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Uninor achieves break-even in Gujarat
TT Correspondent |  |  21 May 2013

Uninor has said that its low-cost operating model together with its success with a basic services focus for the mass market has resulted in the company achieving its break-even in the Gujarat circle. Uninor has over 31.6 million customers in India.
  
Uninor has achieved this milestone within 3 years of start of operations, making it the fastest break-even by any mobile operator in state.

The company said that it will now invest further in expanding its operations in Gujarat. The first such expansion will now come with an additional 500 new network sites to be set up by June 2013 and during the 2ND half of this year Uninor will go for further one more round of expansion. This would be the fastest roll out by any telecom operator in less than 3 years.

“As we celebrate this proud achievement, we extend our gratitude to our customers and business partners in Gujarat. We also prove that profitability does not require expensive tariffs or complex high-end services. Infact, achieving profitability now further strengthens Uninor’s ability to continue offering the most affordable tariffs to the mass market and invest further in growing its operations in Gujarat,” said Yogesh Malik, CEO of Uninor.
 
Uninor said that by constantly challenging costs through innovations in the network side and a prudent approach to marketing spends, Uninor has achieved one of the lowest cost per minute amongst all mobile operators in Gujarat. At the same time, the company has been able to offer calls at 45% lower tariffs compared to other operators. This, together with a focus on basic services for the mass market.
 
With break-even in Gujarat, now two of Uninor’s six operating circles have achieved the EBITDA break-even milestone. The company has targeted an EBITDA and subsequently a Cash-flow breakeven in all its circles within the current calendar year.
 
“With our proven model of ultra-low cost operations, basic services and mass market distribution; step-by-step we are moving towards the ultimate goal of a profitable Uninor in all six circles,” added Yogesh Malik.
 
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21 May 2013(IST)  
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