Idea Cellular, the country''s fifth-biggest wireless operator,
has posted a net profit of Rs76 crore in FY05 and according
to company officials it aims to take its turnover to more
than Rs3,000 crore in FY06. Idea''s subscriber base has
crossed the 6mn mark and is likely to touch 7mn by March''06,
AVBirla group (ABG) recently hiked its stake in Idea Cellular
to close to 50% by buying a portion of US cellular operator
Cingular''s stake through Indian Rayon (now called Aditya
Birla Nuvo) at Rs17.5 per share.
proposed merger of Indo-Gulf with Indian Rayon will consolidate
the AV Birla holding in Idea under one entity, the newly-christened
Aditya Birla Nuvo. Idea took over Escotel last year gaining
additional subscribers and entry into newer circles. According
to ABG officials the group is keen on retaining its shareholding
in Idea. Idea''s subscriber numbers have risen to about
6mn from less than 2mn in FY03, while revenue has grown
to just over Rs2,000 crore from less than Rs1,000 crore
in the same period.
company''s earnings before interest, depreciation, and
tax more than doubled to Rs874 crore in FY05.