Submitted to

Prof. D. C. Pai

BY
Melita Peris
 An Overview
• The global economy is recovering better than expected.
• Expected GDP growth range of 8.5-9.0% in the financial
year 2010-11.
• India is the second largest telecom market in the world
and is amongst the fastest growing markets.
• The number of telecom subscribers in India reached
621.28 mn
• The overall teledensity reached 52.74% at the end of
March 2010.
• Subscription in urban areas grew to 420.51 mn, recording an
annual growth of over 37% . Taking the urban teledensity to
119.45%.
• Rural subscriptions grew by over 62% to cross the 200 mn
mark.
• Availability of cheaper mobile phones.
• the sector revenue growth slowed to 5.1% compared to 22.3% in
the preceding year
• Broadband subscriptions reached about 8.75 mn at the end of
March 2010.
• Arrival of 3G.
Management

Mr. Kumar Mangalam Birla

Chairman

Mr. Sanjeev Aga

Managing Director
 Company Profile
• IDEA Cellular is an Aditya Birla Group Company
• IDEA Cellular is a publicly listed company
• Is a leading GSM mobile services operator in India with 67
million subscribers, under brand IDEA.
• A frontrunner in introducing revolutionary tariff plans
• IDEA offers seamless coverage to roaming customers traveling to
any part of the country, as well as to international traveling
customers across over 200 countries.
• Has partnership with over 400 operators
• IDEA is the winner of 'The Emerging Company of the Year
Award' at The Economic Times Corporate Excellence
Awards 2008-09.
• It won the GSM Association Award for "Best Billing and
Customer Care Solution” for 2 consecutive years.
• It was awarded "Mobile Operator of the Year Award -
India” for 2007 and 2008 at the Annual Asian Mobile
News Awards
• won 3G spectrum in 11 service areas
Idea – A Power Brand
 Growth in Gross Revenue
INR bn
140
124.5
120
101.5
100

80
67.4

60
43.9
40 29.9
22.7
20

0
FY 05 FY 06 FY 07 FY 08 FY 09 FY 10
 Growth in EBITDA
INR bn
34.1
35

30 28.4

25 22.7

20
14.9
15
10.9
10 8.4

0
FY 05 FY 06 FY 07 FY 08 FY 09 FY 10
 Growth in Net Profits
INR bn
12
10.4
10 9.5
8.8

6 5

4
2.1
2
0.8

0
FY 05 FY 06 FY 07 FY 08 FY 09 FY 10
 Growth in Cash Profits
INR bn
35
30.6
30

25 23.5

19.8
20

15
11.7

10 7.6
5.2
5

0
FY 05 FY 06 FY 07 FY 08 FY 09 FY 10
 Share holding Patter

Indian
Others
12%

Foreign
Holding
41%

Promoter Group
47%
Share Prices
 Financial Data
Mar '06 Mar '07 Mar '08 Mar '09 Mar '10

Face Value 10 10 10 10 10

Current Ratio 0.74 0.87 0.43 0.98 0.96

Quick Ratio 2.11 1.1 0.55 1.31 0.9

Debt Equity Ratio 4.96 1.95 1.84 0.67 0.57

Earnings Per Share 0.56 1.94 3.96 3.23 3.19

Book Value 3.03 8.4 13.44 36.37 34.59