BSNL Reports ₹1,357 Crore Q2 Loss as Expenses Rise and 4G Rollout Expands

The September quarter marked another loss-making period for BSNL, extending the decline seen in recent quarters. Revenue improved year-on-year, but rising operating costs and higher depreciation continued to weigh on profitability.

Q2 Net Loss Widens to ₹1,357 Crore

Bharat Sanchar Nigam Ltd reported a net loss of ₹1,357 crore in Q2 FY26. This compares with a loss of ₹1,048 crore in the previous quarter and ₹1,241.7 crore in the same period last year.

Expenses Drive the Decline

The company’s depreciation and amortisation expenses rose sharply to ₹2,477 crore, up 57% year-on-year and 14.5% sequentially. Network operating costs and finance expenses also increased, contributing to the wider net loss.

Revenue Rises on 4G Services

Revenue from operations stood at ₹5,166.7 crore, reflecting a 2.8% sequential rise and a 6.6% year-on-year increase. The growth was largely supported by the early-stage expansion of BSNL’s 4G mobile services across multiple circles.

Subscriber Base and Growth Outlook

BSNL had 92.3 million mobile subscribers as of end-September, placing it behind Reliance Jio, Bharti Airtel, and Vodafone Idea in market size. The company has set a revenue target of ₹27,500 crore for FY26, compared to around ₹23,000 crore achieved in FY25.

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Conclusion

BSNL’s second-quarter performance showed modest revenue growth but continued pressure from elevated costs and rising depreciation. The company’s financial trajectory in the coming quarters will depend on subscriber additions and progress in its nationwide 4G rollout.

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