State-owned telecom operator Bharat Sanchar Nigam Limited (BSNL) has recorded a net profit of Rs 262 crore for the December 2024 quarter, marking its first quarterly profit in 17 years.

This is a significant turning point for the company, with the revival happening thanks to its service expansion, cost-cutting measures and growing subscriber base. BSNL saw revenue growth of 14-18 per cent across its mobility, Fiber-to-the-Home (FTTH), and leased line services compared to the same period last year. The telco’s subscriber base also climbed from 8.4 crore in June 2024 to 9 crore by December 2024. This December quarter profit is the first since 2007. Additionally, the company slashed finance costs and overall expenditure, reducing losses by over Rs 1,800 crore compared to the previous year. Its EBITDA (earnings before interest, taxes, depreciation, and amortisation) doubled in the last four years, reaching Rs 2,100 crore in FY 2023-24.

BSNL has been enhancing customer offerings with services such as National WiFi Roaming, BiTV (free entertainment for mobile users), IFTV (for FTTH customers), and India’s first private 5G connectivity for mining. The company is now focused on nationwide 4G rollout. Of 100,000 planned towers, 75,000 have been installed and close to 60,000 commissioned. The aim is to have all towers operational by June 2025. With continued revenue growth and controlled expenditures, BSNL aims to sustain profitability and further strengthen its position in India’s telecom sector.

Turning around loss-making PSUs is not merely about restructuring them or infusing fresh capital. Sometimes, the decision to shed flab is not enough. Bold and drastic measures are often paramount. In that context, the government’s bold move to exit Air India completely in 2021-22 speaks volumes about Prime Minister Narendra Modi’s mantra of “minimum government, maximum governance".

After being sold to the Tata Group, Air India shaved off its losses by 60 per cent to Rs 4,444.10 crore in FY24 over the previous year. The airline had reported a loss of Rs 11,387.96 crore in FY23. The Tata group further consolidated its aviation presence with the merger of AirAsia India (AIX Connect) with Air India Express and the merger of Vistara with Air India. Air India recorded its highest consolidated annual operating revenues of Rs 51,365 crore in FY24, up 24.5 per cent over FY23, driven by growth in capacity to 1059-million available seat kilometres, which was 21 per cent higher over the previous year.

The privatisation of Air India by the Modi government has worked wonders. Don’t forget, this air carrier was making losses at the rate of Rs 20 crore a day, prior to its privatisation in 2022. It also saw an improvement in passenger factor to 85 per cent against 82 per cent in FY 2022-23. During FY 2023-24, 40.45 million passengers were flown by operating 800 daily flights, including 55 domestic and 44 international destinations. Vistara operated its last flight under its banner on November 11, 2024, and its operations were merged with Air India on November 12, 2024.

Sharing data on the improvement in operational parameters since January 27, 2022, when the government handed over the ownership and management of the airline to the Tatas, Air India said it had been able to double its average daily revenue by raising........

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