Bharti Airtel Q2 FY27 Results Analysis: PAT Jumps 31%, Margins Expand Across the Board (BHARTIARTL)

Cofacto Research Published November 05, 2026 4 min read

Positive

Bharti Airtel Ltd's Q2 FY27 numbers came in strong, with revenue of Rs. 60,877.50 Cr (+16.75% YoY) and PAT growth of +30.86% YoY. Here's a quick read of what worked, what to watch, and what management said.

Quick Details

Results date	November 05, 2026
Revenue (Q2)	Rs. 60,877.50 Cr (+16.75% YoY)
PAT (Q2)	Rs. 8,887.50 Cr (+30.86% YoY)
EBITDA margin	57.90% (+51 bps YoY)
EPS (Q2)	Rs. 14.25 (+21.59% YoY)

Quarter Snapshot

Bharti Airtel delivered 16.75% YoY revenue growth with PAT up 30.86%, margin expansion on every headline basis, and leverage at 0.70x net debt ex-leases/EBITDAaL. Management's stated targets were met — Africa's 20.6% constant-currency growth against the 20%+ CAGR commitment and the Airtel Money LSE listing completed October 14, 2026. Watch items are Digital TV and Homes profitability erosion and finance costs still up 17.3% YoY.

Q2 FY27 Expectations vs Results

Driver	What happened	Verdict
Revenue "likely ahead (YoY), with QoQ momentum intact"	Revenue +16.75% YoY, +3.99% QoQ	Played out
Entry-price ladder repair (Rs.299 plan discontinued 12-Aug-2026, per pre-call note — web-sourced) to lift ARPU ~Rs.4–12	ARPU Rs.271 (+5.9% YoY, +2.65% QoQ)	Played out
Margins "likely compressing at the edges" (energy, chipset)	EBITDA margin 57.89% (+51 bps YoY, +49 bps QoQ); opex grew slower than revenue	Contradicted by the quarter's print
Finance costs "watch whether… normalizes" vs rising trend	−4.18% QoQ (Rs.5,707.3 Cr), still +17.3% YoY	Partially
Naira tailwind / muted translation drag	Africa reported +37.55% vs +20.6% cc	Played out
Airtel Money listing "on track and now concrete"	Listed LSE October 14, 2026	Played out
"Watch for the capex line bending up" (data-centre tension)	Capex −6.9% QoQ / +9.7% YoY + Rs.2,825.8 Cr land parcel outside capex	Partially
Homes net adds vs Q1 moderation; FWA pullback	676K net adds, QoQ recovery — recovered QoQ	Played out

Read our full results preview.

Management Guidance vs Delivery

What management said	Where	What happened	Verdict
Airtel Money London listing in H2 2026	Management guidance from earlier FY27 earnings calls	Listed on the LSE October 14, 2026 (subsequent event); Rs.180.2 Cr IPO charge booked — outside the quarter, disclosed	Met
Africa 20%+ constant-currency revenue CAGR	Management guidance on the Q1 FY27 call ("sustained momentum of 20% plus CAGR")	+20.6% cc revenue YoY	Met
1 GW data-centre capacity in 3–4 years	Stated on the Q3 FY26 call; reiterated Q1 FY27	Rs.2,825.8 Cr land parcel invested; no MW update disclosed	On Track
Finance costs to normalize ("Africa one-off unwinds")	Q4 FY26 earnings call (CFO)	Net finance costs −3.9% QoQ (Rs.5,057.6 Cr), still +14.2% YoY	On Track
Capex "holding/decline" (open-ended, "as a rule, we do not give guidance")	Q3 FY26 earnings call (CFO)	Q2 capex Rs.12,466.8 Cr, −6.9% QoQ / +9.7% YoY, plus land parcel outside capex — QoQ decline, YoY increase; data-centre spend is a deliberate new layer	Partially
Progressive dividend beyond FY26's Rs.24/share	Progressive dividend policy (prior calls)	No India dividend with Q2; Airtel Africa subsidiary declared 3.1 cents interim	Too Early
"Industry leading mobile ARPU" and premiumization driving realization (media release / Q1 FY27 call)		ARPU Rs.271, +5.9% YoY, +2.65% QoQ — with postpaid at a record 1.2 Mn adds	Confirmed
India EBITDA margin 60.8%, +80 bps YoY (media release)		India EBITDA Rs.25,729.4 Cr / margin 60.81% vs 59.97%	Confirmed
Homes "robust trajectory" (media release)		Revenue +25.3% YoY and net adds recovered QoQ — but EBITDA margin −125 bps YoY and EBIT −47.9% YoY — growth confirmed, profitability caveat	Partially
"Strong and resilient balance sheet" (Vice-Chairman statement)		Net debt ex-leases Rs.88,277.1 Cr, 0.70x EBITDAaL vs 1.19x YoY; ROCE 22.7%	Confirmed

Key Numbers, Quarter by Quarter

Metric	Q2 FY26	Q1 FY27	Q2 FY27
ARPU (Rs.)	256	264	271
Mobile base (000s)	364,192	376,508	377,224
Postpaid base (000s)	27,523	30,004	31,238
Monthly churn	2.9%	2.6%	2.9%

Key Investment Insights

Key Positives

Consolidated revenue grew 16.75% YoY to Rs.60,877.5 Cr, with India SA +9.35% and Africa +37.55% reported (+20.6% constant currency)
Owners' PAT grew 30.86% YoY to Rs.8,887.5 Cr; normalized PAT grew 32.74% YoY to Rs.9,015.1 Cr
EBITDA margin expanded ~51 bps YoY to 57.9% and EBIT margin expanded 177 bps YoY to 33.8%
India mobile ARPU rose to Rs.271 (+5.9% YoY, +2.65% QoQ) with record postpaid net adds of 1.2 Mn
Africa EBITDA grew 41.62% YoY with margin up 145 bps to 50.54%; net income to owners Rs.1,598.9 Cr
Net debt ex-leases/EBITDAaL improved to 0.70x from 1.19x YoY; ROCE rose to 22.7% from 18.9%
H1 operating cash flow of Rs.67,455.4 Cr was 3.26x PAT; Q2 OpFCF (EBITDA − capex) of Rs.22,772.7 Cr grew 23% YoY

Risk Factors

Digital TV EBITDA fell 8.79% YoY with margin down 531 bps and EBIT loss widening to Rs.131.8 Cr
Homes EBIT fell 47.9% YoY to Rs.157.0 Cr with margin down 125 bps and OpFCF of −Rs.1,041.3 Cr despite 25.3% revenue growth
Finance costs remain elevated at +17.30% YoY (Rs.5,707.3 Cr) despite a 4.18% QoQ decline
Passive Infrastructure EBITDA grew only 0.92% YoY with margin down 169 bps
Standalone other income spiked to Rs.3,073.0 Cr (+184.8% YoY), flattering standalone PAT growth of 74.55%