BSNL Revenue Surges 19% in Two Years, Boosted by 4G Expansion and Lower Tariffs

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BSNL Revenue Surges 19% in Two Years, Boosted by 4G Expansion and Lower Tariffs
26 May 2026
min read

News Synopsis

India’s state-owned telecom operator, Bharat Sanchar Nigam Limited (BSNL), has reported a significant improvement in its financial performance, with revenue rising by nearly 19–20% over the past two years to reach approximately ₹25,000 crore. The growth comes as a result of sustained infrastructure upgrades, operational reforms, and a focused turnaround strategy led by the government.

According to an official statement citing Minister of State for Communications Chandra Sekhar Pemmasani, the revival plan has delivered measurable results, not only in revenue growth but also in profitability metrics. The minister emphasized that BSNL’s financial turnaround reflects a systematic and methodical approach to addressing long-standing operational inefficiencies.

Sharp Surge in EBITDA Signals Path to Profitability

One of the most notable achievements in BSNL’s recent performance is the dramatic rise in EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortisation). The company’s EBITDA surged from a modest ₹50 crore to nearly ₹7,000 crore within two years—an indicator of significantly improved operational efficiency.

This sharp increase suggests that BSNL is moving steadily toward profitability after years of financial strain. The improvement has been attributed to better cost management, enhanced network performance, and increased subscriber engagement.

Financial data shows that BSNL reported a total income of ₹21,302 crore in FY24, which rose to ₹23,427 crore in FY25, further reinforcing the upward trajectory.

Infrastructure Overhaul Key to Performance Boost

A major factor behind BSNL’s revival has been its aggressive infrastructure upgrade programme. The government undertook a detailed review of the company’s challenges under the leadership of Communications Minister Jyotiraditya Scindia and MoS Pemmasani.

The review identified critical gaps in network reliability and operational efficiency. For instance, in states like Andhra Pradesh, tower uptime was as low as 75%, significantly impacting service quality.

To address these issues, BSNL implemented several corrective measures:

  • Replacement of approximately 50,000 batteries across telecom towers
  • Upgradation of power plants to ensure uninterrupted operations
  • Replacement of ageing and faulty cables
  • Setting structured performance targets at circle and state levels

These interventions helped improve tower uptime to targeted levels of around 95%, resulting in better service quality and customer satisfaction.

Focus on Rural Expansion and Affordable Tariffs

BSNL continues to position itself as a cost-effective alternative to private telecom operators, especially in rural and semi-urban areas. The company’s tariffs remain significantly lower than those of private players, making it an attractive option for price-sensitive consumers.

To expand its reach, BSNL has partnered with India Post to promote its services across rural India. Under this initiative:

  • SIM cards are being offered at a nominal price of ₹1
  • Postal workers are conducting door-to-door awareness campaigns
  • Rural consumers are being educated about improved network quality

This grassroots outreach strategy aims to strengthen BSNL’s presence in villages, where it often remains the only reliable telecom service provider.

Enterprise Growth and Subscriber Expansion Strategy

In addition to rural outreach, BSNL has also focused on boosting its enterprise business and expanding its subscriber base. The company has set clear targets for acquiring new mobile connections and enhancing its service offerings for businesses.

By aligning operational goals with market demands, BSNL is working to regain lost market share and improve its competitive position in the telecom sector.

Indigenous 4G Rollout Marks Major Milestone

A key highlight of BSNL’s transformation journey has been the rapid deployment of indigenous 4G technology. The company successfully rolled out 4G services across 1,00,000 towers within a single year—an achievement that underscores India’s growing capabilities in telecom technology.

According to Pemmasani, the indigenous 4G network has now reached near-global standards in terms of performance and reliability. This development places India among a select group of countries with the ability to design and deploy end-to-end telecom infrastructure domestically.

The indigenous approach is also strategically important, as it reduces dependence on foreign vendors and strengthens national digital sovereignty.

Strategic Vision for Long-Term Sustainability

The government’s structured and data-driven approach to reviving BSNL highlights a broader vision of ensuring long-term sustainability for the public sector telecom giant. By focusing on infrastructure, affordability, and technological self-reliance, BSNL is gradually repositioning itself in a highly competitive market dominated by private players.

While challenges remain, particularly in terms of market share and competition, the recent financial and operational improvements indicate that the company is on a steady recovery path.

Conclusion

BSNL’s turnaround story reflects the impact of targeted reforms, infrastructure investments, and strategic execution. With revenue growth nearing 20%, a massive jump in EBITDA, and successful rollout of indigenous 4G technology, the state-owned telecom firm is showing clear signs of revival.

If the current momentum continues, BSNL could play a crucial role in bridging the digital divide in India while emerging as a viable competitor in the telecom sector once again.

TWN Special