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With UP West and Bihar & Jharkhand, Uninor achieves break-even in five of its six telecom circles

09-19-2013 01:11 PM CET | Media & Telecommunications

Press release from: Uninor India

/ PR Agency: No
With UP West and Bihar & Jharkhand, Uninor achieves break-even

~Company announces break-even in two more circles. On track to achieve pan-India breakeven within calendar 2013. Sabse Sasta tariffs to continue~

New Delhi, September 19, 2013: Resulting from its lower costs per minute (upto 40% lower) and sabse sasta tariffs (upto 60% cheaper) Uninor has achieved its financial break-even in the two circles of UP West and Bihar (and Jharkhand). With this, five out of Uninor’s six operating circles have now achieved profitability. Uninor has also announced that it will continue to offer tariffs that are cheaper than those of its competitors in its operating circles – Sabse Sasta will continue.

Uninor has now achieved its EBITDA break-even in the circles of UP West, UP East, Bihar (and Jharkhand), Andhra Pradesh and Gujarat. The Maharashtra (and Goa) circle too is well on its way to achieve this milestone within the committed timeframe of calendar 2013.
“Uninor is well on its way to meet a commitment of pan-India breakeven that was made 3 years ago when we started. In the process, we have been able to bust prevalent myths that efficiency needs scale and profitability needs high-end services with expensive tariffs,” said Yogesh Malik, CEO of Uninor

“We also prove the success of our model in diverse markets – equally in circles like Gujarat and AP with lower energy costs and higher ARPUs and UP and Bihar with higher costs and lower ARPUs.”
Breaking even with 5.2 million subscribers in UP West
In UP West, Uninor now has a network of over 2890 sites and a retail footprint of 56,285 points of sale.

“In UP West, Uninor enjoys the highest revenue market share among all its circles. Our plan now is to expand farther into smaller towns and villages of less than 5000 population with our network and retail presence,” said KC Narendran, Circle Business Head for UP West.
In Bihar, break-even with lowest ARPUs

At the time of break-even, Uninor has serves 4.3 million subscribers with a network of 2442 sites and 50,000 points of sale. It is important to note that in each of its circles, Uninor operates only in the pre-paid segment and serves the mass market with basic services.
“We are proud to dispel the myth that telecom investments in Bihar and Jharkhand circle are unattractive from a financial viewpoint. With our break-even, we prove that investing in a market with low ARPUs and needing affordable services the most can be a financially prudent decision,” said Abdul Jameel, Circle Business Head for Bihar and Jharkhand.

Next phase of investment and expansion underway

Uninor has also started its next phase of business expansion across its circles. In this phase, the company will expand its network and retail presence with a focus on the rural markets.

Uninor has also introduced new and unique innovations in its sales and distribution to take the company’s services into rural markets. In UP East, the company has launched a concept of micro-distributors – one person business serving as distributor, retail executive and activation officer combined. 45 such Micro-distributors are now taking Uninor’s SIMs and recharges to rural retailers and subscribers. In Gujarat, Uninor has launched a full program called “Gaam No Faydo, Uninor No Vaydo” that entails the company’s largest ever expansion into rural Gujarat. Across the six circles, Uninor has also launched Express Stores – low cost small format exclusive franchisee shops that take 7 days to set up. The company now has 879 such Express Stores in its circles.

“We view break-even as a milestone – a proof of concept of our strategy and model. As we achieve this in our circles, Uninor is also embarking on a major business expansion. Our ambition is to scale up and grow both deeper and wider in each of our six circles – increasingly into rural markets where affordability is key,” said Malik.

About Telenor Group:

Telenor Group is an international provider of tele, data and media communication services. Telenor Group has mobile operations in 12 markets in the Nordic region, Central and Eastern Europe and in Asia, as well as a voting stake of 42.95 per cent (economic stake 33 per cent) in VimpelCom Ltd., operating in 17 markets. Headquartered in Norway, Telenor Group is one of the world’s major mobile operators with more than 150 million mobile subscriptions in its consolidated operations per Q2 2013, revenues in 2012 of NOK 102 billion, and a workforce of nearly 34,000. For more information about Telenor Group, please visit

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For Further Information, Contact:
Sharad Goswami: +91 9654956323;
Text 100
Nidhi S Kaul: +91-9312784184;
Lipika Kapil: +91-9971479967;

Uninor is majority owned subsidiary of Telenor Group – one of the major mobile operators with headquarters in Oslo, Norway. Uninor’s pre-paid GSM services are commercially available in the six circles of UP (West), UP (East), Bihar (including Jharkhand), Andhra Pradesh, Maharashtra and Gujarat. Together, these circles account for more than 50% of India’s population giving Uninor the ability to serve every second person in India.

Uninor is a young operator that focusses on the mass market serving over 32.7 million customers. Uninor’s innovative products and services empower customers to enjoy the benefits of mobile telephony through its simple price proposition of - ’sabse sasta’ (lowest) tariffs for all basic services. The company is committed to profitable growth in this highly price sensitive and competitive market. Uninor achieved break-even in the two circles of UP East and Gujarat – the fastest by any mobile operator in India. For more information, please visit

Company Name:Uninor India
Contact Person: Sharad Goswami

Adress: Ground Floor, Masterpiece, Sector 54, Dlf Golf Course Road, Opposite Hotel Ibis Gurgaon

Phone : +91 124 332 9000

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