.2.1.2 Schedule of Depreciation & Amortization
Particulars
Depreciation
Amortization
Depreciation and Am ortization
Quarter Ended
Sep 30, 2012
23,369
Amount in Rs mn
Half Year Ended
Sep 30, 2012
46,419
3,176
6,177
26,545
52,596
7.2.1.3 Schedule of Income Tax
Particulars
Current tax expense
Quarter Ended
Sep 30, 2012
5,637
Amount in Rs mn
Half Year Ended
Sep 30, 2012
11,264
Deferred tax expense / (income)
562
Dividend distribution tax (DDT)
657
657
6,856
10,569
Incom e tax expense
(1,352)
Page 31 of 54
7.2.2 Africa
7.2.2.1 Schedule of Operating Expenses
Particulars
Access charges
Quarter Ended
Sep 30, 2012
193
Amount in US$ mn
Half Year Ended
Sep 30, 2012
399
Licence fees, revenue share & spectrum charges
47
92
Netw ork operations costs
181
369
Cost of goods sold
23
43
Employee costs
90
170
Selling, general and adminstration expense
265
518
Operating Expenses
799
1,591
7.2.2.2 Schedule of Depreciation & Amortization
Particulars
Depreciation
Amortization
Depreciation and Am ortization
Quarter Ended
Sep 30, 2012
153
65
218
Amount in US$ mn
Half Year Ended
Sep 30, 2012
302
129
431
Quarter Ended
Sep 30, 2012
33
Amount in US$ mn
Half Year Ended
Sep 30, 2012
69
7.2.2.3 Schedule of Income Tax
Particulars
Current tax expense
Withholding taxes (WHT)
11
Deferred tax expense / (income)
(23)
(44)
Incom e tax expense
15
36
Page 32 of 54
7.3 Consolidated Schedule of Net Debt & Finance Cost

7.3.1 Schedule of Net Debt in INR
Amount in Rs mn
Particulars
As at Sep 30, 2012
As at Mar 31, 2012
Long term debt, net of current portion
559,293
497,154
Short-term borrow ings and current portion of long-term debt
145,857
193,079
Less:
Cash and Cash Equivalents
17,899
20,300
Restricted Cash
Restricted Cash, non-current
Net Debt 20
1,074
2,273
16,303
667,600
989
417
18,132
650,394
As at Sep 30, 2012
As at Mar 31, 2012
Long term debt, net of current portion
10,613
9,718
Short-term borrow ings and current portion of long-term debt
2,768
3,774
340
397
20
43
309
12,669
19
8
354
12,714
7.3.2 Schedule of Net Debt in US$
Amount in US $ mn
Particulars
Less:
Cash and Cash Equivalents
Restricted Cash
Restricted Cash, non-current
Net Debt 20
Note 20: Net debt as on Sep 30, 2012 includes Rs 23,719 million (US$ 450 million), representing 49% of the net debt of the Qualcomm subsidiaries,
into which the Company had acquired stakes in May, 2012.
7.3.3 Schedule of Finance Cost
Particulars
Interest on borrow ings & Finance charges
Derivatives and exchange (gain)/loss
Investment Income
Finance cost (net)
Quarter Ended
Sep 30, 2012
11,644
250
Amount in Rs mn
Half Year Ended
Sep 30, 2012
22,422
(1,356)
(1,675)
(2,638)
10,219
18,428
Page 33 of 54
7.4 Use of Non-GAAP Financial Information

In presenting and discussing the Companys reported financial position, operating results and cash flows, certain information is
derived from amounts calculated in accordance with IFRS, but this information is not in itself an expressly permitted GAAP measure.
Such non - GAAP measures should not be viewed in isolation as alternatives to the equivalent GAAP measures.
A summary of non - GAAP measures included in this report, together with details where additional information and reconciliation to
the nearest equivalent GAAP measure can be found, is shown below.
Equivalent GAAP measure

for IFRS
Location in this results announcement of

reconciliation and further information
Earnings before Interest, Taxation,

Depreciation and Amortization (EBITDA)
Profit / (Loss) from Operating

Activities
Page 34
Cash Profit from Operations before

Derivative & Exchange (Gain)/Loss
Profit / (Loss) from Operating

Activities
Non GAAP measure
Capex
NA
Operating Free Cash flow

Cumulative investments
NA
NA
7.4.1
Page 34
NA
NA
NA
Reconciliation of Non-GAAP financial information based on IFRS
Quarter Ended
Particulars
Sep 2012
Profit / (Loss) from Operating Activities To EBITDA
Profit / (Loss) from Operating Activities
24,948
Add: Depreciation and Amortization
38,560
EBITDA
63,508
Finance Cost
Finance Income
Finance Cost (net)
Reconciliation of Finance Cost

13,819
(3,600)
10,219
Amount in Rs mn
Half Year Ended
Sep 2012
45,864
76,131
121,995
24,648
(6,218)
18,430
Profit / (Loss) from Operating Activities to Cash Profit from Operations before Derivative & Exchange Fluctuation
Profit / (Loss) from Operating Activities
24,948
45,864
Add: Depreciation and Amortization
38,560
76,131
Less: Finance Cost (net)
10,219
18,430
Add: Derivatives and exchange (gain)/loss
250
(1,355)
Cash Profit from Operations
53,539
102,210
Page 34 of 54
ANNEXURE TRENDS AND POLICIES

A.1 Trends & Ratio Analysis
A.1.1 Based on Statement of Operations
Consolidated
Amount in Rs mn
Parameters
Total Revenues
Access and interconnection charges
Operating Expenses (Excl Access Charges
& License Fee)
Licence Fee
EBITDA
Cash profit from operations before Derivative
and Exchange Fluctuations
Net income
As a % of Total Revenues
& License Fee)
Licence Fee
EBITDA
Cash profit from operations before Derivative
and Exchange Fluctuations
Net income
Sep-12
202,732
29,526
For the Quarter Ended

Jun-12
Mar-12
Dec-11
193,501
187,294
184,767
27,045
25,658
26,235
Sep-11
172,698
23,310
93,327
91,788
83,183
83,826
76,794
16,469
63,508
16,300
58,487
16,218
62,329
15,434
59,584
14,508
58,151
53,539
48,671
53,581
51,576
49,356
14,729
7,212
12,629
7,622
17,056
10,059
15,806
10,113
15,126
10,270
Sep-12
Jun-12
Mar-12
Dec-11
Sep-11
14.6%
14.0%
13.7%
14.2%
13.5%
46.0%
47.4%
44.4%
45.4%
44.5%
8.1%
31.3%
8.4%
30.2%
8.7%
33.3%
8.4%
32.2%
8.4%
33.7%
26.4%
25.2%
28.6%
27.9%
28.6%
7.3%
3.6%
6.5%
3.9%
9.1%
5.4%
8.6%
5.5%
8.8%
5.9%
India & South Asia

Amount in Rs mn
Parameters
Total Revenues
& License Fee)
Licence Fee
EBITDA
Profit / (Loss) before tax 21
Net income 21
& License Fee)
Licence Fee
EBITDA
Net income
Sep-12
144,187
20,342

Jun-12
Mar-12
Dec-11
137,177
134,210
131,628
16,866
15,720
15,371
Sep-11
126,790
14,594
62,966
62,980
57,462
57,824
53,991
13,867
47,097
19,716
12,601
13,868
43,584
18,416
14,293
13,829
47,352
18,606
13,472
13,371
45,225
16,955
12,703
12,547
45,728
19,005
14,519
Sep-12
Jun-12
Mar-12
Dec-11
Sep-11
14.1%
12.3%
11.7%
11.7%
11.5%
43.7%
45.9%
42.8%
43.9%
42.6%
9.6%
32.7%
13.7%
8.7%
10.1%
31.8%
13.4%
10.4%
10.3%
35.3%
13.9%
10.0%
10.2%
34.4%
12.9%
9.7%
9.9%
36.1%
15.0%
11.5%
Note 21: Figures for the quarter ended June 30, 2012 have been restated to give effect to few changes in consolidation of overseas subsidiaries with
no effect on consolidated figures.
Page 35 of 54
Africa
Amount in US$ mn
Parameters
Total Revenues
& License Fee)
Licence Fee
EBITDA
Net income
Interest expense on acquisition loans
Net income from operations
Parameters
Sep-12
1,097
193

Jun-12
Mar-12
Dec-11
1,066
1,071
1,057
206
208
216
Sep-11
1,030
206
558
541
518
521
511
47
298
(90)
(97)
46
(51)
45
275
(108)
(124)
47
(77)
48
298
(30)
(67)
50
(17)
41
282
(26)
(52)
43
(9)
43
270
(87)
(95)
45
(50)
Sep-12
Jun-12

Mar-12
Dec-11
Sep-11
Exchange Fluctuation Im pact

Reported revenues (US $)
1,097
1,066
1,071
1,057
1,030
a. Qo Q gro wth (%)
2.84%
-0.45%
1.30%
2.62%
5.27%
b. Impact o f exchange fluctuatio n (%))
22
-0.89%
-1.56%
-1.40%
-2.28%
-1.87%
c. Qo Q gro wth in co nstant currency (%) (a - b)
3.73%
1.12%
2.71%
4.90%
7.14%
Revenues in constant currency (US $) 23
1,097
1,057
1,045
1,018
970
Note 22: Based on QoQ variation and weighted on the revenues of each country for the current quarter
Note 23: Revenues for all prior periods restated at the average exchange rates of each country for the quarter ended September12.
& License Fee)
Licence Fee
EBITDA
Net income from operations
Sep-12
Jun-12
Mar-12
Dec-11
Sep-11
17.6%
19.3%
19.4%
20.4%
20.0%
50.9%
50.7%
48.4%
49.3%
49.6%
4.3%
27.2%
-8.2%
-4.6%
4.2%
25.8%
-10.1%
-7.2%
4.4%
27.8%
-2.8%
-1.7%
3.9%
26.7%
-2.5%
-0.9%
4.2%
26.2%
-8.5%
-4.9%
Page 36 of 54
A.1.2 Financial Trends of Business Operations
Mobile Services India & South Asia - Comprises of Consolidated Statement of Operations of Mobile Services India & South Asia.
Amount in Rs mn except ratios

Quarter Ended
Particulars
Total revenues
EBITDA
EBIT
Capex
Operating Free Cash Flow
Sep 2012
Jun 2012
Mar 2012
Dec 2011
Sep 2011
111,170
34,437
106,848
32,350
105,096
35,696
101,764
34,431
97,827
32,926
31.0%
30.3%
34.0%
33.8%
33.7%
18,438
17,345
17,092
747,459
17,012
19,411
12,939
711,311
21,415
4,745
30,951
678,860
20,176
1,878
32,554
674,005
19,775
12,011
20,914
665,785
Note 24: Effective quarter ended Jun12, Cumulative investments include investments in 4G earlier reported under Telemedia services. Previous
quarters have been restated accordingly.
Telemedia Services

Quarter Ended
Particulars
Sep 2012
9,529
4,039
Total revenues
EBITDA
Jun 2012
9,442
3,809
Mar 2012
9,159
3,777
Dec 2011
9,128
3,542
Sep 2011
9,528
4,213
42.4%
40.3%
41.2%
38.8%
44.2%
EBIT
Capex
1,803
1,492
2,547
96,817
1,333
2,081
1,728
95,305
1,540
1,496
2,281
93,317
1,287
1,470
2,072
91,792
2,126
1,348
2,865
90,336
Note 25: Effective quarter ended Jun12, Cumulative investments in 4G earlier reported under Telemedia services have now been reported under
Mobile services (India & South Asia). Previous quarters have been restated accordingly.
Digital TV Services
Quarter Ended
Particulars
Total revenues
EBITDA
Sep 2012
3,937
33
EBIT
Capex
Jun 2012
3,658
(23)
Mar 2012
3,565
209
Dec 2011
3,327
90
Sep 2011
3,135
116
0.8%
-0.6%
5.9%
2.7%
3.7%
(2,228)
1,630
(1,597)
37,876
(2,265)
3,241
(3,264)
35,402
(1,944)
981
(772)
32,980
(1,955)
1,503
(1,413)
32,586
(1,806)
2,610
(2,494)
31,522
Airtel Business

Quarter Ended
Particulars
Total revenues
EBITDA
EBIT
Capex
Sep 2012
Jun 2012
Mar 2012
Dec 2011
Sep 2011
13,934
2,148
11,906
1,963
11,209
1,631
11,881
2,008
11,042
2,371
15.4%
16.5%
14.5%
16.9%
21.5%
770
458
1,690
42,268
591
166
1,797
42,927
181
338
1,293
42,493
713
458
1,550
44,404
1,051
116
2,255
43,676
Page 37 of 54
Tower Infrastructure Services

Quarter Ended
Particulars
Total revenues
EBITDA
EBIT
Capex
Sep 2012
Jun 2012
Mar 2012
Dec 2011
Sep 2011
25,567
9,577
24,048
8,788
24,183
9,346
24,393
9,110
23,766
8,902
37.5%
36.5%
38.6%
37.3%
37.5%
4,090
5,679
3,898
243,664
3,420
4,283
4,504
238,467
3,930
3,427
5,919
234,730
3,758
2,440
6,670
231,533
3,520
3,743
5,159
229,486
Others
Amount in Rs mn
Quarter Ended
Particulars
Total revenues
EBITDA
EBIT
Capex
Sep 2012
Jun 2012
Mar 2012
Dec 2011
Sep 2011
946
(2,249)
(2,336)
2,353
(4,602)
9,576
817
(2,495)
(2,624)
126
(2,621)
7,365
738
(2,505)
(2,631)
13
(2,519)
7,013
666
(3,139)
(3,243)
66
(3,205)
9,690
859
(1,969)
(2,118)
787
(2,756)
9,322
Africa - Comprises of 17 country operations in Africa.

Amount in US$ mn except ratios
Quarter Ended
Particulars
Sep 2012
Jun 2012
Mar 2012
Dec 2011
Sep 2011
Total revenues
EBITDA
1,097
298
1,066
275
1,071
298
1,057
282
1,030
270
27.2%
25.8%
27.8%
26.7%
26.2%
EBIT
Capex
80
210
88
13,274
62
119
156
13,041
102
254
44
13,432
58
265
17
13,049
81
575
(305)
12,889
Page 38 of 54
A.1.3
Based on Statement of Financial Position
Consolidated
Amount in Rs mn
Parameters
Equity attributable to equity holders of parent
Net Debt
Net Debt (US $)
Capital Employed = Equity attributable to
equity holders of parent + Net Debt
Sep-12
493,070
667,600
12,669
Jun-12
495,150
682,983
12,129
As at
Mar-12
506,113
650,394
12,714
1,160,670
1,178,133
1,156,507
1,169,361
1,128,784
Dec-11
491,733
677,628
12,722
Sep-11
484,486
644,298
13,169
Parameters
Sep-12
Jun-12
Mar-12
Dec-11
Sep-11
Return on Equity attributable to equity holders

of parent (LTM)
7.1%
7.7%
8.6%
9.5%
10.3%
Return on Capital Employed (LTM)
6.2%
6.6%
7.2%
7.3%
7.9%
Net Debt to EBITDA (LTM) - US $
2.72
2.54
2.56
2.58
2.70
Net Debt to EBITDA (Annualised) - US $
2.75
2.80
2.56
2.71
2.59
Assets Turnover ratio (LTM)
69.7%
68.6%
67.3%
64.8%
61.8%
Interest Coverage ratio (times)

Net debt to Equity attributable to equity
holders of parent (Times)
Per share data (for the period)
6.40
6.29
7.55
8.08
8.74
1.35
1.38
1.29
1.38
1.33
Net profit/(loss) per common share (in Rs)
1.90
2.01
2.65
2.66
2.71
Net profit/(loss) per diluted share (in Rs)
1.90
2.01
2.65
2.66
2.71
Book Value Per Equity Share (in Rs)

Market Capitalization (Rs. bn)
Enterprise Value (Rs. bn)
129.8
1,006
1,673
130.4
1,158
1,841
133.3
1,279
1,929
129.5
1,302
1,980
127.6
1,436
2,080
Page 39 of 54
A.1.4 Operational Performance India

Unit
Sep 30,
2012 26
Jun 30,
2012
Mar 31,
2012
Dec 31,
2011
Sep 30,
2011
Total Custom ers Base
000's
196,652
197,974
191,777
186,039
182,725
Mobile Services
Customer Base
VLR
Net Additions
Pre-Paid (as a % of total Customer Base)
Monthly Churn
000's
%
000's
%
%
185,922
91.5%
(1,380)
96.0%
8.5%
187,302
90.8%
6,023
96.2%
8.8%
181,279
91.7%
5,626
96.3%
8.8%
175,653
90.0%
2,870
96.3%
7.9%
172,783
88.6%
3,595
96.3%
7.2%
Rs
177
185
189
187
183
US$
3.2
3.4
3.8
3.7
4.0
paisa
42.6
42.7
43.8
44.6
43.2
Rs
260,380
275,647
280,332
274,637
266,165
Mn
234,224
239,338
230,365
219,152
217,408
Rs
148
154
158
157
153
min
417
433
431
419
423
paisa
35.4
35.7
36.7
37.5
36.2
16.8%
16.3%
16.2%
15.8%
16.1%
10.1%
10.8%
11.0%
11.3%
12.2%
5.2%
4.3%
4.1%
3.5%
3.1%
1.5%
1.2%
1.1%
1.0%
0.8%
000's
40,600
38,660
35,780
NA
NA
000's
4,014
3,713
2,711
NA
NA
Parameters

Voice

Non Voice Revenue
Of Which
Data
Data Customer Base
Of which no. of 3G data customers
21.8%
20.6%
19.7%
NA
NA
Mn MBs
15,879
12,566
10,006
NA
NA
Rs
43
40
44
NA
NA
Data Usage per customer
MBs
133
112
107
NA
NA
paisa
32.4
35.3
40.9
NA
NA
Total MBs on the netw ork
Data Average Revenue Per User (ARPU)
Telem edia Services

Telemedia Customers
Of which no. of Broadband (DSL) customers
000's
3,275
3,272
3,270
3,317
3,328
000's
1,380
1,371
1,369
1,357
1,398
42.0%
42.1%
41.9%
41.9%
40.9%
000's
(47)
(11)
Rs
971
962
933
916
955
US$
17.6
17.8
18.6
18.1
20.9
55.4%
54.3%
55.8%
54.8%
52.1%
Digital TV Customers
000's
7,455
7,400
7,228
7,069
6,614
Net additions
000's
55
172
159
455
352
Rs
177
166
166
160
161
US$
3.2
3.1
3.3
3.2
3.5
1.9%
1.7%
1.2%
1.2%
1.2%
Net Additions
Non Voice Revenue as % of Telemedia Revenues

Digital TV
Monthly Churn
Note 26: In the quarter ended Sep 30, 2012, the Group was awarded a favourable order by TDSAT in respect of an outstanding dispute pertaining to
inter-connect agreements, for which accounting has been recognized, and for which KPI parameters reflect only the proportion applicable to the
quarter ended Sep 30,2012 with no prior period adjustments.
Page 40 of 54
A.1.5 Traffic Trends India
Unit
Sep 30,
2012
Jun 30,
2012
Mar 31,
2012
Dec 31,
2011
Sep 30,
2011
Mobile Services
Telemedia Services
National Long Distance Services
Mn Min
Mn Min
Mn Min
234,224
4,156
22,997
239,338
4,162
22,241
230,365
4,145
21,588
219,152
4,186
20,551
217,408
4,598
20,305
International Long Distance Services

Total Minutes on Netw ork (Gross)
Eliminations
Total Minutes on Netw ork (Net)
Mn Min
Mn Min
Mn Min
Mn Min
4,340
265,717
(23,282)
242,435
3,362
269,103
(22,525)
246,578
3,518
259,615
(21,926)
237,688
3,529
247,418
(20,904)
226,514
3,519
245,831
(20,660)
225,171
Unit
Sep 30,
2012
Jun 30,
2012
Mar 31,
2012
Dec 31,
2011
Sep 30,
2011
Nos
Nos
%
R Kms
Nos
Nos
5,121
457,053
86.6%
162,457
129,411
20,333
5,121
455,575
86.5%
159,762
126,010
18,012
5,118
454,302
86.4%
157,886
120,905
16,162
5,116
453,294
86.4%
154,744
119,044
14,751
5,115
453,148
86.3%
151,719
118,011
12,979
Nos
87
87
87
87
87
Nos
Nos
%
632
99%
616
96%
609
95%
587
92%
582
91%
Parameters
Unit
Sep 30,
2012
Jun 30,
2012
Dec 31,
2011
Total Tow ers 27

Key Indicators
Nos
Nos
80,656
154,296
79,452
151,458
Mar 31,
2012
79,064
149,908
79,012
148,701
Sep 30,
2011
78,859
146,548
Rs
34,449
33,388
34,824
35,021
34,576
Times
1.91
1.90
1.89
1.87
1.85
Parameters
A.1.6 Coverage and Network Trends - India
Parameters
Mobile Services
Census Tow ns
Non-Census Tow ns & Villages
Population Coverage
Optic Fibre Netw ork
Sites on Netw ork
Telem edia Services
Cities covered
Airtel Business
Submarine cable systems
Digital TV Services
Districts Covered
Coverage
A.1.7 Tower Infrastructure Services 30
A.1.7.1 Bharti Infratel Consol
Note 27: Represents the sum of the number of towers (and the co-locations thereof) owned and operated by Bharti Infratel (as set forth in table
A.1.7.2) and 42% of the number of towers (and the co-locations thereof) owned and operated by Indus and includes the towers (and the co-locations
A.1.7.2 Bharti Infratel Standalone

Parameters
Unit
Sep 30,
2012
Jun 30,
2012
Mar 31,
2012
Dec 31,
2011
Sep 30,
2011
Total Tow ers 28

Key Indicators
Nos
Nos
34,220
62,027
33,446
60,714
33,147
60,160
33,094
60,357
32,993
59,366
Rs
36,839
36,170
37,151
37,493
36,293
Times
1.81
1.82
1.82
1.81
1.79
Note 28: Represents Total Towers (and the co-locations thereof) owned and operated by Bharti Infratel and excludes the towers (and the co-locations
Page 41 of 54
A.1.7.3 Indus Towers
Nos
Nos
Sep 30,
2012
110,561
219,687
Jun 30,
2012
109,539
216,058
Mar 31,
2012
109,325
213,685
Dec 31,
2011
109,328
210,343
Sep 30,
2011
109,204
207,575
Rs
31,711
29,777
32,114
32,083
31,117
Times
1.98
1.96
1.94
1.91
1.89
Parameters
Unit
Total Tow ers 29

Key Indicators
Note 29: Represents Total towers (and the co-locations thereof) owned and operated by Indus and includes the towers (and the co-locations thereof)
Note 30: During the quarter ended Sep 30, 2012, the Company has changed the nomenclature and definitions of Tower infrastructure operational &
financial performance indicators to reflect the globally used tower companies terminologies. The revised definitions are enclosed as part of Glossary
and wherever necessary the previous quarter figures have been restated accordingly so as to conform to the revised definitions.
A.1.8 Human Resource Analysis - India

Parameters
Unit
Sep 30,
2012 26
Jun 30,
2012
Mar 31,
2012
Dec 31,
2011
Sep 30,
2011
Nos
Nos
Rs
Rs
15,579
12,623
118,425
2,896,814
15,256
12,977
118,119
2,935,716
14,935
12,841
110,252
2,937,785
15,141
12,287
104,443
2,843,124
15,611
11,705
116,451
2,661,360
Consolidated
Total Employees 31
Personnel Cost per employee per month
31
Note 31: Total Employee count of India includes proportionate consolidation of 42% of Indus towers employees. Also refer to note 26.
A.1.9 Operational Performance Africa
000's
%
000's
%
%
Sep 30,
2012
58,667
85.8%
2,812
99.3%
5.1%
Jun 30,
2012
55,855
85.3%
2,715
99.3%
5.1%
Mar 31,
2012
53,140
84.5%
2,191
99.3%
5.3%
Dec 31,
2011
50,949
87.4%
2,512
99.3%
5.4%
Sep 30,
2011
48,437
87.1%
2,131
99.3%
6.1%
US$
6.4
6.5
6.8
7.1
7.3
US
4.6
5.4
5.6
5.7
5.7
US$
22,872
23,134
24,522
25,225
25,836
Mn
23,646
19,651
19,131
18,496
17,950
US$
5.5
5.7
6.1
6.5
6.5
min
138
120
122
125
128
US
4.0
4.7
5.0
5.2
5.1
13.0%
12.9%
10.6%
9.4%
10.7%
6.9%
7.0%
5.6%
5.3%
6.0%
3.6%
3.4%
3.2%
2.5%
2.7%
2.5%
2.5%
1.8%
1.6%
2.0%
Jun 30,
2012
6.5
Mar 31,
2012
6.7
Dec 31,
2011
6.9
Sep 30,
2011
6.9
Parameters
Unit
Customer Base
VLR
Net Additions
Monthly Churn
Voice
Non Voice Revenue

Of Which
A.1.10 Operational Performance Africa (in constant currency)

Parameters
Unit
US$
Sep 30,
2012
6.4
US
4.6
5.4
5.5
5.5
5.4
US$
5.5
5.6
6.0
6.2
6.1
US
4.0
4.7
4.9
5.0
4.8
Page 42 of 54
A.1.11 Coverage and Network Trends - Africa
Parameters
Unit
Sep 30,
2012
Jun 30,
2012
Mar 31,
2012
Dec 31,
2011
Sep 30,
2011
Sites on Netw ork

Nos
Nos
15,979
5,347
15,439
4,787
14,831
3,205
14,112
NA
13,628
NA
A.1.12 Human Resource Analysis - Africa
Parameters
Unit
Total Em ployees
Personnel Cost per employee per month
Nos
Nos
US$
US$
Sep 30,
2012
4,984
11,771
6,015
73,335
Jun 30,
2012
4,907
11,383
5,436
72,831
Mar 31,
2012
4,792
11,089
6,006
75,800
Dec 31,
2011
4,773
10,674
5,783
73,835
Sep 30,
2011
5,115
9,470
5,154
67,138
Page 43 of 54
A.2 Key Accounting Policies as per IFRS

1.
Joint Ventures
A joint venture is a contractual arrangement whereby the

Group and other parties undertake an economic activity that
is subject to joint control; that is, when the strategic financial
and operating policy decisions relating to the activities
require the unanimous consent of the parties sharing control.
The Group reports its interests in jointly controlled entities
using proportionate consolidation. The Groups share of the
assets, liabilities, income, expenses and cash flows of jointly
controlled entities are combined with the equivalent items in
the results on a line-by-line basis in the consolidated
financial statements. The financial statements of the joint
venture are prepared for the same reporting period as the
parent Company. Adjustments are made where ever
necessary, to bring the accounting policies in line with those
of the Group.
Adjustments are made in the Groups consolidated financial
statements to eliminate the Groups share of intra-group
balances, income and expenses and unrealized gains and
losses on transactions between the Group and its jointly
controlled entities.
2.
Property and equipment
Property and equipment are stated at cost, net of

accumulated depreciation and impairment loss. All direct
costs relating to the acquisition and installation of property
and equipment are capitalized.
Depreciation is recorded on a straight-line basis over the
estimated useful lives of the assets.
Costs of additions and substantial improvements to property

and equipment are capitalized. The costs of maintenance
and repairs of property and equipment are charged to
operating expenses.
3.
Goodwill
Goodwill arising on the acquisition of an entity represents the

excess of the cost of acquisition over the Groups interest in
the net fair value of the identifiable assets, liabilities and
contingent liabilities of the entity recognized at the date of
acquisition. Goodwill on acquisition of subsidiaries is
disclosed separately. Goodwill arising on accounting for
jointly controlled entities or entities in which the Group
exercises significant influence is included in investments in
the related associates/jointly controlled entities.
Goodwill is initially recognized as an asset at cost and is
subsequently measured at cost less any accumulated
impairment losses. Goodwill is held in the currency of the
acquired entity and revalued to the closing rate at each date
of statement of financial position. Goodwill is not subject to
amortization but is tested for impairment annually and when
circumstances indicate, the carrying value may be impaired.
Negative goodwill arising on an acquisition is recognized
directly in the statement of comprehensive income.
On disposal of a subsidiary or a jointly controlled entity, the
attributable amount of goodwill is included in the
determination of the profit or loss recognized in the
statement of comprehensive income on disposal.
Impairment is determined for goodwill by assessing the
recoverable amount of each cash-generating unit (or group
of cash-generating units) to which the goodwill relates.
Where the recoverable amount of the cash- generating unit
is less than their carrying amount an impairment loss is
recognized. Impairment losses relating to goodwill are not
reversed in future periods.
Assets
Years
Building
Network Equipment
Computer equipment
Office, furniture and equipment
Vehicles
20
3-20
3
2-5
3-5
Remaining
period of the
lease or 10/20
years,
as
applicable,
whichever is less
4.
The assets and liabilities of foreign operations are translated

into functional currency of parent (i.e. INR) at the rate of
exchange prevailing at the reporting date and their
statements of comprehensive income are translated at
average exchange rates prevailing during the period. The
exchange differences arising on the translation are
recognized in foreign currency translation reserve (FCTR).
Exchange differences arising on a monetary item that forms
part of Group entitys net investment in a foreign operation is
recognized in profit or loss in the separate financial
statements of the Group entity or the individual financial
statements of the foreign operation, as appropriate. In the
consolidated
financial
statements,
such
exchange
differences are recognized in other comprehensive income.
On disposal of a foreign operation (reduction in percentage
ownership interest), the component of FCTR relating to that
Leasehold improvements
Assets individually costing Rs.

thousand or less
Customer premises equipment
56
Land is not depreciated. The assets residual values and

useful lives are reviewed, and adjusted if appropriate, at
each balance sheet date.
Gains and losses arising from retirement or disposal of
property and equipment are determined as the difference
between the net disposal proceeds and the carrying amount
of the asset and are recognized in the consolidated
statement of comprehensive income on the date of
retirement and disposal.
Foreign currency transactions
Monetary assets and liabilities denominated in foreign

currencies are translated at the functional currency spot rate
of exchange ruling at the reporting date. Non-monetary items
that are measured in terms of historical cost in a foreign
currency are translated using the exchange rates as at the
dates of the initial transactions. Gains or losses resulting
from foreign currency transactions are included in the
consolidated statement of comprehensive income.
Page 44 of 54
particular foreign operation is recognized in the statement of

comprehensive income.
5.
Capital leases
Lessee accounting
Finance leases, which transfer to the Group substantially all
the risks and benefits incidental to ownership of the leased
item, are capitalized at the commencement of the lease at
the fair value of the leased property or, if lower, at the
present value of the minimum lease payments. Lease
payments are apportioned between finance charges and
reduction of the lease liability so as to achieve a constant
rate of interest on the remaining balance of the liability.
Finance charges are recognized in the statement of
comprehensive income.
Amortization of leased assets is computed on straight line
basis over the shorter of useful life of the assets or
remaining lease period. Amortization charge for capital
leases is included in depreciation expense for the period.
Lessor accounting
Assets leased to others under capital leases are recognized
as receivables at an amount equal to the net investment in
the leased assets. The finance income is recognized based
on periodic rate of return on the net investment of the lessor
outstanding in respect of the capital lease.
6.
Indefeasible right to use (IRU)
The Group enters into agreements for leasing assets under

Indefeasible right to use with third parties. Under the
arrangement the assets are taken or given on lease over the
substantial part of the asset life. However the title to the
assets and associated risks are retained by the lessor.
Hence, such arrangements are recognized as operating
lease. Direct expenditures incurred in connection with
agreements are capitalized and expensed over the term of
the agreement.
The contracted price is received in advance and is
recognized as revenue during the period of the agreement.
Unearned IRU revenue net of the amount recognizable
within one year is disclosed as unearned income in noncurrent liabilities and the amount recognizable within one
year as unearned income in current liabilities.
Exchange
of
network
capabilities
with
other
telecommunication service providers are recorded as nonmonetary transactions and measured at the carrying amount
of capacities relinquished, as these exchanges are for
similar productive assets used to provide telecommunication
services to customers.
7.
Impairment of long lived assets and intangible

assets
The Group reviews its long-lived assets, including

identifiable intangibles with finite lives, for impairment
whenever events or changes in business circumstances
indicate that the carrying amount of assets may not be fully

recoverable. Such circumstances include, though are not
limited to, significant or sustained declines in revenues or
earnings and material adverse changes in the economic
climate. For assets that the Group intends to hold for use, if
the total of the expected future undiscounted cash flows
produced by the asset or asset Group is less than the
carrying amount of the assets, a loss is recognized for the
difference between the fair value and carrying value of the
assets. For assets the Group intends to dispose of by sale,
a loss is recognized for the amount by which the estimated
fair value, less cost to sell, is less than the carrying value of
the assets. Fair value is determined based on quoted market
prices, if available, or other valuation techniques including
discounted future net cash flows.
8.
Revenue recognition
(i)
Service revenues
Service revenues include amounts invoiced for usage

charges, fixed monthly subscription charges and VSAT/
internet usage charges, roaming charges, activation fees,
processing fees and fees for value added services (VAS).
Service revenues also include revenues associated with
access and interconnection for usage of the telephone
network of other operators for local, domestic long distance
and international calls.
Service revenues are recognized as the services are
rendered and are stated net of discounts, waivers and taxes.
Revenues from pre-paid cards are recognized based on
actual usage. Activation revenue and related activation
costs, not exceeding the activation revenue, are deferred
and amortized over the estimated customer relationship
period. The excess of activation costs over activation
revenue, if any, are expensed as incurred. Subscriber
acquisition costs are expensed as incurred. On introduction
of new prepaid products, processing fees on recharge
coupons is being recognized over the estimated customer
relationship period or coupon validity period, whichever is
lower.
Service revenues from the internet and VSAT business
comprise revenues from registration, installation and
provision of internet and satellite services. Registration fee
and installation charges are deferred and amortized over
their expected customer relationship period of 12 months.
Service revenue is recognized from the date of satisfactory
installation of equipment and software at the customer site
and provisioning of internet and satellite services. Revenue
from prepaid dialup packs is recognized on an actual usage
basis and is net of sales returns and discounts.
Revenues from national and international long distance
operations comprise revenue from provision of voice
services which are recognized on completion of services
while revenue from provision of bandwidth services is
recognized over the period of arrangement.
Unbilled receivables represent revenues recognized from the
bill cycle date to the end of each month. These are billed in
subsequent periods based on the terms of the billing plans.
Unearned income includes amounts received in advance on
pre-paid cards and advance monthly rentals on post-paid.
The related services are expected to be performed within the
next operating cycle.
Page 45 of 54
(ii)
Equipment sales
Equipment sales consist primarily of revenues from sale of

VSAT and internet equipment (hardware) and related
accessories to subscribers. Equipment sales are treated as
activation revenue and are deferred and amortized over the
customer relationship period.
(iii)
Multiple element arrangements
The Group has entered into certain multiple-element

revenue arrangements. These arrangements involve the
delivery or performance of multiple products, services or
rights to use assets including VSAT and internet equipment,
internet and satellite services, set top boxes and subscription
fees on DTH, indefeasible right to use and hardware and
equipment maintenance. The Group evaluates all
deliverables in an arrangement to determine whether they
represent separate units of accounting at the inception of the
arrangement in accordance Revenue Arrangements with
Multiple Deliverables applying the hierarchy in IAS 8.12.
Revenue is determined for each of the units of accounting
on the basis of their fair values Arrangements involving the
delivery of bundled products or services shall be separated
into individual elements, each with own separate revenue
contribution. Total arrangement consideration related to the
bundled contract is allocated among the different elements
based on their relative fair values (i.e., a ratio of the fair
value of each element to the aggregated fair value of the
bundled deliverables is generated). Where the Group has
determined that the fair value of individual element is not
ascertainable, equipment sales for these arrangements are
deferred and amortized over the term of the arrangement.
9.
License fees
Acquired licenses are shown at historical cost. Licenses

acquired in a business combination are recognized at fair
value at the acquisition date. License and spectrum entry
fees are measured at cost less accumulated amortization.
Amortization is charged to the statement of comprehensive
income on a straight-line basis over the period of the license
from the date of commencement of commercial operations in
the respective jurisdiction and is disclosed as components of
depreciation and amortization. The amortization period is
determined primarily by reference to the unexpired license
period.
Groups shares of licenses acquired under business
combination are accounted for at their respective fair values
as at the date of acquisition. The amounts are amortized on
a straight-line basis over the remaining period of the license
from the date of acquisition of respective circles.
The revenue-share fee on license and spectrum is computed
as per the licensing agreement and is expensed as incurred.
10. Other intangible assets
Other intangible assets comprising enterprise resource
planning software, bandwidth capacities, brands, customer
relationships, distribution networks, licenses and noncompete clauses, are capitalized at the Groups share of
respective fair values on the date of an acquisition.
Amortization is charged to the statement of comprehensive
income on a straight-line basis over the estimated useful

lives of intangible assets from the date they are available for
use or placed in service. The intangibles are amortized as
follows:
Software is amortized over the period of its license,
not exceeding three years. Software up to Rs 500
thousand is amortized over a period of 1 year.
Bandwidth capacities are amortized over the period
of the agreement.
Brand: Over the period of their expected benefits, not
exceeding the life of the licenses and are written off
in their entirety when no longer in use.
Distribution network : Over estimated useful life
Customer base: The estimated life of such
relationships.
11. Income-taxes
Income tax assets and liabilities for the current and prior
periods are measured at the amount expected to be
recovered from or paid to the taxation authorities, and is
provided using the liability method on temporary differences
at the reporting date between the tax bases of assets and
liabilities and their carrying amounts for financial reporting
purposes. Deferred tax liabilities are recognized for all
taxable temporary differences, except:
Where the deferred tax liability arises from the initial
recognition of goodwill or of an asset or liability in a
transaction that is not a business combination and, at
the time of the transaction, affects neither the
accounting profit nor taxable profit or loss.
In respect of taxable temporary differences
associated with investments in subsidiaries,
associates and interests in joint ventures, where the
timing of the reversal of the temporary differences
can be controlled and it is probable that the
temporary differences will not reverse in the
foreseeable future.
The tax rates and tax laws used to compute the amount are
those that are enacted or substantively enacted, by the
reporting date, in the countries where the Group operates
and generates taxable income.
12. Borrowing costs
Borrowing costs directly attributable to the acquisition,
construction or production of an asset that necessarily takes
a substantial period of time to get ready for its intended use
or sale are capitalized as part of the cost of the respective
assets. The interest cost incurred for funding a qualifying
asset during the construction period is capitalized based on
actual investment in the asset at the average interest rate.
All other borrowing costs are expensed in the period they
occur. Borrowing costs consist of interest and other costs
that the Group incurs in connection with the borrowing of
funds.
13. Derivative financial instruments
The Group enters into derivative instruments, including
interest rate swaps and foreign currency forward contracts,
to manage interest rate movements of its debt obligations
and foreign currency exposures related to the import of
Page 46 of 54
equipment used in operations and its foreign currency

denominated debt instruments.
All derivative instruments are recorded on the balance sheet
at their fair value. Changes in the fair value of derivatives are
recorded each period in current earnings or in other
comprehensive income, depending on whether a derivative
is designated as part of a hedging relationship and, if it is,
depending on the type of hedging relationship.
14. Asset Retirement Obligations

Asset retirement obligations (ARO) are provided for those
operating lease arrangements where the Group has a
binding obligation at the end of the lease period to restore
the leased premises in a condition similar to inception of
lease. ARO are provided at the present value of expected
costs to settle the obligation using discounted cash flows
and are recognized as part of the cost of that particular
asset. The cash flows are discounted at a current pre-tax
rate that reflects the risks specific to the decommissioning
liability. The unwinding of the discount is expensed as
incurred and recognized in the statement of comprehensive
income as a finance cost. The estimated future costs of
decommissioning are reviewed annually and adjusted as
appropriate. Changes in the estimated future costs or in the
discount rate applied are added to or deducted from the cost
of the asset.
15. Allowance for uncollectible accounts receivable

The allowance for uncollectible accounts receivable reflects
managements best estimate of probable losses inherent in
the accounts receivable balance. Management primarily
determines the allowance based on the aging of accounts
receivable balances and historical write-off experience, net
of recoveries. The Group provides for amounts outstanding
net of security deposits, or in specific cases where
management is of the view that the amounts are not
recoverable. Amounts due from debtors that have been
outstanding, though fully provided, are evaluated on a
regular basis by the management and are written off, if as a
result of such evaluation, it is determined that these amounts
will not be collected.
16. Issuance of Stock by Subsidiaries
At the time a subsidiary sells its stock to unrelated parties at
a price less than or in excess of its book value, the
Company's investment in that subsidiary's net assets
changes. The Company's policy is to record such changes in
its consolidated statement of changes in equity.
Page 47 of 54
GLOSSARY
Technical and Industry Terms
Company Related
3G
Third Generation of Mobile Telephony.
3G Customers
Customer who made at least one revenue generating call or a data session of more than zero Kbs
on 3G network in the last 30 days
3G Data Customers
A customer who used at least one data session of more than zero Kbs on 3G network in the last
30 days
Average Revenue per

User (ARPU)
Average revenue per customer per month is computed by: dividing the total revenues (including
sale of goods) during the relevant period by the average customers; and dividing the result by the
number of months in the relevant period.
Asset Turnover
Asset Turnover is defined as total revenues, for the preceding (last) 12 months from the end of
the relevant period, divided by average assets. Asset is defined as the sum of non-current assets
and net current assets. Net current assets are computed by subtracting current liabilities from
current assets. Average assets are calculated by considering average of quarterly average for the
preceding (last) four quarters from the end of the relevant period.
Average Customers
Average customers are derived by computing the average of the monthly average customers for
the relevant period.
Average Co-locations
Average co-locations are derived by computing the average of the Opening and Closing colocations for the relevant period.
(Erstwhile definition of Average Sharing Operator: Average Sharing Operator is derived by computing the
average of the monthly average of sharing operators for the relevant period)
It is calculated as the average of the opening and closing number of co-locations divided by the
average of the opening and closing number of towers for the relevant period.
(Erstwhile definition of Tenancy Ratio: It is computed by dividing average sharing operators by average towers)
Average Towers
Average towers are derived by computing the average of the Opening and Closing towers for the
relevant period
(Erstwhile definition: Average towers are derived by computing the average of the monthly average towers for
the relevant period)
Bn
Billion
Book Value Per Equity

Share
Total stockholders equity as at the end of the relevant period divided by outstanding equity
shares as at the end of the relevant period.
Capex
It includes investment in gross fixed assets and capital work in progress for the quarter.
Capital Employed
Capital Employed is defined as sum of equity attributable to equity holders of parent and net
debt.
Cumulative Investments comprises of gross value of property, plant & equipment (including
CWIP & capital advances) and intangibles including investment in associates.
Cash Profit From

Operations before
Derivative & Exchange
Fluctuation
It is not an IFRS measure and is defined as operating income adjusted for depreciation and
amortization, pre-operating costs, interest expense and interest income before adjusting for
derivative & exchange (gain)/ loss.
Churn
Churn is calculated by dividing the total number of disconnections during the relevant period by
the average customers; and dividing the result by the number of months in the relevant period.
Co-locations
Co-location is the total number of sharing operators at a tower, and where there is a single
operator at a tower, co-location refers to that single operator. Co-locations as referred to are
revenue generating Co-locations.
(Erstwhile definition of Tenancies: It is the sum of all operators sharing total towers)
Page 48 of 54
Customer Base
Customer who made at least one revenue generating call or a data session of more than zero
Kbs on 2G / 3G network in the last 30 days.
Customers Per
Employee
Number of customers on networks of a business unit as at end of the relevant period divided by
number of employees in the respective business unit as at end of the relevant period.
Data as % of Mobile
Revenue
It is computed by dividing the data revenues by the total revenues of mobile services for the
relevant period. Data revenue includes revenue from use of data session on GPRS / 3G including
blackberry.
Data ARPU
Average revenue per data customer per month is computed by: dividing the total data revenues
during the relevant period by the average data customers; and dividing the result by the number
of months in the relevant period.
A customer who used at least one data session of more than 0 Kbs on GPRS / 3G network in the
last 30 days.
Data Customer Base
Data Usage per

Customer
It is calculated by dividing the total MBs consumed on the network during the relevant period by
the average data customer base; and dividing the result by the number of months in the relevant
period.
It is computed by dividing the Data revenues by total MBs consumed on the network.
DTH / Digital TV
Services
Direct to Home broadcast service
Earnings Per Basic

Share.
It is computed by dividing net income attributable to ordinary shareholders by the weighted

average number of ordinary shares outstanding during the period.
The calculation of Net Profit/ (loss) per diluted share adjusts net profit or loss and the weighted
average number of ordinary shares outstanding, to give effect to all dilutive potential ordinary
shares that were outstanding during the year.
Earnings Per Diluted

Share
Net profit or loss attributable to ordinary shareholders is adjusted for the after-tax effect of the
following: (1) dividends on potential ordinary shares (for example, dilutive convertible preferred
shares); (2) interest recognized on potential ordinary shares (for example, dilutive convertible
debt); and (3) any other changes in income or expense resulting from the conversion of dilutive
potential ordinary shares (e.g., an entitys contribution to its non-discretionary employee profitsharing plan may be revised based on changes in net profit due to the effects of items discussed
above).
EBITDA
Earnings/ (loss) before interest, taxation, depreciation and amortization. It is not a IFRS measure
and is defined as operating income adjusted for depreciation and amortization and pre-operating
costs.
EBITDA Margin
It is computed by dividing EBITDA for the relevant period by total revenues for the relevant
period.
EBIT
Earnings / (Loss) before interest, taxation for the relevant period.
Enterprise Valuation
(EV)
Calculated as sum of Market Capitalization plus Net Debt as at the end of the relevant period.
EV / EBITDA (times)
Computed by dividing Enterprise Valuation as at the end of the relevant period (EV) by EBITDA
for the relevant period (annualized).
Gross Revenue per

Employee per month
It is computed by dividing the Gross Revenue (net of inter-segment eliminations) by the closing
number of employees in a given business unit and number of months in the relevant period.
ILD
International Long Distance Services.
Intangibles
Comprises of goodwill, software, bandwidth, one-time entry fee paid towards acquisition of
licenses, distribution network and customer relationships.
Interest Coverage Ratio
EBITDA for the relevant period divided by interest on borrowing for the relevant period.
IPTV
Internet Protocol TV. IPTV is the method of delivering and viewing television programmes using
an IP transmission and service infrastructure, which can deliver digital television to the
customers. IPTV when offered using an IP network and high speed broadband technology
becomes interactive because of availability of return path and is capable of providing Video on
Demand (VOD), time shifted television and many other exciting programmes.
Page 49 of 54
KPI
Key Performance Indicators
LTM
Last twelve months.
Number of issued and outstanding shares as at end of the period multiplied by closing market
price (BSE) as at end of the period.
Mn
Million
Messaging & VAS as %

of Mobile Revenue
It is computed by dividing messaging and VAS revenue by the total revenues of mobile services
for the relevant period. Messaging revenue includes revenue from exchange of text or multimedia
messages (MMS) as well as termination revenues from other operators. VAS revenue includes
revenue from hello tunes, ring tones, music downloads etc.
MNP
Mobile Network Portability
MoU
Minutes of Usage. Duration in minutes for which a customer uses the network. It is typically
expressed over a period of one month.
MPLS
Multi Protocol Label Switching
Network Site
Comprises of Base Transmission System (BTS) which holds the radio transreceivers (TRXs) that
define a cell and coordinates the radio links protocols with the mobile device. It includes all the
Ground based, Roof top and In Building Solutions as at the end of the period.
Net Debt
It is not a IFRS measure and is defined as the long-term debt, net of current portion plus shortterm borrowings and current portion of long-term debt minus cash and cash equivalents,
restricted cash, restricted cash non-current and short-term investments as at the end of the
relevant period.
Net Debt to EBITDA

(LTM)
It is computed by dividing net debt as at the end of the relevant period by EBITDA for preceding
(last) 12 months from the end of the relevant period.
Net Debt to EBITDA

(Annualized)
It is computed by dividing net debt as at the end of the relevant period by EBITDA for the relevant
period (annualized).
Net Debt to Funded

Equity Ratio
It is computed by dividing net debt as at the end of the relevant period by Equity attributable to
equity holders of parent as at the end of the relevant period.
Net Income from

operations
It is calculated by adding back the interest expense on loans taken for the Africa acquisition to
the net income of Africa.
Net Revenues
It is not IFRS measure and is defined as total revenues adjusted for access charges for the
relevant period.
NLD
National Long Distance Services.
Non Voice Revenue as

% of total revenue
It is computed by dividing the total non-voice revenue of the Company (consolidated) by the total
revenues for the relevant period. Non-voice revenues include Messaging & VAS and Data
revenues for Mobile, VAS and Internet Revenues for Telemedia Services, Bandwidth and Internet
Revenues for Airtel Business Services, Media & Broadcasting revenues for DTH Services, site
sharing revenues, sale of goods etc.

% of Mobile Revenue
It is computed by dividing the total non voice revenue of mobile services by the total revenues of
mobile services for the relevant period. Non voice revenue, which includes revenue from services
other than voice i.e., Messaging & VAS (including SMS, GPRS, MMS, Ring Back Tone), Data,
others etc.

% of Telemedia
Revenue
It is computed by dividing the total non voice revenue of Telemedia services by the total revenues
of Telemedia services for the relevant period. Non voice revenue for Telemedia services includes
revenues from services such as DSL, Leaseline, MPLS, IPTV etc.
Others as % of Mobile
Revenues
It is computed by dividing other revenue by the total revenues of mobile services for the relevant
period. Others include revenue from infrastructure sharing & sale of goods.
Operating Free Cash

flow
It is computed by subtracting capex from EBITDA.
Profit / (Loss) after

current tax expense
It is not an IFRS measure and is defined as Profit / (Loss) before taxation adjusted for current tax
expense.
Page 50 of 54
Return On Capital
Employed (ROCE)
For the full year ended March 31, 2010, 2011 and 2012. ROCE is computed by dividing the sum
of net profit and finance cost (net) for the period by average (of opening and closing) capital
employed. For the quarterly computation, it is computed by dividing the sum of net profit and
finance cost (net) for the preceding (last) 12 months from the end of the relevant period by
average capital employed. Average capital employed is calculated by considering average of
quarterly average for the preceding (last) four quarters from the end of the relevant period.
Return On Equity
attributable to equity
holders of parent
For the full year ended March 31, 2010, 2011 and 2012, it is computed by dividing net profit for
the period by the average (of opening and closing) Equity attributable to equity holders of parent.
For the quarterly computations, it is computed by dividing net profit for the preceding (last) 12
months from the end of the relevant period by the average Stockholders equity for the preceding
(last) 12 months. Average Stockholders equity is calculated by considering average of quarterly
average for the preceding (last) four quarters from the end of the relevant period.
Revenue per Site per

month
Revenue per Site per month is computed by: dividing the total mobile revenues, excluding sale of
goods (if any) during the relevant period by the average sites; and dividing the result by the
number of months in the relevant period.
SA
South Asia
Sharing revenue
per Sharing Operator
per month
It is calculated on the basis of the total revenues less energy and other pass through accrued
during the relevant period divided by the average number of co-locations for the period,
determined on the basis of the opening and closing number of co-locations for the relevant
period.
(Erstwhile definition: It is computed by dividing gross revenue less energy & other pass through, from Tower
Infrastructure services by average sharing operators)
TD-LTE
Time Division Long Term Evolution.
Total MBs on Network
Includes total MBs consumed on the network (uploaded & downloaded) on our network during
the relevant period.
Towers
Infrastructure located at a site which is permitted by applicable law to be shared, including, but
not limited to, the tower, shelter, diesel generator sets and other alternate energy sources,
battery banks, air conditioners and electrical works. Towers as referred to are revenue generating
Towers.
(Erstwhile definition: It is the sum of ground based towers, roof top towers and others)
TSP
Telecom Service Provider
Total Operating
Expenses
It is defined as sum of equipment costs, employee costs, network operations costs and selling,
general and administrative cost for the relevant period.
VAS
Value Added Service
Voice Minutes on
Network
Includes usage on our network (incoming, outgoing & in-roaming minutes) during the relevant
period.
Voice ARPU
Voice Average revenue per customer per month is computed by: dividing the voice revenues
during the relevant period by the average voice customers; and dividing the result by the number
of months in the relevant period. Voice Revenues include airtime revenue from usage,
processing fees, activation, roaming and termination charges from other operators.
Voice Minutes of Usage

per Customer per month
It is calculated by dividing the voice minutes of usage on our network during the relevant period
by the average customers; and dividing the result by the number of months in the relevant period.
Voice Realization per

Minute
It is computed by dividing the voice revenues by voice minutes.
Regulatory
BWA
Broadband Wireless Access
3G
Third - Generation Technology
4G
Fourth - Generation Technology
Page 51 of 54
CCK
Communications Commission of Kenya
DoT
Department of Telecommunications
IP
Internet Protocol
QoS
Quality of Service
TRAI
Telecom Regulatory Authority of India
UAS
Unified Access Service
UASL
Unified Access Service License
USSD
Unstructured Supplementary Services Data
VSAT
Very Small Aperture Terminals
Others (Industry)
BSE
The Stock Exchange, Mumbai
CMAI
Communication Multimedia & Infrastructure
RBI
Reserve Bank of India
GSM
Global System for Mobile Communications.
CDMA
Code Division Multiple Access
DSL
Digital Subscriber Line
ICT
Information and Communication Technology
GAAP
Generally Accepted Accounting Principles
MMS
Multimedia Messaging Service
IAS
International Accounting Standards
IFRS
International Financial Reporting Standards
NSE
The National Stock Exchange of India Limited.
Sensex
Sensex is a stock index introduced by The Stock Exchange, Mumbai in 1986.
SMS
Short Messaging Service.
Page 52 of 54
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Page 53 of 54
Written correspondence to be sent to:

Bharti Airtel Limited
Investor Relations
ir@bharti.in
http://www.airtel.in
Page 54 of 54

Quarterly Report On The Results For The Second Quarter and Half Year Ended September 30, 2012

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Quarterly report on the results for the second quarter and half year ended September 30, 2012

Bharti Airtel Limited

November 07, 2012

Bharti Airtel Performance at a glance

Financial Highlights as per IFRS

Consolidated - Summary of Consolidated Financial Statements

Region wise - Summary of Statement of Operations

Segment wise - Summary of Statement of Operations

Region wise & Segment wise - Investment & Contribution

Management Discussion & Analysis

India & South Asia

Three Line Graph

Stock Market Highlights

Detailed Financial and Related Information

Trends & Policies

Trends & Ratio Analysis

Key Accounting Policies as per IFRS

Consolidated Financials (Rs Mn)

We are one of the worlds leading providers of

India & South Asia

The operations of Bharti Airtel in India and South Asia are

Our product offerings in this segment include fixed-line

Digital TV Services Airtel digital TV has 7.5 million

Mobile Services We offer mobile services in 17 countries

Strategic Equity Partners - We have a strategic alliance with

Consolidated - Summary of Consolidated Financial Statements

3.1.1 Consolidated Summarized Statement of Operations (net of inter segment eliminations)

Amount in Rs mn, except ratios

EB ITDA / To tal revenues

Finance cost (net)

Profit / (Loss) before Tax

Income tax expense5

Net income / (loss) 5

Operating Free Cash Flow (EBITDA - Capex)

3.1.2 Consolidated Summarized Statement of Financial Position

Equity & Minority Interest

Region wise - Summary of Consolidated Financial Statements

3.2.1 Summarized Statement of Operations (net of inter segment eliminations)

Quarter Ended Sep 2011

Half Year Ended Sep 2012

Half Year Ended Sep 2011

Net incom e / (loss)

Operating Free Cash Flow (EBITDA - Capex)

EB ITDA / To tal revenues

3.2.2 Region wise Summarized Statement of Financial Position

As at Sep 30, 2012

Equity & Minority Interest

Total Equity and liabilities

Segment wise Summarized Statement of Operations

INDIA & SOUTH ASIA

EB ITDA / To tal revenues

3.3.2 Telemedia Services

3.3.3 Digital TV Services

Operating Free Cash Flow (EBITDA - Capex)

3.3.4 Airtel Business

EB ITDA / To tal revenues

Operating Free Cash Flow (EBITDA - Capex)

3.3.5 Tower Infrastructure Services