Mukesh Ambani-led Reliance Jio has overtaken Vodafone India to become country's second-largest telecom company by revenue market share or RMS.
The growth happened after Jio recorded strong performance in the rural mobile markets as competitors continued to struggle due to aggressive pricing offered by Reliance. Jio's free voice and cheap data offerings have dented the financials of incumbent players.
According to a report in the Economic Times, Reliance Jio's adjusted gross revenue for April-June quarter was Rs 7,200 crore and Vodafone India's revenue stood at Rs 6,200 crore. Bharti Airtal has maintained its leadership position with Rs 10,000 crore revenue.
At the end of April-June quarter, Reliance Jio's revenue market share widened 253 basis points on-quarter to 22.4 per cent and Vodafone India's market share was down 175 bps sequentially to 19.3 per cent. Sunil Bharti-led Airtel's market share slumped 12 bps on-quarter to 31.7 per cent.
Earlier in July, Reliance Jio had said its standalone net profit had increased 19.9 per cent to Rs 612 crore for the three-month period ended on June 30, 2018, as against the preceding quarter. It had registered a net profit of Rs 510 crore in the January-March 2018.
Jio's revenue from operations came in at Rs 8,109 crore in the June quarter, up nearly 14 per cent from the fourth quarter of FY 2018. Launched in September 2016, the company had a total subscriber base of over 215.3 million as on June 30, 2018.
In a statement, Reliance Industries Chairman and Managing Director Mukesh Ambani said: "Jio continues on its path to drive digital revolution in India. We doubled our customer base and most user metrics in the last 12 months. 215 million customers within 22 months of start is a record that no technology company has been able to achieve anywhere in the world."
Jio reported its maiden profit of Rs 504 crore in October-December quarter of FY 2018. It had incurred a loss of Rs 271 crore in the previous quarter.
Earlier this month, it was reported that Reliance Jio added the highest number of new customers to its mobile network in June. According to a Trai report, the company added over 97 lakh new connections during the month. It was followed by Idea Cellular which added over 63 lakh new connections.
Vodafone was at the third position with over 2.75 lakh new mobile connections followed by BSNL which added 2.44 lakh new connections.