BSNL Eyes Rs 29,000 Cr Revenue This Year

bsnl-revenue-phase-7-planState run telecom firm BSNL is expected to garner revenue of Rs 29,000 crore in FY 2014-15. The company also believes that it can manage a growth rate of 4 to 5 percent by the end of this fiscal year, its CMD said.

“At a growth rate of 4 % to 5%, we hope to cross Rs 29,000 crore this year,” BSNL CMD Anupam Shrivastava told TeleAnalysis.
The company has been going through a rough phase in the last few years and had reported loss in the last five fiscals in a row. However, the PSU expects to become EBIDTA positive this year.

“In FY 2014-15, we would be operational profit or EBITDA comfortable,” he added.

The last profit it had reported was in 2009 when it reported a profit of Rs 575 crore. Since then it has reported loss.

In FY 2014 BSNL had reported a loss of Rs 7,085 crore compared to a loss of Rs 7,884 crore in FY13 and Rs 8,851 crore in FY 2012, showing improvement over the last three fiscals.

“We plan to be profitable by FY 2018-19,” Shrivastava added.

It had reported a loss of Rs 6,384 crore in FY2011 and Rs 1,823 crore in FY10.

The company is working on multiple projects this year including National Optic Fibre Network (NOFN), NFS for defence and LWE project for the naxal hit areas.

The company is also planning to complete the phase 7 expansion of its networks by which it will add another 15 million lines to its existing network.

The adding of 15 million lines was a part of BSNL’s Phase 7 expansion plan for which the company is investing around Rs 4,804 crore.

“The project is planned to be completed by June 2015,” Shrivastava told TeleAnalysis earlier. “We have completed more than 60% of the project so far,” he had said.

The Phase 7 of BSNL was planned to upgrade the state run operator’s existing and old network by creating 15 million additional mobile capacity. The capacity addition will take care for both 2G and 3G. In Phase 7, BSNL is building 27,000 towers of which 15,000 will be for 2G and 12,000 for 3G. Presently, BSNL has around 97,000 towers. Phase 7 will help in plugging the gap of 2G, removing blind spots in mobile network and increasing data capacity by 30-40 times.


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  4. By implementing VRS to age of 55-60, many staff willing though leaders who lead union associations blindly opposing as they are not interested in development of company by implementing before 2018 itself. BSNL will profit good services can be given by spending money for development to give good services to esteemed customers better than private operators

    • @Prasad, VRS case for BSNL Officers/employees are not identical to that of other organisation. A simple example will be a eye opener for you.Here is a case study.

      As per 6th central pay Commission’s recommendation, officers/Employees who has completed just 20 years service are eligible for full pension.
      Now, on an average, a 55 years old Sr.SDE gets say, Rs. 95,000.00 per month salary in a non Metro city with , say a basic of Rs.44000. In case, he is given VRS, what will be his automatic package, let us determine here.What will be his pensionary basic? it will be Rs. 22.000 .00 per month with say, hundred percent DA that means Rs. 44,000.00 per month. But Govt. has to release his Gratuity of rs. 10,00,000.00 which will fetch another 9000.00 per month as interest.Govt. has to release his leave encashment amount for 300 days which will not be less than 8 lacs which will fetch him another 7000.00 per month as interest. 40% commutation will fetch him another 8lacs which will fetch him another 7000.00 per month as interest. From insurance, another 3 lacs will be released for him. In addition, to give VRS, atleast another 10 to 15 lacs per Officer will be needed which will fetch the Officer another 12000.00 per month. Not only, at present, these huge amount is with Govt. but an officer/Engineer will draw Rs. 81000.00 per month without any output to BSNL. He/she will have free time and can be engaged in other work to get more money. But BSNL will always have Medical treatment liability including outdoor and indoor to whole family as well as residential telephone line.Even if the Officer is dead, his family will continue to get the same facility as unmarried daughter /widow/divorcee will get family pension in rest of her life. So, in what way, BSNL will be benefited by giving VRS if not officer/Employee is not immensely benefitted??? It is because of these reasons, Central Govt. is actually reluctant to give VRS as inducting new Officers, new liability with their family members but old officers with their family members will continue to enjoy all benefits. It is a double barrel gun for BSNL. When such VRS only will increase more expenditure but no tangible difference as NGN will drastically bring down Manpower demand , will it be really commercially profitable for BSNL to put forward VRS??? Never compare BSNL with other PSUs. Employees recruited by DOT became PSU employee after year 2000. but, they again become retired Govt. Employee after retirement. These retired BSNL employees enjoy even Central Pay Commission recommendations for retired Employees/officers..

      • By the By , I have not calculated his/her GPF money which too will be released pre maturely by Govt. otherwise, would remain in the hands of govt. only.

  5. Many years back, there was a system in the Departments to review the cases of employees who have completed 55 years of age or 33 years of service through High Power Committee. If considered fit, then only such employees are allowed to continue. In BSNL also the VRS can be introduced to those employees, so that interested can opt for VRS. Associations will not support for this as this is against their ethic. VRS in BSNL not only will help BSNL Financially but also to the employees. like me, many will opt for VRS, if introduced,which will be mutually beneficial.

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