Bharti Airtel has deferred the release of its earnings report for July-September 2019 quarter till November 14, as it seeks clarity and government support over the dues of about ₹42,000 crore it owes to the exchequer following the recent Supreme Court judgement on calculation of adjusted gross revenue in favour of the government.
The company’s board of directors were to meet on Tuesday to approve the audited financial results for the second quarter and half year ended September 30, 2019. However, the management recommended this agenda be deferred till November 14, 2019 “on account of the fact that more clarity is needed on the AGR matter arising out of recent judgement of Hon’ble Supreme Court.”
In a communique to the stock exchanges, the company added that it was approaching the Department of Telecom to seek “clarity on the total amounts involved and request for their support to deal with this adverse outcome”.
“The board of directors, at its meeting held today, has accepted the management’s recommendation and deferred the agenda item relating to the approval of the said financial results till Thursday, November 14, 2019,” it added.
As a result of the Supreme Court decision, the industry – which is reeling under a debt of about ₹4 lakh crore, might need to pay about ₹1.42 lakh crore to the government.
According to the government’s calculations, Bharti Airtel may need to shell out about ₹42,000 crore for licence fees and spectrum usage charges, while Vodafone-Idea may have to pay about ₹40,000 crore. For Reliance Jio the amount will be about ₹13 crore.
The announcement comes a day after Bhari Enterprises chairman Sunil Bharti Mittal met Telecom Minister Ravi Shankar Prasad and Telecom Secretary Anshu Prakash to seek some relief.
