Integrated Report and Annual Financial Statements 2022-23

Bharti Airtel Limited

CUSTOMER OBSESSEDTECHNOLOGY DRIVENHighlights of FY 2022-23
Financial

CUSTOMER OBSESSEDTECHNOLOGY DRIVEN

Consolidated

C1,391,448 Mn

C717,330 Mn

Revenue

EBITDA

19%

23%

C83,459 Mn
Net profit

96%
Standalone

Customer

ESG

C847,201 Mn

C441,477 Mn

Revenue

EBITDA

20%

25%

375.34 Mn

140.05 Mn

India

Africa55.57 Mn

3.05 Mn

Bangladesh

Sri Lanka

Low Risk‘BBB’ to ‘A’

Improved Sustainalytics Ratings

Upgrade in MSCI Ratings‘C’ to ‘B’
Upgrade in CDP Ratings

Y-o-Y growth

At Airtel, our vision for a connected,
shared future lies at the convergenceof our unbridled customer obsession
and our relentless pursuit oftechnological innovation. It creates asymphony of unparalleled connectivity,
convenience and experience while
enhancing our competitive edge in a
dynamic world.
Be it through our cutting-edge digital services andsolutions, premiumisation strategy or extensive
network infrastructure, we are winning together withour customers. This reflected in our all-time-high market
shares across businesses, strong balance sheet andhealthy operating cash generation.

We are committed to building a robust and extensive
network infrastructure that supports seamlessconnectivity. We have deployed the globally recognised
non-standalone network architecture to rapidly rollout our
5G services, ensuring exceptional coverage, lowest total
cost of ownership and reduced environmental impact.
Our ‘One Airtel’ transport strategy has catalysed the fiber
rollout planning and is bringing immense efficiencies.
In FY 2022-23, we recorded the highest-ever networksite additions, exponential fiber rollout and continued
broadband BTS additions. We are harnessing thepower of our robust platform-based architecture andstate-of-the-art capabilities to construct a seamlesslyinterconnected digital ecosystem, which plays an
instrumental role in propelling our digital flywheel forward.
We welcome you to experience the difference, as webuild a sustainable future of connectivity together
with our customers, powered by technology.

Contents

Corporate
Overview
About the Report
Airtel at a Glance
Geographic Presence
Chairman’s Message
From the MD and CEO’s Desk
Board of Directors

CapitalsFinancial Capital
Manufactured CapitalIntellectual Capital
Human CapitalSocial and Relationship Capital
Natural Capital

04
06
08
12
14
16

72
78
86
88
98
104

Performance
During the Year
Key Performance Indicators
Segment-wise Performance
Quarterly Strategic ProgressAwards and Accolades

24
26
30
34

Corporate Social Responsibility

62

Value Creation
Value Creation Model
Operating Context
Materiality Assessment andStakeholder Engagement
ESG Approach
Risk and Mitigation Framework

38
40
42
50
52

GRI Content Index

115

Assurance Statement

118

Management Discussion & Analysis

120

Statutory Reports

146

Financial Statements

240

CUSTOMER OBSESSEDTECHNOLOGY DRIVEN

Featured Stories
Winning with Quality Customers

10

Redefining Entertainment at Home

22

Empowering Digital
Transformation for Businesses

28

Building a Future-ready Network

36

Harnessing the Power of Digital

76

Delivering Exceptional Experience84

Building a Sustainable Future102

Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

About the Report
This Report adheres to the Integrated Reporting framework and presents
our financial and non-financial performance. It contains key quantitative andqualitative disclosures on our relationships with the stakeholders, and how
our strategies are aligned to deliver long-term value, while managing risks
and changes to the external environment, for all our stakeholders.
Reporting period

Data integrity

This Report is for the period between April 1, 2022
and March 31, 2023, and is released annually. The lastIntegrated Report was released for FY 2021-22.

We collected and analysed relevant data captured throughour integrated data management system applying
stringent internal controls to support our disclosures
for this Report. Our aim is to provide information that isaccurate and reliable, and at the same time unbiased,comparable, and comprehensible. Wherever applicable,
we have taken care to cite any significant limitations in theinformation provided.

Reporting boundary
This Report covers information on business operations of
Bharti Airtel Limited, aptly disclosed through six capitals as
defined by the International Integrated Reporting Council(IIRC, now consolidated into IFRS Foundation). All the six
capitals (except financial capital) cover information on India
operations excluding Airtel Payments Bank Limited, unlessspecified otherwise. The parameters for financial capital
covered in this report are in relation to Bharti Airtel Limited
on a standalone basis. This report considers the primary
reporting period as April 1, 2022 to March 31, 2023.
However, some sections of this Report represent facts
and figures of previous years to provide a comprehensive
view to the stakeholders.

Reporting framework
This Report follows the International Framework as
developed by the IIRC (www.integratedreporting.org) andshould be read in conjunction with the financial statements
included herein and the notes thereto. The financial
and statutory data presented is in accordance with therequirements of the Companies Act, 2013 (including therules made thereunder), Indian Accounting Standards, theSecurities and Exchange Board of India (Listing Obligations
and Disclosure Requirements) Regulations, 2015 and theother applicable laws.

Our Stakeholders
Customers

Investors

Suppliers

Employees

Channel Partners

Network Partners

Regulatory Bodies

Community/NGOs

Financial

Manufactured

Intellectual

Human

Socialand Relationship

NaturalOur Capitals

Assurance
To ensure the integrity of facts and information, theBoard of Directors and management have reviewed theIntegrated Report and BDO India LLP has carried out
independent assurance on sustainability disclosurespresented in this report. The ‘Independent AssuranceStatement’ issued by BDO India LLP forms a part of thisReport. The statutory auditors, Deloitte Haskins & Sells
LLP, Chartered Accountants have provided assurance on
the financial statements and the ‘Independent Auditor’sReport’ has been duly incorporated as a part of this Report.

Key company information
Bharti Airtel Limited
ISIN: INE397D01024 (Fully Paid up shares)
IN9397D01014 (Partly Paid up shares)
BSE Code: 532454 & 890157
NSE Code: BHARTIARTL & AIRTELPP
CIN: L74899HR1995PLC095967

Fair usage of third-party trademarks

Cautionary statements

All third-party trademarks referenced by Bharti Airtel Limited herein remain the property of their respective owners. Any references by Airtel to any
third-party trademarks in this report, is merely being used to identify the corresponding engagement that Airtel has entered into with the brand/
trademark owners and shall be considered fair use under trademark law.

Some information in this report may contain forward-looking statements which include statements regarding Company’s expected financial
position and results of operations, business plans and prospects etc. and are generally identified by forward-looking words such as “believe,” “plan,”“anticipate,” “continue,” “estimate,” “expect,” “may,” “will” or other similar words. Forward-looking statements are dependent on assumptions orbasis underlying such statements. We have chosen these assumptions or basis in good faith, and we believe that they are reasonable in all material
respects. However, we caution that actual results, performances or achievements could differ materially from those expressed or implied in suchforward-looking statements. We undertake no obligation to update or revise any forward-looking statement, whether as a result of new information,
future events, or otherwise.

4

Bharti Airtel Limited

Integrated Report and Annual Financial Statements 2022-23

5

Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

Airtel at a GlanceConnecting people like never before
We were founded with the goal of
unleashing the world of possibilities
and opportunities that existed incommunications globally.

In addition to the national landscape, we are one of the
top three mobile operators globally, covering more than
two billion people. We are also the second-largest mobile
operator in Africa and have been in the constant process
of fortifying our position.

Over the years of our existence, wehave been able to establish ourselves
as one of the largest homegrownconsumer brands and integrated
communications provider in India.

We are in the continued process of evolution and working
towards meeting the emerging needs of people andbusinesses. Through three layers of our business–Digital
Infrastructure, Digital Experience and Digital Services,
we are pushing the boundaries in digital Services
delivery, enhanced end-user experience, round-the-clock
infrastructure availability and superior service quality.

Our business segments

 Mobile Services

 Digital TV Services

 Home Services

 Airtel Business

17

Countries of presence

Q

Brillia
nt E
xp
er
ien
ce

500 Mn+

lity
ua

rs
ome
t
s
Cu

Total employees globallyaW

21,575

Our strategic
priorities

ro

nW

t in

g

Global rank in terms of
consolidated mobile
connectionss at Scale
ServiceAmong
Top 3*

e : One Airtel
Peopl

Customers

as t

e

Micr

o

rke
ma

95.9%

Indian population covered* As per GSMA intelligence data

6

Bharti Airtel Limited

Integrated Report and Annual Financial Statements 2022-23

7

Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

Geographic PresenceConnecting people andbusinesses across the globe
We have been able to establish
a global presence, extending
our services across multiple
countries around the world.
With our expansive reach, wecater to a diverse customer
base, offering reliable andinnovative telecommunications
solutions on a global scale.

Africa140.05 Mn
Customers$89 BnIndia#1 or #2

largest operator by customer
market share in 13 markets

Airtel money transaction value

2.6 Mn+Touchpoints (agents and distributors)
in our network in Africa

375.34 Mn

1,200+

200 Mn+2,000+(including 335.41 Mn
Mobile Services customers)

MAUs on digital assets#2

Mobile RMS in India^#1

B2B RMS in India#1
The map featured on this spread is a creative representation
RMS – Revenue Market Share^ As per TRAI AGR data for Q4 FY 2022-23^^ as per Frost & Sullivan FY 2022-23 data

8

Bharti Airtel Limited

Sri Lanka
3.05 Mn

Global enterprises
servedCustomers

Large enterprise andgovernment clients

1 Mn+

Small and Medium
enterprises

Bangladesh(Robi Axiata Limited)

55.57 Mn
Customers#1

In IoT^^

In core connectivity^^

Integrated Report and Annual Financial Statements 2022-23

9

Corporate Overview

Winning with
Quality Customers
Our strategy is to premiumise our customer baseby acquiring and locking in high-value homes.
Airtel Black and Family plans play a critical role inbringing this strategy to life. These plans deliver thestrength of our convergence, a differentiated service
experience and best-in-class value to our customers.
The success of these differentiated offerings haveallowed us to strengthen our position in a highly
competitive market.

Management Discussion & Analysis

Statutory Reports

Financial Statements

Key Highlights for FY 2022-23

36.5%+ RMS*

3,500+ cities/towns#1

Airtel World Pass

All-time high mobile revenue market share

In post-paid

23 Mn+

5G rollout in less than eight months of launch

Redefined international roaming experience
with One Pack for travel across 184 countries* As per TRAI AGR data for Q4 FY 2022-23

4G customer additions

Coupled with our strategy, our consistent efforts to expand
and upgrade the 4G network and now the relentless rollout
of 5G services are further attracting high-value customers,reflected in our strong net adds and market share wins.
We are committed to cover the entire country withour 5G network, alongside delivering the Platinum
Airtel experience.

More than one-third of ourhigh-value customers arelocked in on the Airtel Blackor Family plans and thebase is growing rapidly.

10

Bharti Airtel Limited

Integrated Report and Annual Financial Statements 2022-23

11

Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

Chairman’s Message

Excited for what the future holds
I am delighted to share that Airtel achieved thehighest-ever market share in India, across its segments,
be it in B2C or B2B businesses. Strong operating leveragethrough continued focus on operational excellence
has resulted in robust operating cash flow generation.
This keeps us steady, and on the path towards making
our balance sheet stronger.

Mobile Services

Dear Shareholders,
Scaling New Heights
The Indian economy once again showcased resilienceand stability, amid various global challenges such assynchronous monetary policy tightening, commodity
inflation, supply chain headwinds and slowing economic
growth in other major economies. As the global supply
chain situation improves, a number of structural changes
are being closely monitored. The Government of India’s
commitment to improve the productive capacity throughcontinued investments on infrastructure, logistics,
domestic manufacturing and making the country more
self-reliant will structurally spur economic growth andencourage private sector investments. In a nutshell, theIndian economy is in good shape, with strong tailwinds.
FY 2022-23 was a milestone year in the Indian telecom
industry with the launch of 5G services. We were able toleapfrog into the 5G era, supported by visible ease of doing
business in the spectrum auction and allocation processes.
Airtel became a frontrunner in this next generation ofcommunication services, and created history by being thefirst telecom operator to have launched its 5G services in
8 cities on the occasion of the India Mobile Congress’ 5G
launch by the Hon’ble Prime Minister Shri Narendra Modi.
Our 5G solution is based on the most widely used global
technology architecture that offers the best coverage andexperience at the lowest Total Cost of Ownership (TCO).
India’s digital economy continues to grow at a strong paceand Airtel has been investing heavily towards accelerating
the same. Along with giving Indian users a fiber-like speed
on their mobile phones, 5G promises to usher an era ofinnovation and efficiency. Airtel is collaborating with top
enterprises engaged in manufacturing, mobility, healthcare,logistics, and IoT, where 5G tech is becoming a catalyst
for digital disruption, creating new revenue streams in
the industry.

12

Bharti Airtel Limited

Airtel ended yet another year on a strong note withindustry-leading revenue and EBITDA growth. The continued
focus on attracting high-value customers with bundledofferings and superior experience yielded strong results,
with more than 23 million 4G and 1.8 million postpaid
customer additions during the year. In line with our strategy,
we acquired mid-band 5G spectrum at scale and added
some mid-band spectrum to fill the gaps in the existing pool.
There are already more than 31 million 5G-enabled
smartphones on Airtel's network, and this figure isconstantly growing. Equally significant is the fact that
Airtel’s 5G network is environment friendly, with a sharp
focus on our commitments to the ESG framework.

Non-mobility Services
In the Home Broadband and Airtel Business segments,
the Company achieved yet another new milestone withthe highest-ever revenue and EBITDA. This is a testimonyof the Company’s execution strength. With the renewed
strategy, the Digital TV business saw an increase in market
share despite headwinds. In Airtel Business, the strategy
to go wide and deep has delivered exceptional results inselect accounts, giving us the confidence to emulate thissuccess elsewhere. Investments in Data Centers, undersea
fiber cables and emerging digital offerings augur well forthe business in years to come. 5G will be the primary pivot
to drive growth by catalysing the 4th Industrial Revolution
through enterprise use cases. Home broadband is now
available in ~1,200 cities, with rollout being further
strengthened via local cable operator partnerships.
The Company added its highest-ever 1.6 million net
customers to surpass the 6 million customer base,resulting in over 33% revenue growth.

DigitalOver the years, Airtel has built a suite of digital assets for its
customers. By leveraging cutting-edge digital technology
to develop next-generation digital platforms, products, andservices, the Company delivers an immersive experience
to customers. In FY 2022-23,, it launched digital financial
services and a telco-first co-branded Axis Bank credit card.
60% of all monthly customer payments across Mobility,
Broadband, and DTH, happen digitally/online. The portfolio

of digital offerings including Airtel Wynk, Airtel Thanks and
Xstream has seen monthly active users growing 4x over thelast 4 years, crossing the 200 million mark.

ensure a sustainably strong and reliable network. We havealso established subsidiary company structures for data
center and fiber businesses.

Partnerships

Balance Sheet

Airtel continues to have strong strategic collaborations
with industry leaders like Amazon, CISCO, Ericsson,
Google, IBM, Intel, Meta, Microsoft, Netflix, Nokia, Oracle,
Qualcomm and many more to deliver best-in-classproducts and services to our customers and lead theinnovation revolution in the country.

Strong operating free cashflows amid accelerated
investments on 5G and rural rollout supported theCompany’s debt reduction in FY 2022-23. It took a
prudent decision to make an upfront payment for the
5G spectrum acquired in August 2022 and availed four
years of moratorium. Airtel is well capitalised to fundfuture investment needs through internal accruals.

Digital Enablement of Network Operations
With 5G and 4G running in Radio, networks are becoming
more complex, and Core networks are moving fromcloud-native to automated and orchestrated (MANO)
clouds. The transport network has multi-layer MPLS and
optical networks. Airtel has been building the right tools
and platforms to manage these complex network elements,
and they are used from network planning to deployment
and further for operations and end-to-end experiencemanagement. Airtel networks have been ranked No. 1 inmany crowd-sourced independent benchmarking ratings,
and the tools have also been recognised at the global level.

Corporate Social Responsibility
Digital is at the heart of everything that Airtel does. Thisis also amply evident in the measurable strides taken by
the Bharti Foundation in enabling the use of technology
in it schools and through various initiatives. Children from
Satya Bharti Schools participated in the World Robotics
Championship, Technoxian 6.0, where they competed withstudents from schools in India and abroad. Furthermore,
it has been heartening to see how a number of alumni
have also been gainfully employed at Airtel.

Sustainability and GovernanceIn collaboration with its trusted long-term partners, theCompany successfully managed the global challenges
and procured the network supplies to support the ongoing
accelerated rollouts. In addition, it has developed anecosystem of suppliers, in which many of its partners
are now manufacturing indigenously.

Over the years, Airtel has built a suiteof digital assets for its customers.
By leveraging cutting-edge digitaltechnology to develop next-generation
digital platforms, products, and services.

To drive its long-term sustainability vision, Airtel has been
following a robust ESG framework. There is a uniquewindow of opportunity for businesses to incorporate
sustainability at the core. Such efforts will only acceleratemacro level progress towards achieving net-zero targets
and contribute to the wider climate action efforts. India
has been at the forefront of mobilising activity on thegreen transition agenda, and mitigating climate change.
A holistic green growth model can catalyse new industries,
create new jobs and drive trillions of dollars of economic
value. Achieving this transformative agenda requires
strong collaborations between the government and private
sector. The Company upholds the highest standards ofgovernance backed by full transparency and disclosures.

AfricaVote of ThanksWith consistent focus on serving customer needs, Airtel
Africa delivered a strong financial performance despite
global economic challenges, shining a spotlight on ourresilient business model. In FY 2022-23, we successfully
reduced hard currency debt, helping to mitigate the risk offoreign exchange volatility. Leverage remained extremely
comfortable at 1.4x, broadly flat from the previous year.
This was achieved alongside substantial investments in
4G and 5G spectrum in key markets to be ready to meetthe growing opportunity in data. Almost 90% of capex
investment was directed to growth initiatives that help

I extend my sincere gratitude to our Board of Directors,
management, resilient employees and esteemed
customers, partners, suppliers, the entire distribution
network and our valued shareholders for their continued
support and confidence.

Sunil Bharti Mittal
Chairman
Integrated Report and Annual Financial Statements 2022-23

13

Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

From the MD and CEO’s Desk

Taking strides aligned with our strategies
At Airtel, we have made the bold choice of going with
Non-Standalone technology for 5G (vs Standalone).
This helped us avoid the expensive 700 MHz spectrum,and is working well in terms of customer experience.
We are already present in 3,500+ cities and towns, andwe are targeting to cover all urban areas and some key
villages with 5G by March 2024. We are also working with
our ecosystem partners to bring new 5G use cases toenterprise customers.

Dear Shareholders,If you look back, the reputation of ourindustry has been built on the backof the billions of dollars invested tocreate a digital backbone, that hasenabled the country to stay connected.
Airtel alone has invested USD 50 Bn+.
99 percent of India is now covered
with high speed 4G networks. Wholeindustries have been built on theback of 4G–be it ride sharing, fooddelivery, e-commerce, video streaming,
payments, all of them.
5G will change all of this yet again. 5G is indeed asupercomputer connected to the cloud, and will drive aplethora of use cases and business models. This will involve
massive IoT deployments, synced with computing power atthe edge, with applications riding on top to create tangible
business benefits. All of this will be enabled by the highspeed, low latency connectivity which 5G provides. Studies
indicate 5G can boost the GDP by up to 2%. India is alreadyseeing among the fastest deployments of 5G the world hasseen. We already have 97 million mobile phones which are
5G enabled–this will grow manifold, to 500 million within
next four years.

14

Bharti Airtel Limited

As we look ahead, our strategy remains simple andconsistent. Focus on winning quality customers andbe obsessed about improving customer experience.
Underpinning this are our core enablers. Bring the powerof Airtel through a unified view of the customer, backed
by an integrated channel approach. Accelerate our digital
capabilities to drive velocity and agility in our operations
and build new digital services revenue streams. Do this withextreme financial prudence, while waging a war on waste.
This strategy has continued to deliver results for us.
I have captured some highlights below.

Quality Customers
We continued to maintain our focus on acquiring andretaining quality customers. We added 23.3 million 4G
customers to our network. We enjoy a premium positionin the industry and increased our ARPU to D193 in Q4
FY 2022-23, which was the highest in the industry. A key
priority for us is to expand our footprint in rural areas
where we are not present.
On Broadband, we continued to gain momentum anddelivered our highest ever net adds of 1.6 million. On DTH,
we gained market share despite broader industry softness.
I have always said that B2B is the jewel in our portfolio. In
FY 2022-23, we drove market share growth and continued
to be the trusted partner of choice for both Large
Enterprises as well as emerging businesses. Importantly,
the new digital products we have bet on–Cloud, IoT, CPaaS,
Security–saw significant growth.

We expanded our network coverageand capacity by adding 37,492 sites
and 7.9 million fiber home passes
to elevate the customer experience.

Brilliant Customer Experience

War on Waste

Delivering exceptional experience continues to be thecornerstone of our strategy. We initiated a radical reseton our delivered experience by undertaking actions to
fix problems structurally across the Search-DiscoverPurchase-Onboard-Experience-Refer flywheel.

This year saw continued pressures on cost. We continued
our War on Waste and relooked at every cost to manage
these headwinds. For example, a major area where we
realised savings was on network cost where we reviewed
each and every site to identify pockets of savings, be itfrom usage of alternate power sources like solar, asset
optimisation or commercial renegotiation with ourpartners. Such initiatives enabled us to continue delivering
improved margins and gave us more operating leverage.

First, we launched major initiatives to elevate our network
experience. For example, we identified 3,000 high priority
geographic catchments to dramatically improve our mobile
network experience. Similarly, in Broadband, we defined
fundamental network design changes, including reducing
the length of the wire from the pole to the customer’shouse, since longer wires are more prone to faults.
Second, we started revamping customer journeys across
our channels to be more intuitive. Further, we expanded
our network coverage and capacity by adding 37,492
sites and 7.9 million Fiber home passes to elevate thecustomer experience.

Accelerate Digital
Airtel has built a strong digital foundation over the years.
We have a three layered business model. The first layer is
our Digital infrastructure. This is the highway that drives
much of India’s economic and digital activity. The second
layer is our Digital experience, which sits above Digital
infrastructure. The third layer, sitting atop our Digital
experience, is our Digital services. These include our Digital
Business such as Airtel Finance, Wynk (music streaming),
Nxtra (Data Centers), Airtel IQ (CPaaS business), Airtel
Payments Bank and Airtel Ads.
A major thrust for us this year is to move from a productbased approach to a platform-based approach across our
digital experience layer. As part of this, we are developing
four key platforms: Buy – ability to buy any product on
any channel with consistent experience; Bill – simple,
converged bill across Airtel services; Pay – for any service
on any channel in an intuitive manner; and Serve – raise
a complaint and get resolution for any product on any
channel. These platforms will help improve customer
experience across the entire customer flywheel of
Search-to-Refer, as well as velocity across our business.

ESG
We are deeply conscious of our responsibility to theenvironment and our obligation to the society at large.
Our Board appointed ESG Committee as well as amanagement council that drives our ESG initiatives havebeen driving the agenda with vigour. The reduction ofcarbon foot print is now deeply embedded across both
Nxtra as well as our wireless networks with a number of
initiatives underway. For example, we are ramping up
solarisation of our mobile network sites. We continue
working towards our plans of making Nxtra fully green.
We have a strong safety and diversity agenda for theCompany as well. Our Integrated Report spells out our
initiatives for environment sustainability and community
development. Our efforts are being recognised as well, forexample, we won the ‘ICSI National Award for Excellence inCorporate Governance, 2022’, presented by the Institute ofCompany Secretaries of India. Our ESG ratings from CDP
and MSCI agencies have improved as well.
In closing, I would like to thank our customers, our people,
our partners and our shareholders for their support andfaith in us. We seek your continued support in our journey.

Gopal Vittal
Managing Director and CEO

Integrated Report and Annual Financial Statements 2022-23

15

Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

Board of Directors

Leading from the front

Mr. Sunil Bharti Mittal
Chairman

Mr. Gopal Vittal
Managing Director and CEO

Mr. D.K. Mittal
Independent Director

Ms. Kimsuka Narasimhan
Independent Director

Nationality

IndianNationality

IndianNationality

IndianNationality

IndianAge

65 yearsAge

56 years

Age

70 yearsAge

58 years

DIN

00042491

DIN

02291778

DIN

00040000

DIN

02102783

Date of appointment

July 07, 1995

Date of appointment

February 01, 2013

Date of appointment

March 13, 2014

Date of appointment

March 30, 2019

Tenure on Board~28 years

Tenure on Board~10 years

Tenure on Board~9 yearsTenure on Board

4 years

Term ending on

September 30, 2026

Term ending on

January 31, 2028

Term ending on

March 12, 2024

Term ending on

March 29, 2024

Shareholding

NilShareholding

1,002,381 shares (0.02%)

Shareholding

NilShareholding

238 shares (0.00%)

No. of directorships inother Indian public companies

2

No. of directorships inother Indian public companies

2

No. of directorships inother Indian public companies

8

No. of directorships inother Indian public companies

Nil

Directorships inother Indian listed companies

Nil

Directorships inother Indian listed companies

Indus Towers Limited, Non-Executive,
Non-Independent

Directorships inother Indian listed companies• Balrampur Chini Mills Limited,
Non-Executive, Independent• Max Financial Services Limited,
Non-Executive, Independent• Max Ventures and Industries
Limited, Non-Executive,
Independent• Trident Limited, Non-Executive,
Independent

Directorships inother Indian listed companies

Nil

Committee memberships andchairpersonships in otherIndian public companies
Member: Nil

Committee memberships andchairpersonships in otherIndian public companies
Chairperson: Nil

Areas of expertise

Member: Nil

Chairperson: Nil

Areas of expertise

Strategic Leadershipand management

Financial and
Risk Management

Strategic Leadershipand Management

Financial and
Risk Management

Technology

GovernanceTechnology

GovernanceCommittee memberships andchairpersonships in otherIndian public companies

Industry and Sector Experience

Public Policy

Industry and Sector Experience

Sustainability and ESG

Member: 2

Global Business/
International Business

Sustainability and ESG

Global Business/
International Business

Chairperson: 5

Areas of expertise
Strategic Leadershipand Management

Financial and
Risk Management

Technology

GovernanceIndustry and Sector Experience

Sustainability and ESG

Committee memberships andchairpersonships in otherIndian public companies
Member: Nil

Chairperson: Nil

Areas of expertise
Strategic Leadershipand Management

Financial and
Risk Management

Industry and Sector Experience

Governance

Global Business/
International Business

Sustainability and ESG

Public policy

 Profile available here

Audit Committee

HR & Nomination
Committee

 Profile available here

Corporate Social
Responsibility Committee

Stakeholder RelationshipCommittee

Risk Management
Committee

 Profile available here

Environmental, Social andGovernance (ESG) Committee

Audit Committee

HR & Nomination
Committee

 Profile available here

Corporate Social
Responsibility Committee

Stakeholder RelationshipCommittee

Risk Management
Committee

Environmental, Social andGovernance (ESG) Committee

 Chairman

 Chairman

 Chairman

 Chairman

 Chairman

 Chairman

 Chairman

 Chairman

 Chairman

 Chairman

 Chairman

 Chairman

 Member Member Member Member Member Member Member Member Member Member Member MemberNotes:(1)	Above details have been provided as on March 31, 2023 in accordance with the Regulation 26 of SEBI (Listing Obligations and Disclosure Requirements)
Regulations, 2015. Membership and chairpersonship of only the Audit Committee and the Stakeholders' Relationship Committee across all publiccompanies are considered.
(2)	Chairpersonship of the Committee is not included in the count of membership of the Committee.

16

Bharti Airtel Limited

Notes:(1)	Above details have been provided as on March 31, 2023 in accordance with the Regulation 26 of SEBI (Listing Obligations and Disclosure Requirements)
Regulations, 2015. Membership and chairpersonship of only the Audit Committee and the Stakeholders' Relationship Committee across all publiccompanies are considered.
(2)	Chairpersonship of the Committee is not included in the count of membership of the Committee.

Integrated Report and Annual Financial Statements 2022-23

17

Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

Board of Directors

Ms. Nisaba Godrej
Independent Director

Mr. Pradeep Kumar Sinha
Independent Director

Mr. Shyamal Mukherjee
Independent Director

Mr. V. K. Viswanathan
Independent Director

Nationality

IndianNationality

IndianNationality

IndianNationality

IndianAge

45 yearsAge

67 yearsAge

63 yearsAge

72 years

DIN

00591503

DIN

00145126

DIN

03024803

DIN

01782934

Date of appointment

August 04, 2021

Date of appointment

May 18, 2022

Date of appointment

May 18, 2022

Date of appointment

January 14, 2014

Tenure on Board~2 yearsTenure on Board~1 year

Tenure on Board~ 1 year

Tenure on Board~9 years

Term ending on

August 03, 2026

Term ending on

May 17, 2027

Term ending on

May 17, 2027

Term ending on

January 13, 2024

Shareholding

NilShareholding

NilShareholding

215 shares (0.00%)

Shareholding

Nil

No. of directorships inother Indian public companies

5

No. of directorships inother Indian public companies

Nil

No. of directorships inother Indian public companies

1

No. of directorships inother Indian public companies

6

Directorships inother Indian listed companies• Godrej Agrovet Limited,
Non-Executive, Non-Independent• Godrej Consumer Products
Limited, Executive Chairperson• VIP Industries Limited,
Non-Executive, Independent• Mahindra & Mahindra Limited,
Non-Executive, Independent

Directorships inother Indian listed companies

Nil

Directorships inother Indian listed companies

ITC Limited, Non-Executive,
Independent

Directorships inother Indian listed companies• United Spirits Limited,
Non-Executive, Independent• KSB Limited, Non-Executive,
Independent• ABB India Limited, Non-Executive,
Independent• HDFC Life Insurance Company
Limited, Non-Executive,
Independent

Committee memberships andchairpersonships in otherIndian public companies
Member: Nil

Chairperson: Nil

Areas of expertise
Strategic Leadershipand Management

Financial and
Risk Management

Industry and Sector Experience

Governance

Global Business/
International Business

Sustainability and ESG

Committee memberships andchairpersonships in otherIndian public companies
Member: Nil

Committee memberships andchairpersonships in otherIndian public companies
Chairperson: Nil

Areas of expertise

Member: 1

Chairperson: Nil

Areas of expertise

Strategic Leadershipand management

Financial and
Risk Management

Strategic Leadershipand Management

Financial and Risk Management

Global Business/
International BusinessGovernanceIndustry and Sector Experience

GovernanceCommittee memberships andchairpersonships in otherIndian public companies

Industry and sector experience

Sustainability and ESG

Global Business/
International Business

Sustainability and ESG

Member: 2
Areas of expertise

Public policy

Public policy

Strategic Leadershipand Management

Financial and
Risk Management

Industry and Sector Experience

Governance

Global Business/
International Business

Sustainability and ESG

Public Policy

 Profile available here

Audit Committee

Chairperson: 4

HR & Nomination
Committee

 Profile available here

Corporate Social
Responsibility Committee

Stakeholder RelationshipCommittee

Risk Management
Committee

 Profile available here

Environmental, Social andGovernance (ESG) Committee

Audit Committee

HR & Nomination
Committee

 Profile available here

Corporate Social
Responsibility Committee

Stakeholder RelationshipCommittee

Risk Management
Committee

Environmental, Social andGovernance (ESG) Committee

 Chairman

 Chairman

 Chairman

 Chairman

 Chairman

 Chairman

 Chairman

 Chairman

 Chairman

 Chairman

 Chairman

 Chairman

 Member Member Member Member Member Member Member Member Member Member Member MemberNotes:(1)	Above details have been provided as on March 31, 2023 in accordance with the Regulation 26 of SEBI (Listing Obligations and Disclosure Requirements)
Regulations, 2015. Membership and chairpersonship of only the Audit Committee and the Stakeholders' Relationship Committee across all publiccompanies are considered.
(2)	Chairpersonship of the Committee is not included in the count of membership of the Committee.

18

Bharti Airtel Limited

Notes:(1)	Above details have been provided as on March 31, 2023 in accordance with the Regulation 26 of SEBI (Listing Obligations and Disclosure Requirements)
Regulations, 2015. Membership and chairpersonship of only the Audit Committee and the Stakeholders' Relationship Committee across all publiccompanies are considered.
(2)	Chairpersonship of the Committee is not included in the count of membership of the Committee.

Integrated Report and Annual Financial Statements 2022-23

19

Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

Board of Directors

Ms. Chua Sock Koong
Non-Executive Director

Mr. Rakesh Bharti Mittal
Non-Executive Director

Mr. Tao Yih Arthur Lang
Non-Executive Director

Nationality

Singaporean

Nationality

IndianNationality

SingaporeanAge

65 yearsAge

67 yearsAge

51 years

DIN

00047851

DIN

00042494

DIN

07798156

Date of appointment

May 07, 2001

Date of appointment

January 07, 2016

Date of appointment

October 27, 2020

Tenure on Board~22 years

Tenure on Board~7 yearsTenure on Board~2.5 years

Term ending on

Not Applicable

Term ending on

Not applicable

Term ending on

Not Applicable

Shareholding

NilShareholding

NilShareholding

Nil

No. of directorships inother Indian public companies

1

No. of directorships inother Indian public companies

2

No. of directorships inother Indian public companies

1

Directorships inother Indian listed companies

Nil

Directorships inother Indian listed companies

Nil

Directorships inother Indian listed companies

Nil

Committee memberships andchairpersonships in otherIndian public companies
Member: Nil

Committee memberships andchairpersonships in otherIndian public companies
Chairperson: Nil

Areas of expertise

Member: Nil

Committee memberships andchairpersonships in otherIndian public companies
Chairperson: Nil

Areas of expertise

Member: Nil

Chairperson: Nil

Areas of expertise

Strategic Leadershipand Management

Financial and
Risk Management

Strategic Leadershipand Management

Financial and
Risk Management

Strategic Leadershipand management

Financial and
Risk Management

Technology

GovernanceTechnology

GovernanceTechnology

GovernanceIndustry and Sector Experience

Sustainability and ESG

Industry and Sector Experience

Sustainability and ESG

Industry and Sector Experience

Sustainability and ESG

Global Business/
International Business

Public Policy

Global Business/
International Business Profile available here

 Profile available here

 Profile available here

Audit Committee

HR & Nomination
Committee

Corporate Social
Responsibility Committee

Stakeholder RelationshipCommittee

Risk Management
Committee

Environmental, Social andGovernance (ESG) Committee

Audit Committee

HR & Nomination
Committee

Corporate Social
Responsibility Committee

Stakeholder RelationshipCommittee

Risk Management
Committee

Environmental, Social andGovernance (ESG) Committee

 Chairman

 Chairman

 Chairman

 Chairman

 Chairman

 Chairman

 Chairman

 Chairman

 Chairman

 Chairman

 Chairman

 Chairman

 Member Member Member Member Member Member Member Member Member Member Member MemberNotes:(1)	Above details have been provided as on March 31, 2023 in accordance with the Regulation 26 of SEBI (Listing Obligations and Disclosure Requirements)
Regulations, 2015. Membership and chairpersonship of only the Audit Committee and the Stakeholders' Relationship Committee across all publiccompanies are considered.
(2)	Chairpersonship of the Committee is not included in the count of membership of the Committee.

20

Bharti Airtel Limited

Notes:(1)	Above details have been provided as on March 31, 2023 in accordance with the Regulation 26 of SEBI (Listing Obligations and Disclosure Requirements)
Regulations, 2015. Membership and chairpersonship of only the Audit Committee and the Stakeholders' Relationship Committee across all publiccompanies are considered.
(2)	Chairpersonship of the Committee is not included in the count of membership of the Committee.

Integrated Report and Annual Financial Statements 2022-23

21

Corporate Overview

Redefining
Entertainment forHomes
We are redefining entertainment for our customers
by bringing together the power of home broadband,
Direct-to-Home (DTH) and digital services; to address
the evolving content viewing habits of our customers.
This is brought to life through the Airtel Xstream box,
which allows customers to enjoy both digital content
and linear TV channels in a seamless viewing
experience. The experience is enhancedwith single sign-on and universal searchacross all forms of content at home.
Airtel Xstream offers over 700 linear
TV channels and 20 OTT apps.

Management Discussion & Analysis

Statutory Reports

Financial Statements

Key Highlights for FY 2022-23

18.3%*
All-time high CMS in home broadband~1,200 cities
Expanded broadband reach in
350+ cities during last year

1.6 MnAll-time high net customer additions in a year

OTT partnerships
SonyLIV, Lionsgate Play, Eros Now, Shemaroo,
Hoichoi, Manorama Max

2 Mn+
Paid Xstream customers achieved in thefirst 100 days of launch, making it thefastest-growing OTT aggregation app

Digital TV
Airtel is the only DTH operator to offer justeight tariff plans across the country*As per TRAI subscriber data as on March 2023

Airtel Xstream Fiber powers the digital content
streaming for our customers. We are accelerating
the rollout of home passes, penetrating deeper
into existing cities and exploring new markets. Ourdistinctive partnership with Local Cable Operators(LCOs) is playing a pivotal role in expanding
coverage while leveraging our expertise and existingfeet-on-ground to reach the end customer. This isreflected in our highest-ever 1.6 million net customer
additions and all-time high Customer Market Share(CMS) of 18.3% in FY 2022-23.
Converged entertainment is also the core of our
re-defined DTH strategy which is focused on
attracting and retaining quality customers. Simplified
plans with greater transparency and improved
experience is the focus for winning customers inrural markets.

22

Bharti Airtel Limited

Integrated Report and Annual Financial Statements 2022-23

23

Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

Key Performance Indicators

Year in review
1,391,448

1,165,469(D in Mn)
1,006,158

Revenue
846,765(000’s)807,802489,729

469,864

422,100

402,418

Total Customer Base

518,446

Financial year ended March 31, 2023

Consolidated Financials
Particulars

Units

Ind ASFY 2018-19

FY 2019-20

FY 2020-21

FY 2021-22

FY 2022-23

Shareholder's Equity

D Mn

714,222771,448589,527

665,543775,629

Net Debt

D Mn

1,129,899

1,245,209

1,485,076

1,603,073

2,131,264

Capital Employed

D Mn

1,844,121

2,016,657

2,074,603

2,268,616

2,906,893

Key Ratios

FY
2022-23

FY
2018-19FY
2019-20

FY
2020-21

5.86% FY
2018-19FY
2019-20

FY
2020-21FY
2021-22FY
2022-23

FY
2018-19FY
2019-20

315,852

227,859

Cash Profit from Operations**

FY
2020-2123.44% FY2021-22FY
2022-23

FY
2018-1932.66% 24

Y-o-Y growth
Bharti Airtel Limited

Ind ASFY 2018-19

FY 2019-20

FY 2020-21

FY 2021-22

FY 2022-23

Capex Productivity

%

40.65

43.77

47.25

50.26

53.77

Opex Productivity

%

46.36

36.48

33.64

33.00

32.39

EBITDA Margin

%

32.55

41.06

45.86

49.86

51.55

EBIT Margin

%

5.90

8.93

16.52

21.32

25.31

Return on Shareholder's Equity

%

0.58

-35.47-22.17

6.78

11.58

Return on Capital employed

%

2.53

4.00

7.38

10.31

12.32

Net Debt to EBITDA

Times

4.30

3.58

3.22

2.76

2.97

Interest Coverage ratio

Times

2.84

3.16

3.62

4.36

5.01

Book Value Per Equity Share

D

178.7

141.4

107.3

119.1

136.7

Net Debt to Shareholders’ Equity

Times

1.58

1.61

2.52

2.41

2.75

Earnings Per Share (Basic)

D

0.96

(63.41)(27.52)

7.67

14.80

FY 2018-19 figures are on the reported basis including Bharti Infratel, while FY 2019-20 to FY 2020-21 figures are excluding Bharti Infratel due to merger of Indus
Towers with Bharti Infratel.
With the adoption of Ind AS116 Leases, effective April 1, 2019, the results and ratios of period commencing April 1, 2019 are not comparable with the past
period results.
All figures are based on Consolidated Financial Statements. Previous year(s) figures are restated/reclassified, wherever necessary.

(D in Mn)

(321,832)

FY
2020-214,095(42,063)

FY
2019-20

Net Profit

165,607(445,711)

FY
2018-19FY
2022-2330.67% 

124,831(17,318)(D in Mn)

Units

FY
2019-20FY
2021-22FY
2022-23(150,835)

Earnings Before Tax(D in Mn)

FY
2021-22

Particulars

FY2022-23

19.39% 

167,777

717,330

581,103461,387(D in Mn)
347,696

262,937

EBITDA*

FY
2021-22553,596FY
2021-2283,459FY
2020-21423,645

FY
2019-20

42,549FY
2018-19FY
2020-2196.15% * Before exceptional items** Before derivative and exchange fluctuation (before exceptional items)

Integrated Report and Annual Financial Statements 2022-23

25

Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

Segment-wise Performance
Digital TV Services

Mobile Services (India)
We offer host of services including post-paid, prepaid,roaming, internet and various value-added offerings.
Leveraging our extensive distribution network of
1.2 million outlets, our presence spans 7,915 census and802,577 non-census towns and villages in India, covering~96% of the country’s population. Our diverse offerings
encompass high-speed internet access, Mobile TV, video
calls, live-streaming videos, gaming and buffer-less HD and
4K video streaming, among others, through our nationwide
long-distance infrastructure comprising 388,726 Rkms of
optical fiber.

21,00629,450(D in Mn)
31,538

Our Direct-To-Home (DTH) platform
provides a wide range of digital TV
services, including standard andhigh definition (HD) options with 3D
capabilities and immersive Dolby
surround sound. Our Airtel Xstream
offering is an alternative to Smart TV
as it enables users to access over
700 TV channels and multiple OTTapps both on their regular TV with anin-built Chromecast Play. Through acomprehensive selection of channels,
including 85 HD channels (including
1 HD SVOD service), 57 SVOD
services, 5 international channels
and 5 interactive services and OTTapps, we redefine the televisionviewing experience.

17,344Significant progress acrossall our businesses

Revenue

EBITDA-6.62% -17.43% Homes Services

FY 2021-22

26

FY 2022-23

Bharti Airtel Limited

20,495

15,89040,47230,390

Revenue

EBITDA

33.18% 

28.98% 

EBITDA

20.68% 

28.54% 

73,821

62,181As India's leading and trusted provider
of ICT services, we offer a diverse
portfolio of services to enterprises,
governments, carriers and small to
medium-sized businesses. Withinconnectivity, we provide fixed-line
voice solutions (PRI), data connectivity
and various connectivity options like
MPLS, VoIP and SIP trunking. Besides
this, we also provide comprehensive
conferencing solutions encompassing
voice, video and web conferencing.
Cloud portfolio is added to our officesolutions suite featuring storage,
compute services, Microsoft Office365, Shopify-based e-commerce
packages and CRM packages, which
are available on a flexible ‘pay-asyou-go’. These services extend to
network integration, data centers,
managed services, enterprise
mobility applications and digital
media. Our Airtel Business division
ensures a streamlined customer
experience through a unified
approach–billing system, support
and a personalised interface.

(D in Mn)
185,931

Airtel Business

160,702400,751

311,763

Revenue(D in Mn)

We deliver fixed-line telephone andbroadband services to households
across 1,199 cities throughout
India, including our partnershipwith Local Cable Operators (LCOs).
Our product portfolio comprises
high-speed broadband with speedsof up to 1 Gbps, ensuring both fastinternet connectivity and reliable
voice services.

759,246

629,149(D in Mn)

Revenue

EBITDA

15.70% 

18.72% 

Through our global services, we
facilitate voice and data connectivity
worldwide, including International
Toll-Free Services and SMS
hubbing. Leveraging strategicallylocated submarine cables anda satellite network, we provide
seamless global connectivity, evenin the most challenging areas. Our
expansive global network spansover 400,000 Rkms+ (including IRU),
covering 50 countries and 5 continents.

 Y-o-Y GrowthIntegrated Report and Annual Financial Statements 2022-23

27

Corporate Overview

Empowering Digital
Transformation for
Businesses
In FY 2022-23, Airtel became theNo. 1 operator in India’s B2B segment.
Airtel Business now contribute 19% to
our India revenues and is among thefastest-growing units within the global
telcos. All of this has been delivered
through our Investments, our Product
Portfolio enhancement and our GTM
re-tooling efforts. We are investing insubmarine cables, fiber connectivity
across the country, private cloud,and Data Centers for our enterprisecustomers. Investments are targeted
towards the next leg of accelerated
growth and digital transformation.

5G use cases for enterprises are coming to life
across many sectors. Our customised 5G solutionsfor Mahindra’s Chakan manufacturing facility
and Bosch Automotive Electronics India Pvt. Ltd.
demonstrate our commitment to exploring use
cases and unlocking the potential of 5G technology
across industries.
We are constantly improving our GTM strategy
with focus on brilliant account management andmapping the key decision-makers to understand theirneeds by providing a full suite of solutions to them.
These efforts are showing traction in our businessacceleration. An example of this was a landmark deal,
on the cloud with DIKSHA–a national platform forschool education by the Ministry of Education.

Management Discussion & Analysis

Statutory Reports

Financial Statements

Key Highlights for FY 2022-23#1

50.8%*

15.6%

400,000+

33.7%*

1,500+

B2B player in India

Decade-high revenue growthCore connectivity market share

Market share in IoTFiber route kms across 50 countries

Voice and CPaaS partnerships* As per Frost & Sullivan FY 2022-23 data

Airtel built and operates one
of India’s largest private cloudwith a trillion transactions aday. It runs on Nxtra, our Data
Center platform that serves
hundreds of customers andall hyperscalers.

Our product portfolio has diversified way beyond
traditional connectivity solutions with SD-WAN,
Airtel IQ (CPaaS), Cloud & Security, IoT, and private
networks. This is helping us future-proof our growthacross large enterprises, Government and SMEs
accounts. We are constantly developing new
products and solutions to meet customer needs.
For example, we partnered with Vultr to offer its
extensive suite of cloud solutions to Airtel’s enterprisecustomers hosted in Airtel’s data centers. IBM
and Airtel are working together to deploy Airtel’sedge computing platform in India, to enable large
enterprises across multiple industries to accelerateinnovative solutions.

28

Bharti Airtel Limited

Integrated Report and Annual Financial Statements 2022-23

29

Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

Quarterly Strategic Progress

Mapping our performance

DigitalInnovations
and Customer
Delight Acquired 19,867.8 MHz spectrum
by securing a pan-India footprintof 3.5 GHz, 26 GHz bands andselectively bolstering low andmid-band spectrum
 Announced successful trial of India’s
first 5G Private Network at Bosch
Automotive Electronics India Pvt. Ltd.
facility in Bengaluru
 Airtel Xstream achieved 2 million
paid subscriber milestone tobecome India’s fastest-growing OTT
aggregator platform

Strategic
Alliances andPartnerships

30

Bharti Airtel Limited

 Acquired a strategic minority
stake in cloud-based networking
solutions provider Cnergee
Technologies under the Airtel Startup
Accelerator Program To serve the needs of premium
households, we raised the bar in
the home broadband segment withthe launch of three all-in-one plans(under Airtel Black) built for the
evolving entertainment needs oftoday’s connected homes

DigitalInnovations
and Customer
Delight Announced the launch of ourFiber-To-The-Home (FTTH)
broadband service Airtel Xstream
Fiber in Ladakh and Andaman andNicobar Islands Acquired an additional 1.46% stakein Indus Towers. Our overall stake inIndus Towers stood at 47.95% at theend of the first quarter Became the first telecom operator in
India to roll out 5G services
 Unveiled India’s first immersive
Virtual Reality (VR) advertisement
powered by 5G
 Announced the launch of XSafe,
an easy-to-operate, end to end
home surveillance solution that
includes a range of Wi-Fi-based
advanced cameras designed toensure customers are connectedto their homes
 Announced the launch of the “Alwayson” IoT connectivity solution in India.
Our “Always on” solution comprises

Strategic
Alliances andPartnerships

 Nxtra Data Limited partneredwith Bloom Energy to deploy
low environmental impact fuelcell installation at its data centerin Karnataka, reducing carbon
emissions through a cleaner,hydrogen-ready fuel supply.
Nxtra would be the first data
center company in India to deploy
fuel cell technology to reducecarbon emissions at its Data
Centers, while unlocking cost andsustainability benefits

Financialand Strategic
Efficiency

 Paid D 8,312.40 crores to the
Department of Telecommunication
towards dues for spectrum acquired
in 5G auction. We paid 4 years ofspectrum dues upfront

dual profile M2M eSIM, whichallows an IOT device to always stayconnected to a mobile network fromdifferent mobile network operators in
the eSIM Wynk Music introduced Wynk Studio,
India’s largest music distribution
ecosystem for independent artists
based in India and overseas
 Announced multiple new products
in cloud portfolio ahead of the 5G
service launch. The new cloudofferings will fall under Edge Cloud
Portfolio and will include Edge CDN

 IBM and Airtel announced intent towork together to deploy Airtel’s edge
computing platform in India, which
will include 120 network Data Centers
across 20 cities. Once deployed, theplatform is designed to enable large
enterprises across multiple industries
including manufacturing andautomotive to accelerate innovative
solutions that deliver new value totheir clients and operations securely
at the edge

Integrated Report and Annual Financial Statements 2022-23

31

Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

Quarterly Strategic Progress

DigitalInnovations
and Customer
Delight

 Airtel and Nokia at IMC 2022,
used Holographic images to bringthe cultural splendour of Kashi
Vishwanath temple and the Statueof Unity to life, demonstrating thebenefits of an ultra-fast and low
latency 5G network Launched ‘Airtel World Pass’ tomake staying connected easy,
intuitive and compelling. The World
Pass revolutionises the experience
for all international travel because
one pack works seamlessly across
184 countries

Strategic
Alliances andPartnerships

 Airtel and Meta collaborated to invest
in global connectivity infrastructureand new-age digital solutions basedon CPaaS to meet the evolving needsof customers and enterprises in India
 Airtel to collaborate with Meta and
STC to bring 2Africa Pearls to India aspart of its ongoing effort to improve
the nation’s infrastructure. 2Africa
is the world’s longest subsea cablesystem and it is expected to provide
faster internet access to nearly 3
billion people worldwide

 Nxtra Data Limited begun
construction of its new hyperscale data center in Kolkata. Airtel
will invest D 600 crores in thedevelopment of east India’s largest
data center

5G Rollout

 Wynk Music introduced Wynk Rewind,a personalised user experience whichfeatures top artists, albums, songs
and playlists, heard by the listeners
during the year Airtel and Apollo Hospitals conducted
India's first 5G-enabled, AI-guided
colonoscopy trial. The trial was
carried out using AI on Airtel's 5G
technology, which has ultra-low
latency and high-processing
capabilities, allowing colon cancer
to be detected much faster andmore accurately

 Airtel 5G Plus service was madeavailable to customers in over 3,000
cities and towns in the country.
Airtel 5G Plus service availability will

DigitalInnovations
and Customer
Delight Acquired a strategic stake in Lemnisk(Immensitas Private Limited) underStartup Accelerator Program

Strategic
Alliances andPartnerships

32

Bharti Airtel Limited

 Created 5G experience zones
across all our retail stores in the
country to demonstrate the powerof 5G to consumers by bringing tolife our blazing data speeds andemerging use cases like immersive
virtual reality entertainment, cloud
gaming and more

 Airtel has built an AI-based solution,in collaboration with NVIDIA, which
will improve the overall customer
experience for all in-bound calls to
its contact Center Launched family plans for postpaid
subscribers starting at a rental of
D 599 a month with 2 postpaid SIM
connections, 105 GB data, Amazon
Prime for 6 months, Disney Hotstar
for 1 year and Xstream Mobile Pack.
The postpaid plans go up to D 1,499
a month, giving five connections
and 320 GB data a month, while also
including a Netflix plan to the other
OTT offerings

continue to rapidly expand as thecompany is working towards offering
nationwide coverage
 Announced the launch of unlimited
5G data for its customers withthe view to encouraging them toexperience the power of the Airtel
5G Plus network. The offer is open to
all postpaid customers and prepaid
customers with a data plan of D 239
and above Partnered with India Post Payments
Bank (IPPB) to launch WhatsApp
Banking Services for IPPB customers,
empowering customers pan-India
to access banking services on theirmobile phones in just a few clicks
 Announced our partnership with
Secure Meters for deploying Narrow
Band (NB-IoT) services that will
power 1.3 million homes in Bihar
through a smart meter solution

 Airtel partnered with Vultr, theworld’s largest privately held cloudcomputing company, to offer Vultr’s
unrivalled Cloud Compute, Cloud
GPU and Cloud Infrastructureservices to India’s digital ecosystem

Integrated Report and Annual Financial Statements 2022-23

33

Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

Awards and Accolades

Being rewarded fordemonstrating excellence

Broadband

Corporate Governance

Meta All Stars ICSI National Award 2022
 Golden Peacock Global
Award 2022

WinnerAirtel Xstream Fiber AR

Mr. Sunil Bharti Mittal, Chairman, was awarded
the Business Leader of the Year Award at
The Economic Times Awards for Corporate Excellence

Network
GTI Awards 2023
‘Innovative Mobile Service andApplication Company’ for VISION,a unified customer analytics andself-healing platform

Airtel IQ
Aegis Graham Bell Award

Supply Chain
Management
UBS Forums
Most Resilient Supply Chain Team of
the Year at the Future of Logistics &Supply Chain Summit & Awards 2023

IcertisMost Valued Customer 2022

For Innovative Telecom Solutions
for Airtel IQ

Data Center
CIO Choice Award 2022, 2023
For Colocation Services

W. Media Data Center(South Asia) Awards

Corporate
Communications
E4M
Winner – Top 25 Brands
Best In-house Communication
Professionals 2022

For Carbon Reduction Initiatives

ET Sustainable Organisations
2022

Brand
WOW Awards

Effies India 2022Gold

SilverFor Audience Engagement technology
and Event App of the Year

For Carpe Diem

Techplus Media AwardFor CXO Trusted Brand

UBS Forums’ data center
Summit Awards 2022

SilverBronzeFor AR/VR Technologies andContent of the YearIn Experiential Marketing / Brand
Experience

World CSR Congress, Global
CSR Excellence & LeadershipAwards 2022

Sustainalytics
Recognised Airtel’s initiatives
by moving ESG risk rating from
‘Medium’ to ‘Low’

CDP(Climate change): Rating improved
two notches – from C to B

MSCI
Improvement in rating from ‘BBB’ to ‘A’

Dun & Bradstreet AwardFor ESG excellence

ICMA

Afaqs

MMA Smarties

Gold

Gold

BronzeFor Best Use of Influencers(175 Replayed)

For Best Use of Influencers(175 Replayed)

For the Best Influencer
Marketing Campaign

Bharti Airtel Limited

For Green Data Center Initiatives

Developing Sustainable Strategies

Social Media

34

Award for Championing Sustainable
Initiatives

ESG Recognitions

Integrated Report and Annual Financial Statements 2022-23

35

Corporate Overview

Building a Future
Ready Network
Airtel demonstrated its future readynetwork, being the first telco to launch
5G in India. We leveraged upon our
future ready investments and adopted
globally accepted non-standalone
5G architecture that offers the bestcoverage, experience at the lowest
Total Cost of Ownership (TCO),
and a lower carbon footprint.

Our ‘One Airtel’ integrated transport strategy isimproving fiber rollout planning in a cost-effective
way, enabling us to tap the growth potential
across Mobility, B2B, and Homes. It is also
improving operational efficiency across all
business segments, ensuring a more robust
and reliable network infrastructure.
Airtel is consistently spurring digital innovations.
Digital tooling and innovative technology approachare playing a critical role in enhancing customer
experience and improving our productivity. During
FY 2022-23, key projects implemented include –Enhancement of network experience by upgrading
in-house built A-SON to identify 4G/5G degradation
and auto resolution in real time. We developed
broadband coverage and experience heat map,and launched a VISION platform for automatedhandling of complaints for faster resolution andimproved accuracy.
Last fiscal was a historic year as we recorded thehighest ever network site additions, exponential
fiber rollout, and continued broadband BTS additions.
Further, we are leveraging our digital tools to optimise
network performance and operations. We have
stepped up our War-on-Waste programme andnetwork re-engineering efforts to further optimise
costs and make networks more efficient andenvironment-friendly.

Management Discussion & Analysis

Statutory Reports

Financial Statements

Key Highlights for FY 2022-23

37,492Highest-ever network sites deployed in a year

33,647 kms
Fiber kms added7

Submarine cables

80,233

Broadband BTS deployedD431 Bn

Spectrum investments – Acquired 19,800 MHz
spectrum and secured a pan-India footprint of
3.5 GHz and 26 GHz bands

12 large and120+ edge

Strong presence in fast-growing Indian Data
Center market. Expanding further with six
upcoming large data centers

Airtel partnered with Meta and STC toextend 2Africa Pearls to India. Airtel
joined the SEA-ME-WE-6 undersea
cable consortium to scale up its highspeed global network capacity to serve
India’s fast growing digital economy.

36

Bharti Airtel Limited

Integrated Report and Annual Financial Statements 2022-23

37

Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

Value Creation Model

How we create value
InputsFinancial capital

E789,934 Mn Equity
E1,392,485 Mn Net Debt








VisionObjectives

ValuesFinancial capital Enrich the lives ofour customers
 Win customers for life throughan exceptional experience Grow market share Grow revenue
 Drive down costs

 Alive Inclusive
 Respectful










Operating environment (Page 40)

Manufactured capital
275,069 Mobile network towers
832,369 Mobile broadband base stations
388,726 Rkms Optic fiber network
7 Submarine cable system
750+ New mobile network
towers installed in difficult terrains
E400 Bn+ Invested in 5G spectrum

Deliver differentiatedservices to acquire
and retain high-quality
customers across homes
and businesses






17,292 Employees on roll
7,248 New employees hired in FY 2022-23
52,299 Contractual employees
E101 Mn+ Spent on all trainings
12.2 Average training hours per employee
Numerous interventions towards diversity
and impactful resourcing~375 Mn Total India customers
750,000+ Investors
3,500+ Active supplier base3,300 Rural stores~1.1 Mn Pan-India retailers~E300 Mn Spent on social activities
Increased ESG awareness and training
programs for suppliers

Natural capital






1,559,226 MWh Electricity consumed in own operations1
19,866 KL Diesel consumed in own operations1
156,698 MWh Total Renewable energy consumed
2,496 Indoor BTS sites converted to outdoor sites
Digital interventions for operational efficiency ofactive infrastructure

Our
stakeholders
1

Now including warehouses.

Customers

Build an integrated,
platform-based digital
ecosystem to drive
more business velocity
as well as solve realcustomer problems
through digital services
at scale

Our strategic
priorities

Mobile Services

Bharti Airtel Limited






Homes Services 
Read more (Page 26)







Bring together the
power of Airtel througha unified customer
view and an integrated
channel approachE4.7 Mn+ Gross revenue per employee per month
4.4 Employee engagement score (out of 5);
76% Employees responded
93% Succession rate for middle
and top level management | (2% Y-o-Y)
17% Women in STEM-related positions | (4% Y-o-Y)
10% Women in management positions inrevenue-generating functions | (12.3% Y-o-Y)
11.1% Women out of total employees | (10% Y-o-Y)

Improvement in
operating margins

Strong operating
free cash flows

Shareholder value creation



Frontrunner in India's 5G
revolution



Sustainably strong
and reliable networkStrong digital foundation of
infrastructure, experienceand services

Solving customer
problems throughimpactful innovation

Superior people experience
with diversity, inclusivity andoverall employee well-beingat coreStrengthened governance andexperience for contractual
employees
Enhanced productivity
and efficiency

26% CAGR Reduction in customer calls across services
over last 4 years 23 Investor complaints received and resolved
 E633,618 Mn Payments to suppliers3
 90% Suppliers (by procurement value) coveredin ESG awareness and training programmes
Impact (cumulative) through programs of Bharti Foundation
since inception:
 2.8 Mn+ Community members
 27,000+ Schools
 ~3 Mn Students

Drive dramatic simplification,
structured collaboration withpartners and sweat assets to
attack costs






#1 B2B player in India
Improved
customer experience
Indigenous
partner ecosystem
Positively impacted the livesof millions of stakeholders

Natural capital








Risks and Opportunities (Page 52)

Channel Partners



Build a culture of going Green,delivering promises and solving
problems while keeping diversity,
inclusivity and employee
well-being at core

Investors

All-time high market share
across businesses

Social and relationship capital

War onWaste
People:One Airtel

E1,269,314 Mn Intangible assets and goodwill(including spectrum)
Market leader in IoT*
200 Mn+ Digital monthly active users
Airtel IQ, the world’s first network-embedded CPaaS‘Innovative Mobile Service and Application Award’
At the prestigious GTI Awards 2023 for the
in-house platform, VISION – a unified customer
analytics and self-healing platform

Human capital

Network Partners

Suppliers

71% Increase in renewable energy in own operations
14,676 MWh Electricity savings through conservation initiatives4
3,330 Tonnes E-waste recycled~4,412 Tonnes Paper saved due to E-bill initiatives
E150 Mn Total annual costsavings from energy conservation initiatives4
0.1 tCO2e/TB Emission intensity (Network)
122,321 tCO2e Emissions avoided5

Employees

 ubject to the approval of shareholders at ensuing Annual General Meeting.
S
Excluding transactions w.r.t. inter-company and other telecom providers.

2
3

38





MicromarketingIntellectual capital

Our capitals (Page 72)

Social and relationship capital








Our businesssegments

Airtel BusinessAccelerate
DigitalHuman capital







Data traffic
Mobile Services: 54,148 Bn MBs | ~20% Y-o-Y
Homes Services: 15,949 Bn MBs | ~101% Y-o-Y
Minutes on Network (Gross)
5,027 Bn | ~6% Y-o-Y
Coverage: 95.9% Population (Mobile) | 1,199 Cities(Homes) | 639 Districts (Digital TV) 0.3 Mn+ Additional customers benefitted in difficult terrains 12 Large and 120+ Edge data centers
 Airtel 5G Plus rolled out in multiple towns/ cities

Digital TV Services

BrilliantExperience

Technology-driven brand
2,700+ Digital Talent Base
Ecosystem of strategic partnerships todrive open innovation
Robust systems and processes aligned to
ISO 27001, ISO 22301 and ISO 9001

E847,201 Mn Revenue
52.1% EBITDA Margin
E(896) Mn Profit after tax
E435,826 Mn Cash generated from operations
E338,795 Mn Paid to the exchequer
3.2x Net debt to EBITDA ratio
E4/ fully-paid share and E1/ partly-paid share dividend2
E4,320 Bn Market capitalisation

Manufactured capital

From Search to Referral:
Focus on delivering
best-in-class experience
across the customer lifecycle

Quality
Customers

Intellectual capital

Outcomes

Outputs

Our ethos

Regulatory Bodies

Committed to net-zerocarbon emissions by 2050
Increased usage of
renewable energy

Community/NGOs4 Energy
and cost savings from networks, data centers, facilities and main switching centres and AORs.
5
Emissions avoided from use of renewable energy and implementation of energy conservation initiatives.
* As per Frost & Sullivan.

Integrated Report and Annual Financial Statements 2022-23

39

Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

Operating Context

Trends shaping our industry
In the dynamic landscape of the telecom industry, several key
trends are shaping the future and presenting new opportunities andchallenges for companies. From the rapid advancements in technology
to evolving consumer demands and regulatory changes, telecom
companies must navigate these trends to stay competitive and meetthe ever-changing needs of their customers. At Airtel, we are always
cognizant of these developments to ensure we stay ahead of the curve.

Emergence of high-value
customers

Our response

Emergence of climate risks
With each passing year, temperature and pollution
levels continue to rise, amplifying the risk of natural
disasters. These changes also lead to anticipatedshortages of water, food, and commodities, while
posing a significant threat to biodiversity. To mitigate
the impact of global warming and address thesechallenges, proactive measures are essential for all
telecom companies.

Our response
We have embarked on a transformative sustainability
journey, leveraging innovation and strategic initiatives
to drive positive change. At the heart of our efforts
is a commitment to reduce our carbon footprint
and achieving Net Zero. We are spearheading theestablishment of green Data Centers, incorporatingenergy-efficient initiatives in our wireless network andsustainable practices. By embracing solar deployment,
we are harnessing the power of renewable energy,
significantly reducing our reliance on traditional powersources. We are prioritising the climate-proofingof our networks, ensuring resilience in the face ofenvironmental challenges.

40

Bharti Airtel Limited

The emergence of home entertainment has
revolutionised how we consume content. Withhigh-speed internet and streaming services, people
now have a wide range of options to enjoy movies andTV shows at home. Smart TVs and gaming consoles
provide immersive experiences, while personalisationand shared viewing have become the norm. This trend
is reshaping modern lifestyles and continues to evolvewith ongoing innovation in the sector.

Our response

There has been an emergence of high-value customers
in recent years, which has been revolutionising theindustry. These customers contribute significantly to
a company's revenue through substantial monthly
spending and frequent usage of value-added services.

Our premiumisation strategy is centred around
acquiring high-value customers by offering them
bundled solutions and superior experience. Airtel
Black and Family plans have played a crucial role inour success. Leveraging the convergence capabilities
and the power of bundling to provide convenience andcost-effectiveness to our customers. By delivering a
differentiated experience to our high-value customers,
we have strengthened our premiumisation agenda
and maintained a competitive edge in the market.
Our continuous efforts to expand and upgrade the 4G
network, along with the ongoing rollout of 5G services,
have further attracted high-value customers, resulting
in strong net additions and market share gains.

Emergence of homeentertainment

We redefined entertainment with seamless connectivity
and a wide range of options through our homebroadband and DTH services. Our Xstream box
provides access to over 20 top OTT apps and 700 TV
channels, allowing customers to toggle effortlessly
between linear and digital content. We expand ourhome broadband coverage through home passes andreach in newer cities with LCO partnerships. This has
resulted to all time high customer market share of
18.3% as of March 2023. Fixed broadband converts
non-smart TVs into smart, connecting them to our
integrated Xstream box with an in-built Chromecast
Play. Our redefined DTH strategy offers simplified plans
for transparency and convenience, fostering customer
loyalty. We also improve our GTM strategy to enhancecustomer acquisitions.

Emergence of cyberattacks
As digital adoption in India has surged, so has thealarming rise of cybercrime. The scale and complexityof cyber threats continue to impact essential services,businesses and individuals. Cyber criminals exploit
vulnerabilities to steal passwords, data and money.
Hacking, phishing, and ransomware are common cyberthreats. High-profile ransomware campaigns andmassive data breaches have exposed individuals andbusinesses to fraud.

Our response
We recognised the urgency to address cyber threatsand protect our customers. To ensure their safety
during remote work, online classes, e-commercetransactions and entertainment, we introduced the‘secure internet’ service through Xstream Fiber. This
service blocks malware, viruses, high-risk websites andapps in real-time. In collaboration with Kaspersky, we
made it convenient for Airtel customers to purchase
Kaspersky Total Security directly from the Airtel
Thanks app. Our aim is to enhance cybersecurity
awareness among Indian internet users and promote
safe online practices. We have also pioneered various
cybersecurity solutions, such as Airtel Secure, cateringto the advanced needs of our business customers.
Furthermore, Airtel Payments Bank offers 'Airtel Safe
Pay,' India's safest mode of digital payments, to protect
our customers from online payment frauds.

Integrated Report and Annual Financial Statements 2022-23

41

Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

Materiality Assessment and Stakeholder Engagement

Fulfilling expectations throughconstant engagement
Airtel’s Stakeholder Engagement Procedure
The stakeholder engagement process has been tailored to promote a culture of ongoing engagement with every
stakeholder group and build a positive relationship with them. The formal engagement process begins with identifying,
analysing, and prioritising different stakeholder groups.

Stakeholder Engagement Process

At Airtel, aligning with stakeholders’expectations, needs, and aspirationsis at the core of our purpose. We
firmly believe that understanding
our stakeholders is imperative tobuilding trust while responding to theopportunities and challenges createdby the market.

The primary focus of our framework is to Facilitate our ability to understand stakeholder
concerns and interests, and incorporate them into ourprocesses and activities.
 Improve the way we communicate and engage
with our stakeholders, including enhancing theclarity, accessibility, relevance, and timeliness of ourcommunication throughout our engagement processes.
 Continue enhancing stakeholders’ trust and confidence
in our processes, decisions, and activities.

Stakeholder
Identification And
Prioritisation

Stakeholder
Engagement

Understanding
Stakeholder
Concerns

Develop Strategic
Response

The stakeholder
identification is based ona strategic understandingof stakeholder groups thatare impacted by Airtel andhave an influence on ourvalue creation.

We have developed
customised stakeholder
engagement strategies toengage all our stakeholders
based on their importanceand impact.

Our effective stakeholder
engagement enables
our stakeholders to raise
their concerns relevant
to our business. We thenfocus on addressing every
concern raised in thisprocess in a timely anddedicated manner.

We develop strategic
action plans to align our
stakeholder expectations
with our business activities.

Besides ongoing stakeholder engagement, we partnerwith competent external experts to effectively engage
with certain stakeholders, such as local communities andvulnerable groups. They are responsible for collecting
information from stakeholders, to understand their needs
and expectations and also ensure that necessary capacity
building of stakeholders is undertaken to effectively
collaborate with them. A thorough review and analysis
of formal stakeholder engagement feedback is done via
external consultants to gauge the success of the exercise
and continually improve engagement activities.

Our stakeholder Engagement framework outlines anapproach to engage and work with our stakeholders and isapplicable to all our operating entities and functions acrossthe corporate and regional levels.

42

Bharti Airtel Limited

Integrated Report and Annual Financial Statements 2022-23

43

Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

Materiality Assessment and Stakeholder Engagement

Stakeholder engagement and outcomes

How we engage
with them

Key material issues

 Revenue growth and generation
 Streamline goals and processes Demand-led innovation

 Airtel Stores and contact
centres across operational cities
 Email, SMS communication andCompany website
 Social media engagement
 Airtel Thanks App








Investors

 Return on investment
 Short term and long-term
financial viability
 Risk management

 Respond to queries of investors on
operations of the company
 Bring transparency with the communityof existing and potential investors

 Annual General Meeting Face-to-face andelectronic correspondence Press briefings
 Analyst meets Earning calls

 Regulatory compliance Corporate governance and business ethics
 Climate change, energy efficiency andemission reduction

Suppliers Fair trade practices
 Protecting interests and providing
opportunities to minority suppliers
 Sustainable supply chain Operations without barriers
 New developments and innovation
 Competitive – stay ahead based on quality,
technology, pricing








Employees

 Performance review and feedback Training and development
 Health, safety and well-being

 Drivers to achieve the target set for them
 Satisfied and engaged employees perform
good at work
 Right talent gives us competitive advantage

 Annual employee surveys
 Skip level meetings
 Regular employee
communication forums







ChannelPartners

 Skill development Capacity building Promoting innovation of products
and services

 Boosting productivity
 Increased loyalty and engagement
 Lead generation

 Superior commission andreward scheme Sustained marketing support
 Extensive product portfolio

 Sustainable supply chain management
 Enhancing customer experience & satisfaction
 Network quality, expansion and transformation

Network
Partners

 User satisfaction and productivity
 Enhancing and expanding
network quality
 Optimising energy efficiency






Increase reach of service
Revenue growth
Addressing social and environmental issues
Improving environmental footprint Online portal
 Training modules andpartner documents
 Face to face interactions

 Network quality, expansion, and transformation
 Climate change, energy efficiency andemission reduction
 Sustainable supply chain management

 Formulation of policies andprocedures to shape the present
and future of business for its growthand development

 To ensure smooth operation of the Company,
we need to abide to various regulations
 Licencing and permissions
 Sector sustainability

 Face-to-face andelectronic correspondence Public policy - Advocacy
 Making representations
whenever needed Corporate governance and business ethics
 Regulatory compliances Information security and customer data privacy

 Transform the lives of children andyouth through education
 Improving sanitation conditions andawareness about health and hygiene
among community members andeducational institutions
 Promoting employment of local
youth as teachers, e-learning as wellas community-awareness on girlchild's education

 To create long lasting value for societies
 To partner with the government, educational
institutions and local communities to help
address key challenges

 Field visits and community
meetings undertaken by
Bharti Foundation during
the implementation andprogram operations

 Corporate citizenship and community development
 Regulatory compliances
 Digital inclusion and enhanced access to ICT

Stakeholders

Value proposition

Why they are important to us

Customers Service quality
 Data protection
 Innovation through strategy
and technology

Regulatory
BodiesCommunity/
NGOs

Financial capital

44

Bharti Airtel Limited

Social and
Relationship capital

Manufactured capital

Electronic correspondence
Partner Portal
Company Website
Annual Confluence
Meetings/Governance/Review
Sustainability
Awareness session

Intellectual capital

Capital linkage

Network quality, expansion, and transformation
Innovation in products and services
Information security and customer data privacy
Enhancing customer experience and satisfaction
Resource efficiency and waste management
Fair marketing and advertising Sustainable supply chain management
 Green ICT solutions
 Innovation in products and services

Employee health and well-being
Talent attraction and human capital development
Diversity and inclusion
Innovation in products and services
Promoting human rights

Natural capital

Human capital

Integrated Report and Annual Financial Statements 2022-23

45

Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

Materiality Assessment and Stakeholder Engagement

Materiality Assessment
Materiality assessment enables the Company toidentify, prioritise, track, and report the most importantsustainability issues that play a critical role in oursustainability strategy development process. Airtel asa responsible business organisation understands andaddresses the material issues that are relevant to its
business operations and the stakeholders to achieve
long-term success. Embedding materiality aspects
will enable the stakeholders to make more informed
decisions about Airtel's impact (on environment andsociety), opportunities and risk profile, and enable
the Company to effectively manage its sustainability
risks and opportunities.

Airtel regularly engages with its stakeholders, gaining
insights and reviewing new developments on various
sustainability frameworks and market updates tounderstand the emerging risks and their potential impact
on its business. In addition, Airtel considers telecom
industry-specific material issues, along with various ESG
rating assessments. This process helps in the identificationof additional material issues, if any, build strategies andcreate value-creation approaches.

Desk review to identify material issues

A comprehensive desk review was carried out to identify a set of material
topics relevant to Airtel. This included:
Trends on the horizon

Benchmarking best practices

Review of current and emerging telecom industry
trends, business risks, and priorities

Review of peer practices in Indian and global markets,
indices, and sustainability frameworks to identify
sector-specific sustainability material issues

Stakeholder consultation was undertaken to prioritise material Issues
How is materiality assessed at Airtel?

The Company engages with its internal and external stakeholders
to have an improved understanding of the material issues that
could directly impact its ability to create value. A materiality
assessment is conducted every two years through an
independent external agency, based on three aspects:

Economic,
Environmental andSocial Impacts of
the Company

Business Goals
and Prioritiesof the Company

Needs andConcerns of theCompany's Major
Stakeholders

External stakeholder consultation

Internal stakeholder consultation

Objectives

Objectives

To understand the key concerns and expectations of relevant
stakeholders, along with their level of satisfaction in engaging
with Airtel and incorporate their perception of importantmaterial issues into the materiality assessment

 To understand top management’s vision on business goals
and priorities and understand the emerging risks andopportunities for Airtel

Category of stakeholders engaged

46

Bharti Airtel Limited

 To incorporate their perception of important material
issues into the materiality assessment

Customers, investors, suppliers and vendors,
channel partners, network partners, non-profit
organisations and regulatory bodies

Category of stakeholders engaged
Senior management from internal functions – secretarial,customer experience, human resources, operations –networks, Data Centers, facilities, supply chain management,risk team, information security, product team, corporate
communications, ombuds, Bharti Foundation

Process
Mapping the existing stakeholders
Map the stakeholders who can impact or
influence the organisation

Airtel undertook a comprehensive materiality assessment exercise, which was conducted byprofessional consultants, who worked closely with the Company’s internal and external stakeholders,following GRI Standards and guided by Account Ability’s AA1000 principles (2018).

 To ascertain how sustainability issues feature in the riskradar of the organisation across different departments

Questionnaire development

Stakeholder consultation

Questionnaire were designed, and online
surveys undertaken to engage withinternal stakeholders

Interviews were conducted withall identified stakeholders

Outcomes of external and internal stakeholder consultation
Prioritisation of material topics

Data analysis

The final list of material topics for Airtel was arrived at after
an in-depth analysis of the results of internal and external
stakeholder consultation. Management perspective wasobtained to further categorise the material topics as per
the level of priority (Critical-High-Moderate).

Survey results were aggregated to draw inferences on
the areas of concern for the stakeholders, and material
topics that were a priority for them. The insights gathered
through external and internal stakeholder engagement
were analysed and synthesised with the findings fromdesk review to develop the materiality matrix.

Integrated Report and Annual Financial Statements 2022-23

47

Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

Materiality Assessment and Stakeholder Engagement

Material issues

Material issues

The identified material issues have further been aligned with the Sustainable Development Goals
that relate most closely to Airtel’s business and vision:

The materiality assessment helps identify risk parameters that are integrated across all managementlevels within Airtel. These material issues are dynamic, and they vary based on changes in our
external operating environment and the evolving expectations of our stakeholders. A total of
18 material issues were identified (depicted here in the form of a materiality matrix). The matrix
categorises these material issues in order of critical, high and moderate significance to theorganisation and its stakeholders.

Material issues

Airtel materiality matrix

9

10

2

1

13
12

3

4

11

5

Significance to Stakeholders

6
8

7

14
15

16

17

18

Significance to Organisation

1.

Information security and customer data privacy

11. Sustainable supply chain management

2.

Talent attraction and human capital development

12. Promoting human rights

3.

Corporate Governance and business ethics

13. Corporate citizenship and community development

4.

Climate change, energy efficiency andemission reduction

14. Resource efficiency and waste management

5.

Enhancing customer experience and satisfaction

16. Digital inclusion and enhanced access to ICT

6.

Network quality, expansion and transformation

17. Water efficiency

7.

Regulatory compliance

18. Green ICT solutions

8.

Innovation of product and services

9.

Employee health and well-being

10. Diversity and inclusion

48

Bharti Airtel Limited

1.

Information security and customer data privacy

2.

Talent attraction and human capital development

3.

Corporate Governance and business ethics

4.

Climate change, energy efficiency and emission reduction

5.

Enhancing customer experience and satisfaction

6.

Network quality, expansion and transformation

7.

Regulatory compliance

8.

Innovation of product and services

9.

Employee health and well-being

10.

Diversity and inclusion

11.

Sustainable supply chain management

12.

Promoting human rights

13.

Corporate citizenship and community development

14.

Resource efficiency and waste management

15.

Fair marketing and advertising

16.

Digital inclusion and enhanced access to ICT

17.

Water efficiency

18.

Green ICT solutions

SDGs impacted

15. Fair marketing and advertisingE

Environment
CriticalS

SocialHigh

G

GovernanceModerate

Bharti Airtel Limited (Airtel), like any other company,
operates in a dynamic external environment that
constantly faces challenges and opportunities. We areaware of the need for businesses to review and report
the potential impact of environmental and social issues
on their overall business performance. For Airtel, key
externalities, which we closely observe and follow to
mitigate any adverse impacts, are listed in our Risk

Mitigation Framework (refer to page 52 of this Integrated
Report). A close review of the internal and external factors
affecting Airtel’s business operations facilitates a morecomprehensive understanding of a company's impact
and development of the risk profile. This helps theinvestors make more informed decisions and enables us
to manage their sustainability risks and opportunities in an
optimum manner.

Integrated Report and Annual Financial Statements 2022-23

49

Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

ESG Approach
ESG Governance Structure
In order to drive its long-term sustainability vision, Airtel has been following an ESG Governance Mechanism.

1Enterprise Risk Management Framework

Sustainability – Our pathway
to the future

Board of Directors

Provides oversight on Company’s ESG priorities,
long-term sustainability strategy, targets andperformance2

Provides strategic guidance and decision-making
on ESG and is responsible for review and approvalof ESG strategy, goals and targets

Board ESG Committee

3

ESG Council

Identifies ESG priorities and develops processes,
systems, controls and standard operatingprocedures to achieve ESG targets

4

Develops the ESG roadmap and monitors
performance on initiatives as well as mapping
and reporting of ESG progress in line withnational and global frameworks

Corporate Sustainability Function

5

ESG Functional Champions
Representative from all functions

Implement sustainability action plan on groundand are responsible for the execution andmonitoring of ESG initiatives associated with
their function

Risk Management Committee

Reviews strategic risks and opportunities
including climate change

ESG Specific Commitments,
Goals, and Targets
Airtel has a structured approach to meet its commitment
towards sustainability and has identified some key focus
areas with specific goals and targets.

Key ESG Focus Areas
Environment
Greening the Network, Achieving Climate Resilience andResource Efficiency and Waste Management.

As a responsible organisation,
Airtel considers ‘Sustainability’as an integral part of its businessstrategy and is committed tocreate long-term value for all
stakeholders through sustainablebusiness practices.
Airtel undertakes comprehensive initiatives on theEnvironment, Social and Governance (ESG) and has set
ambitious ESG related targets for itself. The Company
actively reports its performance on sustainability in its
Integrated Reporting aligned with the IIRC Framework.

Social
Our vision…is to be a globally renowned
Environmentally conscious,
Socially responsible andGovernance-led Company
by implementing leading
ESG practices andtransparent reporting.

Occupational Health & Safety, Diversity & Inclusion andTalent Development & Retention.

Governance
Stakeholder Engagement, Sustainable Supply Chain
Management and Corporate Governance.

Science Based Targets
Airtel is the first Indian telecommunications company to join
the league of leading international corporations committed
to the 1.5°C pathway outlined by the Science-Based Targets
initiative (SBTi). This is a partnership between CDP, United
Nations Global Compact, World Resources Institute (WRI)and World-Wide Fund for Nature (WWF).

United Nations Global Impact
Airtel has become the first Indian telecommunications
company to join the United Nations (UN) Global Compact,which is the largest corporate sustainability initiative inthe world.

United Nations Energy Compact
Airtel has adopted the Energy Compact that aims to
mitigate the impacts of climate change. The Company
was also recognised for this by the Ministry of New andRenewable Energy (MNRE), Government of India.

ESG Initiatives

ESG Recognitions

Airtel has a structured approach to meet its commitment
towards sustainability and has identified some key focus
areas with specific goals and targets.

 Sustainalytics recognised Airtel’s initiatives bymoving ESG risk rating from ‘Medium’ to ‘Low’
 CDP – (Climate change): Rating improved by
two notches – from C to B
 MSCI – Improvement in rating from ‘BBB’ to ‘A’ Won Dun & Bradstreet Award for ESG Excellence For details on ESG focus areas and other details, read more on page 153 of the Business Responsibility and Sustainability Report.

50

Bharti Airtel Limited

Integrated Report and Annual Financial Statements 2022-23

51

Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

Risk and Mitigation Framework

Safeguarding against uncertainties
Responsibility and accountability
Board of Directors

Airtel’s Management

Operational Teams

An annual evaluation of theCompany's risk management
framework is conducted by the Boardof Directors along with periodic
evaluation and assessment by the Risk
Management Committee. The Risk
Management Committee formulates a
detailed risk management policy andmonitors the implementation of thesame. The Chief Risk Officer works
closely with the Risk Management
Committee on an independent basis
and conducts a complete review of
the risk assessments and associatedmanagement action plans. The Boardof Directors is the apex body that
reviews critical risks and deliberates
and approves action plans which caneffectively mitigate those risks.

The CEOs of Airtel businesses inIndia and South Asia are responsible
for managing the strategic risks
that may impact their operations.
These risks are generally identified
by their Circle teams, the national
level leadership and teams from theinternational operating companies.
The management team draws
on internal audit reports for theidentification of risks and scansinternal and external environments
to ascertain developments that could
pose material risks for the Company.
Internal assurance reports are also
considered for the identification of
key risks.

The Executive Committees (EC)of Circles in India and operatingcompanies from international
operations manage risks at the groundlevel. The EC has local representationfrom all functions, including central
functions like Finance, SCM, Legal& Regulatory and customer-facing
functions, such as Customer Service,
Sales & Distribution and Networks. It is
the responsibility of the Circle CEO orCountry Managing Director to engage
functions and partners to manage therisks. They are also responsible for theidentification of risks and escalatingthem to the central teams foragreement on mitigation plans.

Risk Identification Process

Scanning the entire
business environment internal and external, for
identifying potential risks

Bharti Airtel has achieved global
success through a culture ofinnovation and high performance.
As we explore new markets, embrace
emerging technologies, forge
strategic partnerships, and introduce
innovative products, we recognise theaccompanying risks and uncertainties.

52

Bharti Airtel Limited

At Airtel, our Board and leadership team proactively
address potential disruptions to ensure smooth business
operations. Our robust risk management frameworkencompasses strategic, legal, financial, operational, andclimatic risks. We employ a rigorous process to identify
critical risks across the organisation and develop relevant
action plans for mitigation, fostering a reliable and securebusiness environment.

Classifying the various
risks in terms ofprobability, impact
and nature

Agreeing on detailed
action plans to manage
key risks

Listing and prioritising
the key risks to beaddressed and managed eporting progress toR
the Board and Audit
Committee/Risk
Management Committee

Reporting on specificissues to the Audit
Committee/Risk
Management Committee

Developing objective
measurement
methodology forsuch risks

Approving resources,
including budgets forrisk management

Fixing accountability ofpeople and positions to
implement the mitigating
action plans eviewing the progressRof action plans,
taking stock of grossand net exposuresand mandatingcorrective actions

Integrated Report and Annual Financial Statements 2022-23

53

Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

Risk and Mitigation Framework

Regulatory and Political Uncertainties (Legal and Compliance)
Outlook from last year > Emerging

Definition
The Company operates in India, Sri Lanka and 14 Africancountries. Some of these countries (or regions withincountries) are affected by political instability, civil unrest,
pandemic and other social tensions. Besides, the politicalsystems in a few countries are also fragile, resulting in
regime uncertainties; and hence, the risk of arbitrary
action. Such conditions tend to affect the overall businessscenario. In addition, regulatory uncertainties and changes,
like escalating spectrum prices, subscriber verification
norms and penalties, and EMF norms among others arepotential risks being faced by the business.

Mitigating actions
As a responsible corporate citizen, the Company engages
proactively with key stakeholders in the countries in which
it operates; and continuously assesses the impact of thechanging political and social scenario. The Company
contributes to the socio-economic growth of the countries
in its area of operation through high-quality services to its
customers, improved connectivity, providing direct andindirect employment, and contributing to the exchequer.

Capitals impacted

These activities are covered in detail through its annual
Sustainability Report. It also maintains cordial relationships
with governments and other stakeholders. The Country
MDs and Circle CEOs carry direct accountability for
maintaining neutral Government relations. Through its
CSR initiatives (Bharti Foundation etc.), it contributes tothe social and economic development of the community,
especially in the field of education.
The Company actively works with industry bodies likethe Cellular Operators Association of India (COAI),
Confederation of Indian Industry (CII), AssociatedChambers of Commerce of India (ASSOCHAM), GSMA,
Internet Service Providers Association of India (ISPAI) andFederation of Indian Chambers of Commerce & Industry(FICCI) on espousing industry issues e.g. penalties, right ofway, tower sealing amongst others.
The regulatory team along with legal and network, keepa close watch on compliances with regulations and laws
and ensures the operations of the Company are within theprescribed framework and has also implemented business
continuity plans wherever required.

Material issues for Airtel
 Regulatory compliance Corporate governance & business ethics

Economic Uncertainties (Operational)
Outlook from last year > Emerging

Definition
The Company’s strategy is to focus on growth
opportunities in emerging and developing markets.
These markets are characterised by low to medium mobile
penetration, low internet penetration and relatively lower
per capita incomes, thus offering more growth potential.
However, these markets fall under countries which are more
prone to economic uncertainties, such as capital controls,
inflation, interest rates and currency fluctuations. Since theCompany has borrowed in foreign currencies, and manyloans are carrying floating interest terms, it is exposed tomarket risks, which might impact its earnings and cash flow.
These countries are also affected by economic downturns,
primarily due to commodity price fluctuations, reduced
financial aid, capital inflows and remittances. Slowing downof economic growth tends to affect consumer spending
and might cause a slowdown in the telecom sector.
In the greater part of the previous year, there have been
also some challenges in the global supply chain market
due to geopolitical tensions, inflationary price pressure,recessionary environment and uncertain disruptions.
Ensuring supply security has always been the core of our
supply chain strategy.

Mitigating actions
As a global player with a presence across 16 countries, theCompany has diversified its risks and opportunities acrossmarkets. Its wide service portfolio including voice, data,
Airtel Money, Digital Services and value-added services
helps widen its customer base.

Capitals impacted

To mitigate currency risks, the Company follows a prudent
risk management policy, including hedging mechanisms
to protect the cash flows. A prudent cash management
policy ensures that surplus cash is up-streamed regularly
to minimise the risks of blockages at times of capital
controls. It has specifically renegotiated many foreign
currency-denominated operating expenditure and capex
contracts in Africa and converted them to local currency,
thereby reducing foreign currency exposure.
To mitigate interest rate risks, the Company is further
spreading its debt profile across local and overseas sourcesof funds and creating natural hedges. It also enters interest
rate swaps to reduce the interest rate fluctuation risk.
To mitigate supply chain risks, the Company had
implemented various digital systems and processes toensure any disorder in the Global supply can be timely
addressed and jointly mitigated with our partners. In
addition, the Company also developed an ecosystemof suppliers, where the majority of our partners are now
manufacturing indigenously. The Company’s Supply Chain
strategy aims at ensuring optimum and timely supplies
through innovation and process simplification in order todevelop a sustainable supply chain network.
The Company adopts a pricing strategy that is based onprinciples of mark-to-market, profitability and affordability,
which ensures that the margins are protected at times ofinflation, and market shares at times of market contraction.

Material issues for Airtel
 Regulatory compliance54

Bharti Airtel Limited

Integrated Report and Annual Financial Statements 2022-23

55

Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

Risk and Mitigation Framework

Poor quality of networks and information technology including redundancies anddisaster recoveries (Operational)
Outlook from last year > Stable

Definition
The Company’s operations and assets are spread acrosswide geographies. Telecom networks are subject to risksof technical failures, partner failures, human errors, willfulacts or natural disasters. Equipment delays and failures,
spare shortages, energy or fuel shortages, software errors,
fiber cuts, lack of redundancy paths, weak disaster recovery
fallback, and partner staff absenteeism, among others, area few examples of how network failures happen. This risk
may have negative financial implications. The Company’s
IT systems are critical to run the customer-facing andmarket-facing operations, besides running internal systems.
In many geographies or states, the quality of last-mile
IT connectivity is sometimes erratic or unreliable, which
affects the delivery of services e.g. recharges, customer
queries, distributor servicing, customer activation andbilling, among others. In several developing countries, thequality of IT staff is not adequate, leading to instancesof failures of IT systems and/or delays in recoveries. The
systems landscape is ever-changing due to newer versions,upgrades and ‘patches’ for innovations, and price changes,
among others. Hence the dependence on IT staff for theturnaround of such projects is huge.

Mitigating actions
The Company has a state-of-the-art Network Operations
Centre for both India as well as Africa to monitor real-time
network activity and to take proactive and immediate action
to ensure maximum uptime of the network.
Network Planning is increasingly being done in-house, toensure that intellectual control on architecture is retained
within the Company. It continuously seeks to address issues(congestion, indoor coverage, call drops, modernisation
and upgrade of data speeds, among others) to ensure abetter quality of the network. Recent efforts also include
the transformation of microwave transmission, fiber
networks, secondary rings/links and submarine cable
networks. The Company consistently eliminates systemic
congestion in the network and removes causes of technicalfailures through a quality improvement program, as wellas embedding redundancies and carrying out internal
checks to ensure all preventive and corrective actions as
per process are in place to ensure Network availability andquality to end users.
Tighter SLAs are reinforced upon network partners for theirdelivery. The Company’s Network Team performance ismeasured based on network stability, customer experience

Capitals impacted

and competitor benchmarking. The Company follows aconservative insurance cover policy that provides a value
cover, equal to the replacement values of assets against
risks, such as fire, floods and other natural disasters.
Disaster management guidelines have been shared withall stakeholders to ensure all actions are in place covering
identification of risk, preparedness for the disaster,
resource allocation, emergency response & reporting, anddisaster recovery. The Network Recovery Plan (NRP) is
being followed by all circles as per the BCP guidelines.
The Company’s philosophy is to share infrastructure withother operators and enter into SLA-based outsourcing
arrangements. We have been proactively seeking sharing
relationships on towers, fiber, VSAT, data centers andother infrastructure. The disposal of towers in Africa to
independent and well-established tower companies andlong-term lease arrangements with them will ensure thehigh quality of assets and maintenance on the passive
infrastructure. The Company has put in place redundancyplans for power outages, fiber cuts, VSAT breakdowns, andso on, through appropriate backups such as generators,
and secondary links, among others. Similar approaches
are deployed for IT hardware and software capacities, andinternal IT architecture teams continuously reassess theeffectiveness of IT systems.
Operational processes such as alarm management,
preventive maintenance and acceptance testing are being
constantly automated with a vision to move towards zerotouch operations. The Company works with its partners
to enhance network availability and reduce failures. Sparemanagement and repair processes are streamlined toensure no spare shortages.
Continuous removal of a Single Point of Failure (SPOF) on
fiber routes and equipment level is being done. To improvetransport resiliency, BSC, core nodes interconnectivity andsignalling links are being shifted on the MPLS network.
In-house-developed workforce management tool now
supports field and NOC teams across LOBs to enhance
productivity and seamless flow of information to solve
customer-impacting issues proactively and reactively.
 irtel continues to work towards climate-proofing theAinfrastructure by building geographical redundancies
and resilience, multiple fiber paths for critical sites, andstrengthening tower infrastructure in cyclone and floodprone regions.

Fiercely competitive battleground (Operational)
Outlook from last year > Stable

Definition
The mobile market remains competitive and price sensitive.
Delivering a strong network experience at affordable
rates remains core to winning in the market. Rollout of
5G services started in the second half of the year. Whilethe eco-system is in the early stages of development, our
key competition has started to offer unlimited 5G Data as awelcome offer to the customers. The intense competition
to acquire customers is leading to large amounts ofmoney being spent on MNP acquisition programmes.
This is expected to intensify with an increasing focus on
winning a share of 5G phones.

Mitigating actions
Our ongoing efforts toward product simplification have
led to us finally becoming a Truly Unlimited Network.
We successfully shut down all per-minute charging tariff
products & our revised ladder now offers unlimited callingon all products for our customers.

Capitals impacted

Airtel has always been a staunch proponent of sustainable
and healthy business growth, while at the same timeensuring its customers get best-in-class products andservices. To aid this, we launched multiple new data
products – helping drive higher customer engagement
and ARPU.
We have also doubled down on bridging the rural coverage
gap compared to our peers and have kickstarted alarge-scale rural rollout programme. This allows us tooffer every customer the option to enjoy our best-in-classnetwork coverage.
On the 5G front, we were the first operators to launch lastyear. To ensure we gained a disproportionate share of 5G
customers, we have launched an unlimited 5G offer on the
Airtel Thanks app. With this, customers can now experience
ultrafast, reliable and secure 5G Plus services without
having to worry about data exhaustion.

Material issues for Airtel
 Corporate governance and business ethics

Increase in cost structures ahead of revenues thereby impacting liquidity(Operational/Strategic)
Outlook from last year > Stable

Definition
Across markets, cost structures have been increasing
both from volumes (new sites rollouts, capacity) and/or
rate increases (inflation, foreign exchange impacts, wage
hikes, energy, etc.). This puts pressure margins and cash
flows thereby leading to debt burden (leverage). Increased
investment in the network to ensure the quality of service,continued spending on distribution and maintaining
world-class customer service are expected to sustain.

Mitigating actions

optimisation through various programmes like tower
sharing and fiber sharing through IRU or co-build.
Digitisation and automation with significant programmes
on self-care, paper less acquisition, e-bill penetration,
online recharges, indoor to outdoor conversion
and digital customer interactions are continuously
monitored through our WoW initiatives.
The Company has progressively managed to keep
debt levels at acceptable levels.

The Company has institutionalised the War on Waste(WOW) programme, an enterprise-wide cost-reduction
program. This has been rolled out across all functions,business units and countries. All functions/business
units/countries are targeting cost reductions and cost
efficiencies. The Company continues to focus on capex

Material issues for Airtel
 Network quality, expansion and satisfaction

Capitals impacted

Material issues for Airtel
 Corporate governance and business ethics

56

Bharti Airtel Limited

Integrated Report and Annual Financial Statements 2022-23

57

Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

Risk and Mitigation Framework

Data Loss Prevention (Operational)

Inability to provide high quality network experience with exponential growth in data
demand (Strategic)

Outlook from last year > Stable

Definition
Personal data is any information relating to a customer,
whether it relates to their private, professional, or publiclife. In the online environment, where vast amounts ofpersonal data are shared and transferred around the globe
instantaneously, it is increasingly difficult for people tomaintain control of their personal information. This is wheredata protection comes in.
Data protection refers to the practices, safeguards,
and binding rules put in place to protect your personal
information and ensure that you remain in control of it. In
short, you should be able to decide whether or not you
want to share some information, who has access to it, for
how long, for what reason, and be able to modify some ofthis information, and more. Data protection must strikea balance between individual privacy rights, while stillallowing data to be used for business purposes, whilst
adhering to data privacy norms and regulations.
Efforts to update regulations regarding privacy andpersonal data protection are underway in several countries
and regions, most notably the European Union, which has
introduced the General Data Protection Regulation (GDPR)
package. Within India a data privacy bill has been proposedthat regulates how customer data can be used and how it
should be protected; Airtel has already initiated multiple
activities towards achieving compliance with this bill; this is
to ensure that, as and when the bill becomes a law, Airtel isfully complaint.

Mitigating actions
The customer base of Bharti Airtel Limited has been
expanding at a tremendous rate. We also collectand process a large amount of personal information
belonging to employees, temporary staff and third-party
personnel. This, coupled with the introduction of new
innovative value-added services, has led to an increasein the personal information handled by Airtel. We arecommitted to ensuring that the privacy of personal
information is maintained during its entire lifecycle,
through the implementation of stringent processes
and relevant technologies.

Capitals impacted

Bharti Airtel Information Privacy Policy (BIPP) is inalignment with the Information Technology (IT) Rules
2011 and best practices of the industry and GDPR. Airtel’s
privacy policy provides management direction and support
to ensure the privacy of personal information collected by
Airtel, in order to allow collection, processing, retention,dissemination and destruction of the personal informationin accordance with the appropriate laws, regulations andcontractual obligations.
BIPP is applicable to all employees of Airtel and all third
parties (including strategic partners) of Airtel who
have access to the personal information of customers,
employees and vendors. It is also applicable across all
business functions of Airtel and across all geographies ofAirtel in India including Airtel Centre, all circles and other
Airtel locations.
Data leakage protection (DLP) is a strategy for making surethat those in possession of sensitive information do not
advertently or inadvertently share that information outside
the virtual boundaries of the corporate network. The
term is also used to describe software products that helporganisations control what data end users can transfer.
The data leakage strategy at Airtel has been designed toprotect information at their most vulnerable points, i.e. at
the endpoint, at the web layer, and at the email layer.
All Airtel endpoints are equipped with specialised software.
This software helps monitor various channels for potential
data leakage. Should a potential violation be detected,
an alert is generated, and the incident is investigated.
Similar solutions are deployed on the email gateway
and web gateway, to monitor emails and internet-boundtraffic respectively. A centralised monitoring team reviews
the alerts and raises an incident for investigation andresulting action. All incidents are tracked to closure in atime-bound manner. Additionally, a monthly review of allincidents and their closure is conducted, to enable theorganisation to regularly refine the existing policies. Airtel
continuously evaluates the data protection landscapefor new and innovative technologies to further enhance
its data security posture. This risk may impose negative
financial implications for Airtel.

Material issues for Airtel
 Information security
 Customer data privacy

Outlook from last year > Stable

the 5G launch and 4G Data Growth. Various tools likethe addition of TDD, L2100, Twin Beams, m-MIMO, andSpectrum addition were used for enhancing the capacity.
Airtel is continuing to step up backhaul readiness andcapacities on sites with increased fiber-isation and capacity
expansion of transmission backbone and internet to caterto additional data load.

Definition
In order to keep pace with rising data demand of customers
and to ensure competitive parity traffic, telecom companies
will be required to invest heavily in building data capacities
and broadband coverage expansion. Operators are
adopting new strategies to provide unlimited voice andsignificant data benefits to customers. Additionally,
today’s customers are looking at seamless mobileinternet experience and technology agnostic.

Mitigating actions
Airtel has launched 5G in NSA mode in 3,500 MHz in 28,000
sites across 700+ towns across the country within 6 monthsof allocation of spectrum. This is one of the fastest 5G
rollouts in the world. Airtel also has sub-Ghz spectrum panIndia to enable deeper indoor penetration and cover a larger
population footprint than ever before. Spectrum addition in
1,800, 2,100 and 2,300 bands will help mitigate the capacity
needs due to ever-increasing data consumption, resulting
in a much better-improved experience. Airtel added an
additional 35,500 new 4G sites to expand its footprint andstrengthen coverage in rural and urban areas. This is a step
towards providing better experience to our customers.
Airtel added capacity in the network for fulfilling customer
needs due to increased data consumption expected with

Capitals impacted

Airtel has been investing in digitisation of its operations
using automation and machine learning practices. This would
help us in improved customer experience through faster
resolution of the complaints and queries along with bringing
in efficiency in the network. Airtel has developed a state-ofart in-house tool ‘Airtel Self Optimisation Network (A-SON)to predict degradation and proactively makes changes in the
network to enhance customer experience greatly. Airtel is theproud recipient of ‘Innovative Mobile Service and Application
Award’ at the prestigious GTI Awards 2023 Global TD-LTE
Initiative (GTI) for our in-house platform, Vision - a unified
customer analytics and self-healing platform. This award
reinforces Airtel’s exceptional contribution towards creating
innovative and impactful solutions and ensuring our teams
are able to deliver seamless experiences towards ourconsumers. Airtel has been accelerating the broadband
rollout (Fiber to Home) in multiple cities across India throughthe LCO model bolstered with our own rollouts.

Material issues for Airtel
 Innovation in product and services
 Enhancing customer experience and satisfaction

Gaps in internal controls (financial and non-financial) (Operational)
Outlook from last year > Stable

Definition
The Company serves its customers with extensive load
due to voice networks and huge data carried on wirelessnetworks. Gaps in internal controls and/or processcompliances not only lead to wastages, fraud and losses,
but can also adversely impact the Airtel brand. Also, anygaps in compliance with laws, regulations or contractual
obligations may lead to penal consequences, work
disruption or reputational damage.

Mitigating actions
The Company’s business philosophy is to ensurecompliance with all accounting, legal and regulatory
requirements proactively. Compliance is monitored
meticulously at all stages of operation. Substantial
investments in IT systems and automated workflow
processes help minimise human errors.

Capitals impacted

Besides internal audits, the Company also has a process of
self-validation of several checklists and compliances as well
as a ‘maker-checker’ division of duties to identify and rectify
deviations early enough. The Company has implemented a‘Compliance Tool’ that tracks and provides a comprehensive
list of all the external compliances that the Company needs
to abide by, function-wise. The Compliance Tool’s ownershiplies with the head of the respective function with oversightby the Legal team to ensure compliance.
The Company has Internal Financial Controls and the
Corporate Audit Group has tested such controls. The
Audit Group has asserted that the Company has in place
adequate tools, procedures and policies, ensuring orderlyand efficient conduct of its business, including adherence
to the Company’s policies, safeguarding of its assets,
prevention and detection of frauds and errors, accuracy
and completeness of accounting records, and timely
preparation of reliable financial information.

Material issues for Airtel
 Corporate governance and business ethics

58

Bharti Airtel Limited

Integrated Report and Annual Financial Statements 2022-23

59

Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

Risk and Mitigation Framework

Lack of Digitisation and Innovations (Strategic)
Definition
Digitisation is reshaping the telecom sector and will
be a key driver for innovation within the Company ascompanies compete in a digital ecosystem away from apure connectivity-based environment. Further evolving
technologies result in changes in customer value
propositions. Digital content and apps have now become
the favourites for mobile customers. Digital Mobile
money technologies, innovative mobile apps, Cloud,
M2M, SaaS and other technology-based SAS products
are also evolving. Such rapid technological evolution may
impact the functionality of existing assets and accelerate
obsolescence. Keeping pace with changing customer
expectations is a big agenda for the telecom sector. Lackof digitisation of internal business processes may render
the Company unable in turn to respond to customer needs.
Rapidly evolving technologies like robotics, blockchain,
and app automation for internal processes in Customer,
Finance, Supply Chain and HR can render the Company
slow in decision-making and reacting to new and emerging
customer, vendor, and partner expectations.

Mitigating actions
Digitisation for our customers continues to be theprime area of focus, with several digital initiatives being
undertaken. ‘Digital strategy’ for Airtel Business isembedded within ‘business strategy’ and powered by anagile operating model driving a culture of innovation andagility to respond to changes in the business environment.
To achieve purposeful and impact-driven digital

Flood-prone areas design criteriatransformation, we have developed the organisational
capability to attract, retain and develop talent at par withdigital natives to drive digital initiatives with velocity. The
digital strategy of Airtel Business has three key pillars: Launch of new products with digital-first approach Simplify acquisition and experience of customers
with Omni channel capabilities
 Make the core of business digital to improve theexperience and bring efficiency

To make the customer lifecycle completely digital, Airtel
Business is developing self-service and omnichannel
capabilities across the value chain. The new product launch
is powered by a digital-first approach to ensure consistentexperience on all touchpoints. We are driving simplificationof ‘lead to order’ and ‘order to cash’ cycles to boost
conversions and improve service levels by empowering
customers with the following initiatives:Digital discovery and buy
Digital-first onboarding and visibility
Digital payments
Digital self-serve platform - 'Airtel Thanks for Business' New lean tower design with EPF at 3m/5m considering
heavy flooding of areas near riverbank or dam
discharge stream.
 Equipment to be preferably at higher altitude areas to avoid
inundation of water.
 The plinth should be kept high in coastal and floodprone areas.
 Plinth height (1-1.5m), To Co partners need to build thesite with a plinth depending upon the area and historical
data and Data published in the CWC report on the intensityof floods.
 Passive infra should be moved from the ground to raised
platform in high flood-prone areas.
 Pathway access to passive infra in low-lying areas.
 Active infra should be moved to height more than flood levelin flood-prone areas.

Cyclone and wind-prone areas design criteria
 Towers in cyclone-prone areas shall be designed
adequately to survive the high wind speed to with peakwind speed.
 An adequate factor of safety needs to be consideredwhile designing Telecom infrastructure. Zoning for Wind
Load IS 875 Part-III indicates the wind speeds and windload intensities in various parts of the country based on
measured and collected data on wind speeds.
 Periodical checkup and tightening of mechanical parts.

Capitals impacted
Capitals impacted

 COW removal, MW removal and unsafe towers fromcoastal belts and permanent structures to be built.

Mitigating actions

Outlook from last year > Emerging

Material issues for Airtel
 Digital inclusion and enhanced access to ICT RRU’s to be installed behind the Base station antenna to
reduce wind exposure area.
 Mw of >1.2m dia. should be avoided.
 Mw should be installed with a supporting rod to
avoid misalignment.
 Clamp should be crocodile clamp rather than U clamp
for improved grip.
 Tower loading in terms of antennas and other equipment
loads should be as per the design document.
 Preventive maintenance and health checkups atregular intervals
 For rooftop tower (RTT), the base should be adequately
designed to transfer the load of the tower on the RCC
grid and further where steel beams are used for thetransfer of load, adequate lateral strengthening shallbe designed especially for the web region. The building
taken on lease shall have proper structural safety andsame shall be certified by the structural engineer of
the Company.
 To ensure the safety of towers during such disasters
the towers should be designed by incorporating theprovisions of latest B.I.S. codes of practice governing
the design.
 A structural safety certificate should be obtained from aqualified structural engineer.

Material issues for Airtel
 Climate change and carbon emissions of telecom infrastructure Sustainable supply chain management

Climate Change (Strategic)
Outlook from last year > Emerging

Definition
To counter the changing climatic conditions andre-occurrence of extreme weather events, Airtel’s new
infrastructure should be designed in such a way thatcan withstand changing climate conditions. For existing
infrastructure, some retrofitting would be required basis
field surveys by experts to make it climate resilient. Suchinfrastructure has the potential to improve the reliability ofservice provision, increase asset life and protect revenue
loss and thus best customer experience.
In recent times, we have been experiencing a series ofnatural disasters across India, leading to severe impacts
not only on livelihoods but also on engineering structures
which include Telecommunication Infrastructure.

60

Bharti Airtel Limited

To mitigate the impact of such plights, especially floods,
heavy rainwater logging and cyclones, it is recommended
for the reengineering of infrastructure, particularly telecom
infrastructure in these areas. Telecommunication plays apivotal role at each stage of disaster management, fromearly warning and mitigation to response, and then to
post-disaster recovery and rehabilitation.

Impact
The above climate-related risks may have negative financial
implications. It may translate to the following impacts
for Airtel: Infrastructure degradation, affecting service
availability and quality, Increase business costs, affecting
maintenance and repair operations, contributing to thedegradation of telecom infrastructure and posing healthand safety risks to personnel.

Integrated Report and Annual Financial Statements 2022-23

61

Corporate Overview

Corporate Social
Responsibility
Making a positive
impact on societyManagement Discussion & Analysis

Statutory Reports

Financial Statements

Education
At Bharti, we believe that access to quality education is
the hallmark of a great nation, and it is imperative thatevery child gets to learn and contribute to the nation’s
growth. We strive to create a significant impact on society
through facilitating this.

Satya Bharti School Program
Satya Bharti School Program, launched in 2006, hasestablished 173 schools in rural areas across five Indianstates. We provide free quality education to children,emphasising holistic development through academics,
co-curricular activities, and essential resources. Our
schools offer vibrant learning spaces, innovative pedagogy,
child-friendly infrastructure, and community involvement
for a well-rounded educational experience.

173

Schools established

38,965Students benefitted

50.3%

Share of girl students

Focus areas of this programmeChild-friendly and Technologyenabled Infrastructure

SDGs Impacted

Impact since inception~3 Mn

Students impacted

27,000+Schools impacted

2.8 Mn+Community members
impacted

Impact during the year

2,000,000+
Students reached

88,000+Teachers reached62

Bharti Airtel Limited

16,000+Schools reachedBharti Foundation, the philanthropic armof Bharti Enterprises, was established in2000 to bring forth a transformationalchange in the field of education andhave a positive impact on the lives ofchildren from rural parts of India. Since
its inception, the Foundation has beenworking closely with state governments,
policymakers, NGOs, corporates andcommunities, and has earned respect
by providing equitable access to quality
education for underprivileged children in
India with a special focus on the girl child.
Bharti Foundation is a key partner
for Airtel’s CSR initiatives, and the
updates and highlights of Foundation’s
programmes are shared in the report.

Safe, clean and green school
environment, complemented with techenablement and digital content.

Teacher Development
Capacity building of teachers throughskill building workshops, trainings andteacher mentoring programmes.

Holistic Development Approach

Community Involvement

A series of co-curricular activities inschools such as bal sabhas, house
activities, art and craft activities,
sports day, language week, student
excursions, and participation in external
events and competitions, besides
regular academics.

Increasing community engagement ofschools through regular home visitsby teachers, structured parent-teacher
meetings and community development
campaigns. Schools also conduct
community volunteering week for thechildren to learn local traditions, art andcraft, and promote community initiatives.

Ed-Tech enablement partnerships
Technology has transformed education, with more schools
embracing digital integration. At Bharti Foundation, we
recognised the need to bring technology and high-quality
digital content to rural students. We collaborate withtechnology partners to provide digital infrastructure, smartTVs, computer labs, and online academic content. Our
digital classrooms, led by teachers using smartphones
or tablets, offer personalised learning experiences. Withweb cameras, students can participate in virtual classes,
webinars, and online workshops.

We empower students to use technology, focus on teacher
training, creating tech leaders, and engaging parents.
Additionally, we provide advanced technology and robotics
labs to enhance STEM skills. Our efforts to provide equal
opportunities and a quality education through technology
integration have gained momentum.

Integrated Report and Annual Financial Statements 2022-23

63

Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

Corporate Social Responsibility

Case Studies

Enabling virtual classes in
Jodhpur
In the remote villages of Jodhpur, Satya Bharti Schools
faced a shortage of teachers with specialised skills,
particularly in subjects like English. To address thisgap and ensure that students in Jodhpur receive a
quality education, we implemented virtual classes.
Teachers from our Senior Secondary (CBSE)
Schools in Punjab dedicated extra time and effort
to connect with the classrooms in these distantvillage schools and teach the students. This initiative
proved to be highly beneficial for the students, as
Bharti Foundation bridged the educational gap andprovided much-needed support in Jodhpur.

Satya Bharti School alumni get jobs in Airtel

Community engagement

Many students who began their academic journey at Satya
Bharti Schools have now transitioned into their professional
lives. This year was a remarkable one as a significant
number of our alumni became eligible to apply for job
opportunities at Airtel. We are proud to share that manyof them have successfully cleared multiple stages of theinterview process and have embarked on their professional
journey at Airtel.

The local communities around Satya Bharti schools
are proactively involved in events, co-scholastic
activities, volunteering work as well as social campaigns
conceptualised by students on issues such as cleanliness,the importance of girl child and her education, the fightagainst drug abuse, etc. An education model embedded in
the community ensures an active engagement of parents
in their children’s education, especially for the girls.

Besides this, several alumni from Satya Bharti Schools havechosen to return as teachers, driven by a strong desire toempower children in their community, particularly girls.
These dedicated individuals aim to inspire and support
the education of numerous children, helping them pursue
their dreams.

Engagement with communities has helped the Foundationencourage parents to have an involvement with children’s
learning process. A special initiative like ‘Community
Volunteering Week’ invites the community to teachstudents local art, craft, folklore, local vocations, etc. The
Sarpanch and the community members are also invitedto all the school events fostering a sense of ownershiptowards the school. The close relationship developed withthe community over the years is evident in their active
participation in school events.

Making a mark in World Robotics
ChampionshipOur students from Satya Bharti Schools had theprivilege to take part in the prestigious World Robotics
Championship, Technoxian 6.0. This national event,organised in Delhi, in affiliation with the Ministry of
Science and Technology (Government of India) andthe All India Council for Robotics and Automation,
witnessed the participation of students from over 300
renowned schools and robotics clubs from India andother countries.
Participating in such esteemed events not only provides
our students with valuable exposure but also nurtures
their long-term confidence. These initiatives align with
the National Education Policy (NEP), which encourages
students to be prepared for the future and equips themwith the necessary life skills to compete on a global level.

Satya Bharti Quality Support Program

Case Study

Our alumni pays it forward
Anita, the oldest of four siblings, started herschooling at the age of seven, gaining admission
to second grade at Satya Bharti School,
Gumansinghpura, Jodhpur, Rajasthan. The school
provided her with a supportive and nurturing
environment, where patient and understanding
teachers helped her catch up with her studies. They
also guided and motivated her parents to continue
sending Anita to school. With their assistance, Anita
made progress in her education and eventually
graduated from a government institute.
The impact of her teachers at Satya Bharti School
remains etched in Anita's memory. When theopportunity to teach at the same school arose,
she embraced it without hesitation. As a teacher,
Anita takes great pride in upholding the values ofSatya Bharti School and ensuring that her students
receive the support and encouragement they needto thrive.

64

Bharti Airtel Limited

Taking a step further, our Foundation introduced the Satya
Bharti Quality Support Program in 2013. The programmeaims to enrich the overall schooling experience ofteachers and students in government schools. Through astandardised and adaptable approach, we strive to create
vibrant and joyful learning centres that positively impact
students, teachers, parents, and administrators.
Under the initiative, we actively share the successful
practices of Satya Bharti Schools with state education
departments and school leadership, encouraging theirimplementation. Collaborating with respective state
governments, we have rolled out the programme in 11
States/UTs. Following a whole-school approach, it focuseson co-scholastic activities, implementing a comprehensive
framework over a period of three to five years. Our
programme is structured around four pillars: student
empowerment, parents and community involvement,
school leadership and teachers’ engagement, andschool environment, ensuring holistic development andtransformation within schools.

808

Government schools
impacted

50.9%

Share of girl students
impacted

300,000+
Students impacted

Integrated Report and Annual Financial Statements 2022-23

65

Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

Corporate Social Responsibility

Bharti Centre For Communication, Indian
Institute of Technology, Bombay

Manmohan Singh Bursary Funds
Scholarships to 16 meritorious students have been offeredto facilitate their education at the University of Cambridge.

Specialising in the field of telecommunication and related
systems, the Center welcomed 18 research students
and hosted three distinguished speakers from aroundthe globe. Additionally, 15 papers have been published inrenowned international conferences and journals during
the reporting year.

Large Scale Initiatives (LSI) Program

Plaksha University

Building on the success of the Satya Bharti Quality
Support Program, our Foundation expanded its support toeducation officers at the district and state levels throughthe Large Scale Initiatives (LSI) Program. This programmeaims to scale up effective initiatives in key areas, suchas empowering school leaders, fostering life skills in
students, enhancing the home environment throughmentoring, improving classroom teaching, enhancing
school infrastructure, promoting parent and community
involvement, and supporting initiatives aligned with the
National Education Policy 2020.

Construction of ‘Bharti Academic Block’ has been
completed and the first batch was welcomed in 2021.
Thirty-seven students were granted the prestigious
Bharti scholarship to empower them and help them
become trailblazers of tomorrow. The 37 Bharti Scholars
from Plaksha University visited two Satya Bharti Adarsh
Senior Secondary Schools in Punjab. During the visit,
there was an interactive session between the studentsof Plaksha University and those of Satya Bharti School,from classes XI and XII.

1.7 Mn+Students engaged

75,000+Teachers engaged

Higher education
Bharti Foundation supports higher education throughcollaborations with various prestigious institutes.
This includes partnering with Plaksha University foran academic block, IIT Delhi for the Bharti School of
Telecommunication, Technology and Management, ISB
Mohali for the Bharti Institute of Public Policy (BIPP), and IIT
Bombay for knowledge development in telecommunication.
Under the Manmohan Singh Bursary Fund, we also provide
scholarships to meritorious students keen on studying at
the University of Cambridge.

66

Bharti Airtel Limited

The Bharti School of Telecommunications
Technology & Management
The Bharti School of Telecommunications Technology
and Management was established with a vision tonurture telecom leaders through exceptional education
and research. Over the years, the school has becomea prominent institution, providing specialised courses
in telecommunications. We are proud to have awarded‘Bharti’ scholarships to 168 deserving students since 2002,
including 11 students in the academic year 2022-23.

Bharti Institute of Public Policy
The Institute is an integral part of ISB’s Mohali campus.
Through its partnership with the Fletcher School of Law
and Diplomacy at Tufts University, it offers specialised
programmes in public policy, including the renowned
Advanced Management Program. In addition to this, BIPP
provides opportunities for specialisation in public policy
through ISB's esteemed Post-Graduate Program.

Anant National University
We are proud to support the establishment of the ‘Schoolof Future Technologies’ at the institution, located in
Ahmedabad. This collaboration reflects our commitment
to advancing innovation and technological developmentin education.

ACT–A Caring Touch

Volunteering

At Bharti, there is a strong commitment to Corporate Social
Responsibility (CSR) and actively encourage our employees
to make a difference through our employee philanthropy
programme, ACT–A Caring Touch. ACT enables employees
to contribute their time, skills, money, or knowledge to
Bharti Foundation and other recognised charities like
National Association for Blind, CRY, HelpAge India, SOS
Village, Save Life Foundation, Alliances for People andAnimals, and The Banyan. Over the past 14 years, ACT
has grown significantly, reflecting the organisation’s corevalues and the dedication of its employees to supportsocial causes.

Employee volunteering is a crucial aspect of the ACT
Program. We always encourage our employees to engage
with students on various occasions throughout the year.
During the year, our volunteers in different states createda conducive learning environment for children andteachers. Through virtual volunteering, our volunteers
dedicated their time, skills, and knowledge to makea positive impact on over 9,000 Satya Bharti School
children. These efforts enhanced a range of skills suchas self-confidence, communication, listening, digital
literacy, adaptability, creativity, writing, imagination,social interaction, and public speaking.
During these sessions, our volunteers shared informative
presentations, highlighting the significance of eachcelebratory day. They also organised quiz competitions
to actively involve students. The volunteering sessions
fostered interactive discussions, allowing students toclarify their doubts and learn effectively.

Integrated Report and Annual Financial Statements 2022-23

67

Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

Corporate Social Responsibility

Creating an impact on
the communities in Africa

Case Study

Accelerating distribution anddigital penetration in Zambia

At Airtel Africa, there is a strong
collective commitment to supporting
projects and initiatives that bringtangible improvements to the lives ofthe most vulnerable and underserved
individuals on the continent.

In Zambia, the MyAirtel app has been instrumental inboosting distribution and driving digital penetration.
This year, active users of the app increased by
an impressive 186% in the market. Airtel Zambia
conducted research to understand customer usage
patterns and subsequently launched a targetedmarketing campaign, focusing on essential features
like transaction checks, accurate money transfers,
and bill payments. As a result, the MyAirtel app
was downloaded 1.3 million times in Zambia, andthe number of active users nearly tripled to cross
465,000.

Giving back to the communities in Africa has been
an integral part of our values and operations. We
collaborate with governments, Non-Governmental
Organisations (NGOs), and directly engage with individuals
and communities to address socio-economic andenvironmental challenges faced by people in the regions
where we operate. Our dedication to making a positive
impact drives us to actively participate in uplifting the wellbeing of those around us.

Empowering women economically remains a priority for
us. We actively promote financial products and services
to all customers, regardless of gender. Encouraging
women to join our network and utilise our services,
providing them with independence and empowerment,
is a significant part of our approach. Furthermore,
we focus on promoting household savings throughinnovative deposit products. One example is ourpartnership with Letshego Bank in Tanzania for a digitalsavings campaign, offering mobile money customers achance to win prizes such as motorcycles, flat-screenTVs, and cash, encouraging digital savings.

31.5 Mn

Airtel Money customer
base

$252

Transaction value per
customer per month

22.5%

Mobile money customer
base penetration

Case Study

Supporting women
entrepreneurs in Kenya

Digital inclusion
Driving digital inclusion hinges on the crucial aspectsof making our products and services both available
and affordable. As we expand our network, we create
opportunities for individuals to access telephony andinternet services, often for the first time, thus contributing
to the advancement of digital inclusion throughout
Africa. However, we recognise that offering opportunities
alone is insufficient; consumers also require access to
products and services that enable them to fully utilise
these opportunities.
We are proud to note a significant enhancement in datacapacity as a result of the expansion of our network
coverage and data availability. By continuously rolling out
new sites and upgrading existing ones to 4G, we havesubstantially increased the number of people in Africa who
can now access the 4G network, particularly in rural areas.
As of March 31, 2023, our rural population coverage hasreached 70%.

68

Bharti Airtel Limited

To further encourage customer uptake, we have introduced
data bundle offers tailored to meet the specific needs ofcustomers in each market. Moreover, existing users canbenefit from additional add-on offers accessible throughthe MyAirtel app. Thanks to these efforts, the adoptionof our data bundles has grown by 3.5%, reaching an
impressive 94.7%.

70%

Rural population covered by
our networks

69%

Sites with exclusive outlets

0.5%Home broadband
penetration

Financial inclusion
Financial inclusion is a central pillar of our sustainability
strategy, aimed at alleviating poverty. Our concerted
efforts to enhance financial inclusion have resulted
in increased digital payment usage. The value oftransactions per Airtel Money subscriber rose by 16.4%
during the year due to the launch of new products
and expanded presence in our markets. To support
customer access, we have increased our 'points ofpresence' by 44%, with a 12% rise in Airtel Money
branches and an 11% increase in kiosks. Investment
in technology infrastructure has strengthened ourmerchant business, extending our reach for customers
to access banking, savings, loans, and insurance
products at merchant sites. Additionally, we havewidened international money transfer corridors,
enabling faster and more convenient transactions toand from various destinations.

Lucie Saulinah Omondi is the founder of
LiveGreatAgriLife, a peanut butter factory anddrinking water purification shop in Nairobi,
Kenya. Operating in Kibera, Nairobi's largest
informal settlement, their mission is to provide
the community with delicious, nutritious peanutbutter products and safe drinking water. They use
Airtel Money services to manage their business
transactions. Their peanut butter is made fromhigh-quality, locally sourced peanuts and is available
in various sizes and flavours. They ensure that thedrinking water is safe and healthy by using state-ofthe-art filtration systems.
Lucie's journey has been one of learning andovercoming challenges, resulting in steady growth
and a dedicated team. Currently, they are focusing
on online sales, and Airtel Money's product has
been instrumental in collecting payments for theirproduce and services. We committed to being
closer to customers, and in Kenya, they have
expanded Airtel Money branches by 50.3%, kiosks
by 66.5%, and the number of agents by 189.7% in
the FY 2022-23 period, providing valuable support tocustomers like Lucie Saulinah Omondi.

Integrated Report and Annual Financial Statements 2022-23

69

Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

Corporate Social Responsibility

Supporting education
Education holds the key to transforming the lives andfutures of young people throughout Africa. Our mission
is to positively impact over one million children on thecontinent by 2027 through education. Increasing access to
education across our 14 markets is of utmost importanceto us. By connecting schools, libraries, and youth centres tothe internet, we enable millions of children to access online
learning platforms. Our partnership with UNICEF allows
us to provide practical and financial support, accelerating
our commitment to creating better futures for the youthof Africa.

Taking strides with our partnership with UNICEF
Several countries have already launched their national
We are committed to advancing
programmes with UNICEF, including Kenya, Nigeria,
our partnership with UNICEF by
Madagascar, Uganda, Rwanda, and the Republic of theCongo. By Q1 FY 2022-23, we anticipate the remaining
fostering collaboration between our
seven countries to launch their programmes. The impact
13 participating OpCos* and theiris already evident, with Nigeria witnessing the connection
respective national UNICEF teams.
of 20 schools to the internet and the distribution of 15,000

In February 2023, we held a significant joint convention
in Nairobi, bringing together teams from Airtel Africa and
UNICEF to exchange ideas and address challenges faced
in implementing initiatives. We also set out the rollout
and advocacy plans for the partnership's second year atnational and regional levels.

250,000+
School children
provide access toonline education

7

Learning platforms
out of 12 zero-rated inthree OpCos

Case Study

Airtel Nigeria commissions
the largest primary school in
Gombe State

Accelerating the ‘Adopt aschool’ programme in Kenya

Airtel Nigeria marked a significant milestone
by commissioning its seventh adopted school,
Government Day Primary, in Pantami, Gombe
State in March, 2023. The Emir of Gombe andother notable guests graced the inauguration
ceremony. The project involved renovating
12 blocks of 37 classrooms and 17 washroom
facilities, transforming them into modern amenities
for both pupils and teachers.

Case Study

Our focus is on connecting schools to the internet
and providing free access to government-approved
education resources and learning platforms. Customised
implementation plans are vital for success, considering
the unique conditions in each market.

Case Study

tablets and 600 routers to primary and secondary schools
through the Federal Ministry of Education. In Kenya,
30 schools are now connected to the internet, and two
government-approved learning platforms, Elimika forteachers and Education Cloud for children, are accessible
at no cost to users.

Airtel Nigeria takes pride in being the first toundertake such an intervention in the school andthe entire state. Government Day Primary School is
the largest primary school in the state, catering to
7,119 pupils and 135 teachers. Through the 'Adopt
a School' programme, Airtel Nigeria commits toadopting and rehabilitating schools in rural areas
for at least four years. This initiative aligns with ourdedication to enhancing the standard of educationin Nigeria, and since its inception, we have remained
steadfast in the development of these schools.

In November 2022, Airtel Kenya collaborated with
the Kenya Directorate of Children Services (DCS)
and the United Nations Office on Drugs and Crime(UNODC) to launch an initiative aimed at providing
fair access to education for vulnerable adolescents
who have transitioned from rehabilitation schools
and need support in continuing their secondary
education and reintegrating into society.
Through the 'Adopt a School' partnership, Airtel
Kenya is supporting two high schools in Eldoret,
Kenya, where 21 adolescents will benefit from theprogramme. Airtel Kenya will cover their school
fees and other education-related expenses forthree years, in addition to providing connectivity
support for the IT hub in one of the schools. Thisinitiative reflects our commitment to ensuring thateveryone, including the most vulnerable, has equal
opportunities for education.

Best Company in
Education Intervention’Award 2022
In December 2022, Airtel Nigeria was honoured withthe prestigious ‘Best Company in Education’ prizeat the SERAs AFRICA awards ceremony. We are
deeply grateful for this recognition and reaffirm ourunwavering commitment to promoting access toquality education throughout Nigeria.

$2.4 Mn

Donation made to
UNICEF over thelast two years*OpCos: Operating Companies, referring to the Airtel
subsidiaries in different African countries.

70

Bharti Airtel Limited

Integrated Report and Annual Financial Statements 2022-23

71

Corporate Overview

Financial
CapitalManagement Discussion & Analysis

Statutory Reports

Financial Statements

Highlights for FY 2022-23

D847,201 Mn

19.7%

52.1%

D(896) Mn

3.2x

D4,320 Bn

Revenue growth Y-o-Y

Revenue

EBITDA margin

Net debt to EBITDA

Profit after tax

Market capitalisation(as on March 31, 2023)

Dividend

D4

D1

Per fully paid-up equity share

Per partly paid-up equity share(Subject to the approval of shareholders at the ensuing AGM)

 Innovation of products and services
 Digital inclusion and enhanced access to ICT Green ICT solutions

Relationship with other capital
Manufactured
Intellectual
Natural72

Bharti Airtel Limited

The investments directed towards enhancing our network
and infrastructure are primarily oriented towards theobjective of bestowing unparalleled services upon ourvalued customers. The creation of value for stakeholders
and the enhancement of customer experience
stand as two cardinal focal points governing ourbusiness endeavours.

We have been witnessing a phenomenal surge in ourmarket capitalisation in recent years. Over the courseof the past 10 years, our market capitalisation has
experienced a staggering growth rate of ~290%, fromC1,108 billion on March 31, 2013 to an astounding
C4,320 billion as of March 31, 2023. This momentous
upswing can be attributed to a confluence of smart
strategic business decisions, unwavering stakeholder
confidence in our business model, remarkabletechnological advancements and a robust customer
base. As we continue to demonstrate our resilienceand ability to capture new opportunities in thetelecommunications industry, reinforcing our position
as a key player in the global market, we will stay on
track to generate superior shareholder returns.

(D Bn)

Market capitalisation

4,320

 Network quality, expansion and transformation

Generating value forshareholders

1,595

Material Topics included

At Airtel, we prioritise driving
sustainability and growth acrossour business. We are dedicated to
strategically optimising operational
expenditures, ensuring prudent
capital allocation and fosteringa resilient operating cash flow.
We duly acknowledge thesignificance of Financial Capital
as a pivotal cornerstone in ourbusiness framework.

1,108

SDGs impacted

FY 2012-13

FY 2017-18

FY 2022-23

Integrated Report and Annual Financial Statements 2022-23

73

Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

Financial Capital

Airtel’s three-line model for driving value creation60

1,100,000

48.3
960,000
820,000

44.8

41.6
37.8

32.3

36.3

32.5

34.1
707,950

496,060
FY 2018-19

12543,171
FY 2019-20

FY 2020-21

Total Revenue on Standalone Basis (D Mn)

36
24

643,259

540,000

48

847,201

680,000

400,000

45.3

41.8

FY 2021-22

Opex Productivity (%)

FY 2022-23

0Capex Productivity (%)

Note: All the financial figures for FY 2021-22, as stated above, are re-casted to include the impact of the merger of Telesonic Networks
Limited and Nettle Infrastructure Investments Limited with Bharti Airtel Limited.

Robust financial performance
driven by customer growth andpricing interventions
During the year, our Mobile Services business achieved
significant growth in both customer base and revenue
through unwavering efforts to retain and attract valuable
customers, adopting a premium-focused approach totarget high-value customers and implementing strategic
pricing interventions. Additionally, our Homes businesssustained impressive double-digit growth, supported by
the local cable operator partnership model. Furthermore,
the demand for seamless data connectivity and emerging
business needs beyond core connectivity solutions in
the B2B segment continued to drive strong growth in
the current financial year. We ended the year with thehighest-ever market shares across our businesses.
Double-digit growth in each of the above segments
translated to the highest-ever revenue for the Company
at D847,201 Mn, a 19.7% leap from D707,950 Mn last year.
Our ‘War on Waste' (WoW) programme continues to deliver
excellent results as the India Network Opex increased byonly 7.5% Y-o-Y, thereby achieving significant operationaland financial efficiencies. EBITDA margins improved from
49.7% in FY 2021-22 to 52.1% in the current year.

Significant capex investments
to ensure an advanced andsustainable network
This year, we achieved the highest-ever site rollout,
expanding into rural areas and delivering an exceptionalcustomer experience nationwide. We were the first
operator in India to launch 5G services, rapidly deploying
5G sites and are now live in multiple towns with our‘5G Plus’ offering. This was achieved by acquiring asignificant amount of spectrum. To showcase 5G's
capabilities, we established experience centres in ourstores. We remain committed to invest in advanced
technologies to enhance our services and strengthen
our network infrastructure.

Bharti Airtel Limited

We remain focused on generating sustainable and strong
cash flows, while delivering excellent operational andfinancial performance. During the year, we participated in a
spectrum auction and acquired spectrum across multiple
bands, amounting to over D400 billion. To make an upfront
payment to the Government, we utilised a combinationof business cash generation, proceeds from Google's
investment and lower-cost debt, totalling over D83 billion.
This upfront payment covers four years of spectrum
dues. We believe that this upfront payment, along with amoratorium on spectrum dues and AGR-related payments
for four years, will enhance our future cash flows and allow
us to allocate resources to expand network coverage androll out 5G.
Our focus remains on creating long-term value for our
stakeholders by providing superior digital services,
reducing debt, optimising our cost of capital, prudent
capital allocation and improving operating cash flows toparticipate in the development of a Digital India.

74

Building a stronger balance sheet

Read more in ‘Manufactured Capital’ on Page 78.

Integrated Report and Annual Financial Statements 2022-23

75

Corporate Overview

Management Discussion & Analysis

Harnessing
the Power of Digital
Leveraging our robust platform-basedarchitecture, cutting-edge capabilities,
and customer-centric approach, we arebuilding a seamless and interconnecteddigital ecosystem. We are developing four
key platforms – Buy, Pay, Bill, Serve – eachwill play a vital role in our digital flywheel,
and inspire individuals and businesses toembrace its endless possibilities. This will
enable search to refer seamlessly and weare already seeing success.

The Digital Infrastructure layer is ourdata platform, which ingests 800
plus data streams and processes
50 million per second data events. All of
this augments our data pool and allow us
to create new data enabled businesses
like AdTech and Financial services. We
do this while maintaining the privacy of
our customers.

Today, an Airtel customer may buy theirmobility service from us, choose to add
broadband and DTH, enjoy video andmusic on our Wynk app and pay for these
services using our payment platform.
Furthermore, they can apply for credit
cards and loans from our marketplace.
Airtel Finance is the newest addition in our
portfolio and is delivering strong results
within a short span of time.

Financial Statements

The platform approach is bringing
the right velocity and quality with
an autonomous way of working. It is
helping us dovetail better with thebusiness and product teams to achieve
faster go-to-market, creating loyal
customers, bridging the gap between
strategy and execution, and achieving
critical business objectives.

We are changing the way people connect, communicate,
and transact. Fuelled by a commitment to innovate andcustomer-centricity, Airtel is harnessing the power of platforms,
ushering in a new era of digital products and services.
Our business is defined within thethree-layered digital framework–Digital
Infrastructure, Digital Experience, andDigital Services and Products. Airtel iscreating a robust digital infrastructure
highway to further strengthen service
offerings and foster a culture of innovation,
fortifying its position as a digital pioneer,and empowering individuals andbusinesses alike with secure and reliable
digital solutions.

Statutory Reports

Digital offerings portfolio including
Airtel Wynk, Airtel Thanks, and Xstream
has seen monthly active users growing
4x over the last four years, crossing the
200 million mark.

Key Highlights for FY 2022-23

200 Mn+Cumulative MAUs growing 4x overthe last four years on Wynk, Airtel
Thanks and Xstream

76

Bharti Airtel Limited

78 Mn+

Monthly active users (MAUs)
on Wynk Music~55 Mn+

MTUs of Airtel Payments Bank.
Total customer base increased
to ~164 million

2.4 Lakh

Annual run-rate of co-brandedcredit cards issuance

D12 Bn+Annual run-rate of lending
through Airtel FinanceIntegrated Report and Annual Financial Statements 2022-23

77

Corporate Overview

Manufactured
CapitalManagement Discussion & Analysis

37,49280,23312120+

92.45 MW106.01 MW

11,941

26,023

5,027 Bn

33,647
Rkms

15,949 Bn
MBs

54,148 Bn
MBs

New mobile network
towers installed

Usable rack count/tile
space for large data centers

Optic fiber cable deployed

Material topics included Network quality, expansion and transformation
 Innovation of products and services
 Digital inclusion and enhanced access to ICT Green ICT solutions

Relationship with other capital

Financial Statements

Highlights for FY 2022-23

Edge data centers

SDGs impacted

Statutory Reports

New mobile broadband
base stations added

Design Load in Large data centers

Usable rack count/tile
space for edge data centers

Data traffic (Homes Services)

Large data centers

Design load in edge data centers

Minutes on network (Gross)

Data traffic (Mobile Services)

We rely on a robust network
infrastructure that is technologicallyadvanced and environmentally friendly.
By investing in the latest technologies
and innovative solutions, we ensure ourinfrastructure is future ready, resulting
in a seamless customer experience.
With India's rapid transformation
into a leading digital economy, we,at Airtel, recognise the importanceof expanding our infrastructure andspectrum portfolio.

FinancialSocial and RelationshipIntellectual
Natural78

Bharti Airtel Limited

Integrated Report and Annual Financial Statements 2022-23

79

Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

Manufactured Capital

832,369

752,136

606,783

275,069

237,577

216,901

194,409(Nos.)

Total mobile broadband
base stations
503,833(Nos.)

Total mobile network towers

Airtel’s spectrum snapshot

328.25 MHz
20 MHzSpectrum in
1,800 MHz Band

790 MHzSpectrum in
800 MHz Band

Spectrum in
2,300 MHz Band

2,200 MHz
17,600 MHz
FY 2019-20 FY 2020-21 FY 2021-22 FY 2022-23

FY 2019-20 FY 2020-21 FY 2021-22 FY 2022-23

Spectrum in mm Wave

155.6 MHz

Spectrum in 900 MHz Band
(Bn MBs)

Data traffic

45,20332,541

5,283

FY 2020-21

FY 2021-22

Homes Services

FY 2022-23

Mobile Services

Strong spectrum portfolio
fostering world-class innovation
and best experience
We have an ideal spectrum bank in the country.
The acquisition of 19,800 MHz spectrum during
FY 2022-23 further enabled us to secure a pan-India
footprint of 3.5 GHz and 26 GHz bands, and selectively
bolster the mid-band spectrum. A well-thought-out
strategy for spectrum acquisition allows us to meet all
our objectives: the best 5G experience, 100x capacity
enhancement and the most power-efficient solutions
that will go towards meeting our ambitious ESG goals.

3,603

FY 2020-21

4,104

Bharti Airtel Limited

Spectrum in
2,100 MHz Band

4,348

Spearheading the 5G revolution
in India
FY 2021-22

FY 2022-23

We launched our 5G network in October, 2022 andsurpassed 1 million customers mark in less than 30 daysof the commercial launch. Since then, we have rapidly
expanded our coverage to thousands of towns/ cities.
We continue to add 30 to 40 cities/ towns daily in our
5G network, demonstrating an aggressive approach ingeographic expansion. Our 5G Plus is now accessible inevery major city, from Kashmir to Kanyakumari.
This has been achieved by ensuring high-speed dataservices and extensive coverage, by deploying advanced
network tools viz. Airtel 5G Plus, which offers three
key benefits:
 Ultra-fast speed (up to 30x faster than 4G)
 Globally accepted technology architecture An eco-friendly network

The Company targets to cover all the urban areas and a few
pockets of rural India with 5G services by March 2024.
We have also been testing our 5G solutions for enterpriseacross various vertical industry use cases with multiple
partners in manufacturing, healthcare and automotive
and more, covering several locations, as a part of our#5GforBusiness.



80

215 MHz54,14815,9497,943(Bn Mins)

Minutes on network(Mobile Services)

Spectrum in C Band

Read more about 5G use cases and strategic partnerships on Page 120 in ‘Management Discussion & Analysis Report’.

Integrated Report and Annual Financial Statements 2022-23

81Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

Manufactured Capital

Technology-enabled networktransformation

Data centers: The backbone ofIndia’s digital economy

We are committed to offering the best-in-classcustomer experience through the continuous
deployment of Artificial Intelligence and Machine
Learning technologies and the latest automation
tools in our network infrastructure, thereby
resulting in the reduction of customer complaints,
ensuring proactive and preventive decisions using
the big-data driven insights, reduction of overall
service disruption time with faster identification/
rectification, prevention of network degradationand faster resolution of network issues. Airtel Self
Optimisation Network (A-SON), a state-of-art AI-ML
driven platform, developed by our in-house networkand digital engineering teams to detect, analyseand correct network anomalies/degradations,continuously monitors the network and routers
and takes real-time preventive actions, ensuring
a seamless customer experience. These techenabled network transformations ensure that our
network teams are able to predict network issues
ahead of time and deliver seamless connectivity.

Our subsidiary, Nxtra Data Limited (‘Nxtra’), offers thelargest network of 12 large and over 120 edge data centers
in India, providing businesses with a reach and scalable
infrastructure that is unmatched. Nxtra serves over 400
clients (Non-group customers) through its pan-India
infrastructure. The colocation facilities are fully-equipped toprovide scalable, digitised and sustainable IT infrastructure,thus empowering businesses to build their digital-firstecosystem with optimal performance and security.

to invest D5,000 crores in next few years to build new
hyperscale data centers in Mumbai, Pune, Bengaluru,
Hyderabad, NCR & Kolkata. All these upcoming facilities
will play a key role in increasing our installed capacity by
2X to over 400 MW and serve the emerging requirementsof India’s digital economy.

We understand that data center industry is going towitness significant growth in the forthcoming years, having
strong demand across customer segments. Keeping inview the impending growth, Nxtra has further committed

400+

Airtel supports ‘Digital India’ mission
We are committed to the DigitalIndia mission, which aims totransform India into a digitally
empowered society and knowledge
economy. We actively contributeto the mission through various
initiatives aimed at ensuring
uninterrupted mobile network
services and fostering digitaltransformation. These include
scaling core capacities for unlimited
5G adoption, streamlining ILD

82

Bharti Airtel Limited

services, implementing
automated. By simplifying
onboarding processes,
improving customer journeys,
and deploying advanced
technologies, we support theseamless transition to a digital
ecosystem. These efforts alignwith our commitment to driving
digital inclusion and playing asignificant role in the success of
the Digital India initiative.

Clients served by Nxtra

Construction underway for
Nxtra’s largest Data Center in
East India
Nxtra is constructing a new hyper-scale
25 MW data center in Kolkata, expected
to be fully operational by 2024. With aninvestment of D6,000 Mn, it aims to be thelargest data center in east India. As part ofAirtel's commitment to the environment
and achieving Net Zero emissions by 2031,
the new facility will be a green data center,
powered by clean energy. The facility targets
enterprise and cloud demands, focusing onunderserved markets in the east, northeast
and SAARC countries.

Integrated Report and Annual Financial Statements 2022-23

83Corporate Overview

Delivering
Exceptional
Experience

Management Discussion & Analysis

Statutory Reports

Financial Statements

Key Highlight for FY 2022-23

26% CAGR

Reduction in customer calls acrossservices over the last four years

Customer satisfaction is at the forefront of all our
endeavours. Recognising its importance, we aretransforming our services, combining innovative technology
and digital tools to create a seamless and delightful
experience. Embedding simplicity and efficiency, we haveadopted a new structural design philosophy to drive
holistic improvement across the Search-Discover-PurchaseOnboard-Experience-Refer flywheel.

Our omnichannel approach ensurescustomers can engage with us anytime,
anywhere. What we are building froma technology perspective will allow acustomer to start a journey on any channel
and finish anywhere. This is holistic innature, covering both self-serve andassisted channels. We foster trust andloyalty through innovative and intuitive
interactions. Harnessing the power of data
mesh, we deliver personalised services andreduce interactions.

In order to achieve our desired outcomes,
we continuously invest in various aspects ofour network. We also implement strategicchanges to future-proof our networks.
All network investment decisions are
predicated on a holistic TCO assessmentthat not only considers revenue and cost but
also our experience.

We made several structural interventions
during the year in our services to leverage
Artificial Intelligence (AI), Data Scienceand Generative AI. From analysing speech
and intent detection to smart resolution ofincidents, AI tools drive these capabilities.
We also employ AI-based self-healing tools
and services to improve service resilienceand availability.

84

Bharti Airtel Limited

Integrated Report and Annual Financial Statements 2022-2385

Corporate Overview

Intellectual
CapitalManagement Discussion & Analysis

Airtel: Customer-obsessed,
technology-driven brandWith strategic investments, we have developed digital
innovation capabilities as a core business strategy. We area technology-driven Company that leverages cutting-edge
solutions to provide a seamless and superior experience
to our customers. From 5G network infrastructure to
AI-powered chatbots, we use advanced technologies todeliver innovative products and services that meet theevolving needs of our customers. With a strong focus on
research and development, we are constantly exploring
new and emerging technologies to stay ahead of the curveand offer the latest and best solutions to our customers.

Statutory Reports

Financial Statements

Strong digital foundation
Airtel at its core has a three-layered strong businessmodel: Digital Infrastructure, Digital Experience andDigital Services. It allows us to continuously strengthen
our service offerings and foster a culture of innovation,
fortifying our position as a digital pioneer, and empowering
individuals and businesses alike with secure and reliable
digital solutions. Our major shift from product-based
approach to a platform-based approach, coupled withour cutting-edge digital capabilities and customercentric approach, is helping us build a seamless andinterconnected digital ecosystem. We are developing four
key platforms–Buy, Pay, Bill, Serve–with each playing a vitalrole in our digital flywheel, and inspiring individuals andbusinesses to embrace the endless possibilities.
 
Read more in the ‘Harnessing the Power of Digital’ section on
Page 76.

SDGs Impacted

Material topics included Information security and customer data privacy
 Climate change, energy efficiency and emission reduction
 Enhancing customer experience and satisfaction
 Digital inclusion and enhanced access to ICT Innovation of products and services

Relationship with other capitals
Financial

Our digital talent, technology-driven
brand, strong three-layered digitalfoundation and strategic collaborations
and partnerships with innovationdriven global players, form the key
pillars of our Intellectual Capital.

Driving innovation throughthe digital workforce

Strategic partnerships andalliances

With an exceptional in-house digital talent, we haveestablished ourselves as a digital-first company dedicatedto serving Digital India. Our highly skilled workforce drives
digital innovation. The digital talent base has increased by~18% (from FY 2021-22).

Our robust strategic partnerships, both with domestic
and global players, have paved the way for an innovation
revolution in the country. Strong strategic collaborations
with industry leaders like Amazon, CISCO, Ericsson, Google,
IBM, Intel, Meta, Microsoft, Netflix, Nokia, Oracle andQualcomm, among others, have bolstered our capability
to develop next-generation digital platforms, products,
and services.

Our Innovation Lab, a digital innovation factory,
concentrates on areas such as IoT, Digital Engineering,
Artificial Intelligence, and Machine Learning, delivering
cutting-edge solutions to meet the evolving demandsof Digital India.

2,700+
Digital talent base

We are dedicated to supporting India's thriving startup
ecosystem by offering the Startup Accelerator Program.
Through funding, mentorship from our leadership team,and access to global strategic partners, the programme
helps early-stage companies scale up sustainably. The
programme provides startups with the opportunity to
deploy their technologies and applications, leveraging
our massive network and millions of customers. During
FY 2022-23, we onboarded Lemnisk, a startup specialisingin Real-Time Marketing Automation and a secure Customer
Data Platform (CDP), in order to create the world’s
largest CDP platform.
 
Read more about strategic partnerships and alliances during
FY 2022-23 in the 'Management Discussion & Analysis' on
Page 120.

Social and Relationship
Human
Manufactured

86

Bharti Airtel Limited

Integrated Report and Annual Financial Statements 2022-23

87Corporate Overview

Human
CapitalManagement Discussion & Analysis

17,292

13

15,3691,923

52,299

7,248

1,498

34.3 years

28.5%

22%

D4.7 Mn+

Employees on rollInternal hires(Open positions filled by internal
candidates)

Voluntary employee turnover

Material topics included Talent attraction and human capital development
 Employee health and well-being
 Diversity and inclusion Promoting Human Rights

Relationship with other capitals

Financial Statements

Highlights for FY 2022-23

Female employees

SDGs impacted

Statutory Reports

We, at Airtel, believe that we havebest-in-class talent in our organisation.
We aim to create long-term value forour people while keeping diversity,
inclusivity and employee wellbeing at the core. Aligned with thebusiness goals, our human capitaldevelopment pathway focuses
towards building meaningful careers,developing impactful leadershipcapabilities and delivering a superior
employee experience.

Employees of nationalities(other than Indian)Male employees

Contractual employees

New employees hired in FY 2022-23

Average age of employees

Total employee turnover

Gross revenue per
employee per month

Workforce composition as on March 31, 2023
Category

Male (Age)Female (Age)Total<30 years

30-50 years>50 years<30 years

30-50 years>50 years

3,482

7,375

117

728

550

12

12,264

Middle management

353

3,861

145

143

467

17

4,986

Top management

0

18

18

0

5

1

42

3,835

11,254

280

871

1,022

30

17,29230,305

17,849

257

2,663

1,199

26

52,299

Employees on roll
Junior management and below

Total

Contractual employees
Contractual employees

FinancialIntellectualSocial and Relationship88

Bharti Airtel Limited

Integrated Report and Annual Financial Statements 2022-23

89

Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

Human Capital

A compelling talent proposition, a diverse andinclusive workplace and a culture of upskilling
and reskilling

Improve efficiency by resourcing
for impact
Right and meaningful organisation architecture,resourcing & talent pool to create long-term impact
for employees and the Company

Enable growth by building strategic
capabilities
Future-proofing the organisation and people bypartnering for capability and best digital ecosystem

Build credibility by delivering
exceptional experience
Right process and technology across employee
lifecycle, keeping employee well-being at core90

Bharti Airtel Limited

In our effort to become the employer of choice, our key
focus areas have been on providing the right career paths,
outlining the right set of leadership behaviors, invest
on building our leadership pipeline and creating a truly
inclusive workplace.

Airtells
Keeping customer obsession at the heart of innovation andin order to unlock the power of customer experience, ourtalent strategy during the year focused disproportionately
on the cross-functional breadth of experiences. With anincreasingly omni channel and diverse customer base, it
is critical for us to build talent that understands nuancesacross products, businesses, channels and geographies.
“Airtells” was set up as an internal talent marketplace,to foster interdisciplinary experiences followed byover 1,000 opportunities for learning, job shadowing
and cross-functional movement. 6,000+ employees
participated in this intervention and more than 1,000+
learning opportunities were created.

Unified Behavioural Framework
To build a common language of leadership behaviours,
we have defined 7 leadership competencies called
the Unified Behavioural Framework. These behaviours
define what is important and valued at Airtel; know whatis expected of employees and know what behaviours
drive us; provide a common ‘One Airtel’ lens to evaluate
and groom talent; enable fungibility and cross-functional
movements and cut through the overlaps between
existing frameworks, simplify and consolidate key
human resource themes. These behaviours have beenreiterated across various HR processes–right fromhiring to performance management.

Leadersbuilding
leaders

Collaboration& Inﬂuence

CustomerObsessionlNavigating
ChangeWe areFut

UniﬁedBehavioral
Framework
We E n s u

eady
eR
ur

Enhance productivity by attracting,growing and retaining talent

Enhancing productivity byattracting, growing andretaining talent

are One Air
te
We

Strategic priorities aligned withbusiness objectives

reLearning
Agility

Execution
Excellence

Ownership
MindsetAirtel Leadership Academies

Diversity and inclusion

Our focus on building leadership capabilities and pipeline
continued via our flagship “Airtel Leadership Academies”,
an immersive, blended leadership development
programme aiming to build a pipeline of future leaders for
Airtel and ensuring that we have a high leadership talentdensity. This experiential journey spanning over 10 months,
covers ~280 future leaders year-on-year basis. We havebeen able to cover a pool of 700+ leaders since its launch
in 2019 and the current Class of 2023 includes ~260 future
leaders. Careers and building leadership capabilities willcontinue to be a key focus area going into the next yearwith personalised career journeys.

Creating a diverse workforce also continues to be an
important lever for our focus on customer centricity andin becoming an employer of choice. We have moved
100 basis points in increasing women representation in
our permanent workforce. Several initiatives like the Step-in
programme have been launched to drive this forward.
Step-in is categorised into two segments: Return to Workand Remote Work. ‘Return to Work’ welcomes talented
technical women professionals with full-time roles after
a career break of 12 months or more from the workforce.
The Remote Work programme is for women who are in theearly stages of their careers and based in non-metro cities
and with location/mobility constraints to apply to full-timeroles at Airtel. This is to fuel the ambition of young, capable
women keen on building a career and working with a global
company right from their homes. The programme allows
women much-needed flexibility, empowers them to befinancially independent and enables them to build a robust
career path. 40 women have been inducted into Airtel via
Step-in across technical and non-technical domains.

700+

Leaders covered under Airtel
Leadership Academies since its
launch in 2019

We have also invested in onboarding ex-armed forces
personnel and alumni of Satya Bharti school to develop
diversity of thought. The key focus in the upcoming year
will be to provide an inclusive environment and setting inplace enablers that help diverse talent thrive.

Integrated Report and Annual Financial Statements 2022-23

91

Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

Human Capital
Key highlights

47

Differently abled employees

Improving efficiency by resourcing
for impact

14%

Women in top management positions

17%

Women in STEM positions

11%

Women in junior management
positions

10%

Women in management positions inrevenue-generating functions

11.1%

For our digital teams, to be nimble with increasing
complexity of technological delivery, building a res-usable
and configurable core was essential. To deliver this, we
reorganised our teams to key platform charters, each ofwhich focused on a stream to provide the best in classcustomer experience. Strategic capabilities particularlyin the roles related to development, big data, SDET andprogramme management roles were insourced, this wascoupled with setting up of our Pune technology centre.
The centre places us strongly in a high tech talent market
with talent attraction benefits through a diversified
geographical presence. The centre is now 400+ employees
and this exercise has seen a very significant up in qualityof talent, lower talent churn, better delivery velocity
and has delivered significant cost benefits through thisresourcing model shift.

With the increasing focus on our B2B business andfostering long-term customer relationships, around 1,000
associates in Airtel business in the emerging businesssegment were insourced to provide better customer
experience and increase productivity. Insourcing of theseaccount managers has not only led to a 67.5% increasein productivity but also a reduction of attrition from 14%
month-on-month to 2.2% voluntary attrition.
For the extended workforce (contractual employees),massive efforts went into the consolidation of partners
and digitisation of HR processes to give seamlessexperience and build tighter governance.

Women employees(out of total employees)

11%

Women in management workforce

Diversity and inclusion targets

Progress

Increase share of womenin workforce to at least
20% by FY 2024-25

Diversity increased
from 10% to 11.1%
in FY 2022-23

The year saw Airtel drive massive efforts towards diversity and inclusion. Numerous
interventions were launched including the following: Right targets have been set across Airtel Management
Board and governance mechanisms have been put inplace to track progress.

 Multiple policies were revisited to ensure equity. Car Lease
Policy and Travel Policy have been revamped to ensure alevel playing field.

 Creating a culture of inclusion by top-down ownership,
inculcating the culture of ‘Airtel for All’, celebrating andamplifying diversity, revamping policies for women
employees on their well-being and safety, flexible
working options, etc.

 Exit Deep Dive and Maternity Connects introduced toensure 100% connect with all exiting women employees
and returning mothers. The inputs were used for creatinginterventions to retain diversity talent.

 ‘We-Lead’ programme created and launched for womenleaders at the B1 level in association with Harappa,
which resulted in positive feedback.

92

Bharti Airtel Limited

 Mentoring and coaching via external programmes,
quarterly engagement sessions, revisiting of theappraisal process, structured connects and pro-active
career pathing to reduce stagnancy, all contributing toretaining diversity talent.

Integrated Report and Annual Financial Statements 2022-23

93Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

Human Capital

Enabling growth by building
strategic capabilities
We adopted a hybrid strategy concentrating on hiring
new talent as well as upskilling our existing talent throughprogrammes like the 5G Academy and IP (Internet
Protocol) Academy. The training curriculum covers
fundamentals of IP (Internet Protocol), Cisco Certified
Network Associate (CCNA), Cisco Certified Network
Professional (CCNP) and Cisco Certified Internetwork
Expert (CCIE) certifications.

Embracing the digital era
Introducing the IP Academy toeducate and empower
The Internet Protocol (IP) Academy was launched in
FY 2022-23 for our employees and associates in the
Network function with an aim to upskill them on 5G
readiness much ahead in time. The academy consistedof four levels: L0 (Basic), L1 (Standard CCNA), L2 (CCNPService Provider – Core and Concentration) and L3 (CCIEService Provider).
To facilitate flexible learning, both online and offline
training modes were available to the employees. The
three-day programme was rolled out to individuals acrossvarious sub-functions. Through virtual LAB access,employees gained practical, hands-on experienceand real-time operational learning. Additionally, posttraining assessments were conducted to evaluate theircomprehension and skills.
As part of our ongoing learning journey, we conducted‘Learning Shots’, which were webinars (live sessions
by internal and external SMEs) on relevant topics forenhancing the knowledge and skills of employees.

As we continue to grow and invest right in our digitalbusiness, incubate new businesses, and build capabilities
towards our Digital infrastructure, Experience and Offerings
to match the evolving expectations of our customers, it isimperative that our teams stay agile in their thinking andways of working. Digital appreciation is an experiential,
in-person, day long workshop which includes case studies
and exercises and encapsulates themes like Ecosystem
Partnerships, Data Based Decision Making, Platform
Thinking and Omnichannel. The rollout is continuing ina phased manner across the organisation with trainers
trained for facilitation in Airtel leadership.

Training snapshot (By category)

Impactful learning throughstructured training

Delivering exceptional experience

Employee well-being

Airtel took numerous interventions with a bedrock ofdelivery of superior experience to our internal customers–
our employees. We have simplified our onboarding
experience and background verification process for
employees. Background verification process has beencondensed from taking a lead time of 15 days to 2 days.
The new onboarding process focuses on an immersive
experience engaging the candidate from a fortnight before
joining to help them start green. Every new joiner gets tovisit an Airtel office to help them meet Airtel leaders andget better joining support. We have got an overwhelming
response from new joinees about their initial experiencein this new process, with a New Joinee Feedback Score of
4.8 on a scale of 5. This is expected to reduce early attrition
and improve overall employee experience in the long run.

As a responsible organisation, our holistic view towards
employee well-being continues to be the topmost priority.
Our actions and interventions are aimed at promoting
positivity, wellness and good health among our employees
and their families. We believe that overall well-being, as thecore element of Airtel’s human resource strategy, adds tothe productivity, impactful innovations and success of theorganisation, while also ensuring happier and fulfilling lives
for employees.

We have implemented an impactful learning anddevelopment approach that enhances on-the-job
performance and builds a capability network forcurrent and future skills. Throughout the year, various
training interventions have been conducted, resulting
in an average spend of C5,881 per employee and a
training time of 12.2 hours per employee.

Training snapshot

211,161
Total training hours

Training

Training hours

Training interventions

Behavioural training

38,301

27

Leadership training

17,781

15Functional training

72,420150

Mandatory training

17,764

1

Digital learning

64,895

4,004

Our Airtel Cares program is a comprehensive 360 employee
well being program that spans across 4 key elements of wellbeing – Physical well being, Mental well being, social wellbeing and financial well being.

4,197

Training interventions

99.78%

Learning coverage (% of employees who received training)

C101 Mn+
Expenditure on trainings

Impact240 employees

Completed IP LO level training

5,810

Training hours

22

Learning shots delivered

4,100+ attendees
in the Sessions by senior business leaders on
Future of 5G and Demystifying 5G

94

Bharti Airtel Limited

Integrated Report and Annual Financial Statements 2022-23

95

Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

Human Capital

Ensuring health and safety
At Airtel, we prioritise well-being and safety of ouremployees and have committed to operate in compliancewith applicable health and safety laws, regulations,and leading industry practices. We have implemented
a comprehensive occupational health and safety
management system and policies (Environment, healthand safety and Bharti Airtel Infrastructure and safety
policy) that aims to maintain a secure and accident-freeworkplace throughout all our operations. Our management
systems for health and safety are certified to meet the
ISO 45001 standard specifically for data center operations.

Promoting human rights
We are committed to preventing any violation of humanrights throughout our operations, supply chains,communities and business relationships. Our Human
Rights Policy serves as a guiding document for both
our internal operations and suppliers, emphasising theimportance of upholding internationally recognised
human rights like equal opportunity, fair compensation,
freedom of association and strict prohibition of child labour,
forced labour and human trafficking. We take proactive
measures to ensure the protection and promotion ofthese fundamental rights.
All employees receive training to ensure prevention of
discrimination and harassment in the workplace. Further,
Airtel has a policy on the prevention of sexual harassment

Targets

Progress

Conduct safety training
for all employees

100%

Implementation of
ISO 45001 Certification

In progress

and any such incidents can be reported to the Internal
Complaints Committee as per the process defined in
the policy.
Moreover, we proactively conduct human rights due
diligence by periodically conducting compliancemonitoring to identify and assess risks related to humanrights issues across all operations and contractors. Any
identified risks are addressed through corrective actions
and closely monitored for progress. For risks identified in
our operations or value chain, we implement appropriate
mitigation actions, ranging from risk prevention throughawareness sessions and precautions, to risk reduction
through capacity building and safeguards, or even risk
elimination through modifications in business processes.

Target Achieved*

by FY 2022-23

Occupational health and safety management
system across all operations by FY 2023-24



Refer to page 146 of the ‘Business Responsibility and Sustainability Report’ for more information on health and safety.



Refer to page 146 of the ‘Business Responsibility and Sustainability Report’ for more information on human rights.

* Safety trainings were conducted for nearly 100% of locations in FY 2022-23 covering all eligible employees.

96

Bharti Airtel Limited

Integrated Report and Annual Financial Statements 2022-23

97

Corporate Overview

Social and
Relationship
CapitalManagement Discussion & Analysis

Customer obsession is of utmost priority to us and weare committed to transforming our services throughinnovative technology and digital tools, creating aseamless and delightful user experience. Our holistic
approach focuses on every step of the customer
journey, emphasising simplicity and efficiency acrossthe Search-Discover-Purchase-Onboard-Experience.

We continuously invest in our network infrastructure,
implementing strategic changes to future-proof our
networks and ensure a superior customer experience.
Our decisions are driven by a holistic Total Cost of
Ownership (TCO) assessment that considers revenue,
cost, experience and expertise.

Material topics included Enhancing customer experience and satisfaction
 Sustainable supply chain management Corporate citizenship and community development
 Fair marketing and advertising

Relationship with other capital
Financial

We have established and fosteredstrong connections with various
stakeholders, including customers,
communities, governments, distributors
and suppliers. The strength of oursocial partnerships and stakeholder
relationships is crucial in meetingthe needs of a new generationof customers.
Our relationships with stakeholders are closely tied to ourcommitment to provide excellent products and innovative
services while upholding ethical business practices.
We greatly value the networks and associations we havebuilt over the years and continuously strive to enhance
our social connections.

Financial Statements

Customer obsession poweredby technology

By adopting an omnichannel strategy, we enable
customers to engage with us anytime, anywhere,
seamlessly transitioning between channels. Throughthe integration of Artificial Intelligence (AI), Data
Science and Generative AI, we deliver personalised
services, reduce customer interactions and enhanceservice resilience.

SDGs impacted

Statutory Reports

Our customer data privacy policy complies with
relevant laws and regulations and applies to all
employees, suppliers and third parties with access tocustomer information. The policy is overseen by the
Risk Management Committee and governed by the
CISO. We respect customer consent and offer choices
regarding their data. We update our privacy controls toadapt to changes in regulations and industry practices.
Audits, certifications and vulnerability assessments
are conducted to maintain data security. Real-timemonitoring tracks data movement and instancesof non-compliance are investigated and resolved
promptly. Privacy Policy is available here.
 
Refer the ‘Management Discussion and Analysis’ section for
more information on our strategic partnerships, new customer
offerings and key initiatives.

Transparent Communication
At Airtel, we hold transparency and honesty in highregard. We recognise that despite our sophisticatedtechnology, unforeseen service interruptions may arise,necessitating scheduled maintenance. However, intoday's interconnected world, the boundaries between
peak and off-peak times have become less defined.
As a proactive measure, we diligently communicate
with our customers regarding planned outages andpromptly send notifications in the event of unplanned
disruptions caused by factors such as inclement
weather. While these messages cannot completely
eliminate disruptions, they provide valuable informationthat allows our customers to plan and adapt to asignificant extent.

Intellectual
Manufactured

98

Bharti Airtel Limited

Integrated Report and Annual Financial Statements 2022-23

99

Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

Social and Relationship Capital

Creating shared value for our channel partners
To create sustainable employment, we collaborate
with rural entrepreneurs through our rural distribution
network. Rural distributors and retailers earn a livelihoodby selling our products/services. Field Sales Executives(FSEs) serve rural markets, providing local employment.
Our Rural Promoter Program generates formal jobs for
10,000+ rural resources. Expand retailer presence inunderserved areas, improving shop owners’ earnings.
With approximately 4,000 rural distributors employing
8,800+ FSEs, livelihoods are supported. We leverage
digital interventions like geo-fencing and a digital ledger
to enhance distribution efficiency. Quality Management
Systems ensure high service standards, upheld throughworkshops, training and audits for channel partners.

Our Quality Management System upholds the highest
standards and provides a framework for ensuring that our
product and service distribution networks meet definedcustomer service quality benchmarks. Our extensive
network of channel partners follows established standards
and service level expectations throughout the value chain.
To maintain customer service quality, we regularly conduct
workshops and training programmes for distributors,
retailers and other channel partners, in addition to
performing audits.

Responsible supply chain towards asustainable future

Supply chain management
Strategic priorities

We prioritise responsible business practices and strong
partnerships in the complex telecommunications supply
chain. Our strategy focuses on enhancing customer
experience, cost-efficiency and risk management throughcollaboration with supply chain partners. We have clear
priorities including supplier capacity, delivery lead time,inventory management, scalability, sustainable practices,
reliability, innovation, low-cost sourcing and geographic
reach. By establishing these priorities, we partner with
suppliers who enable us to operate efficiently andresponsibly, staying ahead of the world. We maintain an
efficient procurement process and ensure compliance withlaws and regulations.

1 goods/services of quality

302

New suppliers
empanelled

97%

Share out of total
procurement spent
within India

The competitive advantage and market success weachieve, are greatly influenced by our strong ecosystemof partners supplying critical products and services viz.
network, IT equipment and other key goods/services.
Strategic Partners supply Network equipments, andTower Companies provide the passive infrastructure
which crucially supports Airtel to run network operations
efficiently. In FY 2022-23, Airtel engaged with 3,591
suppliers out of which 3,462 are Indian suppliers.

Partnering with suppliers who provide

2

Procure goods and services at competitive cost

3 Short lead time to meet business requirements
4 Strong focus on innovation and sustainability
Risk mitigation and agility to evolve with the

5 dynamically changing customer needs.

Supplier category

Suppliers (Nos.)

Share (%) of procurement spent

Within India

Outside India

Within India

Outside India

Strategic partners (Key Active Network Equipment Partner)

7

2

95

5

Strategic partners (Tower Companies)

8

-

100

0

Critical partners

263

14

97

3

Others

3,184

113

94

6

Grand total

3,462

129

97

3

We encourage our suppliers to adhere to internationalsustainability standards such as ISO 14001, ISO 45001,
ISO 27001 etc. Currently, more than 81% of our
procurement comes from partners having at least
one of these ISO certifications. We have Human
Rights policy to promote human rights in our value
chain. The policy provides a framework for suppliers
to uphold human rights and implement practices
that align with relevant labour laws, ILO Convention
and Modern Slavery Laws. The Code of Conduct for
Business Associates (“Code”) sets out the fundamental
values and integrity levels of business conduct that
Airtel expects its business associates to uphold in all
business relationships.
All suppliers must accept and adhere to the Codeand Airtel’s Human Rights Policy as contractual
obligations. To foster ESG (Environmental, Social andGovernance) practices throughout our value chain, weorganise training and awareness sessions for suppliers
and buyers covering requirements of the Code andHuman Rights Policy, sustainability expectations
from suppliers, Airtel’s ESG Goals/Commitment and
NGRBC (National Guidelines on Responsible BusinessConduct) principles.
We evaluate suppliers based on ESG parameters,
including environmental impact, labor practices,human rights, ethical conduct and data security. In thereporting year, 86% of our partners were self-assessedby procurement value. Furthermore, we have integrated
measures into our procurement processes, such as: Acceptance of Code of Conduct and Human Right Policy
before On-boarding Inclusion of reference to these policies in the
suppliers contract
 Annual acknowledgement of these policies

Airtel promotes local procurement from India-based
suppliers which constituted 97% of total suppliers in
FY 2022-23.

Collaboration for supplier audits,corrective actions and capability
building via JAC
Airtel has joined the Joint Alliance for CSR (JAC), which isa non-profit association of telecom operators domiciledin Belgium. The association aims to verify, develop,
and assess the Corporate Social Responsibility (CSR)
implementation across the manufacturing centres ofsuppliers in the Information Communication Technology(ICT) industry.
JAC members share resources and best practices
to develop long term Corporate Social Responsibility
implementation at different levels of the ICT Supply Chain
globally. The sharing of resources and best practices
does not involve the sharing of any commerciallysensitive information.

Empowering communities
As a responsible corporate citizen, we are committed tocontributing to both society and community development.
To achieve this, we align our activities and contributions
with our business purpose and values. We actively
undertake community development initiatives incollaboration with diverse stakeholders through Bharti
Foundation, which serves as the philanthropic arm of
Bharti Enterprises.
Since its inception in 2000, the Foundation has been at
the forefront of Corporate Social Responsibility (CSR)
initiatives. We work closely with state governments,
policymakers, NGOs, corporates and communities torealise the vision of a prosperous society. We place
great emphasis on education, aiming to bring about apositive change in the lives of children from rural areas
in India. In addition to this, our community development
and upliftment programmes provide exposure to life
skills such as communication and leadership. Throughthese initiatives, we strive to make a positive impact andcreate a better society.

 
Refer to page 62 of the ‘Corporate Social Responsibility’ section for detailed information on the positive impact that Airtel creates for thecommunity in which it operates.

100

Bharti Airtel Limited

Integrated Report and Annual Financial Statements 2022-23

101

Corporate Overview

Management Discussion & Analysis

Building a
Sustainable Future
Changing business environment needs renewed thinking, onethat embraces Environmental, Social and Governance (ESG)
metrics through all areas of operations with full transparency toachieve desired results. At Airtel, ESG is more than climate change,
diversity, and disclosures - it is about implanting stated principles
across our businesses, aligning talent and technology to move on
the path of defined goals.
We have embarked on a transformative sustainability
journey, leveraging innovation and strategic initiatives
to drive positive change. At the heart of our efforts is
a commitment to reducing our carbon footprint andachieving Net Zero, aligned with our Science
Based Targets.

Creating a diverse workforce continues to be an
important lever for our focus on customer centricity
and in becoming an employer of choice. The key focus
in the upcoming year will be to provide an inclusive
environment and setting in place enablers that help
diverse talent thrive.

Airtel is spearheading the establishment of green
data centers, incorporating energy-efficient
initiatives in our wireless network and sustainable
practices. We are harnessing the power of renewableenergy and reducing reliance on traditionalsources of power through solarisation of networksites. We are prioritising the climate-proofing of
our networks, ensuring resilience in the face ofenvironmental challenges.

The Step-in programme was launched to increase
women’s representation in this direction in ourpermanent workforce, and is categorised under‘Return to Work’ and ‘Remote Work’. We have also
invested in onboarding ex-armed forces personnel
and alumni of Satya Bharti School to develop
diversity of thought. We have a robust safety andwell-being agenda for our employees, partners andall involved stakeholders. We are inspiring others tojoin us on this incredible journey with a clarion call fordelivering positive change while fostering a culture ofsustainability, equality, and diversity.

We are also driving diversity, recognising the value of
inclusivity, and embracing a culture of equality andempowerment by fostering an environment where
every individual, regardless of their background or
identity, thrives.

Statutory Reports

Financial Statements

Key Accolades
ICSI National Award for
Excellence
In Corporate Governance, 2022, presented by
the Institute of Company Secretaries of India

ESG is deeply ingrained in our DNA
and we are passionate about finding
sustainable solutions to growth withthe aim of building a greener, safer
tomorrow. As a Company, we arecommitted to lowering our carbon
footprint through a comprehensive
climate change combat plan.

Assigned ‘CRISIL GVC Level-1’ grading
Indicates Airtel’s corporate governancepractices and value creation for all its
stakeholders are at the ‘highest’ level

ESG Excellence Awardat the inaugural edition of the Dun &Bradstreet ESG Leadership Summit 2023

Gopal Vittal
Managing Director and Chief Executive Officer

Key Highlights for FY 2022-23

Risk category
reduced from
Medium to Low
Improved Sustainalytics ratings‘BBB’ to ‘A’
Upgrade from MSCI‘C’ to ‘B’

CDP upgraded rating by two notches

Nxtra

Constructing green facility in Kolkata.
Partnered with Bloom Energy to deploy low
environmental impact fuel cell installation atits data center in Karnataka

102

Bharti Airtel Limited

Integrated Report and Annual Financial Statements 2022-23

103

Corporate Overview

NaturalCapitalManagement Discussion & Analysis

Material topics included Climate Change, energy efficiency and emission reduction
 Resources efficiency and waste management
 Water efficiency
 Green ICT solutions

Relationship with other capital
Financial

At Airtel, we are dedicated to ethicaland sustainable development while
also protecting, preserving, andregenerating the environment andgenerating value for our stakeholders.
We support and encourage theadoption of environmentally friendly
and cost-effective technology andenergy sources. Our commitment toimplementing sustainable practices
in our operations and throughout
the value chain is reinforced by ourenvironment, health, and safety policy.

Financial Statements

We embrace our environmental responsibilitiesby aligning with the Task Force on Climate-related
Financial Disclosures (TCFD) framework to ensuretransparency and effective management of climate
risks and opportunities. We recognise the urgency ofaddressing environmental challenges and thus actively
take measures to minimise our carbon footprint,
promote sustainable practices, and contribute to agreener future.

Climate change, energy efficiency
and emission reduction

Under the guidance of our senior leadership, we arecommitted to our strategy of war on waste, whichis realised through the adoption of alternate powersources like solar, enhanced asset optimisation andrenegotiating commercial agreements with partners
to save network costs at each site. Our ESG agenda
is driven by our board appointed ESG committee aswell as the management council that drives our ESG
initiatives with vigour.

Airtel acknowledges that climate-related risks
and opportunities can significantly affect ourbusiness. To evaluate the potential severity of theserisks and the value of the opportunities, we haveundertaken the necessary steps recommended
by TCFD. Airtel has conducted a thorough analysis
of different scenarios based on the IPCC Shared
Socioeconomic Pathways (SSPs) across various
timeframes to assess the resilience of our businessin the face of climate change. This analysis enables
us to evaluate the impact and likelihood of material
climate-related risks and opportunities at a Grouplevel for each scenario and time period. This enables
us to enhance our resilience and develop effective
mitigation strategies to combat climate change andits related impact.

Airtel’s Decarbonisation Goal

SDGs Impacted

Statutory Reports

In 2021, we were the first Indian
telecommunication Company tohave approved Science Based
Targets.
We have committed to reduce absolute scope 1
and 2 GHG emissions by 50.2% by FY 2030-31
from the base year of FY 2020-21. We have also
committed to reducing absolute scope 3 GHG
emissions by 42% over the same time frame.

Climate change
We are aware of the threat that climate change poses to
our Company's operations. We are aware of the physicaland transitional risks associated with climate change.

To enhance our preparedness in addressing theserisks, we are implementing various measures, including
climate-proofing our network infrastructure, raising
tower heights, and locating data centers on upper floors
to mitigate the risks associated with flooding. In ourefforts to reduce carbon emissions, we are implementing
multiple initiatives to enhance efficiency and achieve
emission reduction. These include energy efficient network
planning, infrastructure sharing, adoption of Renewable
Energy Technology (RET), deployment of energy-efficienttechnologies, and key stakeholder engagement.

71%

Increase in use of renewable energy
from FY 2021-22

Social and Relationship
Human

104

Bharti Airtel Limited

Integrated Report and Annual Financial Statements 2022-23

105

Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

Natural Capital

Steps taken to fight the changing
climatic conditions
 Deploying infrastructure that can improve thereliability of service delivery, extend the life ofassets, protect loss of revenue, and deliver the best
customer experience Elevating infrastructure from the ground to a raised
platform in flood-prone areas
 Strengthening of towers

Energy efficiency and emission reduction

Green power wheeling

Airtel is expanding the use of green energy across its
operations and with its partners by utilising open-accessgreen energy and solar power. These efforts help us
move towards our SBTi commitments and align with ourcountry's and the world's environmental targets.

 Airtel aims to reduce its carbon footprint by green
energy wheeling

We gradually lower our emissions intensity each year while
increasing our investments in environmentally friendly andclean energy sources to run our business.

Solarisation of networks
 Rooftop solar plants have been erected at 30 different
locations in our data centers and MSCs till FY 2022-23

 Regular maintenance and health checks

156,698 MWh

Renewable energy consumed in our operations

3,330 Tonnes
E-waste recycled

Microwave installed with additional support rod to withstandhigh wind pressure We have raised the quantity of renewable energy wepurchased through open access contracts or power
wheeling agreements in Main Switching Centres(MSCs) and data centers to ~154,384 MWh, which
decreased our carbon emissions by ~109,612 tCO2e

 177 of our owned network sites have been solarised
till FY 2022-23. With installed capacity of 1.2 MWp+ attelecom tower sites spread across many states of India
such as Andhra Pradesh, Arunachal Pradesh, Assam,
Jammu and Kashmir, Jharkhand, Manipur, Meghalaya,
Mizoram, Nagaland, Rajasthan, Tripura, Telangana withthe aim to cover entire India soon.

Energy consumption in our operations#

14,676 MWh

Electricity savings through conservation initiatives

246 KL

Categories

Units

FY 2022-23

FY 2021-22

Renewable Energy Consumption

MWh156,698

91,376

Grid Energy Consumption

MWh1,402,527

1,239,209*

Diesel Consumption

KL

19,866

18,732*

Note: The boundary has been increased in FY 2022-23 to include warehouses.
#

Energy consumption in operations directly controlled by Airtel* Values have been revised to reflect data from accurate meter reading for electricity and diesel consumption at facilities

Diesel savings through conservation initiatives

Scope 1 and 2 emissions~401 Mn

Sheets of paper saved through e-bill initiatives

Parameter

Unit

FY 2022-23

FY 2021-22

Total Scope 1 Emissions

tCO2e70,251

62,713*

Total Scope 2 Emissions

tCO2e995,794

978,975*

Note: * Scope 1 and 2 value for FY 2021-22 has been revised to include fugitive emissions and more accurate data from facilities

Infrastructure elevated to combat flood impact

Overcoming the Bihar Flood case
 Based on past flood experience, we climate-proofed
the sites which were identified to be at risk. Our aim
was to mitigate the adverse impact of calamity on our
network and to continue to serve our customers when
they need us the most When the flood hit the state, our sites were well
prepared to work effectively as planned and ourcustomers were able to stay connected Avoided significant loss to infrastructure/ revenue
due to network outage

106

Bharti Airtel Limited

Energy-efficient 5G infrastructure

Scope 3 emissions

 Our 5G Towers will generate 86% lesser carbon emissions
for every GB compared to what 4G towers would consume
during peak hours

Parameter

Unit

FY 2022-23

FY 2021-22

Total Scope 3 Emissions

tCO2e

5,680,979

5,394,813

Category 1: Purchased Goods and Services

tCO2e222,792

231,893* Designed network with optimum radio nodes and minimise
coverage overlapping to reduce site power consumption

Category 2: Capital Goods

tCO2e462,472

322,303*

Category 3: Fuel and Energy- Related Activities not included in Scope 1 and 2tCO2e300,161

265,959*

Category 4: Upstream Transportation and Distribution

tCO2e

52,67264,493*Category 6: Business Commute

tCO2e

3,782

2,016*

Category 7: Employee Commuting

tCO2e12,93936,501*Category 8: Upstream Leased Assets

tCO2e

4,626,161

4,471,647

Note: * Values of scope 3 emissions for FY 2021-22 have been revised to align with updated supply chain emission factors as per US EEIO
v1.1.1 (2021) link (C1, C4, C6), Updated emission factors as per DEFRA 2021 and 2022 (C3), updated activity level data (C2, C3, C7).

Integrated Report and Annual Financial Statements 2022-23

107

Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

Natural Capital

Network Infrastructure

Data centers and MSCs

Emission trend In network infrastructure‘Nxtra by Airtel’ operates India’s largest network of 12 large
and 120+ edge data centers, with a planned investment of
D5,000 crores by 2025 to triple capacity to over 400 MW.

0.09

0.11

Networks grid electricity emissions intensity
0.14

0.01

0.015

0.02

Networks diesel emissions intensity

In FY 2022-23, we obtained ISO 50001 certificates for all
main data centers and developed Nxtra’s Energy Policyin accordance with Energy Management System (EnMS)
guidelines. Pune-2 DC is LEED (BD+C), USGBC certified.
Chennai-2 DC achieved “Gold Certification” from IGBC thisyear. Most upcoming data centers are LEED certified.

Energy Efficiency

FY 2020-21

FY 2021-22

FY 2022-23

CO2 emission by diesel consumption (tCO2e/TB)

48%

Reduction in network diesel emissions intensity(per TB of data) as compared to base year
(FY 2020-21)

FY 2020-21

FY 2021-22

FY 2022-23

CO2 emission by grid electricity consumption (tCO2e/TB)

39%

Reduction in network grid electricity emissions
intensity (per TB of data) as compared tobase year (FY 2020-21)

Network Infrastructure: Includes own tower sites, third-party network sites and MSCs.

To lower our reliance on fossil fuels, we have implemented several energy-saving and emission reduction strategies
throughout our network infrastructure. The following are some of the major initiatives in FY 2022-23:
 A 'Project Green City': Working with our network
infrastructure partners, we are transforming our sites into
eco-friendly ones. 43% of our network sites, including
both owned by Airtel and as well as by partners have beentagged as green sites, consuming less than 100 litres ofdiesel per quarter.
 Hybrid battery bank solutions: To optimise energy
use and lessen our reliance on diesel, we have installed
cutting-edge lithium-ion and VRLA (Valve-Regulated
Lead-Acid) batteries. We have added additional/upgradedbattery banks resulting in saving of 4,112,680 L of diesel
corresponding to emission reduction of ~10,812 tCO2e.
 Site sharing: Through greater use of passive infrastructure,
our site sharing strategy with partners has optimised ourresource use and dramatically decreased carbon emissions.
39% of newly rolled out sites are co-located.

108

Bharti Airtel Limited

 Auto-shutdown in non-peak hours: An auto-resource
shutdown feature has been implemented at more than
1.6L sites, including all 4G sites, thereby reducing energy
requirement during non-peak hours.
 Increasing outdoor Base Transceiver Station (BTS) –We moved 2,496 inside BTS sites outside, which decreased
BTS energy usage.
 We have installed DC air conditioners at our telecom
shelters since they can maintain temperature without
running of DG as these air conditioners run in DC batteries
and hence reducing our emissions.
 AI (Artificial Intelligence) and Machine learningalgorithms are implemented to put to sleep radios of lessload and other cells can take the traffic.

Energy efficiency is crucial for ensuring sustainable
operations of our data centers. We have undertaken
various measures to optimise our data center facilities.
Nxtra targets to attain 10% reduction in PUE by
FY 2024-25, with base year as FY 2020-21. We areworking to accomplish this through energy conservation
measures like deployment of energy-efficient equipment,
innovation in design & technology, operational efficiency
via digitisation and IOT enablement.
Some major initiatives undertaken:
 Optimum lighting: Lighting optimisation through LED
lights and motion sensors across various data centers
saved 88,464 kWh of energy.
 Optimum cooling: Cooling optimisation through the
installation of active tiles, set points management, andair diverters saved 1,984,494 kWh of energy at ourdata centers.
 Cold aisle/Hot aisle containment: Cold aisle/hot aisle
containment at different locations saved 562,070 kWhof energy.
 UPS optimisation and Power Factor (PF) improvement:
UPS and Switched Mode Power Supply (SMPS) optimisation
along with PF improvement at various locations saved
1,648,465 kWh of energy.
 Other Main Switching Centre initiatives: We installed
LED lights, motion sensors, air diverters, active tiles, andblanking panels in our Main Switching Centre sites. In
addition, we installed solutions for temperature, rack,
UPS and SMPS optimisation, cold aisle containment andnatural cooling to reduce energy consumption. These
measures helped us save 9,010,672 kWh of energy in thereporting year.

Out of the total electricity
consumed in our data
centers, 33% comes fromrenewable sources.

Integrated Report and Annual Financial Statements 2022-23

109

Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

Natural Capital

Emission reduction via Renewable Energy (RE) sourcing‘Nxtra by Airtel’ is continually increasing the Renewable
Energy share in the overall energy mix of data
centers via sourcing green energy through open
access and installing on-site solar rooftop plants.
We have increased renewable energy usage at ourown operations from 91,261 MWh in FY 2021-22 to
156,147 MWh in FY 2022-23 sourced through various
green power wheeling agreements and captive solar
rooftop plants.

We have strengthened our green energy footprint withthe commissioning of Solar and Wind power plants invarious states. The captive units with capacity 34 MW
Solar, 13 MW Solar and 1.5 MW Hybrid (Solar + Wind)
were commissioned to supply clean energy in the stateof Tamil Nadu, Karnataka, and Gujarat respectively.
The captive power units have been set up in
partnership with Avaada (Tamil Nadu and Karnataka)and Continuum (Gujarat) to supply clean energy to
Nxtra by Airtel’s large and edge data centers.

Last 5 years Renewable Energy
usage trend for Nxtra
17.82

We deployed solid oxide fuel cell technology to reducecarbon emissions at its data center while unlocking
cost and sustainability benefits. Started the unit on
non-combusted natural gas and will switch to 50%hydrogen in future without any significant investment.
The natural gas-powered cells will be used for primary
generation with utility electrical grid and generators as
backup sources.

8.91

11.25

Nxtra Data Limited has partneredwith Bloom Energy to deploy low
environmental impact fuel cell tech
We have become the first data
center company in India to installsolid oxide fuel-cell technology toprovide clean energy. We partneredwith Bloom Energy to deploy low
environmental impact fuel cell
installation at Karnataka data
center, reducing carbon emissions
through a cleaner, hydrogen readyfuel supply.

(MW)

8.42

8.51

2.42

1.71

1%

9.45
11%

3.13

5.14
19%

58%
8.91

6

6.8

6.32

6.11

FY 2018-19

FY 2019-20

FY 2020-21

FY 2021-22

DC

Green ICT solutions
The IoT-enabled services offered by Airtel
to business customers increase energy
efficiency while reducing the need forcustomer mobility. The connectivity orcomplete end-to-end platform known asAirtel IoT was created to offer cloud andvideo conferencing services. These services
enhance connectivity while lowering fuelconsumption related to travel, preventing
greenhouse gas emissions.

FY 2022-23

MSC

Water efficiency
Water management
At Airtel, we recognise the value of water and advocate
for sustainable methods for its preservation, recycling,
and reuse. Majority of the large facilities are promoting
conservation of water and have installed waste-water
treatment plants to ensure reuse of recycled water for
activities such as gardening. With the aim to achieve 100%
wastewater recycling at all our data centers and become
water positive in near future, all our new data centers
are being designed with ‘zero discharge’ spaces. We are
currently in the process of incorporating IOT for tracking
real time water efficiency (Water Usage EffectivenessWUE), water usage and water quality parameters alongwith revamping our water management infrastructure.

KPI

Units

FY 2022-23

Total water withdrawn

KL284,944*

Water recycled

KL51,412

Water consumed from recycled and harvested sources%~18%**

Note:* Boundary increased to include un-metered facilities, calculated by taking 45 Ltr/per employee/per working day.
** With the above referred increased boundary, % of Water consumed from recycled and harvested sources has reduced. Water from theun-metered facilities is discharged to the building connected water system. From there the water is routed to effluent treatment plant(s),as set up by the landlord or the local authorities outside the operational boundary of the Company.

110

Bharti Airtel Limited

Integrated Report and Annual Financial Statements 2022-23

111

Corporate Overview

Natural Capital

GSMA Metrics

Resource efficiency and waste
management

FY 2022-23

Management Discussion & Analysis

Statutory Reports

Financial Statements

Reporting Boundary: Refer to IR page 4.
S.
No.

Waste management

Topic

Code

KPI

Alignment

AirtelEnvironment

As we transition to a new future to meet the needs of a newgeneration, we try to reduce our resource consumption
and recycle whenever it is practical to do so and replenish
what can be done. Airtel has adopted the 3R approach of
Reduce, Reuse and Recycle to minimise the wastes.

1.

Science-basedtargets

GSMA-ENV-01

1.1	Disclose whether you have set, or have committed
to set, GHG emissions targets that are in line withthe goals of the Paris Agreement - to limit global
warming to well below 2°C above pre-industrial
levels and pursue efforts to limit warming to 1.5°C and to achieve Net Zero emissions before 2050.

Stakeholder
Yes, refer to Natural
Capitalism;
Capital (page 104)
Metrics; TCFD
Recommendations;
CDSB R01, R02,
R03, R04 and R06;
SASB 110; SBTi

2.

Scope 1, 2 and 3
emissions

GSMA-ENV-02

1.2a	Scope 1 and 2 GHG emissions

GRI 305:1-3, TCFD,
GHG Protocol(modified)	i.	Absolute scope 1 and 2 emissions (tonnes
CO2e)	ii.	Absolute scope 1 and 2 emissions (tonnes
CO2e) per 1GB data

1,066,045
0.0000186

Waste generated*(tonnes)Waste recycled**(tonnes)Waste disposed#(tonnes)

E-waste

3,169

3,330

-

Battery waste

3,919

3,781

-

Hazardous

44

44

-

	i.	Absolute scope 3 emissions (tonnes CO2e)5,680,979

3,204

3,600

13

	ii.	Absolute scope 3 emissions (tonnes CO2e)
per 1GB data

0.0001

	iii.	Percentage change in absolute scope 3
emissions since last reporting period

5.30%

Performance FY 2022-23

Other non-hazardous	iii.	Percentage change in absolute scope 1 and 2
emissions since last reporting period
1.2b	Scope 3 GHG emissions* Calculations are based on approximate weight of sample lot items.
** Actual weight of waste sent to authorised recycler(s).

2.34%

3.

Energy consumption

GSMA-ENV-03

1.3a	Total energy consumption

GRI 302-1; SASB
TC-TL-130a.1(modified)

Due to above reasons and closing stock of waste at FY closing which will be processed in due course, waste generated does not tally with
waste recycled and disposed.

	i.	Total energy consumed by the Company inown operations (MWh)# Waste disposed via landlord or municipal waste collection system.

	ii.	Total energy consumed at 3rd party networksites (MWh)7,851,428

	iii.	*Total energy consumed (MWh) per 1GB of
data

0.00017

Promoting a circular economy
We aim to strategically alter the value generation modeland switching from a linear to a circular one. At Airtel, wealways thrive to have a positive impact on ecology andthe environment. By implementing revolutionary digitalprojects across our operations and supply chain throughnew partnerships and collaborations, we are realising our
focus on the circular economy.
We urge and suggest our partners to utilise minimum
amount of packaging materials and look for resources thatare recyclable, hygienic, and protective for the shippingof goods. We encourage all our suppliers and business
partners to reduce waste, recycle, and reuse products.
We have also started several projects with external
Stakeholders to recycle products after use and to stop
value loss by throwing away the products.

1.3b	Network energy consumption
	i.	Total network energy consumed by thecompany in own operations (MWh)1,469,639

	ii.	Total energy consumed at 3rd party networksites(MWh)7,851,428

 Double validation of non-repairable modules, first by astrategic partner and followed by a local agency.

	iii.	**Total network energy consumed (MWh) per
1GB of data

0.00016

 Inter-circle movement of materials to reuse obsoletematerial from one circle into another circle.

	i.	Percentage grid renewable5.21%

	ii.	Percentage grid non-renewable

82.33%In addition, we undertook various initiatives during thereporting year to reduce e-waste, including:

To limit the procurement of virgin materials, Airtel repairs
damaged modules both internally and through outside
repair facilities. All scrap auctions are done via authorised
partners who enable recycling.

112

Bharti Airtel Limited

1.3c Network energy mix (Owned infrastructure) Material handling and packaging capabilities to minimise
damage during transit from sites to warehouses.
4.

Paper waste

Waste generated

GSMAENV-05

	iii.	Percentage off-grid renewable0.14%

	iv.	Percentage off-grid non-renewable12.33%

1.5a	Total waste generated per 1GB of data (tonnes)

GRI 306-3 (modified)

0.00000018

We are using less paper because of the rapid adoptionof digital practices throughout the business ecosystem.
We have replaced physical copies of customer bills withelectronic statements and online payment methods.
KPI

E-waste1,758,548

Paper used
Paper saved through e-bills

FY 2022-23(tonnes)70
4,412

Integrated Report and Annual Financial Statements 2022-23

113

Corporate Overview

Topic

Code

KPI

Alignment

AirtelDigital inclusion
5.

Population coveredby mobile network

GSMA-INC-01

2.1	Percentage of population covered by operator’s
mobile network breakdown by 3G, 4G, 5G

ITU Indicator 2.6

95.88%

6.

Device subscription
and affordability

GSMA-INC-02

2.2a	Cost of the most affordable smartphone, as
percentage of monthly GDP per capita

GSMA
Methodology

Airtel does not sellsmartphones

GRI Standard

8.

Customer data
incidents

Online safetymeasures

GRI 2: General
Disclosures
2021

GSMA-INT-01

GSMA-INT-03

3.1a	Number of data breaches, per million
subscribers

SASB TC-TL-230a.1 Zero(modified)

3.1b	Percentage of data breaches involving PII

Zero

3.1c	Number of customers affected, per million
subscribers

Zero

3.1d	Number of regulatory actions for data protection
violations (e.g., marketing related complaints,
data breaches), per million subscribers

Zero

3.3	Do you have controls or programmes in place
to improve online safety for children and othervulnerable groups? (yes/no)Yes. Refer Airtel
Human rights policy.
X-Safe solution

Supply chain
9.

Sustainableprocurement policy

GSMA-SUP-01

4.1a	Do you have a sustainable procurement policy in ISO 20400:2017
place? (Yes/No)

Yes, available on the
Airtel partner portal

4.1b	If yes, how many of the following elements doesit cover?
	a.	Organisational governance	b.	Human rights

The policy covers all
the elements.

	c.	Labour practices
	d.	Environment	e.	Fair operating practices
	f.	Consumer issues
	g.	Community involvement and development10.

Supplier
assessments

GSMA-SUP-02

4.2a	Percentage of suppliers screened against
the sustainable procurement policy using
company defined and documented assessment
procedure, within the previous two years
4.2b	Percentage of suppliers assessed against thesustainable procurement policy through site
visits, within the previous two years

GRI 308-1; GRI 414- 86%
1 (partially)(Via Self-Assessment
module)Airtel is a memberof Joint Audit
Cooperation (JAC)
which conducts
suppliers’ audit.
JAC Initiative

Note: Intensity has been calculated as: KPI/data traffic in FY 2022-23 in GB*Energy intensity = sum of total energy consumed by the company in own operations and 3 party network sites (MWh)/total data traffic(GB)rd** Network energy intensity = sum of total network energy consumed by the company in own operations and 3rd party network sites (MWh) /total data traffic (GB)We are constantly striving to improve the granularity of our data collection to ensure comprehensive disclosure in the coming years.

114

Financial Statements

Bharti Airtel Limited

Disclosure

Location

Page No.

GRI 2: General Disclosures 2021

Digital integrity
7.

Statutory Reports

GRI Content Index

GSMA metrics
S.
No.

Management Discussion & Analysis

2-1 Organisational details

About the report04

2-2 Entities included in the organisation’s sustainability
reporting

About the report04

2-3 Reporting period, frequency and contact point

About the report04

2-4 Restatements of information

Key Performance Indicators

24

2-5 External assurance

About the report04

2-6 Activities, value chain and other business relationships

Corporate Overview

04

2-7 Employees

Human Capital89

2-8 Workers who are not employees

Human Capital89

2-9 Governance structure and composition

Report on Corporate Governance: Governance Structure201

2-10 Nomination and selection of the highest governancebody

Report on Corporate Governance: Board Membership
Criteria and Selection Process

205

2-11 Chair of the highest governance body

Report on Corporate Governance: Board of Directors

2032-12 Role of the highest governance body in overseeing themanagement of impacts

Report on Corporate Governance: Governance Structure201

2-13 Delegation of responsibility for managing impacts

Report on Corporate Governance: Governance Structure201

2-14 Role of the highest governance body in sustainability
reporting

Report on Corporate Governance: Governance Structure201

2-15 Conflicts of interest

Report on Corporate Governance: Codes, Policies &Frameworks

226

2-16 Communication of critical concerns

Report on Corporate Governance: Stakeholders’Relationship Committee

223

2-17 Collective knowledge of the highest governance body

Board of directors, Report on Corporate Governance: Key
Board skills, expertise and competencies

204

2-18 Evaluation of the performance of the highest governance Report on Corporate Governance: Performance Evaluation
body

206

2-19 Remuneration policies

Report on Corporate Governance: Annexure B: Corporate
Policies237

2-20 Process to determine remuneration

Report on Corporate Governance: Annexure B: Corporate
Policies237

2-21 Annual total compensation ratio

Board's Report: Annexure F

198

2-22 Statement on sustainable development strategy

Corporate Overview: ESG Approach

2-23 Policy commitments

Business Responsibility & Sustainability Report: Section B

152-153

2-24 Embedding policy commitments

Business Responsibility & Sustainability Report: Section B

152-153

2-25 Processes to remediate negative impacts

Management discussion & Analysis: Risk and Mitigation
framework144

2-26 Mechanisms for seeking advice and raising concerns

Business Responsibility & Sustainability Report: Section A

148

2-27 Compliance with laws and regulations

Business Responsibility & Sustainability Report146

2-28 Membership associations

Business Responsibility & Sustainability Report: Principle 7

169

2-29 Approach to stakeholder engagement

Materiality Assessment and Stakeholder Engagement48

2-30 Collective bargaining agreements

Business Responsibility & Sustainability Report: Principle 3158

3-1 Process to determine material topics

Materiality Assessment and Stakeholder Engagement:
Material Issues

48

3-2 List of material topics

Materiality Assessment and Stakeholder Engagement:
Material Issues

48

50

Material Topics
GRI 3: Material
Topics 2021

Integrated Report and Annual Financial Statements 2022-23

115

Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

GRI Content Index
GRI Standard

Disclosure

Location

Page No.

Economic PerformanceGRI 201:
Economic
Performance
2016

Financial Capital

72

201-1 Direct economic value generated and distributed

Financial Statements

240

201-3 Defined benefit plan obligations and other retirement
plans

Financial Statements

240

201-4 Financial assistance received from government

Financial Statements

240

GRI 202: Market 3-3 Management of material topics
Presence 2016 202-1 Ratios of standard entry level wage by gender

Human Capital

88

Business Responsibility & Sustainability Report: Principle 5

164

GRI 204:
3-3 Management of material topics
Procurement
204-1 Proportion of spending on local suppliers
Practices 2016

Social and Relationship Capital98

Social and Relationship Capital100

GRI 205: Anti3-3 Management of material topics
corruption 2016 205-1 Operations assessed for risks related to corruption

Business Responsibility & Sustainability Report

146

Business Responsibility & Sustainability Report: Principle 1

155

205-2 Communication and training about anti-corruption
policies and procedures

Business Responsibility & Sustainability Report: Principle 1

155

205-3 Confirmed incidents of corruption and actions taken

Business Responsibility & Sustainability Report: Principle 1

155

3-3 Management of material topics

Business Responsibility & Sustainability Report146

206-1 Legal actions for anti-competitive behavior, anti-trust,and monopoly practices

Business Responsibility & Sustainability Report: Principle 9172

3-3 Management of material topics

Financial Statements

240

207-1 Approach to tax

Financial Statements

240

207-2 Tax governance, control, and risk management

Financial Statements

240

207-3 Stakeholder engagement and management ofconcerns related to tax

Financial Statements

240

207-4 Country-by-country reporting

Salient features of the financial statement of subsidiaries,
associates and joint ventures for the year ended
March 31, 2021, pursuant to Section 129 (3) of theCompanies Act, 2013

GRI 206: Anticompetitive
Behavior 2016
GRI 207: Tax
2019

Environmental Performance
GRI 302: Energy 3-3 Management of material topics
2016
302-1 Energy consumption within the organisation

Natural Capital

104

Social and Relationship Capital

98

308-1 New suppliers that were screened using environmental Social and Relationship Capitalcriteria

100

GRI 401:
Employment
2016

3-3 Management of material topics

Human Capital88

401-1 New employee hires and employee turnover

Human Capital89

401-2 Benefits provided to full-time employees that are notprovided to temporary or part-time employees

Human Capital88

401-3 Parental leave

Business Responsibility & Sustainability Report: Principle 3157

3-3 Management of material topics

Human Capital

88

403-1 Occupational health and safety management system

Human Capital

96403-2 Hazard identification, risk assessment, and incident
investigation

Human Capital

96403-3 Occupational health services

Human Capital

96403-4 Worker participation, consultation, and communication
on occupational health and safety

Human Capital

96403-5 Worker training on occupational health and safety

Human Capital, Business Responsibility Report: Principle 3

158

403-6 Promotion of worker health

Human Capital, Business Responsibility Report: Principle 3158

403-7 Prevention and mitigation of occupational health andsafety impacts directly linked by business relationships

Human Capital, Business Responsibility Report: Principle 3

159

403-8 Workers covered by an occupational health and safety
management system

Human Capital, Business Responsibility Report: Principle 3

159

403-9 Work-related injuries

GRI 403:
Occupational
Health and
Safety 2018

Business Responsibility & Sustainability Report: Principle 3

160

GRI 404:
3-3 Management of material topics
Training and404-1 Average hours of training per year per employee
Education 2016404-3 Percentage of employees receiving regularperformance and career development reviews

Human Capital88

GRI 405:
Diversityand Equal
Opportunity
2016

107

Natural Capital

107

302-3 Energy intensity

Business Responsibility & Sustainability Report: Principle 6

165302-4 Reduction of energy consumption

Natural Capital

107-109302-5 Reductions in energy requirements of products andservices

Natural Capital

107-109

GRI 406: Nondiscrimination
2016

Natural Capital104

GRI 408: Child
Labor 2016

Natural Capital

111

Natural Capital

111

303-3 Water withdrawal

Natural Capital

111

303-5 Water consumption

Business Responsibility & Sustainability Report: Principle 6

166

Natural Capital

104

Natural Capital107

305-2 Energy indirect (Scope 2) GHG emissions

Natural Capital107

305-3 Other indirect (Scope 3) GHG emissions

Natural Capital107

305-4 GHG emissions intensity

GSMA Metrics

113

305-5 Reduction of GHG emissions

GSMA Metrics

113

305-7 Nitrogen oxides (NOx), sulfur oxides (SOx), and othersignificant air emissions

Business Responsibility & Sustainability Report: Principle 6

166

GRI 306: Waste 3-3 Management of material topics
Natural Capital
2020
306-1 Waste generation and significant waste-related impacts Natural Capital

116

104
112

306-2 Management of significant waste-related impacts

Natural Capital

112

306-3 Waste generated

Natural Capital

112

306-4 Waste diverted from disposal

Natural Capital

112

306-5 Waste directed to disposal

Natural Capital

112

Bharti Airtel Limited

Page No.

3-3 Management of material topics

Natural Capital

GRI 305:
3-3 Management of material topics
Emissions 2016 305-1 Direct (Scope 1) GHG emissions

Location

GRI 308:
Supplier
Environmental
Assessment
2016

302-2 Energy consumption outside of the organisation

GRI 303: Water 3-3 Management of material topics
and Effluents
303-1 Interactions with water as a shared resource2018
303-2 Management of water discharge-related impacts

Disclosure

Social Performance

3-3 Management of material topics

compared to local minimum wage

GRI Standard

Human Capital

94

Business Responsibility & Sustainability Report: Principle 3158

3-3 Management of material topics

Human Capital

88405-1 Diversity of governance bodies and employees

Human Capital, Report on Corporate Governance: Board of 92, 203
Directors

405-2 Ratio of basic salary and remuneration of women tomenBusiness Responsibility & Sustainability Report: Principle 5164

3-3 Management of material topics

Business Responsibility & Sustainability Report

146406-1 Incidents of discrimination and corrective actions taken Business Responsibility & Sustainability Report: Principle 5165

3-3 Management of material topics

146

Business Responsibility & Sustainability Report408-1 Operations and suppliers at significant risk for incidents Business Responsibility & Sustainability Report: Principle 5,of child labor
Human Capital165

GRI 409: Forced 3-3 Management of material topics
Business Responsibility & Sustainability Reportor Compulsory 409-1 Operations and suppliers at significant risk for incidents Business Responsibility & Sustainability Report: Principle 5,
Labor 2016
of forced or compulsory labor
Human Capital146

GRI 413: Local
Communities
2016

165

3-3 Management of material topics

Corporate Social Responsibility

62413-1 Operations with local community engagement, impact
assessments, and development programs

Corporate Social Responsibility

62413-2 Operations with significant actual and potential
negative impacts on local communities

Corporate Social Responsibility

62

3-3 Management of material topics

Social and Relationship Capital

98

414-1 New suppliers that were screened using social criteria

Social and Relationship Capital100

GRI 415: Public 3-3 Management of material topics
Policy 2016415-1 Political contributions

Financial Statements

240

Financial Statements

240

GRI 418:
CustomerPrivacy 2016

3-3 Management of material topics

Business Responsibility & Sustainability Report

146418-1 Substantiated complaints concerning breaches ofcustomer privacy and losses of customer data

Business Responsibility & Sustainability Report146

GRI 414:
Supplier Social
Assessment
2016

Integrated Report and Annual Financial Statements 2022-23

117

Corporate Overview

Assurance Statement
To
Bharti Airtel Limited
Plot no. 16, Phase IV
Sector 18
Gurugram, Haryana 122015
Independent Assurance Statement on sustainability
disclosures in the Integrated Report and Annual
Financial Statements 2022-23

Introduction and objective of engagement
Bharti Airtel Limited (the ‘Company’) has developed
its Integrated Report and Annual Financial Statements
2022-23 (the ‘Report’) based on the applicable accounting
standards and has incorporated the principles of theIntegrated Reporting (<IR>) Framework published by
the International Integrated Reporting Council (IIRC). Its
sustainability performance reporting criteria have been
derived from Business Responsibility and Sustainability
Reporting (BRSR) framework based on National Guidelines
on Responsible Business Conduct (NGRBC), AccountAbility’s AA1000AP 2018 (Principles of Inclusivity,
Materiality, Impact and Responsiveness), Global Reporting
Initiative (GRI) Standards, and Greenhouse Gas (GHG)
Protocol– A Corporate Accounting and Reporting Standard.
BDO India LLP was engaged by the Company to provide
independent assurance on its sustainability disclosuresin the Report that includes the Company’s sustainability
performance for the period April 1, 2022 to March 31, 2023.

Respective responsibilities
The Report content and its presentation are the sole
responsibilities of the management of the Company.
The Company management is also responsible for thedesign, implementation, and maintenance of internal
controls relevant to the preparation of the Report, sothat it is free from material misstatement.
BDO’s responsibility, as agreed with the managementof the Company, is to provide assurance on the Reportcontent as described in the ‘Scope of assurance andmethodology’ section below. We do not accept or assume

BDO India LLP
The Palm Springs Plaza
Office No. 1501-8, 15th Floor
Sector-54, Golf Course Road
Gurgaon-122001, Haryana
India

any responsibility for any other purpose or to any otherperson or organisation. Any reliance a third party may
place on the Report is entirely at its own risk.

Assurance standard
The assurance process was conducted in line withthe requirements of the AA1000 AS v3 (2020)
Type 2 assurance1. We applied a moderate2 levelof assurance.

Scope of assurance and methodology
The scope of assurance engagement was limited toreview of sustainability data and information in the Report,
pertaining to the Company’s performance for the period
April 1, 2022 to March 31, 2023 (including the BRSR sectionin the Report and data relevant for CDP disclosure).
The sustainability disclosures covered in our sample review
included: Energy Consumption; Water Consumption; Waste
Generation; GHG Emissions (Scope 1, Scope 2 and Scope3) and Employee Training and Education.
We conducted review and verification of data collection,
collation and calculation methodologies and general reviewof the logic of inclusion/ omission of relevant information/
data in the Report. Our review was limited to:Evaluating the appropriateness of the quantification
methods used to arrive at the sustainability disclosurespresented in the Report.



Review of consistency of data/information within thereport as well as between the report and source.

Execution of an audit trail of claims and data streams,
on selective basis, to determine the level of accuracy incollection, transcription, and aggregation.



Review of sustainability data collection andmanagement procedures.

Limitations of our engagement
The assurance scope excludes:
 Data and information outside the defined reporting period(April 1, 2022 to March 31, 2023).

1T ype 2 Assurance: an engagement in which the assurance provider gives findings and conclusions on the principles of Inclusivity, Materiality,
Impact and Responsiveness, and verifies the reliability of specified sustainability performance information AA1000ASv3 (2020) Standard.

2

 moderate level of assurance as per AA1000AS v3 (2020) Standard is commensurate with “limited” assurance as defined in the
A
International Standard on Assurance Engagements (ISAE) 3000.

118

Bharti Airtel Limited

Management Discussion & Analysis

Statutory Reports

 Review of the ‘economic and/or financial performanceindicators’ included in the Report which, we have been
informed by the Company, are derived from the Company’s
audited financial records.



Financial Statements

Materiality:	We noted that the Company has listed the material
topics in the Report. Nothing has come to our attention
that causes us to believe that any material topic has
been excluded from the Report of the Company.

 The Company's statements that describe expression of
opinion, belief, inference, aspiration, expectation, aim or
future intention.

Responsiveness:

As agreed with the Company, data assurance was done
through remote assessments using appropriate webenabled tools. We did not conduct physical verification at
locations or offices of the Company. Audit trails and review
were conducted through remote discussion with officials of
the Company and gathering of evidence on sample basis.

	We are not aware of any matter that would lead
us to believe that the Company has not applied
the responsiveness principle for dealing withstakeholders (such as customers, suppliers, andlocal communities) on material topics covering
its sustainability performance, including climate
related risks and opportunities.

Our assurance team and independence

BDO India LLP is a professional services firm providing
services in Advisory, Assurance, Tax and Business Services,to both domestic and international organisations acrossindustry sectors. Our non-financial assurance practitioners
for this engagement are drawn from a dedicatedSustainability and ESG Team in the organisation. This teamcomprises of multidisciplinary professionals, with expertise
across the domains of sustainability, global sustainability
reporting standards and principles, and related assurance
standards. This team has extensive experience in
conducting independent assurance of sustainability data,systems and processes across sectors and geographies.
As an assurance provider, BDO India LLP is required tocomply with the independence requirements set out inInternational Federation of Accountants (IFAC) Code of
Ethics for Professional Accountants. Our independence
policies and procedures ensure compliance with the Code.

Impact:	We are not aware of any matter that would lead us
to believe that the Company does not monitor andmeasure and is not accountable for how their actions
affect their stakeholder universe.


Reliability of sustainability performance information:

	We have reviewed the sustainability information in
the Report including Energy Consumption; Water
Consumption; Waste Generation; GHG Emissions(Scope 1, Scope 2 and Scope 3) and Employee
Training and Education. Nothing has come to ourattention that causes us not to believe that thedata has been presented fairly, in material respects,
in keeping with the <IR> Framework and theCompany’s reporting principles and criteria.
For BDO India LLP

Our observations
The sustainability disclosures of the Company as defined
under the scope of assurance are fairly reliable. The
Company has applied considerable efforts to ensure
consistency of data for this Report; however, the Company
may continue to improve robustness of its data collection
and collation process.

Our conclusion

Dipankar Ghosh
Partner & Leader | Sustainability & ESG
Business Advisory Services
Gurugram, Haryana
July 29, 2023

Based on the scope of our review, our conclusions are
outlined below:Inclusiveness:	We are not aware of any matter that would lead
us to conclude that the Company has not applied
the principle of inclusivity in engaging with key
stakeholder groups. The Company transparently
disclosed its stakeholder engagement approachand activities in the Report.

Integrated Report and Annual Financial Statements 2022-23

119Corporate Overview

Management
Discussion& Analysis

Management Discussion & Analysis

Statutory Reports

Financial Statements

Management Discussion & Analysis

Overview
The telecom sector is the backbone
of India’s digital economic growth.
Telecom operators are investingheavily to contribute towards the
Indian Government’s vision of making
the nation a trillion-dollar digital
economy.
During FY 2022-23, telecom operators acquired 5G
spectrum in the auction and subsequently pressed thepedal for a fast-paced rollout amid global supply chain
challenges around chipset availability. During the year,
the Indian Department of Telecom relaxed spectrum
usage charges, which enabled the operators to ploughback the resultant savings as investments into thebusiness for fast-paced 5G deployment. However, thetelecom industry continues to be highly taxed.

ended FY 2022-23 with monthly transacting user base of~55 million, up 49% from the year-earlier period. The total
user base also expanded by ~34 million to ~164 million
during the same period.

Telecom operators are rolling out 5G services at a fastpace, keeping in mind medium-to-long-term prospects ofmonetisation. At the current juncture, 5G use cases are
far and few in both B2C and B2B segments. Bharti Airtel
continued with its focus on working with enterprises
across industries to develop specific use cases. During lastyear, Airtel demonstrated the power of 5G with a host of
powerful use cases that will change the way customers
lead their lives and do business. From India’s first live 5G
network in Hyderabad to India's first private 5G networkat the BOSCH facility in Bengaluru to partnering with
Mahindra & Mahindra to make its Chakan manufacturing
facility, India’s first 5G enabled auto manufacturing unit,
Airtel has been at the forefront of 5G innovation.

Airtel has built a comprehensive portfolio of digitalofferings, which include Airtel Payments Bank, Airtel IQ(CPaaS), Wynk (music streaming), Xstream, Airtel Finance,
and Airtel Ads. During the year under review, it launchedco-branded credit card in partnership with Axis Bank andrecorded a healthy offtake within a short span of time.
Airtel launched 5G Plus services during the second halfof FY 2022-23; it is live in 3,500+ cities. The Company
targets to cover all the urban areas and a few pockets
of rural India with 5G services by March 2024. Airtel’s
5G Plus offers up to 30x faster download speeds than4G. 5G handset ecosystem is gradually evolving withmore choices for customers at affordable price points.
Given the technological advancement through 5G, theemergence of B2B use cases is expected to play a criticalrole for enterprises over the foreseeable future. Airtel ischannelising investments towards building 5G capabilities
to capitalise on these impending opportunities.

The Company remained on course to execute its strategy
of winning high-value customers, premiumising theportfolio with bundled offerings, enhancing customer
experience through extensive use of digital tools, andinvesting in future-ready digital networks. This resulted
in an all-time-high market share across the businesssegments. The mobile segment registered strong
operating performance with continued RMS gains.
Airtel Business recorded robust revenue growth, backed
by core data connectivity offerings, next-generation
connectivity innovations and re-engineered GTM strategy.
The Homes Business saw all-time high net customer
additions of 1.6 million, driven by market share gains andnetwork expansion to newer locations. Digital TV (DTH),
continued with customer market share gains amid industry
level challenges.
Given the elevated capex spending towards rolling out newtechnologies and maintaining large networks, tariff revision
is inevitable to create a healthy competitive landscape overthe long term and recover the cost of capital.

The Digital Business remained on an upward trajectory withdelivering new highs backed by an increase in active userbase and customer engagements. Airtel Payments Bank

Airtel, with its future-ready mindset, has made meaningful
investments towards creating digital infrastructure.
Offerings to both B2C and B2B customers cater to theirever-growing digital needs, and brilliant experience to maketheir journey simpler on our network. To achieve this, theCompany has built in-house capabilities/platforms andpartnered with the leading companies around the world
including Amazon, CISCO, Ericsson, Google, IBM, Intel,
Meta, Microsoft, Nokia, Oracle, Qualcomm, Netflix and
Hotstar, among others.

Global shortages on chipset availability led to inflationary
conditions for smartphone prices and in turn, hampered
the growth prospects of the telecom industry. As per IDC*,
smartphone shipments in India declined by 10% in CY
2022. Despite these challenges, the Company was able toadd more than 23 million 4G customers in FY 2022-23.

* International Data Corporation smartphonemarket, India 2022: Link

120

Bharti Airtel Limited

Integrated Report and Annual Financial Statements 2022-23

121

Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

Management Discussion & Analysis

Economic Review2
The global economy was impacted by various factors
in 2022, which included monetary policy tightening totame high inflation, slowing growth, and the ongoing
Russia-Ukraine conflict. China continued with its stringent
Zero Covid policy, which weighed on growth. However, theearlier-than-expected reopening of the Chinese economy in
the third quarter paved the way for a faster-than-expected
recovery. Despite these headwinds, several economies
including the US, Europe, and major emerging markets anddeveloping economies witnessed growth momentum inthe third quarter of 2022. Global economic output clocked
growth of 3.4% in 2022, with advanced economies growing
at 2.7%. Emerging market economies outpaced global
growth with 4.0%.
It is evident that monetary policy tightening has started tocool off demand and inflation, though its full impact will be
realised in the quarters to come. Global headline inflation
peaked in the third quarter of 2022, and easing since then,reflected in the decline in energy and food prices. Prices offuel and non-fuel commodities have moderated, lowering
headline inflation notably in the US, Europe and Latin
America. Core inflation is expected to moderate gradually
in 2023.
Inflation and monetary tightening resulted in hardeningof yields across the globe and had an adverse impact
on equity capital outflows from most of the economies
across the globe into the US market. Unlike in thepast, capital outflows were not restricted to emerging
markets, given their relatively high vulnerabilities, or theperception thereof; advanced economies also witnessed
capital outflows.

2
3

Bharti Airtel Limited

2021

2022

2023 (P)World output

Advanced economies

Emerging market and developing economies

China

India

Sub-Saharan Africa

4.2

6.3

4.5

4.2

1.4

3.0

3.6

5.9

5.2

3.9

1.3

2.8

3.9

6.8

3.0

4.0

2.7

3.4

9.1

4.8

8.4

6.9

(%)

2024 (P)Indian Economy
The Indian economy demonstrated strong resilienceamid global headwinds from monetary policy tightening,slowing growth and commodity price volatility. GDP growthfor FY 2022-23 stood at 7.2%, the fastest among major
economies, predominantly led by capital formation andprivate consumption.

Outlook3
The IMF projects global economic growth tomoderate to 2.8% in 2023 from 3.4% in 2022,
which is below the historical (2000-19) annual
average of 3.8%. Global growth is expected tobottom out in 2023, with recovery starting from2024. Inflation will ebb gradually, comparedto earlier estimates. Supply chain challenges,
food and energy disruptions, arising out of the
Ukraine-Russia conflict are receding.
The subdued growth projections for 2023 reflects
the continued rise in central bank rates to tameinflation, especially in advanced economies. Notably,
emerging markets and developing economies
are powering ahead with signs of considerable
improvement in growth rates. Global headline
inflation is set to fall in 2023 on the back of lower
commodity prices, but underlying core inflation is
likely to decline at a slow pace.

IMF World Economic Outlook April 2023: https://www.imf.org/en/Publications/WEO/Issues/2023/04/11/world-economic-outlook-april-2023
IMF World Economic Outlook April 2023: https://www.imf.org/en/Publications/WEO/Issues/2023/04/11/world-economic-outlook-april-2023

122

Global growth trend
5.4

Despite the fast-paced 5G rollout and ongoing network
expansion, the Company remains committed to its
Environmental, Sustainability and Governance (ESG)
framework. To further strengthen its focus on sustainability
and support India’s global leadership role, Airtel joined
the WEF initiative – Alliance of CEO Climate Leaders India.
The Alliance aspires to serve as a high-level platform forbusiness leaders to support concrete plans and ideas tostep up India’s climate action and green transition efforts.
We also have a robust safety and diversity agenda. Airtel
maintains the highest standards of governance backed byfull transparency and disclosures.

6.3

The Company’s War on Waste (WoW) programme enables
it to build upon efficiencies every year. In a nutshell,
operational excellence and WoW benefits translated tohealthy operating free cash flows. Last year, the Company
acquired 5G spectrum and prudently paid the charges
for the four years upfront. Its investment in spectrum
purchase was backed by judicious capital allocationconsidering future needs and deploying the most widelyused technology architecture giving the best coverage andexperience at the lowest cost. During FY 2022-23, Airtel
stepped up its investments with the deployment of 5G
and rural expansion. The Company will continue to focus
on adequate capital investments to grow its business andfocus on deleveraging its Balance Sheet.

In the latest Budget estimates, the Central Government
pegged a 37.4% increase in capital expenditure
FY 2023-244. Balance sheets of Indian corporates
and public sector banks are healthy, pointing towards
an imminent rise in private capex.

India’s economic growth in FY 2022-23 was supported
by private consumption and capital formation. The
improvement in private consumption provided a boost
to production, leading to enhanced capacity utilisation
across key sectors. During the year, collective measuresby the RBI and the Indian Government eased inflationarypressures, and brought inflation within the upper quartileof the RBI’s tolerable range.

Outlook5
The IMF projects the Indian economy to grow by
5.9% in FY 2023-24. Indian economic growth isexpected to display resilience and will remain one of
the fastest-growing major economies in the world,
driven by domestic demand and a pickup in capital
investment. The recent deceleration in inflation print
is a silver lining for the economy.

India’s growth will be propelled by strong private
consumption and investment cycle, backed byfavourable government policies in key sectors likemanufacturing, transport, infrastructure and logistics.

4 
Ministry of Finance, PIB, Press Release, Link
5
	
IMF World Economic Outlook April 2023: https://www.imf.org/en/Publications/WEO/Issues/2023/04/11/world-economic-outlook-april-2023

Integrated Report and Annual Financial Statements 2022-23

123Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

Management Discussion & Analysis

Amid global challenges to economic growth, India is
expected to be better positioned, with the highest GDP
growth estimates among the large economies. According
to the IMF, the impact of the Russia-Ukraine conflict has
been less severe than initially envisioned. Monetary policy
interventions are expected to further cool off global inflationin 2023, but headwinds around slowing growth continue tosurface. In India, growing telecom and internet penetration,
coupled with the Indian Government’s focus on developing
digital infrastructure, has laid a strong foundation for a digital
economy. Users (individuals and corporates) are growing
businesses efficiently and becoming globally competitive
through the use of data and digital tools built around thesame. Online marketplaces are experiencing relentless
growth across sectors, indicating the overall change in
consumer behaviour. It is validated by the massive adoptionof the Unified Payments Interface (UPI)7, which enabledaround 9.0 billion monthly transactions with a total value
exceeding D1.4 Tn in April 2023.
The telecom industry is playing a significant role inmaking India a trillion-dollar digital economy, backed byits continuous investments in expanding networks andimproving coverage. Operators are also expanding network
coverage across rural India and bridging the economic/
digital divide.
Customer data needs to continue to evolve with the risein data usage, which is one of the highest per customer
per month globally. To recoup investments and maintain ahealthy competitive scenario, telecom tariffs need to inch
higher from the current levels.

Rising demand for data with multiple connected devices
in homes is creating strong headroom for growth inhigh-speed wireline broadband. According to Counterpoint
Research8, Smart TV shipments grew 28% in 2022,
accounting for 90% of total TV shipments. Favourable
demographics, increasing urbanisation and nuclearisation,
and a wide range of use cases are opening growth avenues
for high-speed internet.

Over the last few years, the Indian Telecom
market has seen major consolidation with threeprivate players and one government-owned
entity. India’s total telecom user base stood at
1,172.34 Mn as on March 31, 2023, growing
marginally. Tele-density was pegged at 84.51%
as on March 31, 2023; urban tele-density stoodat 133.81%, whereas the rural tele-density stoodat 57.71%.
Among the service areas excluding metros,
Kerala has the highest tele-density (122.13%),
followed by Himachal Pradesh (119.69 %),Punjab (115.31%), Tamil Nadu (103.46%),
Maharashtra (101.96%), Karnataka (101.91%),
Andhra Pradesh (92.93%) and Gujarat (92.58%).
Among the metros, Delhi tops the list with
273.67% tele-density. On the other hand, service
areas such as Bihar (55.23%), Uttar Pradesh(66.12%), Madhya Pradesh (66.73%) and Assam(70.72 %) have comparatively low tele-density.
The wire-line customer base stood at
28.41 million at the end of March 31, 2023
vis-à-vis 24.84 million in the previous year.

90.11

FY 2018-19

87.37

FY 2019-20

(MW)

1,172

Outlook

Indian Telecom sector

Networks diesel emissions intensity
1,167

The World Bank forecasts economic growth tofurther slow to 3.1% in 2023, before a moderate
uptick to 3.7% and 3.9% in 2024 and 2025,
respectively. However, growth conditions
remain insufficient to reduce extreme poverty
and boost prosperity in the medium-to-longterm. Non-resource-rich countries are expected
to perform better, driven by gains from lower
import bills and expansion in services.

Industry Overview

1,201

Among the 10 largest economies in Sub-SaharanAfrica, which represent more than three-quarters of
the region’s GDP, eight are growing at rates below theirlong-term average. International support in resolving theongoing challenges, including food, security and green
energy transition, should play a critical role in improving
prospects and prosperity.

Outlook

1,178

The Sub-Saharan Africa economy registered a slower
growth of 3.6% in 2022 vis-à-vis 4.1% in 2021, according
to the World Bank . The slowdown was due to persistentturmoil in the global economy, declining yet high inflation,and challenging global and domestic financial conditions
amid high levels of debt. Rising food and energy prices
continued to impact the vulnerable population.

1,184

African Economy6

88.17

84.88

84.51

FY 2020-21

FY 2021-22

FY 2022-23

Customer Base (Mn)Tele Density (%)(Source: Telecom Regulatory Authority of India report as on March 31, 2023)

The Enterprise offerings are transitioning fast fromservices to products and solutions and beyond coreconnectivity–Cloud, data centers, security, managed
services, SD-WAN and CPaaS, among others, which
are expected to see strong acceleration going ahead.
The Company has accelerated its 5G rollout and is
working closely with enterprises to develop use casesand eventually create a revenue stream to monetise
5G investments. To enhance productivity and capitalefficiency, under ‘One Transport’ strategy, fiber is efficiently
planned and shared across our businesses–Mobility, B2B
and Homes. This enables the Company to forecast andpredict demand across all its businesses and drive prudent
planning for expansion. It is investing heavily to build afuture-ready digital network and it is well-positioned tobenefit from growth avenues across its business streams.
Africa provides strong growth opportunities overthe medium-to-long term, supported by favourable
demographics. As a result, the Company foreseesfavourable growth potential across all revenue
streams–voice, data mobile and Airtel Money.

6 World Bank, https://www.worldbank.org/en/region/afr/overview
7	National Payment Corporation of India, https://www.npci.org.in/what-we-do/upi/product-statistics
8	Counterpoint research, https://www.counterpointresearch.com/india-smart-tv-shipments-q4-2022

124

Bharti Airtel Limited

Integrated Report and Annual Financial Statements 2022-23

125Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

Management Discussion & Analysis

Airtel Africa’s Services and Network

territory for all types of satellite systems for which
the government has given permission. No frequency
spectrum shall be assigned to the SESG licensee.
SESG license may provide satellite-based resources toany entity, which holds a license/permission granted
by DoT or MIB.

Africa is one of the world’s fastest-growing regions interms of population and urbanisation. A young andgrowing population, an expanding urban middle class,limited infrastructure, and people’s need to connect witheach other and with local and global economies: thesefactors are all driving ever-increasing demand for data,
mobile voice, and mobile money services across subSaharan Africa.

F.	DoT issued an addendum regarding the allotment of
MWA/MWB carriers to TSPs. As per the same, DoT
has decided to increase the limit of the maximum
number of Microwave Access carriers that can be
assigned to a TSP with access service authorisationfrom the existing 4 carriers (In Metro/Cat ‘A’ LSA)/3
carriers (Cat ‘B’ and ‘C’ LSA) to 8 carriers (InMetro/Cat ‘A’ LSA)/6 carriers (Cat ‘B’ and ‘C’ LSA)
w.e.f. July 25, 2022.

Mobile networks are the primary source of voice and dataservices in much of our region, where landline and fixed
broadband infrastructures are limited or, in many places,
non-existent. That means mobile telecom is a criticalresource, essential to people’s daily lives, to businesses,
and to community and state service providers. Mobile
connectivity remains low relative to other markets. By
expanding and improving our networks, we help drive thetrend of strengthening local infrastructures and winningand retaining customers. Digitisation will be at the heartof Africa’s future growth, and our region is already seeing
a rapid expansion of data usage, despite relatively low
smartphone penetration.

The year saw several regulatory changes and developments. The significant regulatory changes were:India

B.	DoT issued guidelines on Spectrum Usage Charge
which defined that no SUC shall be charged on
spectrum acquired through auctions held after
September 15, 2021 in different access bands.
The weighted average rate of SUC will include thespectrum acquired in the 2022 auction (including
5G), with the rate assigned as ‘0’. This will ensure asignificant reduction in SUC pay-out based on thequantum of spectrum acquired by operators in 3.3
GHz and 26 GHz bands. The earlier condition of aminimum 3% weighted average SUC rate and SUC
floor amount was also removed from the revised
guidelines. Reduced weighted average rates of
SUC for Access Spectrum became applicable from
August 17, 2022.

126

Bharti Airtel Limited

H.	Ministry of Electronics and Information Technology
released a new draft of the proposed personal dataprotection legislation called the Digital Personal Data
Protection Bill, 2022. The Bill is the fourth iterationof the proposed data protection framework. Airtel
submitted its response on various aspects of the billsuch as definition clarity, prospective applicability,
data localisation, adopting the best global practices
and phased implementation. The Bill has been
approved by the Cabinet and is expected to be tabledin the monsoon session of Parliament.

AfricaNigeria 2,100MHz license renewal

Development in regulations

A.	The 5G auction held during July 2022 witnessed
active interest from all participants towards the
spectrum bands allocated for 5G, with players
acquiring a large chunk of spectrum in the 3,300 MHz
and 26 GHz bands. The acquisition of 5G spectrum,
coupled with the Government’s encouraging stanceis projected to support the rapid rollout of 5G services
in the country. Post the successful auction of 5GSpectrum, DoT allotted the spectrum on August 17,
2022 to all the operators.

G.	TRAI directions curbing Unsolicited Commercial
Communications: TRAI issued directions to Access
Providers to stop the misuse of Headers and Message
Templates, and to curb unauthorised promotions
using telecom resources under TCCCPR- 2018 on
February 16, 2023.

C.	DoT also allotted E-band carriers for backhaul
purposes on August 17, 2022 on a pan-India basis.
For each E-band carrier of 250 MHz paired bandwidth,
spectrum charges are pegged at @0.15% of AGR in
the interim period till pricing is decided finally.
D.	
On November 18, 2022, TRAI issued recommendations
on ‘Regulatory Framework for Promoting Data
Economy Through Establishment of Data Centers,Content Delivery Networks, and Interconnect
Exchanges in India’. TRAI recommended rollingout fiscal and non-fiscal incentives to bring out
Data Centers Incentivisation Schemes (DCIS) for
establishing DCs and DC parks wherein the Central
Government should prepare guidelines listing the
incentives (land/capital/interest subsidy) for DC/DC
park operators and to implement a national level DC
readiness index (DCRI) to rank Indian states.
E.	On November 29, 2022, TRAI issued
Recommendations on ‘Licensing framework forestablishing and operating Satellite Earth Station
Gateway (SESG)’. TRAI recommended introducing aseparate SESG license which will not be part of the UL
license. SESG license will work anywhere within Indian On May 9, 2023, Airtel Africa’s subsidiary, Airtel Networks
Limited (‘Airtel Nigeria’), made a payment of NGN58.7 Bn($127.4 Mn), to the Nigerian Communications Commission(NCC), to renew its 2x10MHz 2,100 MHz spectrum licence.
Once renewed, the licence will be valid for a period of
15 years following the expiry of the previous licence(April 30, 2022).

Nigeria 4G and 5G spectrum acquisition
 In January 2023, Airtel Africa’s subsidiary, Airtel Networks
Limited (‘Airtel Nigeria’) purchased 100 MHz of spectrum
in the 3,500 MHz band and 2x5 MHz of 2,600 MHz fromthe Nigerian Communications Commission (NCC) for agross consideration of $317 Mn, paid in local currency.
This additional spectrum will support investments in
network expansion for both mobile data and fixed wirelesshome broadband capability, including 5G rollout, providing
significant capacity to accommodate our continued
strong data growth in the country.

Other spectrum acquisitions
 In October 2022, Airtel Tanzania plc purchased 110 MHz
spectrum spread across the 2,600 MHz (2 blocks of
2x15MHz) and 3500 MHz bands from the Tanzania
Communications Regulatory Authority (TCRA) for agross consideration of $60 Mn.
 Airtel Zambia purchased 60 MHz of additional spectrum in
October 2022 spread across the 800 MHz and 2,600 MHz
bands from the Zambia Information and Communications
Technology Authority (ZICTA), for a gross consideration of$29 Mn, payable in local currency. Further, Airtel Zambia
acquired an additional 40 MHz of spectrum in the 2,600
band for $12 Mn in November 2022
 In July 2022, Airtel Kenya Networks Limited purchased
60 MHz of additional spectrum in the 2,600 MHz bandfrom the Communications Authority of Kenya, for a grossconsideration of $40 Mn, for a period of 15 years.
 Airtel DRC purchased 58 MHz of additional spectrum,
spread across 900 MHz, 1,800 MHz, 2,100 MHz and
2,600 MHz bands, for a gross consideration of $42 Mn
in June 2022. The licence for paired spectrum in the
2,100 MHz band comes up for renewal in September 2032.
All the other licences continue until July 2036.

Uganda listing obligation
 Under Article 16 of Uganda’s National Telecom Operator(‘NTO’) licence, Airtel Uganda limited is obliged to comply
with the sector policy, regulations and guidelines requiring
the listing of part of its shares on the Uganda Stock
Exchange. The current Uganda Communications (Fees &Fines) (Amendment) Regulations 2020, creates a public
listing obligation for all NTO licensees, and specifies that
20% of the shares of the operator must be listed within two
years of the date of the effective date of the licence. This
imposed a listing requirement by December 15, 2022 on
Airtel Uganda. In April 2022, the Company applied for an
extension of time to list the shares, which was granted by
the Regulator thereby extending the deadline to December
16, 2023. Preparatory steps are underway by Airtel Uganda
and its advisors to comply with this deadline.

Integrated Report and Annual Financial Statements 2022-23

127Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

Management Discussion & Analysis

NIN: SIM linkage implementation in Nigeria
 Following a directive issued by the NigerianCommunications Commission (NCC) on December 7,2020 to all Nigerian telecom operators, all our customers
were required to provide their valid National Identification
Numbers (NINs) to update SIM registration records, with afinal deadline of March 31, 2022.

 In April 2022, the voice services for 13.6 million customers
were barred due to non-submission of NIN information.
As of March 2023, 6.4 million customers (47%) havesubsequently submitted their NINs and 3.5 million
customers (26%) have been fully verified and unbarred.

Consolidated figures

Gross revenue
EBITDA before exceptional items
Interest, Depreciation & Others before exceptional items
Profit before exceptional items and tax
Profit before tax
Tax expense
Profit for the year
Earnings per share from continuing anddiscontinued operations (In D / USD)FY 2022-23

FY 2021-22

D Mn

USD Mn*

D Mn

USD Mn*1,391,448
717,330
545,025
172,305
165,606
42,73383,45914.80

17,313
8,925
6,781
2,144
2,061
532
1,038
0.18

1,165,469
581,103473,258
107,845
124,831
41,77942,5497.67

15,673
7,815
6,364
1,450
1,679
562
572
0.10

Standalone figures

Gross revenue
EBITDA before exceptional items
Interest, Depreciation & Others before exceptional items
Profit before exceptional items and tax
Profit before tax
Tax expense
Profit for the year
Earnings per share (In D / USD)FY 2022-23

FY 2021-22

D Mn

USD Mn*

D Mn

USD Mn*847,201
441,477
386,02055,457
12,693
13,589(896)(0.16)

10,541
5,493
4,803
690
158
169
(11)
(0)

707,950
351,943
374,404(22,461)(42,557)(3,920)(38,637)(6.96)

9,521
4,733
5,035
(302)
(572)
(53)
(520)
(0)

Capex Productivity%

Opex Productivity%

Interest Coverage Ratio

Times

EBITDA Margin%

Net Profit Margin%

Return on Shareholders’ Equity %FY2022-23

53.77
32.39
5.01
2.75
51.55
6.0
11.58

FY Y-o-Y
2021-22
%

50.26
33.00
4.36
2.41
49.86
3.7
6.78

4
-1
65
34
2
2
4.8

Liquidity & Funding and Ratings

Consequently, EBIT for the year was D352,229 Mn, an
increase of 41.7%, resulting in a margin of 25.3% vis-à-vis
21.3% in the previous year.

As on March 31, 2023, the Company had cash and cash
equivalents of D71,794 Mn and short-term investmentsof D47,045 Mn. As on March 31, 2023, the Company
generated an operating free cash flow of D375,384 Mn.
The consolidated net debt excluding lease obligations
for the Company stands at D1,526,508 Mn compared toD1,235,439 Mn in the previous year. Consolidated net debt
for the Company including the impact of leases stood at
D2,131,264 Mn as on March 31, 2023. The Net Debt-EBITDA
ratio (USD terms LTM), including the impact of leases as
on March 31, 2023, was 2.90 x as compared to 2.70x as on
March 31, 2022. The Net Debt-Equity ratio was at 2.7x as on
March 31, 2023, as compared to 2.41 x as on March 31, 2022.

Net finance costs at D187,444 Mn were higher by
D23,609 Mn compared to the previous year, largely due
to exchange rate fluctuations and interest on FLO.
Consequently, the consolidated profit before taxes
and exceptional items was D172,305 Mn compared toD107,845 Mn for the previous year.

After accounting for exceptional items and Minority
Interest, the resultant consolidated net profit for theyear ended March 31, 2023, came in at D83,459 Mn as
compared to a net profit of D42,549 Mn in the previous year.
The capital expenditure for the financial year ending
March 31, 2023 was D341,947 Mn.

Units

Net Debt to Shareholders’ Equity Times

Exceptional items during the year accounted for an impactof D1,905 Mn comprising of the provision of license fees forearlier periods and DTA recognition in group subsidiaries.

*1 USD = E 80.37 Exchange Rate for the financial year ended March 31, 2023 (1 USD = E 74.36 for the financial year ended March 31, 2022)

Particulars

Key Ratios

Depreciation and amortisation costs for the year werehigher by 10.1% at D364,318 Mn as we continued ourinvestments towards expanding network coverage andbuilding a future-ready network.

Financial Review
Particulars

Sector-specific key ratios

The Consolidated EBITDA increased by 23.4% over theprevious year to reach D717,330 Mn. The Company’s
EBITDA margin for the year increased to 51.6% ascompared to 49.9% in the previous year, exhibiting
Airtel’s continued focus on driving cost optimisation andimproving operational efficiencies.

 The Company acquired an additional 1.46% stake inIndus Towers, which increased the overall stake in Indus
Towers to 47.95% at the end of the fiscal year.
 The Company paid D8,312.4 crores to the Department of
Telecom (DoT) towards dues for the spectrum acquiredin the 5G auction. It paid 4 years of spectrum dues
upfront. This upfront payment, coupled with the ongoing
moratorium on spectrum dues and AGR payments, will
free up future cash flows and allow Airtel to dedicate
resources to drive the 5G rollout.

*1 USD = E 80.37 Exchange Rate for the financial year ended March 31, 2023 (1 USD = E 74.36 for the financial year ended March 31, 2022)
Note: All the financial figures for FY 2021-22 stated above, are re-casted to include the impact of the merger of Telesonic Networks Limited and Nettle
Infrastructure Investment Ltd. with Bharti Airtel Limited.

The Company recorded consolidated revenues ofD1,391,448 Mn, for the year ended March 31, 2023, ascompared to D1,165,469 Mn in the previous year, an
increase of 19.4%. Full-year revenues of India and South
Asia stood at D981,192 Mn as compared to D824,877 Mn
in the previous year, an increase of 19.0%. The revenues
across 14 countries of Africa, in constant currency terms,

128

Bharti Airtel Limited

grew by 17.6%. The increase in revenue was majorly
driven by focusing on acquiring quality customers
and premiumisation.
The Company incurred operating expenditure (excluding
access charges, cost of goods sold, license fees and CSR
costs) of D450,638 Mn representing an increase of 17.2%
over the previous year.

Integrated Report and Annual Financial Statements 2022-23

129Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

Management Discussion & Analysis

To offer a differentiated network experience to its valued
customers, Airtel acquired a 19,867.8 MHz spectrum by
securing a pan India footprint of 3.5 GHz and 26 GHz bands
and selectively bolstering low and mid-band spectrum.
This massive spectrum bank was secured for a total
consideration of D43,040 crores in the latest spectrum
auction conducted by the Department of Telecom,
Government of India. Airtel has mobile broadband footprint
across the country making it well-positioned to usher in the
5G revolution in India. Our long-term spectrum acquisition
strategy and adoption of widely used global technology
architecture for 5G has ensured that we can offer the
best-in-class experience at the lowest cost of ownership,with the most power-efficient solutions. As on March 31,
2023, our customer base stood at 335 Mn. The minutes
on the network have increased by 6.0% to 4,348 Bn. The
Company had 232.68 Mn data customers at the endof March 31, 2023, of which 224.12 Mn were mobile 4G
customers. The increased penetration through bundles
with high in-built data has also led to the total MBs on the
network growing by 19.8% to 54,148 Bn MBs.
The Company’s focus on acquiring and retaining quality
customers and a relentless obsession with customer
experience has resulted in a strong 4G customer baseincrease. During the year, revenues increased by 20.7% toD759,246 Mn as compared to D629,149 Mn in the previous
year due to a focus on acquiring quality customers andpremiumisation. The segment witnessed an increase in

130

Bharti Airtel Limited

The Company had 275,069 network towers, compared to237,577 network towers in the last year. Mobile broadband(MBB) base stations were at 832,369 at the end of the year,
compared to 752,136 at the end of last year.
Key Ratios
Gross Revenues
EBIT

FY 2022-23
D Mn

FY 2021-22
D Mn

Y-o-Y %

759,246
148,450

629,149
78,52520.7
89.0

Data and Voice usage

4,104

(Bn)

54,148

Mobile Services: India
Overview

45,203B2C services

the EBITDA margins to 52.8% during the year, compared to49.6% in the last year. EBIT margin for the year increased to19.6%, compared to 12.5% in the previous year.

32,541

Segment-wise Performance

4,348

along with other applicable provisions of the Companies
Act, 2013, for amalgamation of Nettle and Telesonic,
wholly-owned subsidiaries, with the Company (‘Scheme’),has become effective from February 1, 2023, with an
appointed date of April 1, 2022, in accordance with the
Scheme. Consequently, fiber assets held by Telesonic havebeen allocated into the respective segments based on fiberordered by various segments from Telesonic. Accordingly,
the segment reporting of the previous periods has
been restated.

Key Highlights
Strategic Alliances and Partnerships
Airtel continues to forge business partnerships to provide
a seamless customer experience with a greater value
proposition to end users.
 Airtel and Tech Mahindra, a leading provider of digitaltransformation, consulting, and business re-engineeringsolutions provider, announced a strategic partnership
under which they have deployed a ‘5G for Enterprise’solution at Mahindra’s Chakan manufacturing facility,
making it India’s first 5G-enabled auto manufacturingunit. The ‘5G for Business’ solution has significantly
enhanced Chakan’s network connectivity, resulting in
improved speeds for software flashing, a critical operation
for all vehicular dispatches. Blazing hi-speeds and ultralow latency now allows managers to undertake multiple
software flashing sessions in parallel, which has resulted
in reduced turn-around time for an operation. Further,
the computerised vision-based inspection is now fully
automated resulting in improved paint quality.

Network Expansion and Transformation
Airtel remains committed to delivering a world-classnetwork experience to high-value customers through its
various initiatives:

 Airtel and Apollo Hospitals, Asia’s most trusted integrated
healthcare provider, conducted India's first 5G-enabled,
AI-guided colonoscopy trial. The trial was conducted using
AI on Airtel’s 5G technology, which has ultra-low latency andhigh processing capabilities, allowing colon cancer to be
detected much faster and more accurately. The other threecompanies involved in this trial were HealthNet Global,
AWS and Avesha.

3,603

Mergers, Acquisitions and Disinvestments
FY 2020-21

FY 2021-22

Data usage (Bn Mbs)

FY 2022-23
Voice usage (Bn Mins)

Airtel concluded M&A transactions as a part of its growthand diversification strategy and to harness economies ofscale resulting from consolidations: Airtel has deployed 5G in NSA mode on a 3500 MHz bandin more than 3500 cities/towns and rapidly expanding its
reach. India is leading one of the fastest 5G rollouts in theworld. All the 5G capable smartphones in India support
Airtel 5G Plus, and this was achieved through collaborations
with the smartphone manufacturers for timely testing andcommercial release of the binary for 5G support on the
Airtel network. Airtel 5G Plus is also environment-friendly
and consumes lower energy per GB compared tolegacy networks.
 Airtel 5G Plus service availability will continue to rapidly
expand as the Company is working towards offering
nationwide coverage. It is now offering its 5G services inevery major city from the upper northern city of Jammu tothe southern tip of Kanyakumari. Airtel 5G Plus has threecompelling advantages for its customers:− Upto 30x higher speeds than 4G− A technology that’s accepted the world over and a
network that is kinder to the environment

 The Company acquired a strategic stake in Lemnisk(Immensitas Private Limited) under Airtel’s Start-Up
Accelerator Program. Airtel and Lemnisk have collaborated
to create the world's largest CDP platform. Airtel's Digitalbusinesses will benefit from this, including Ad-Tech(Airtel Ads), Digital Entertainment (Wynk Music andAirtel Xstream), and Digital marketplace (Airtel Thanks
App). Airtel intends to offer this service to its enterprisecustomers in the future via Airtel IQ, the world's first
network-integrated Cloud Platform as a Service (CPaaS).
Under this, businesses will be able to create a nimble,
scalable, and omnichannel engagement for their customers.

 Airtel launched an introductory offer of unlimited 5G datafor its customers to encourage them to experience thepower of the Airtel 5G Plus network. The offer is open
to all postpaid customers and prepaid customers with adata plan of D239 and above. All customers will need toactivate it in a 5G compatible device and a 5G network area.
Customers can simply log on to the Airtel Thanks App to
claim this offer.

 Upon approval of Hon’ble National Company Law Tribunal,
Chandigarh Bench, vide its order received on January 25,
2023, the composite scheme of arrangement between
Nettle Infrastructure Investments Limited (‘Nettle),
Telesonic Networks Limited (‘Telesonic’), their respective
shareholders and the Company, under section 230 to 232

 Airtel signed 5G network agreements with Ericsson, Nokia
and Samsung to commence 5G deployment in August2022. It has a long-standing relationship for connectivity
and pan-India managed services with Ericsson andNokia, while the partnership with Samsung will begin thisyear onwards.

− Customers do not need to change SIMs as their
existing Airtel 4G SIM is also 5G-enabled and will workon all 5G smartphones

Integrated Report and Annual Financial Statements 2022-23

131

Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

Management Discussion & Analysis

In the face of rapidly changing customer demands, Airtel
consistently remained on the path of digital innovations tonurture its customer journey across all touch points andto have a highly engaged customer force by providing an
exceptional customer experience.
 At IMC 2022, Bharti Airtel and Nokia used holographic
images to showcase the cultural splendour of the Kashi
Vishwanath temple and the Statue of Unity, thereby
demonstrating the benefits of an ultra-fast and low latency
5G network. The almost life-like holograms brought thearchitecture and design of these iconic monuments to life,
simulating the physical experience. With the introductionof 5G, immersive virtual tourism is expected to reinvent
the Travel & Tourism industry, allowing people to visit
remote locations and monuments from the comfort of theirown homes.

 Airtel has created 5G experience zones across all its retailstores in the country. Through these specially curated
zones, it is demonstrating the power of 5G to consumers
through its blazing data speeds and emerging use cases
like immersive virtual reality entertainment, cloud gaming
and more. As an industry leader, Airtel has taken the leadto simplify the new technology for customers and getthem to experience the real difference of 5G. Customers
can experience it at Airtel’s 1,000+ stores, which will havespecially trained executives, who will not only demonstrateuse cases but will also answer all 5G-related questions
along with Airtel’s offerings.

 The Company launched ‘Airtel World Pass’ to make staying
connected easy, intuitive and compelling. The World
Pass will revolutionise the experience of international
travelling as one pack would work seamlessly across 184
countries and will cover layovers at airports, and address all
roaming needs.

 Airtel launched family plans for postpaid subscribers
starting at a rental of D599/month with 2 postpaid SIM
connections, 105 GB data, Amazon Prime for 6 months,
Disney Hotstar for 1 year and Xstream Mobile Pack.
The postpaid plans go up to D1,499 a month, giving
five connections and 320 GB data a month, while also
including a Netflix standard plan in addition to the other
OTT offerings. The postpaid plans also change for Airtel
Black users that can avail of two postpaid SIM connections
starting from D799 and D998, with the former having
a DTH connection, and the latter offering broadband
connection. Family plans and Airtel Black enable users to
pay one consolidate bill for multiple mobile, broadband or
DTH connections. These plans are available for prepaid
customers willing to transition to postpaid as well.

 The Company announced that its video streaming service– Airtel Xstream, is India’s fastest-growing OTT aggregator
platform. Airtel Xstream offers India’s largest bouquet of
OTT platforms to consumers across mobile and largescreen formats. Mobile customers can select one OTTprovider from the bouquet with a minimum recharge of
D148. The large screen format, launched earlier this year Airtel announced its partnership with Secure Meters for
deploying Narrow Band (NB-IoT) services, which will power
1.3 million homes in Bihar through a smart meter solution.
This deployment will be India’s first NB-IoT solution on a
narrow band with a fall-back option, that will work on 2G and
4G, and ensure real-time connectivity and uninterrupted
transfer of critical data.

AwardsAirtel has been conferred with the overall ESG Excellence Award at the Inaugural edition of the Dun & Bradstreet
ESG Leadership Summit held in Mumbai. Airtel undertakes comprehensive initiatives on Environment, Socialand Governance (ESG) and has set ambitious ESG targets for itself. The Company has been actively reporting its
performance on sustainability for the last five years and has adopted Integrated Reporting in accordance with the
IIRC Framework. The win is a testament to Airtel’s commitment to the environment and society.

132

Bharti Airtel Limited

Homes Services
Overview

Home Subscribers

Homes Business continues to accelerate rollouts on theback of the innovative asset-light local cable operator
partnership model, which is now present in 1,199 cities
across India. The growing need for reliable and consistent
broadband has led to strong customer base addition during
the year, which stood at 6.1 Mn at the end of the financial
year, representing a growth of 35% as compared to 4.48 Mn
at the end of the previous year. During the year, it scaled up
its operations as it launched Airtel fiber in 355 new towns
and increased its coverage by rolling out new fiber acrossmajor cities of its operations, thereby helping the country
take strides towards realising its vision of Digital India.

(Mn)

6.1

Digital Innovations and Customer Delight Wynk Music introduced Wynk Studio, India’s largest music
distribution ecosystem for independent artists based inIndia and overseas. The studio will enable artists to launch
their music and will also partner with them in monetising
their music on a host of platforms, which will be a part ofAirtel’s digital products portfolio - Wynk, Airtel Xstream,
Airtel Ads and Airtel IQ, among others.

4.5

 Airtel successfully conducted India’s first Open Radio
Access Network (Open RAN)-based live 5G network
validation in the field and achieved 1 Gbps+ speed using
commercial mobile devices. ORAN solution deployed by
Airtel is fully cloud-native and supports O-RAN standardbased interfaces. It is leading the innovation efforts of
the O-RAN Alliance in India and is looking forward tostrengthening its technology partnership with potential
ORAN vendors and scaling it commercially.

as Xstream Premium, is also available at D149 and enables
access to over 10,500 movie titles and shows, alongside
Live TV from Airtel’s OTT content partners such as Sony
LIV, Eros Now, Lionsgate Play, Hoichoi, manoramaMAX,
Shemaroo, Ultra, Hungama Play, EPIC ON, DocuBay andDivo TV, among others.

3.1

 Airtel acquired the sub-GHz band and mid-band spectrum
from the last auctions to further solidify its 4G spectrum
holding. This will help to enhance the coverage and capacityof 5G NSA. It will enable improved network availability anddata speeds, along with better coverage inside homes andbuildings in cities and urban areas and offer wider coveragealong highways and rail routes.

FY 2020-21

FY 2021-22

FY 2022-23

Revenues from Homes services stood at D40,472 Mn for theyear ended March 31, 2023, as compared to D30,390 Mn
in the previous year, an increase of 33%. EBITDA margin
during the year was 42%.
Particulars
Gross Revenues
EBIT

FY 2022-23
D Mn

FY 2021-22
D Mn

Y-o-Y
Growth %40,472
8,894

30,390
5,654

33.2
57.0

Key Highlights
 To serve the needs of premium households, who prefernext-generational connectivity and entertainment
experience, Airtel has once again raised the bar in the homebroadband segment with the launch of three new all-in-one
plans (under the proposition of ‘Airtel Black’). In urban India,
both home internet and home entertainment are seeing
rapid growth, accelerated by consumers watching more
content on their TVs and consumers demanding a greater
variety of entertainment than ever before, powered byreliable home internet.

 The Company announced the launch of XSafe, aneasy-to-operate, end-to-end home surveillance solutionthat includes a range of Wi-Fi-based advanced cameras,
designed to ensure customers have peace of mind and areconnected to their homes even while they are away. This
service was launched across 40 cities including Mumbai,
Delhi-NCR, Bengaluru, Chennai and Kolkata, among others.
 The Company announced the launch of its
Fiber-To-The-Home (FTTH) broadband service –Airtel Xstream Fiber in Ladakh, and Andaman andNicobar Islands. With this, Airtel has become the firstprivate ISP to roll out FTTH broadband in these remote
geographies and bring world-class digital access tocustomers by connecting them to the data superhighway.

Integrated Report and Annual Financial Statements 2022-23

133

Corporate Overview

Management Discussion & Analysis

Statutory Reports

B2B Services

 Airtel Announces Strategic Partnership with Vultr to
Deliver Cloud Solutions to Enterprises

Airtel Business
Overview

Airtel will offer Vultr’s extensive suite of cloud solutions
to its enterprise customers, especially those in thedigital space and help them gain unrivalled global reachand cost-performance advantage to build, test, and run
demanding cloud workloads. The cloud solutions will behosted in Airtel’s state-of-the-art data centers, enabling
businesses to scale their digital operations globally.
Businesses of all sizes and across all industries can now
leverage cutting-edge cloud technologies to accelerate
digital innovation, optimise global cloud performance,and maximise return on global cloud spend. They canalso enjoy simple and transparent pricing to avoid
billing shocks.

Airtel Business is India’s largest and one of the mosttrusted companies offering solutions across connectivity
and new technologies to businesses. It has a wide
presence across India as well as a global network acrossthe USA, Europe, Africa, the Middle East, Asia-Pacific and
SAARC regions. Airtel Business serves over 1,200 global
enterprises, 2,000 large and 1 million medium/small
businesses across India.
It offers a diverse portfolio of products and services suchas Data Connectivity, Voice & Messaging, Landline andConferencing, Collaboration, Cloud, Data Centers, Security,
IoT, Enterprise Mobility, Network Integration & Professional
services to Enterprises, Government, Carriers, Small &Medium Businesses, OTTs, Start-ups and Mobile Network
Operators across the globe.

Digital TV Services
Overview

Particulars
Gross Revenues
EBIT

FY 2022-23
D Mn

FY 2021-22
D Mn

Y-o-Y
Growth %29,4503,775

31,5378,374(7.0)(55.0)DTH Subscriber Base

(Mn)

15.9

16.0

During the year, the Company witnessed customer addition
on its Airtel Black Plans (a converged home proposition
with services of DTH, Broadband and Mobile). Airtel Blackis India’s first all-in-one solution for homes, which eases thecustomer’s life with One Bill, One Customer Care number,and a dedicated relationship manager with amazing value
and zero switching cost. With this, Airtel Digital TV has
further strengthened its position in the converged homes
in the country.

February 1, 2023 and launched new consumer tariffs tocomply with the amendments. With this implementation,
the Company has further simplified the packaging acrossmarkets to win value customers.

16.2

Airtel Digital TV continues to strengthen its market position
with a strong customer base of 15.9 Mn, on the back of theCompany’s strategy of simplified pricing and differentiatedconverged experience to win high-value customers. Airtel
DTH is a pioneer in launching innovative products for its
customers, along with best-in-class customer service,
making it one of the fastest-growing DTH operators with
operations in 639 districts across the country.

Bharti Airtel Limited

Gross Revenues

FY 2022-23
D Mn

FY 2021-22
D Mn

Y-o-Y %

185,93154,361

160,70244,65015.7
21.7

 Nxtra by Airtel strengthens its green energy footprint
with the commissioning of Solar and Wind power plants
in various states

 Airtel acquires stake in Cloud Network Solutions
provider Cnergee Technologies

FY 2020-21

FY 2021-22

FY 2022-23

Airtel and Meta will jointly invest in global connectivity
infrastructure and CPaaS-based new-age digitalsolutions to support the emerging requirements ofcustomers and enterprises in India. With the constantendeavour to augment the nation’s infrastructure,
Airtel will partner with Meta and STC to extend 2Africa
Pearls to India. 2Africa is the world’s longest subsea
cable system and is expected to provide faster internet
connectivity to almost 3 billion people globally. Airtel
and Meta will extend the cable to Airtel’s landing stationin Mumbai and also pick up the dedicated capacity tofurther strengthen its submarine network portfolio.
Airtel will integrate Meta’s WhatsApp within its CPaaS
platform, Airtel IQ. With this integration, businesses
will now be able to use WhatsApp’s rich features andreach to provide unparalleled omnichannel customer
engagement to enterprises.

Key Highlights

 During the year, the Company has added 54 new channels
on its platform including 3 SVOD services. The Company
currently offers 704 channels including 85 HD channels,
32 SVOD services and 6 international channels.

134

Airtel Business witnessed a year of growth, led by thesurge in global and domestic data revenues. Revenues forthe year grew by 15.7% as compared to the previous year.
The Company continued to focus on winning in the corebusiness while building upon new revenue streams andemerging businesses in the areas of IoT, IQ, Cloud, Security
and Data Centers.

EBIT

Key Highlights

 In December 2022, broadcasters released new bouquet
pricing in accordance with NTO 2.0 amendment by
TRAI. The Company has implemented the changes w.e.f.

 Airtel and Meta collaborate to accelerate India’s
digital ecosystem

Through the diverse product portfolio and strategicallylocated submarine cables and satellite network running
across 400,000+ RKMs in 50 countries and 5 continents,
it is pushing the boundaries in digital service delivery witha key focus on enhanced end- user experience, round-theclock infrastructure availability, and superior service quality.

Key Ratios

Financial Statements

The stake acquisition will enable Airtel to sharpen its
NaaS proposition for Small and Medium Businesses(SMBs) who are looking to accelerate their shift to cloudbased applications. Airtel already offers a wide range of
connectivity and productivity solutions for SMBs backed
by unmatched distribution network reach across India. In
addition, Cnergee’s advanced software tools will boost
Airtel’s ‘Work from Anywhere’ solutions portfolio as
businesses look to adopt hybrid work models.

The captive units with a capacity of 34 MWp Solar,
13 MWp Solar and 1.5 MW Hybrid (Solar + Wind) werecommissioned to supply clean energy in the state ofTamil Nadu, Karnataka and Gujarat respectively. This
will lead to a reduction in carbon emissions by 62,880
tonnes annually. The captive power units have been
set up in partnership with Avaada (Tamil Nadu andKarnataka) and Continuum (Gujarat) to supply clean
energy to Nxtra by Airtel’s large and edge data centers.

Integrated Report and Annual Financial Statements 2022-23

135

Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

Management Discussion & Analysis

Airtel partnered with India Post Payments Bank (IPPB) to
launch WhatsApp Banking Services for IPPB customers,
empowering customers PAN India to access banking
services on their mobile phones. Delivered on Airtel IQ - acloud communications platform as a service that enables
brands to engage with their customers across voice,
SMS and WhatsApp channels, the messaging solution
augments the Govt.’s Digital India mission by enabling
IPPB customers to seamlessly connect with their bankon WhatsApp. IPPB customers can now effortlessly avail
a host of banking services including – doorstep service
requests, locating the nearest Post Office and much more.
Airtel is the first telecom company in the world that serves
as a Business Service Provider (BSP) for WhatsApp.

AfricaOverview

Particulars

Financial and operational review

EBIT

Total minutes on the network during the year increased
by 16.0% to 439.1 billion. Data customers increased by
7.9 million to 54.6 million accounting for 39.0% of the totalcustomer base compared to 36.4% in the previous year.
The total MBs of data transmitted on the network increasedby 46.3% to 2,704 billion MBs with usage per customer
increasing from 3,520 MBs to 4,546 MBs. Total sites inAfrica on March 31, 2023 were 31,546 of which 28,476 were
4G sites, representing 90.3% of the total sites.
In INR-reported currency, Airtel Africa revenues grew by
20.5% to D422,664 Mn as compared to D350,612 Mn in theprevious year. The Company’s continued focus on running
the operations efficiently and cost-effectively has resulted
in EBITDA of D207,281 Mn for the year as compared toD172,071 Mn in the previous year, an increase of 20.5%.
Consequently, this resulted in an EBITDA margin of 49.0%
compared to 49.1% in the previous year. Depreciation andamortisation charges were at D65,836 Mn as compared toD55,323 Mn in the previous year. EBIT for the year was at
D141,255 Mn as compared to D116,586 Mn in the previous
year. PBT for the full year was at D82,569 Mn as comparedto D86,289 Mn in the previous year. The full-year capex
was at D60,400 Mn as compared to D48,891 Mn in theprevious year.

136

Bharti Airtel Limited

FY 2021-22
D Mn

Y-o-Y
Growth %422,664
141,255

350,612116,586

21.0
21.0

Wireless Subscribers:
Africa - 14 Countries
118.2

Airtel Africa, through its portfolio of offerings, is helping
transform lives across sub-Saharan Africa by fostering
financial inclusion, driving digitisation and empowering
our 140 million customers across 14 countries, up from
128.4 million customers in the prior year. This represents agrowth of 9.0% in the customer base, largely a result of the
expansion of both our mobile network and our distribution
network, helping us to get closer to our customers andimproving their network experience.

Gross Revenues

FY 2022-23
D Mn

(Mn)

140.0

Partnered with Bloom Energy to deploy low
environmental impact fuel cell installation at Karnataka
data center, reducing carbon emissions through acleaner, hydrogen-ready fuel supply. Nxtra by Airtel isthe first data center company in India to deploy solidoxide fuel cell technology to reduce carbon emissionsat its data center while unlocking cost and sustainability
benefits. Started the unit on non-combusted natural gas
and will switch to 50% hydrogen in future without any
significant investment. The natural gas-powered cells
will be used for primary generation with utility electricalgrids and generators as backup sources.

 Launch of WhatsApp banking services in partnership with
Indian Post Payments Bank

128.4

 Nxtra by Airtel became the first data center company inIndia to install solid oxide fuel cell technology to provide
clean energy As part of IFC’s loan facility, Airtel Africa committed
to complying with the applicable requirements of IFC
performance standards on social and environmental
sustainability and has put in place a dedicatedenvironmental and social action plan.

First sustainability-linked loan facility On August 10, 2022, the Group announced the signingof a $125 Mn revolving credit facility with Citi through its
branch offices/subsidiaries in sub-Saharan Africa. Thisfacility is in line with its strategy to raise debt in our local
operating companies and will include both local currency
and US dollar-denominated debt. The facility has a tenor up
to September 2024 and will be used to support operations
and investments in four subsidiaries. The facility provides
potential interest rate savings in exchange for achievingsocial impact milestones relating to digital inclusion andgender diversity, with a focus on rural areas and women,
and aligning with the Group's sustainability strategy,
launched in October 2021.

Launch of inaugural Sustainability Report The publication of Airtel Africa’s inaugural Sustainability
Report on October 27, 2022 follows the launch of theGroup’s sustainability strategy in October 2021. The reportreflects the Group’s firm commitment to sustainability
and details the business’ progress against the goals
outlined in the sustainability strategy. The report adheres
to international best-practice ESG reporting standards,
including the Global Reporting Initiative (GRI) Standards
and TCFD recommendations.
 The publication of the report constitutes an important
step forward in enhancing the non-financial informationtransparency of the Group. The report provides accurate
and verified Scope 1, 2 and 3 baseline emissions and totalenergy consumption.

Reducing Scope 1 and 2 emissions in the near-termand committing to net zero by 2050
FY 2020-21

FY 2021-22

FY 2022-23

Key Highlights
IFC loan facility On December 6, 2022, Airtel Africa announced the signingof a new $194 Mn facility with the International FinanceCorporation (IFC), a sister organisation of the World Bankand a member of the World Bank Group. The new financing
facility is in line with Airtel Africa’s strategy to increase debt
within its operating companies.
 The facility has a tenor of eight years, it is largely in local
currency, and will be used to support our operations andinvestments in the Democratic Republic of Congo, Kenya,
Madagascar, Niger, Republic of the Congo and Zambia,
providing a more diversified access to local funding.

 Airtel Africa is committed to achieving net zero GHG
emissions by 2050. Following the publication of its Scope
1, 2 and 3 emissions in the Sustainability Report in October
2022, the Group has identified a detailed range of initiatives
that will enable the reduction of Scope 1 and 2 emissions
intensity by over 60% by 2032 and enable a net zeroambition by 2050. It is undertaking a detailed technicaland feasibility study to accurately define the optimal
deployment schedule for Scope 1 and 2 decarbonisation
initiatives. This work is led by a cross-functionaltaskforce which reports to the Sustainability Committee
and is advised by the Carbon Trust, the leading
environmental agency.

Nigeria mobile money operationalisation
 On April 29, 2022, Airtel Africa announced that the Central
Bank of Nigeria (CBN) had confirmed that SmartCash
Payment Service Bank Limited (SmartCash), had received
final approval for a full Payment Service Bank (PSB) licence,
affording the Group the opportunity to deliver a full suiteof mobile money services in Nigeria. This news followed
our announcement of April 26, 2022 that the CBN had also
awarded our subsidiary, Airtel Mobile Commerce Nigeria
Ltd, with a full super-agent licence, allowing the business tocreate an agency network that can service the customersof licensed Nigerian banks, payment service banks andlicenced mobile money operators in Nigeria.
 During the period Airtel Africa launched SmartCash, ourNigerian mobile money offering, initially in Lagos, before
rolling out further across the country. One of the key
commitments is to guarantee data privacy and security
controls across the business to build trust and confidence
in the brand. In that light, it focussed our investments on
the IT infrastructure and business systems and processes
to ensure this commitment is met. This investment,
combined with the continued focus on the expansion of the
distribution network, will drive increased access to financial
services for underserved communities in Nigeria.

$450 Mn early bond redemption
 On July 8, 2022, Airtel Africa announced the settlementof a cash tender offer, redeeming $450 Mn of the $1 Bnof 5.35% guaranteed senior notes due 2024 (Notes). An
aggregate principal amount of $450 Mn of notes was
accepted for purchase for a total of $463 Mn. All Notes
accepted for purchase were cancelled ahead of theirmaturity in May 2024. This early redemption was made outof the Group's cash reserves and is in line with the strategy
of reducing external foreign currency debt at a Group level.

South Asia
Overview
Full-year revenue of South Asia was at D2,944 Mn as
compared to D3,869 Mn in the previous year. EBIT losses forthe year were reported at D1,782 Mn as compared to a lossof D2,422 Mn in the previous year. Capex for the year was
D979 Mn as compared to D3,292 Mn in the previous year.
Particulars
Gross Revenues
EBIT

FY 2022-23
D Mn

FY 2021-22
D Mn

Y-o-Y
Growth %2,944(1,782)

3,869(2,422)

-24.0
26.0

Integrated Report and Annual Financial Statements 2022-23

137

Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

Management Discussion & Analysis

Share of Associates/Joint Ventures
Airtel Payments Bank Limited

Indus Towers Limited

Airtel Payments Bank Limited became an associate of Bharti Airtel Limited w.e.f. November 1, 2018. Key operational andfinancial performance:

Bharti Airtel holds a 47.95% stake in Indus Towers Limited Key operational and financial performance:

Quarter ended
Airtel Payments Bank Limited

Unit

March
2023

December
2022

September
2022

June
2022

Monthly Transacting Users (MTU)

000’s

Total Customers

000’s

GMV

D Mn

54,702
163,690
579,556

47,790156,788
500,065

50,072
151,385
502,037

44,414
139,191
433,872

Operational Performance

Financial Highlights
Total revenues

D Mn

EBITDAD Mn

EBITDA / Total revenues%

Net Income (Proportionate share of Airtel)

D Mn

3,790
333
8.8
84

3,189
189
5.9
35

3,083
146
4.7
21

2,848
119
4.2
15

Quarter ended
Indus Towers Limited

Unit

March
2023

December
2022

September
2022

June
2022

192,874
342,8311.78

189,392
339,435
1.80

187,926
338,1281.80

186,474
336,382
1.81

67,52934,46651.0
6,709

67,65011,85817.5(3,396)

79,66628,12435.3
4,180

68,97323,22233.7
2,236

Operational Performance
Total Towers

Nos

Total Co-locations

Nos

Average Sharing Factor

Times

Financial Highlights
Total revenues

D Mn

EBITDAD Mn

EBITDA/Total revenues%

Net Income (Proportionate Share of Airtel)

D Mn

Robi Axiata Limited

Robi Axiata Limited is a joint venture between Axiata Group Berhad of Malaysia and Bharti Airtel Limited. Key operationaland financial performance:
Quarter ended
Robi Axiata Limited

Unit

March
2023

December
2022

September
2022

June
2022

55,57275.8
13854,40475.5
133

54,36175.5
12954,53074.2
124

18,214
8,158
44.8
92

17,992
8,511
47.3
283

18,429
8,096
43.9
69

18,449
8,474
45.9
-30

Operational Performance
Customer Base000’s

Data Customer as % of customer base

%

ARPU

BDT

Financial Highlights
Total revenues

D Mn

EBITDAD Mn

EBITDA / Total revenues%

Net Income (proportionate share of Airtel)

D Mn

138

Bharti Airtel Limited

Integrated Report and Annual Financial Statements 2022-23

139

Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

Management Discussion & Analysis

SCOT Analysis
Strengths
 Dominant player: Among the leading telecom
players in India and among Top 3 globally in terms of
consolidated mobile connections; holding leadership
position (#1 and #2) in 13 out of 14 African countries.

 Premium brand: Leading and well-known recognised
brand across the geographies the Company
operates in, with the ability to drive segmentationand premiumisation.

 Full gamut of services: Serving in multiple segments
including mobile services, home broadband, digital
TV, enterprise business, digital services and mobile
money which caters to 500 million+ customers across
17 countries. In India, the company has 200 million+
MAUs on digital assets and ~55 million MTU in Airtel
Payments Bank. Mobile Money in Africa recorded
customer base of 31.5 million as of FY 2022-23.

 Suite of digital offerings: Industry-leading digital
services comprising Wynk Music, Airtel IQ, Airtel Ads,
Airtel Financial Services, Airtel Payments Bank, Nxtra
Data Center.

 Convergence play: Service provider with the potential
to offer a full range of bundled services to high-value
homes: mobile, fixed voice, broadband, OTT and DTH.

Challenges
 Future-ready network: Future-proof and 5G network.
The digital infrastructure built over the years is now
getting enhanced with One Airtel transport strategy
to leverage it across the business and drive efficiency.
Rated for the best quality of experience while streaming
videos, playing multiplayer mobile games and using
OTT voice services on mobile voice apps with 5G(Opensignal Mobile Network Experience Report dated
April 2023).

 Operation integration: Consolidating operations
and making use of a common platform acrossgeographically and demographically diverse regions
such as India, South Asia and Africa.

 Low return ratios: Return ratios continue to be achallenge for the industry given depressed ARPUs atthe industry level.

 Supply chain and cost inflation: Global supply
chain shocks and cost inflation are detrimental forthe business as it delays network rollout and impacts
cash flows, given the limitations to passing it on
to consumers.

 Robust partnerships: Leveraging the Airtel platform
to deliver an array of consumer and enterprise services
by developing strategic partnerships with several
companies across the globe.

 Omnichannel capabilities: Redefined organisation
structure with a Mass Retail channel, D2C channel,
Digital channel, Home Delivery organisation
and B2B channel which helped in unlocking its
omni-channel presence.

 Strong balance sheet: The Company is generatingstrong operating free cashflow amid accelerated 5G
and rural rollout. Crisil affirmed the long term credit
rating at AA+ (Stable).

Threats
 Heightened competition: Increased pricecompetition or entry of potential disruptive players
where the Company operates can be detrimental.

 Regulatory framework: Change in regulatory
policies adversely impacting operations. Any politicalinstability and economic uncertainties resulting in
unfavourable decisions impacting business.

 Currency exposures: Global macroeconomic
uncertainties, global trade tensions and commodity
headwinds can lead to sharp currency movements fordeveloping economies.

 Pandemic/Disaster/War: Any pandemic or natural
disaster like the COVID-19 health crisis or war-related
disturbances in the geographies the Company
runs operations.

Opportunities
 Industry structure: Favourable prospects in
the industry relook driven by consolidation andtariff revision.

 ARPU improvement: India’s ARPU remains among
the lowest in the world due to the intense competitionin the past with the entry of new players. Potential
tariff hikes going forward can translate into substantial
improvement in return ratios for the industry and createshareholders value.

 Postpaid penetration opportunity: Post-paid
continues to be a massive opportunity with only ~4%
share of total mobile customer base in India. Bundlingand converged offerings play a critical role to attract
high quality consumers.

 Smartphone Penetration: India still has large
opportunity arising from feature phone users
upgrading to smartphones, resulting in incremental
revenue potential.

140

Bharti Airtel Limited Home broadband landscape: Wired broadband
provides immense growth opportunities with rising dataneeds, concurrent device usage and under-penetration.
India is one of the lowest-penetrated markets among
the peers.

 B2B – Moving from connectivity to products andsolutions: Expanding portfolio of solutions and investingin adjacent revenue streams to future-proof growth.
Incremental industry growth is emerging from thesolutions, services, and adjacent streams. Renewed focus
on GTM re-tooling will provide better inroads with existingand new customers.

 Leveraging digital capabilities: Over the years, Airtel
has built a large suite of digital offerings and it continues
to grow. Along with the existing ecosystem of services
including Adtech, CPaaS, entertainment, music, digitalmarketplace, and Payments Bank. In FY 2022-23, under
its financial services portfolio, the company launched aco-branded credit card in partnership with Axis Bank.

Integrated Report and Annual Financial Statements 2022-23

141

Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

Management Discussion & Analysis

Material developments in HR
Sectors across the board in India saw a surge in the paceof technological developments this year. For Airtel, be it
the rollout of 5G or uptick in cloud solutions, or solving
the need for data centers, the velocity of innovation andchange was at its peak. Uncertainty also plagued the talentmarket in India, which was highly competitive in the firsthalf of the year but severely restrained in the second half.
The human resources team played a pivotal role in bracing
the organisation for this variability by institutionalisingsustainable solutions across the employee lifecycle.
To be nimble with the increasing complexity oftechnological delivery, building a reusable, configurable
core was essential. This would also be key to ensuringconsistent experience on all our digital channels. To
deliver this, we reorganised our teams to key platform
charters, each of which focused on a stream to provide
the best-in-class customer experience.
Airtel has surpassed 10 million unique customers on its
5G network. In lieu of the 5G rollout, we adopted a hybrid
strategy concentrating on hiring new talent as well as
upskilling our existing talent through programmes likethe 5G Academy and IP (Internet Protocol) Academy.

The training curriculum covers fundamentals of IP (Internet
Protocol), Cisco Certified Network Associate (CCNA), Cisco
Certified Network Professional (CCNP) & Cisco Certified
Internetwork Expert (CCIE) certifications. As we step
into the next year, the 5G rollout will grow stronger andthe need for 5G tech capabilities will continue to be a key
area of delivery.
Customer obsession is at the heart of innovation at Airtel.
To unlock the power of customer experience, our talentstrategy in the year has focused disproportionately
on cross-functional breadth of experiences. With anincreasingly omni-channel customer, it is critical for us tobuild talent who understand nuances across products,
businesses, channels and geographies. An internaltalent marketplace was set up to foster interdisciplinary
experiences followed by opportunities for learning, job
shadowing and cross-functional movement. Careers andbuilding leadership capabilities will continue to be a key
focus area going into the next year with personalised
career journeys.
All this work comes with a bedrock of delivering superior
employee experience through holistic policies, intuitive
processes, and a diverse and inclusive environment.

 The Company’s philosophy towards internal controls isbased on the principle of healthy growth and proactive
approach to risk management. Aligned with this philosophy,
the Company has deployed a robust framework of internal
controls that facilitates efficient conduct of business
operations in compliance with the Company policy; fairpresentation of Airtel’s financial results in a mannerthat is complete, reliable and understandable; ensures
adherence to regulatory and statutory compliances thatsafeguard investor interest by ensuring the highest level ofgovernance. The Internal Control framework has been set
up across the Company and is followed at the circle andcountry levels. This framework is assessed periodically, andthe performance of circles and countries is measured via
objective metrics and defined scorecards.

 The Company has in place an Internal Assurance (IA)function headed by the Chief Internal Auditor. EY and ANB& Co (ANB) are the Internal Assurance Partners of theCompany and conduct financial, compliance and process
improvement audits on a periodic basis. The internal
assurance plan for the year is derived from a bottoms-up
risk assessment and directional inputs from the Audit

Bharti Airtel Limited Accounting hygiene and audit scores are driven centrally
through the central financial reporting team and Airtel
Centre of Excellence (ACE), both teams being responsible
for the accuracy of books of accounts, preparation offinancial statements and reporting the same as per
the Company’s accounting policies. Regulatory andlegal requirements, accounting standards, and otherpronouncements are evaluated regularly to assess
applicability and impact on financial reporting. The relevant
financial reporting requirements, documented in the GroupAccounting Manuals, are communicated to relevant units
and enforced throughout the Group. This, together withthe financial reporting calendar evidencing the tasks andtimelines, forms the basis of the financial reporting process.
 Deloitte Haskins & Sells LLP, the Statutory Auditors, havedone an independent evaluation of key internal controls
over financial reporting (ICOFR) and expressed an
unqualified opinion stating that the Company has, in allmaterial respects, adequate ICOFR and such ICOFR was
operating effectively as on March 31, 2023.

142

Committee. The Audit Committee oversees the scope andcoverage of the IA plan and evaluates the overall resultsof these audits during the quarterly Audit Committee
meetings. Additionally, separate quarterly Audit Committee
meetings if required are also held to review the progress
made on previous gaps identified by Internal Assurance.
During these meetings, functional Directors are invitedfrom time to time to provide updates on improvements incontrols and compliance within their respective functions
and updates on the progress of any transformational
projects undertaken. Internal Assurance also assesses theeffectiveness of Internal Financial Controls (IFC). It assured
that no material weaknesses in the design or operation
were observed for the current financial year.

Internal control

A CEO and CFO Certificate, forming part of the
Corporate Governance Report, confirms the existence
and effectiveness of internal controls and reiterate
their responsibilities to report deficiencies to the Audit
Committee and rectify the same. The Company’s Codeof Conduct requires adherence to the applicable laws
and Company’s policies and also covers matters suchas financial integrity, avoiding conflicts of interest,
workplace behaviour, dealings with external parties andresponsibilities to the community.

 The Airtel Centre of Excellence (ACE), based in Gurugram,
Bengaluru and Chennai, is the captive shared service forfinancial accounting. Digitisation of ACE is being aimed asa part of the transformation agenda and includes initiatives
such as system-based reconciliation, and reporting
processes with vividly defined segregation of duties.
The Company operates on a single instance of Oracle
across all operating units, which ensures uniformity andstandardisation in ERP configurations, charts of accounts
and finance processes across countries. The Company
continuously examines its governance practices to enhanceinvestor trust. Initiatives such as a virtual desktop interface
for ultimate data security, self-validation checks, desktop
reviews and regular physical verification are producing
measurable outcomes through substantial improvement incontrol scores across India and Africa. Oracle GovernanceRisk & Compliance (GRC) module has been implemented for
India and Africa to strengthen existing controls pertaining
to access rights for various ERPs, ensuring segregation ofduties and preventing possibilities of access conflicts.

Integrated Report and Annual Financial Statements 2022-23

143Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

Risk and Mitigation Framework
Bharti Airtel has achieved global success through a culture of innovation andhigh performance. As we explore new markets, embrace emerging technologies,
forge strategic partnerships, and introduce innovative products, we recognise
the accompanying risks and uncertainties. At Airtel, our Board and leadershipteam proactively addresses potential disruptions to ensure smooth business
operations. Our robust risk management framework encompasses strategic,
legal, financial, operational, and climatic risks. We employ a rigorous process to
identify critical risks across the organisation and develop relevant action plans
for mitigation, fostering a reliable and secure business environment.
Responsibility and accountability Board of Directors – An annual evaluation of theCompany's risk management framework is conducted by
the Board of Directors along with periodic evaluation andassessment by the Risk Management Committee. The
Risk Management Committee formulates a detailed risk
management policy and monitors the implementation of
the same. The Chief Risk Officer works closely with the
Risk Management Committee on an independent basis
and conducts a complete review of the risk assessments
and associated management action plans. The Boardof Directors is the apex body that reviews critical risks
and deliberates and approves action plans which caneffectively mitigate those risks.
 Airtel’s Management – The CEOs of Airtel businesses inIndia, South Asia (AMB) are responsible for managing thestrategic risks that may impact their operations. Theserisks are generally identified by their Circle teams, thenational level leadership and teams from the international

operating companies. The management team draws oninternal audit reports for the identification of risks andscans internal and external environments to ascertain
developments that could pose material risks for theCompany. Internal audit reports are also considered
for the identification of key risks.
 Operational Teams – The Executive Committees (EC) of
Circles in India and operating companies from international
operations manage risks at the ground level. The EC has
local representation from all functions, including central
functions like Finance, SCM, Legal & Regulatory andcustomer-facing functions, such as Customer Service,
Sales & Distribution and Networks. It is the responsibilityof the Circle CEO or Country Managing Director to
engage functions and partners to manage the risks.
They are also responsible for the identification of risks
and escalating them to the central teams for agreementon mitigation plans.

Risk identification process

The key risks that may impact the Company are:Potential risks

Risk definition

1.

Regulatory and Political Uncertainties

The macro-environment in India, Sri Lanka, and 14 African countries is marked by volatility,
uncertainty, and geopolitical tensions.

2.

Economic Uncertainties

Business operations in our countries of operations may be affected by economic instability,
which can be attributed to factors such as inflation, interest rates, capital controls, and currency
fluctuations.

3.

Poor quality of networks and information
technology including redundancies anddisaster recoveries

Network infrastructure costs are susceptible to risks arising from technical failures, human errors,
and natural disasters. Additionally, the ever-evolving IT landscape necessitates continuous
technology upgrades.

4.

Fiercely competitive battlegroundThe business faces the possibility of unprecedented disruption and unfair pricing, which
could result in increased competition and a decline in revenue along with customer attrition.
Furthermore, evolving customer expectations concerning quality, variety, features, and pricing
pose a significant threat to the long-term sustainability of the business.

5.

Data Loss Prevention

The risk of data loss may result in the inadvertent exposure of confidential information on all
endpoint devices.

6.

Increase in cost structures ahead ofrevenues thereby impacting liquidity

The business may experience an increase in operating expenses due to factors such as new site
rollouts and capacity expansion. Additionally, rate increases caused by inflation, foreign exchange
impacts, wage hikes, energy costs, and other factors could also contribute to higher expenses.

7.

Inability to provide high quality network
experience with exponential growth indata demand

Telecom companies must invest in innovation to align with the evolving industrial landscape. Thisis crucial to deliver a high-quality customer experience and meet the rising demand for stronger
and more reliable network connectivity.

8.

Gaps in internal controls

Failure to maintain adequate internal controls and process compliances can result in wastages,
fraud, and financial losses. Moreover, it has the potential to negatively affect the reputation of theAirtel brand.

9.

Lack of Digitisation and Innovations

The rapid evolution of technology can influence business functionality and potentially cause aslowdown in operations.

10. Climate Change

The escalating carbon footprint poses a significant concern that raises questions about thelong-term credibility and sustainability of the business.

Risk and mitigation framework
At Bharti Airtel, we have achieved global success by fostering a culture of innovation and high performance. Our Company
continually explores new markets and business models worldwide, seeking fresh ways to engage with customers andstakeholders. We establish strategic partnerships, embrace new technologies, and enhance efficiencies in existing
systems to unlock a wealth of possibilities. However, we also recognise that such endeavors come with potential risks anduncertainties in the ever-changing business landscape. It is essential to swiftly identify and address any distress signals toensure smooth operations. To mitigate these risks, we have developed a robust risk management framework that covers
strategic, legal, financial, operational, and climatic risks in our operating landscape. This framework enables us to handle
challenges with urgency, safeguarding our business and ensuring its sustained growth.
Read more on detained definitions and mitigation actions on Page 52 of the Risk Management chapter in the Integrated Report.

a.	Scanning the entire business environment - internal and external, for identifying potential risks.
b.	Classifying the various risks in terms of probability, impact and nature.
c.	Developing objective measurement methodology for such risks.
d.	Fixing accountability of people and positions to implement the mitigating action plans.
e.	Agreeing on detailed action plans to manage key risks.
f.	Listing and prioritising the key risks to be addressed and managed.
g.	Approving resources, including budgets for risk management.
h.	Reviewing the progress of action plans, taking stock of gross and net exposures and mandatingcorrective actions.
i.	Reporting progress to the Board and Risk Management Committee.
j.	Reporting on specific issues to the Risk Management Committee.

144

Bharti Airtel Limited

Integrated Report and Annual Financial Statements 2022-23

145

Corporate Overview

Business Responsibility & Sustainability Reporting
SECTION A

I.

Management Discussion & Analysis

Statutory Reports

17. Markets served by the entity:a.

GENERAL DISCLOSURES

Number of locations:
Locations

NumberNational (No. of States)
International (No. of Countries)*

28 States+8 UTs
NA*(International telecom operations in 17 countries are served by group companies).

Details of the listed entity

1.	Corporate Identity Number (CIN) of the Listed Entity – L74899HR1995PLC095967
2.	Name of the Listed Entity – Bharti Airtel Limited
3.	Year of Incorporation – 1995b.

What is the contribution of exports as a percentage of the total turnover of the entity? 4.31 %c.

A brief on types of customers: End Consumers (B2C), Business Customers (B2B)

4.	Registered office address – Airtel Center, Plot No. 16, Udyog Vihar, Phase-IV, Gurugram, Haryana – 122015, India

IV. Employees
18. Details as at the end of financial year i.e.

5.	Corporate address – Bharti Crescent, 1 Nelson Mandela Road, Vasant Kunj, Phase II, New Delhi: 110070, India

a.

6.

S.
Particulars
No.

E-mail – compliance.officer@bharti.in

7.

Telephone – +91-0124-4222222, +91-011-4666 6100

8.

Website – www.airtel.in

Employees and workers (including differently abled):
Male

Total (A)1.
2.

10.	Name of the Stock Exchange(s) where shares are listed – BSE Limited (BSE), National Stock Exchange of India
Limited (NSE)
11. Paid-up Capital – H28,366 Mn
12.	
Name and contact details (telephone, email address) of the person who may be contacted in case of any
queries on the BRSR Report – Compliance Officer, Rohit Krishan Puri, Telephone Number: +91-11-4666 6100,
Email id: compliance.officer@bharti.in
13.	Reporting boundary - Are the disclosures under this report made on a standalone basis (i.e., only for the entity)
or on a consolidated basis (i.e., for the entity and all the entities which form a part of its consolidated financial
statements, taken together): Standalone basis - Bharti Airtel Limited, unless otherwise specified.

II. Products/services
14.	Details of business activities (accounting for 90% of the turnover):S.
No.

Description of Main Activity

Description of Business Activity% of Turnover of the Entity

1.

Information and Communication

Wired, wireless or satellite Telecommunication activities

100%% (B / A)

No. (C)% (C / A)

Permanent (D)Other than Permanent (E)13,70813,708

12,115
12,115

88%
88%

1,593
1,593

12%
12%

3. Total employees (D + E)
Workers
4.
5.

Permanent (F)Other than Permanent G)

50,69950,69946,903
46,903

93%
93%

3,796
3,796

7%
7%

6.

Total workers (F + G)b.

Differently abled employees:

S.
No.

Particulars

No. (B)% (B / A)

No. (C)% (C / A)

38
38

35
35

92%
92%

3
3

8%
8%

0
0

0
0

0
0

0
0

0
0

Male

Total (A)1.

Permanent (D)2. Total differently abled employees (D)Workers3.

Other than permanent (G)4.

Total differently abled workers (G)19. Participation/inclusion/representation of women:

Product/Service

NIC Code% of total TurnoverContributed

1.

Wireless Telecommunication Activities

612

88.24%•	
Activities of Internet access by the operator of the wireless infrastructure (61201)

Board of Directors
Key Management Personnel

FY 2022-23

Permanent Employees
11.76%•	
Activities of basic telecom services: telephone, telex and telegraph

V.

Location

Number of plants

Number of offices

Total

National
International*

NA i
NA i

190
NA

190
NA

*(International telecom operations in 17 countries are served by group companies)

Bharti Airtel Limited

FY 2021-22

FY 2020-21

Male

Female

Total

Male

Female

Total

Male

Female

Total

24%

26%

24%

30%

31%

30%

19%

21%

19%

Name of the holding / subsidiary / associate companies / joint ventures (A)•	Activities of providing internet access by the operator of the wired infrastructure (61104)

III. Operations
16. Number of locations where plants and/or operations/offices of the entity are situated27%
0%

Holding, subsidiary and associate companies (including joint venture)

21. a.

(includes the activities of STD/ISD booths) (61101)% (B/A)

3
0

20. Turnover rate for permanent employees and workers: (Disclose trends for the past 3 years)(61202)•	
Activities of other wireless telecommunications activities (61209)

No. (B)

113•	
Activities of maintaining and operating cellular and other telecommunication networks

611

No. and percentage of females

Total (A)S.
No.

Wired Telecommunication Activities

FemaleDifferently abled employees

15.	Products/Services sold by the entity (accounting for 90% of the entity’s turnover):146

FemaleNo. (B)

Employees

9.	
Financial year for which reporting is being done – FY 2022-23

2.

Financial Statements

Name of the holding/subsidiary/ associatecompanies/joint ventures (A)Indicate whether holding/
subsidiary/Associate/
Joint Venture% Of shares Does the entity indicated at column A,
held byparticipate in the Business Responsibility
listed entity initiatives of the listed entity? (Yes/No)

Please refer to “Salient features of the financial statement of subsidiaries, associates
and joint ventures for the year ended March 31, 2023, pursuant to Section 129 (3) ofthe Companies Act, 2013” forming part of this Annual Report

Yes(Nearly all subsidiary companies, either directly themselves or jointly with Bharti Airtel Limited, participate in the BusinessResponsibility initiatives).

Integrated Report and Annual Financial Statements 2022-23

147

Corporate Overview

VI. CSR detailsii.

Turnover: H847,201 Mn

iii.

Net worth: H824,194 Mn

VII. Transparency and Disclosures Compliances
23.	Complaints/grievances on any of the principles (Principles 1 to 9) under the National Guidelines on
Responsible Business Conduct (NGRBC)
Stakeholder
groupfrom whomcomplaint isreceived

Grievance Redressal
Mechanisms in Place(Yes/No)(If yes, then provide
web-link for grievance
redressal policy)

Communities Yes,
& NGOsCommunities & NGOs
Grievance Redressal Policy
Shareholders Yes,

Employees
and workers
Customers

Investors andShareholders
Yes,
Ombudsperson Policy
Yes,
Telecom Customer
Charter

Value Chain
Partner –Suppliers

Others(Channelpartners)

Yes,
Airtel Partner WorldYes,

FY 2022-23
Number ofcomplaints
filed during
the year

0

23

17

FY 2021-22

Number ofcomplaints
pending Remarks
resolution at
close of the year

0

0

0

-

-

-

Number ofcomplaints
filed during
the year045

9Number ofcomplaints
pending Remarks
resolution at
close of the year

0

0

0

(For the details mentioned above, the term shareholders include investors).

S.
No.

Material issue
identified

Indicate
whether
Rationale for identifying the risk/
risk oropportunity
opportunity
(R/O)

1.

Environment:

Risk

•	
Sudden climate and extreme

weather events expose the
network to disruption, revenue
loss, asset damage and delayed
response.

Climatechange,energyefficiency
and emission
reduction-•	Working telecommunicationis critical for any disastermanagement, including early
warning, response, recovery, andrehabilitation.

--

Customer complaints are resolved as per applicable legislations, including sector
specific regulatory provisions under the Telecom Consumers Complaint Redressal
Regulation, 2012 issued by TRAI and to the extent applicable, are also reported to theregulator as per the reporting requirement prescribed thereunder.
12
1*
15
4*
(Pending(Pending
complaintcomplaints
was closed
were closed
subsequent tosubsequent
the closure of
to closure of
FY 2022-23)
FY 2021-22)
83
0
101
0
-

Anmol Ratna Portal

Statutory Reports

Financial Statements

24.	Overview of the entity’s material responsible business conduct issues:	Please indicate material responsible business conduct and sustainability issues pertaining toenvironmental and social matters that present a risk or an opportunity to your business, rationale
for identifying the same, approach to adapt or mitigate the risk, as per the following format:

Whether CSR is applicable as per Section 135 of Companies Act, 2013: Yes ii

22. i.

Management Discussion & Analysis

2.

Governance:
Information
security andcustomer data
privacyRisk•	
Risk of data loss can leadto accidental exposure ofconfidential information.

In case of risk, approach to adapt or
mitigate

Airtel is building climate resiliencethrough:Financial
implicationsof the risk oropportunity(Indicate
positive or
negative
implications)

Negative•	
Implementing geographicalredundancies.

•	
Deploying multiple fiber paths forcritical sites.

•	
Reinforcing tower infrastructure in

regions prone to cyclones and floods.

•	
Focus on greening the network via

solarisation of network towers, data
centers and MSCs. Building energy
efficient solutions to reduce energy
consumption.
•	
Strict processes and relevant
technologies are implemented
to ensure the privacy of personal
information throughout its lifecycle.

Negative•	
Our endpoints are equipped withspecialised software to monitor
multiple channels for any potential
violations, generating alerts for realtime action.

•	Centralised team reviews alerts,
initiate investigations and takenecessary actions.

•	
All incidents are tracked and resolved
within specified timelines.

•	
Ensuring closures and monthly
reviews.

148

Bharti Airtel Limited

Integrated Report and Annual Financial Statements 2022-23

149

Corporate Overview

S.
No.

3.

Material issue
identified

Societal:

Indicate
whether
Rationale for identifying the risk/
risk oropportunity
opportunity
(R/O)

Risk

4.

Diversity andInclusion•	
Dynamic changes in IT landscape •require constant upgradation oftechnologies.

Network
quality,expansion,andtransformation

In case of risk, approach to adapt or
mitigate•	
Network failures can result

Eliminate systemic congestion.

Financial
implicationsof the risk oropportunity(Indicate
positive or
negative
implications)

Negative

Embracing workforce diversity
is crucial as it enhances our
performance by bringing together
individuals with different types ofknowledge, viewpoints, perspectives,and cultural awareness. This variety
of ideas and perspectives fosters
innovation, as teams become more
adaptable to meet the evolving
needs of our customers. By
promoting a diverse and inclusive
workforce, we aim to expand ourcustomer base and ensure greater
customer satisfaction.

Financial Statements

MANAGEMENT AND PROCESS DISCLOSURES

Disclosure questions
1.

through a quality improvement
program.

Positive

Statutory Reports

This section is aimed at helping businesses demonstrate the structures, policies and processes put in place towards adopting
the NGRBC Principles and Core Elements•	
Removes causes of technical failuresfrom equipment delays,•	Carry out internal checks to ensure
spare shortages, energy/fuelall preventive and corrective actions
shortages, etc. potentially leading
to ensure Network availability andto negative financial.
quality to end users.

Opportunity The Board of Directors recognises
the value of diversity and inclusionand firmly believes that having
individuals with diverse backgrounds,
geographical regions, expertise,knowledge, perspectives, andgenders contributes to more
effective and balanced decisionmaking. Our company takes pride inhaving an exceptional and diverse
board, with 27% of directors being
women.

SECTION B

Management Discussion & Analysis

P1

P2

P3

P4

P5

P6

P7

P8

P9

a.	Whether your entity’s policy/policies cover each principle and its core Y
elements of the NGRBCs. (Yes/No)

Y

Y

Y

Y

Y

Y

Y

Y

b.

Has the policy been approved by the Board? (Yes/No)

Y

Y

Y

Y

Y

Y

Y

Y

c.

Web link of the policies, if available.

Policy and management processes

Y

Refer Table 1 below

2.	Whether the entity has translated the policy into procedures. (Yes /No)

Y

Y

Y

Y

Y

Y

Y

Y

Y

3.	Do the enlisted policies extend to your value chain partners? (Yes/No)

Y

Y

Y

N

Y

Y

Y

N

Y

4.	
Name the national and international codes/certifications/labels/
standards (e.g., Forest Stewardship Council, Fairtrade, Rainforest Alliance,
Trustee) standards (e.g., SA 8000, OHSAS, ISO, BIS) adopted by your entity
and mapped to each principle.

Refer Table 2 below

5.	Specific commitments, goals and targets set by the entity with defined
timelines, if any.

Refer Table 3 below

6.	Performance of the entity against the specific commitments, goals, andtargets along-with reasons in case the same are not met.

Refer Table 3 below

Governance, leadership, and oversight

7.	Statement by director responsible for the business responsibility report, highlighting ESG-related challenges, targets, andachievements (listed entity has flexibility regarding the placement of this disclosure).
Part of message from Managing Director & CEO Mr. Gopal Vittal. Please refer page 14 of IR.
8.	Details of the highest authority responsible Yes
for implementation and oversight of the
ESG Committee, comprising of following directors:
Business Responsibility policy (ies).
•	Nisaba Godrej, DIN: 00591503, Independent Director and Chairperson of
9.	Does the entity have a specified Committee
ESG Committeeof the Board/Director responsible for•	Dinesh Kumar Mittal, DIN: 00040000, Lead Independent Director
decision making on sustainability related• Gopal Vittal, DIN: 02291778, Managing Director & CEO
issues? (Yes/No). If yes, provide details.
•	Rakesh Bharti Mittal, DIN: 00042494, Non-Executive Director•	Pradeep Kumar Sinha, DIN: 00145126, Independent Director•	Kimsuka Narasimhan, DIN: 02102783, Independent Director

10.

Details of Review of NGRBCs by the Company:

Subject for Review

Performance against above policies and follow
up action.
Compliance with statutory requirements ofrelevance to the principles, and rectificationof any non-compliances.

Indicate whether review was undertaken
Frequency (Annually/ Half yearly/
by Director / Committee of the Board /Quarterly/ Any other – please specify)
Any other Committee
P1

P2

P3

P4

P5

P6

P7

P8

P9

P1

P2

P3

P4

P5

P6

Y

Y

Y

Y

Y

Y

Y

Y

Y

Annually

Y

Y

Y

Y

Y

Y

Y

Y

Y

Quarterly

P7

P8

P9

P1
P2
P3
P4
P5
P6
P7
P8
P9
11.	Has the entity carried out independent
assessment/ evaluation of the working of its
The Company has in place a robust Internal Assurance Group, led by the Chiefpolicies by an external agency? (Yes/No). If
Internal Auditor and ably supported by reputed independent firms as the Internalyes, provide name of the agency.
Assurance Partners, that serves as a mechanism for assessment/evaluation of theworking of all its key policies.

150

Bharti Airtel Limited

Integrated Report and Annual Financial Statements 2022-23

151

Corporate Overview

12.

If answer to question (1) above is “No” i.e., not all Principles are covered by a policy, reasons to be stated:

QuestionsP1

P2

The entity does not consider the principles material to its business (Yes/No)
The entity is not at a stage where it is in a position to formulate and implement thepolicies on specified principles (Yes/No)
The entity does not have the financial or/human and technical resources available
for the task (Yes/No)
It is planned to be done in the next financial year (Yes/No)
Any other reason (please specify)

P3

P4

P5

P6

Airtel Policy

P1

Code of Conduct

P2

P3

Ethics, Transparency and Accountability: Businesses
should conduct and govern themselves with integrity,and in a manner that is Ethical, Transparent andAccountable

P7

P8

P9

Not Applicable

Product Lifecycle Sustainability: Businesses should
provide goods and services in a manner that is
Code of Conduct for Business Associates
sustainable and safe
Human Rights Policy
Employee Well-being: Businesses should respect andpromote the well-being of all employees, including those Bharti Airtel Infrastructure and Safety Policy [Intranet]in their value chains
Ombudsperson Policy and Process

P5

P6
P7

P8

P9

Stakeholder Engagement: Businesses should respect
the interests of and be responsive to all its stakeholders
Promoting Human Rights: Businesses should respect
and promote human rights

POSH [Intranet]
Stakeholder Engagement Framework

Code of Conduct for Business Associates

Protection of Environment: Businesses should respectand make efforts to protect and restore the environment Code of Conduct for Business Associates
Code of Conduct
Responsible Policy Advocacy: Businesses, whenengaging in influencing public and regulatory policy,
should do so in a manner that is responsible andtransparent
Code of ConductSupport Inclusive Growth: Businesses should promote
inclusive growth and equitable development
Corporate Social Responsibility Policy
Stakeholder Engagement Framework
Code of Conduct

Bharti Airtel Limited Environment, Health and Safety Policy
Online Privacy Policy
Stakeholder Engagement Framework

Table 2 National and International standardsPrinciple Principle description

P1

P2

Name of the national and international codes/certifications/labels/ standards

Ethics, Transparency and Accountability:•	Reporting in reference to GRI standards and International
Integrated Reporting Framework
Businesses should conduct and govern themselves withintegrity, and in a manner that is Ethical, Transparent•	Independent Assurance of non-financial information as per
and Accountable[AA1000 Assurance Standard]
Product Lifecycle Sustainability: Businesses should
provide goods and services in a manner that issustainable and safe

Employee Well-being:•	Signatory to United Nations Global Compact

P4

Businesses should respect and promote the well-beingof all employees, including those in their value chains
Stakeholder Engagement:•	Materiality Assessment and Stakeholder Engagement in

P5

Businesses should respect the interests of and be
responsive to all its stakeholders
Promoting Human Rights:•	Signatory to United Nations Global Compact

P6

Businesses should respect and promote human rights
Protection of Environment:•	Science Based Targets

reference to GRI Standards and Accountability AA1000
principles

Businesses should respect and make efforts to protect
and restore the environment•	Signatory to United Nations Global Compact•	Science Based Targets•	Compliance with EMF guidelines as per local regulations
and ICNIRP (International Commission on Non-Ionizing
Radiation Protection),•	Compliance with EMF guidelines as per local regulations
and ICNIRP (International Commission on Non-Ionizing
Radiation Protection)•	ISO 14001 (for core data centers): 2015 Environment
Management System

P7

Responsible Policy Advocacy:•	Signatory to United Nations Global Compact•	Board Member of GSMA – Leading international Telecom

P8

Businesses, when engaging in influencing public andregulatory policy, should do so in a manner that is
responsible and transparent
Support Inclusive Growth:

P9

Businesses should promote inclusive growth andequitable development
Providing Customer Value:

Association•	CSR disclosures pursuant to Section 135 of theCompanies Act, 2013•	ISO 27001 certified Information Security Management
SystemBusinesses should engage with and provide value totheir consumers in a responsible manner•	ISO 22301 certified Business Continuity Management
SystemOmbudsperson Policy and Process
Human Rights Policy
Ombudsperson Policy and Process
Bharti Airtel Limited Environment, Health and Safety Policy

Providing Customer Value: Businesses should engage
with and provide value to their consumers in a
responsible manner

P3

Code of Conduct for Business Associates
Tax Policy
Bharti Airtel Limited Environment, Health and Safety Policy

Financial Statements

Name of the national and international codes/certifications/labels/ standards

Ombudsperson Policy and Process

Bharti Airtel Limited Environment, Health and Safety Policy
P4

Statutory Reports

Principle Principle description

Table 1 NGBRC principle wise policy mappingPrinciple Principle description

Management Discussion & Analysis•	TL9000 Quality Management System

Table 3 – Specific commitments, goals, and targets
Status legend

Target achieved

Over-achieved

Specific commitments, goals and targets set by the entity

In-Progress

Not achieved

Performance

MappedNGRBC Status
Principle

Environment: Green Organisation
Greening the Network›	To reduce our carbon emissions (scope 1 and scope 2) by 50.2% by FY
ending March 2031, using FY 2021-22 as baseline as per science-basedtargets initiative and GSMA pact.
›	To reduce our absolute scope 3 GHG emissions by 42% by FY ending
2031, using FY 2020-21 as baseline, as per science-based targets initiative.
›	In line with target set by GSMA under Carbon Action Plan for telecom
industry, achieve net zero carbon emissions by 2050.
Resource Efficiency

503,569 tCO2e carbon
emissions (scope 1 and scope 2)
in FY 2022-23
5,458,819 tCO2e Scope 3
emissions in FY 2022-23
503,569 tCO2e carbon
emissions (scope 1 and scope 2)
in FY 2022-23
E-waste is sold to authorised
recyclers/refurbishers›	Ensuring e-waste is sold to authorised recyclers/ refurbisher to ensure
environmentally sound waste management.
›	Implementing ISO 14001 (EMS) Environment Management System by FY On-going as per target
ending March 2024.
Digital Inclusion & Access to ICT
During FY ending 31 March›	Bharti Airtel Limited is committed to positively impact 150 million lives by 2023: Airtel enabled 4G Network
connections
2025 by promoting digital inclusivity through extending high-speed 4G
data connectivity to data-starved regions and accelerating upgradationof feature phone users to smart phones, making device ownershipaffordable for low-income groups.

P2, P6

P2, P6
P2, P6

P2, P6
P6

P8•	ISO 14001 (for core data centers): 2015 Environment
Management System

152

Bharti Airtel Limited

Integrated Report and Annual Financial Statements 2022-23

153

Corporate Overview

Specific commitments, goals and targets set by the entity

Performance

MappedNGRBC Status
Principle

Social: Empowering People
Diversity and Inclusion

In FY 2022-23›	Ensuring at least 20% women employees by FY ending March 2025.

›	27% female directors on the
Board

Health & Safety›	Conducting safety training for all employees by FY ending March 2023.
›	Implementing of ISO 45001 (OH&S MS) Occupational Health and Safety
Management System by FY ending March 2024.
Talent attraction and Human Capital development›	To increase average training hours per employee by 20% by FY ending
March 2023, using FY 2019-20 as baseline.
›	To increase the number of training interventions by 15% by FY ending
March 2023, using FY 2019-20 as baseline.
Promoting Human Rights›	Ensuring human rights training for employees by FY ending March 2023.
Community Stewardship›	To contribute 2% of the average net profit of preceding three financial
years, in CSR and social development activities each year.

›	11.1% women employees inworkforce#
Safety trainings were conducted
for nearly 100% of locations in
FY 2022-23 covering all eligible
employees
On-going as per target
12.2 hours of training per
employee#
4,197 training interventions#
99.4% employees were provided
with training on Code of Conduct(which includes Human Rights
related aspects)#
H21.18 Mn contributed to CSR
and social development activities
in FY 2022-23

P3, P5

P3, P5

P3, P5
P3

March 2025, using FY ending March 22 as baseline.

# At India operations level.

Financial Statements

PRINCIPLE 1: Businesses should conduct and govern themselves with integrity, and in a manner that is
Ethical, Transparent and Accountable.
ESSENTIAL INDICATOR
1.	Percentage coverage by training and awareness programmes on any of the principles during thefinancial year.

Board of Directors
Key Managerial
Personnel (KMP)
Employees otherthan Board of
Directors or KMPs

Total number oftraining and awarenessprogrammes held

Topics/principles covered under the training and its
impact% of persons in respective
category covered by theawareness programmes*

Please refer to page 200 of the Corporate Governance Reportof our Integrated Annual Report FY 2022-23
17

Trainings conducted on company policies include:100%›	Code of Conduct including guidelines for ensuring
ethical business conduct and sustainability›	Prevention of Sexual Harassment (POSH)

P3

›

P5

›	Data security and privacy›	Code of Conduct including guidelines for ensuring
ethical business conduct and sustainability

Workers4

Health and safety100%›	Prevention of Sexual Harassment (POSH)›	Conflict of Interest (COI)P8›	Insurance benefits on Insurance*Percentage indicates details of trainings extended.

Corporate Governance

Airtel periodically conducts
materiality assessment. Last
assessment was undertaken in
2021
Enhancing Customer Experience and Satisfaction
For all the base stations audited›	Maintain compliance with EMF radiation levels set by local regulations and by DoT in FY 2022-23, we were
ICNIRP (International Commission on Non-Ionizing Radiation Protection). compliant with EMF radiationlevelsEnhancing Customer Experience & Satisfaction
15.4% reduction in FY 2022-23
using FY 2021-22 as baseline#›	To reduce customer call and complaint volume by 50% by FY ending

Statutory Reports

PRINCIPLE-WISE PERFORMANCE DISCLOSURE

Segment

Governance: Sustainable Development & Corporate Governance›	Periodically conduct materiality assessment through formal stakeholder
engagement to prioritise ESG focus areas.

SECTION CManagement Discussion & Analysis

P1, P4

P2, P6,P9P9

2.	Details of fines/penalties/punishment/award/compounding fees/settlement amount paid in proceedings(by the entity or by directors/KMPs) with regulators/law enforcement agencies/judicial institutions, in thefinancial year, in the following format (Note: The entity shall make disclosures on the basis of materiality as
specified in Regulation 30 of SEBI (Listing Obligations and Disclosure Obligations) Regulations, 2015 and as
disclosed on the entity’s website):	There are no such fines, settlement, and compounding fees on the Company or its directors/KMPs with regulators/law
enforcement agencies/judicial institutions, in the financial year.
3.	Of the instances disclosed in Question 2 above, details of the Appeal/Revision preferred in cases wheremonetary or non-monetary action has been appealed.
Not Applicable.
4.	Does the entity have an anti-corruption or anti-bribery policy? If yes, provide details in brief and if available,
provide a web-link to the policy.
	Yes, Airtel has an anti-bribery and corruption policy (ABAC) that is uploaded on Airtel’s Intranet and is accessible toall its employees. The ABAC Policy extends to all employees of Bharti Airtel Limited and its subsidiaries and associatecompanies. The policy is subject to all local legal/ regulatory requirements and amendments from time to time. The
Company has a zero-tolerance approach towards bribery and corruption and is committed towards acting transparently,
ethically and with integrity in all our business dealings and relationships wherever we operate.
	In addition, Airtel’s Code of conduct comprises of an Anti-bribery and corruption clause. The coverage of policy extends
to all employees, board of directors, subsidiaries, and business associates of the Company.
5.	Number of Directors/KMPs/employees/workers against whom disciplinary action was taken by any law
enforcement agency for the charges of bribery/corruption:
NIL
6.

Details of complaints with regard to conflict-of-interest:
NIL

7.	Provide details of any corrective action taken or under way on issues related to fines/penalties/action taken
by regulators/law enforcement agencies/judicial institutions, on cases of corruption and conflicts of interest.
Not Applicable

154

Bharti Airtel Limited

Integrated Report and Annual Financial Statements 2022-23

155Corporate Overview

LEADERSHIP INDICATORS
1.

Awareness programmes conducted for value chain partners on any of the principles during the financial year.

Total numberof awarenessprogrammes held

7

Topics / principles covered under the training% Age of value chain partners covered (byvalue of business done with such partners)
under the awareness programmes

Sustainability definition, NGRBC Principles, Bharti Airtel Code93%
of Conduct for business associates, Bharti Airtel Human Rights
Policy, and Airtel ESG Goals/Commitments

1.

a.

Category

Total

R&D

FY
2021-22

Details of improvements in environmental and social impacts

92.75%

91.48%

Social impacts
This is related to developing and building ecosystem for Open RAN based 5G network. OpenRAN (also called ORAN) is promoting supplier diversity and a more resilient supply chain which isimportant in view of Geo-Political challenges. Airtel carried out trials of the ORAN solution in Punjab
LSA with the trial 5G spectrum from DoT in FY 2022-23. Airtel has also invested in augmenting
testing and validation capabilities at its LAB so that these solutions can be verified for end to end
functionality, performance and efficiency. Open RAN based networks are expected to promote moreinnovation, agility along with higher competition thus leading to resilient supply chain.

Capex

0.38%

0.18%

Total (A)

Health insurance

Accident insurance

Maternity benefits

Paternity benefits

Day care facilities

No. (B)% (B/A)

No. (C)% (C/A)

No. (D) % (D/A)

No. (E)% (E/A)

No. (F)% (F/A)b.

12,115
1,593
13,708

12,115
1,593
13,708

100%
100%
100%

12,115
1,593
13,708

100%
100%
100%

NA
1,593
1,593

12,115NA
12,115

100%
NA
100%

12,115
1,593
13,708

100%
100%
100%

NA
100%
100%

Details of measures for the well-being of workers:% Of employees covered byCategory

Total (A)

Health insurance

Accident insurance

Maternity benefits

Paternity benefits

Day care facilities

No. (B)% (B/A)

No. (C)% (C/A)

No. (D) % (D/A)

No. (E)% (E/A)

No. (F)

100%
100%
100%

46,903
3,796
50,699

100%
100%
100%

NA
3,796
3,796

46,903NA
46,903

100%
NA
93%

% (F/A)

Other than Permanent workers
Male
FemaleTotal
2.

46,903
3,796
50,69946,903
3,796
50,699

NA
100%
7%

-

Details of retirement benefits for the current and previous financial year.

Benefits

FY 2022-23

FY 2021-22

No. ofNo. of workers Deducted andemployees
covered as deposited withcovered as
a % of total
the authority
a % of total
workers(Y/N/N.A.)
employees

No. ofNo. of workers Deducted andemployees
covered as deposited withcovered as
a % of total
the authority
a % of total
workers(Y/N/N.A.)
employees

PF
Gratuity

100%
100%

100%
100%

Apart from above, company spends on R&D infrastructure, Devices & Lab Testing.
Improve Energy efficiency

ESI
Others – please specify

1.5%

62%

Replacement of Aged assets : Aged Servers with high power consumption replaced with new smart
servers. This will enable the lower Carbon Emissions from by 71% (0.45 kg/hour to 0.13 kg/hour).

(All statutory dues were provided to employees and workers as per applicable legislations)

Upgradation of VC Device : With change in scenario from bridge based (IP Based Call) to link based
call (zoom, teams, google meet).

3.	Accessibility of workplaces Are the premises/offices accessible to differently abled employees as per therequirements of the Rights of Persons with Disabilities Act, 2016? If not, whether any steps are being taken by
the entity in this regard.

Deployment of : Airtel Installed the Battery Banks , Solar Power & DC Aircon which reduce the Diesel
consumptions which reduced the emission of CO2 and contribute towards environmental and social
welfare.
Social Causes
Centralisation of resource : CLM & Darts centralisation.

A.

Does the entity have procedures in place for sustainable sourcing? (Yes/No)- Yes

B.

If yes, what percentage of inputs were sourced sustainably? 88%

YAs and whenapplicable
Y
NA

100%
100%

100%
100%

Y
NA

2%

100%

Y

We have assistive devices and accessibility support which are made available to differently abled employees.
4.	Does the entity have an equal opportunity policy as per the Rights of Persons with Disabilities Act, 2016? If so,
provide a web-link to the policy.

ESIM : ESIM helps the environment is by eliminating the need for extra resources. This cuts down
harmful waste and reduce the need for plastic because they are soldered directly into the device.

2.

Details of measures for the well-being of employees:

Permanent employees

	Yes, Airtel has implemented strict policies and processes to prevent any conflicts of interest involving board members
and other employees. The Company requires submission of a written notice (changes from time to time) from its Board
members and KMP on the concern & interest in the other entities. On the basis of applicable laws and declarations
received from the Board and KMPs, a list of related parties is compiled. Relevant provisions have been included in Airtel’s
policy- Code of Conduct and Related Party Transactions.

FY2022-23

Financial Statements% Of employees covered byMale
Female1.	Percentage of R&D and capital expenditure (capex) investments in specific technologies to improve theenvironmental and social impacts of product and processes to total R&D and capex investments made by theentity, respectively.

Statutory Reports

PRINCIPLE 3: Businesses should respect and promote the well-being of all employees, including thosein their value chains
ESSENTIAL INDICATOR

2.	Does the entity have processes in place to avoid/manage conflict of interests involving members of the board?
(Yes/No) If yes, provide details of the same.

PRINCIPLE 2: Businesses should provide goods and services in a manner that is sustainable and safe
ESSENTIAL INDICATORManagement Discussion & Analysis

Yes, the policy is available via the Company’s intranet.
5.

Return to work and retention rates of permanent employees that took parental leave.

Gender3.	Describe the processes in place to safely reclaim your products for reusing, recycling, and disposing at theend of life, for: (a) Plastics (including packaging), (b) E-waste, (c) Hazardous waste, and (d) other waste.

Male
Female	We are conscious and sensitive regarding importance of reusing; reducing and recycling of waste generated during ourbusiness operations and to the extent applicable, we have adequate processes in place for:

Total

Permanent Employees
Return to work rate

Retention rate

100%
100%
100%

87.9%
97.4%
89.6%

• Reuse /Redeployment/Repair of network equipment, Customer premises equipment’s etc.
• Recycling of waste generated including e-waste, battery waste, plastic waste etc. only through approved recyclers.
4.	Whether Extended Producer Responsibility (EPR) is applicable to the entity’s activities (Yes/No). If yes, whether
the waste collection plan is in line with the Extended Producer Responsibility (EPR) plan submitted to Pollution
Control Boards? If not, provide steps taken to address the same.
	Yes, EPR registration is applied by the Company as an Importer under the Plastic Waste Management Rules. Company
is recycling the plastic waste as per the applicable rules.

156

Bharti Airtel Limited

Integrated Report and Annual Financial Statements 2022-23

157

Corporate Overview

6.	Is there a mechanism available to receive and redress grievances for the Permanent and Non-permanent
employees’ categories of employees? If yes, give details of the mechanism in brief.
Yes/No (If yes, then give details of the mechanism in brief)

Permanent
Employees

Yes, Airtel is committed to provide a safe and positive work environment. Airtel has a code of conduct policy, aconsequent management policy and an Ombudsperson Policy that allows employees, including contractual workers,
to report concerns with reference to code of conduct and daily operations without any fear of retaliation.
The Ombudsperson’s office is the vigil mechanism that allows employees as well as other stakeholders of theCompany to report any threat or actual breach of the code of conduct. It reports to the audit committee of the Boardand investigates complaints Suo motto on the basis of information received or on complaints that are reported to it.

Other than
Permanent
Workers

Grievances can be raised by reaching out to Ombudsperson either•	Through telephone (secure hotline)•	In writing (hard copy) to: The Ombudsperson, Bharti Crescent, 1, Nelson Mandela Road, Vasant Kunj, Phase II,
New Delhi –110 070•	Stakeholders may, if they wish to escalate any complaint directly to the Chairman of the Audit Committee of theBoard, write in to auditcommittee.chair@bharti.in
Matters such as service conditions, organisational policies, appraisals, and other operational issues should be taken
up through Human Resources or departmental heads or an employee’s immediate supervisor.

Membership of employees and worker in association(s) or Unions recognised by the listed entity:

Total employees/ workers in
respective
category (A)Category

Total Permanent Employees
MaleFemale8.

FY 2022-23
No. of employees/ workers in
respective category,
who are part ofassociation(s) orUnion (B)12,115
1,593% (B/A)00

Total employees/ workers in
respective
category (C)0%0%FY 2021-22
No. of employees/ workers in
respective category,% (D/C)
who are part ofassociation(s) orUnion (D)

8,924
1,218

0
0

0%
0%

Details of training given to employees:

Category

Total (A)

Total
Workers
Male
FemaleTotal

Total (D)FY 2021-22
On Health and safetymeasuresNo. (E) % (E/D)

On Skill
upgradation
No. (F) % (F/D)

12,115
1,593
13,708

12,115
1,593
13,708

100%
100%
100%

12,012
1,581
13,683

99%
99%
99%

46,903
3,796
50,69946,903
3,796
50,699

100%
100%
100%

NA
NA
NA

NA
NA
NA

8,924
1,218
10,142

8,478
1,157
9,635

95%
95%
95%

6,333
649
6,983

71%
53%
69%

Not Reported• Health and Safety Audit:• Conducting annual review of Occupational Health and Safety management system at Airtel.
• Stakeholder consultation to understand and evaluate current operating procedures and identifying any gaps inthe system.
• Offering control-focused recommendations to define management action plans, including responsibilities andtimelines for implementation.
• Health and Safety Performance Review:• Monthly review of health and safety performance by management on pre-defined KPIs.
• Review of reported incidents, audit findings, progress on HSE goals, and changes to service line and operations.
• Based on the above review, improvement areas are identified followed by strengthening of internal controls forhealth and safety risk management.
• Incident investigation and risk analysis:• Uses a Risk Assessment Matrix (RAM) to evaluate incident severity.
• Identifies work-related hazards and implements corrective actions based on the assessment.
c.	Whether you have processes for workers to report the work-related hazards and to remove themselves fromsuch risks.
	Yes, Airtel has implemented procedures that allow its workers to report work-related hazards and be cautious of potential
risks. Workers and employees can utilise the available channels to report any work-related hazards.

d.	Do the employees/workers of the entity have access to non-occupational medical and healthcare services?
	Yes, Airtel provides access to non-occupational medical and healthcare services to employees and workers.

FY 2021-22

Total (A)No. (B)% (B/A)

Total (C)No. (D)% (D/C)12,115
1,593
13,708

12,115
1,593
13,708

100%
100%
100%

8,924
1,218
10,142

8,924
1,218
10,142

100%
100%
100%

46,903
3,796
50,69912,820735
13,555

27%
19%
27%

Employees

Total	Airtel recognises and accords highest priority to safety and well-being of its employees and other stakeholders. To
identify work-related hazards, Airtel has implemented a robust Hazard Identification and Risk Assessment System(HIRA)
to undertake safety audits and identify work related hazards in our operations.

• Incident reporting app (To report safety incidents and violation of safety policy).

FY 2022-23

Male
Female	Yes, Airtel has a comprehensive occupational health and safety management system covering all operations, including
a safety charter called 'Airtel Suraksha Programme’. Health and safety committees are established at both central andlocal levels, and strict policies are in place to ensure a safe workplace. Airtel has various policies and manuals, including
Bharti Airtel Workplace Safety Policy, Infrastructure and Safety Policy, HSE Process Manual, Women Safety Policy, andPhysical Security SOPs. Regular training and awareness programs are conducted to ensure safety. EHS Policy• Local Email ID to report Risks/Hazards.

Details of performance and career development reviews of employees:

Total
Workersa.	Whether an occupational health and safety management system has been implemented by the entity? (Yes/
No). If yes, the coverage of such a system?

• Central Generic Email ID to report Risks/Hazards.

^Percentage indicates details on attendance basis.

Male
Female10. Health and safety management system:• Toll-Free Number on ID Card to report Risks/Hazards.

*Percentage indicates details of trainings extended.

9.

Financial Statements• Airtel conducts health and safety risk assessment for reported incidents.

FY 2022-23
On Health and
On Skill upgradation^
safety measures*
No. (B) % (B/A)
No. (C) % (C/A)

Employees
MaleFemaleStatutory Reportsb.	What are the processes used to identify work-related hazards and assess risks on a routine and non-routine
basis by the entity?

•	In person with the office of the Ombudsperson•	Through email at ombudsperson@bharti.in

7.

Management Discussion & Analysis

	For more details on our health and safety practices and related initiatives, please refer to Page 96 in the Human Capital
section of our Integrated Report.

Not Reported(100% of eligible employees have undergone performance and career development reviews).

158

Bharti Airtel Limited

Integrated Report and Annual Financial Statements 2022-23

159

Corporate Overview

11. Details of safety-related incidents:
Safety Incident/Number

Category

FY 2022-23

Lost Time Injury Frequency Rate (LTIFR) (per one million-person Employees
hours worked)
Workers
Total recordable work-related injuries
Employees
Workers
No. of fatalities (safety incident)
Employees
Workers
High consequence work-related injury or ill-health (excluding
Employees
fatalities)
Workers

0.32
0.21
9
29
0
3
0
0

FY 2021-22

Management Discussion & Analysis

Statutory Reports

Financial Statements

15.	Provide details of any corrective action taken or underway to address safety-related incidents (if any) and on
significant risks / concerns arising from assessments of health and safety practices and working conditions.
Airtel has implemented the following measures to address safety-related risks and hazards:• Strengthened its occupational health and safety policy and protocols.
• Rolled out Consequence Management Policy to prevent recurrence of safety incidents.

Did not Record• Defined detailed safety protocols.
• Circulated interactive modules to employees and workers on various safety topics.
• Rolled out 8 golden rules of safety to promote behavioral change.

12. Describe the measures taken by the entity to ensure a safe and healthy workplace.

• Conducted awareness generation and sensitisation through sharing case studies and lessons learnt.

• Bharti Airtel prioritises occupational health and safety through their 'Airtel Suraksha Programme'.

• Conducted detailed investigation and root cause analysis of each safety incident, and communicated learnings fromeach incident across all operations.

• A comprehensive health and safety policy and manual have been established to ensure a safe and incident-freeworkplace, including health promotion and disease prevention.
• A dedicated Safety Committee led by a Safety officer has been setup up at central level to monitor safety performance.

• An employee perception survey was conducted to assess employee satisfaction with existing safety practices andidentify any areas for improvement.

• Regular risk assessments and safety trainings for employees to identify any work-related hazards are undertaken
followed by implementation of any corrective actions.

• Safety Awareness Campaign-Safe by Choice duly linked with #AirtelSuraksha.
• Launched SWAT 'Safety Within and Together' for employee and associates’ engagement on safety programs.

• Fire evacuation drills are conducted quarterly, and security policies are in place to drive uniform security systems andprocesses across all Airtel businesses and to protect company assets.

LEADERSHIP INDICATORS• Safety incidents are promptly reported and investigated to prevent recurrence.

1.

• Airtel has taken several other measures to promote employee health and well-being, such as: On-site doctors; freediagnostics; gym facilities and road safety awareness.
• Vendors have been onboarded to spread awareness related to OH&S and lead a mindset alignment program called'Safe by Choice'.
• Regular induction and refresher training are provided to all employees and associates/partners.
• Airtel celebrated National Safety week during March 2023.
• An employee perception survey was conducted to assess employee satisfaction with existing safety practices andidentify any areas for improvement.
13. Number of complaints on the following made by employees:
FY 2022-23(Yes/No)

Employees
Workers

Yes
Yes

2.	Provide the measures undertaken by the entity to ensure that statutory dues have been deducted and depositedby the value chain partners.
	Airtel has defined guidelines for value chain partners as part of its Code of Conduct for Business Associates to pay
remuneration to their employees in compliance with the applicable laws and regulations which includes minimum wages,
deduction from wages, overtime hours and associated applicable benefits. Further, Airtel uses self-assessment surveys
to ensure timely deduction and deposit of statutory dues by its crucial value chain partners. 91% of Partners by value
are assessed and all Partners take adequate measures to ensure compliance with the Statutory dues requirement.
	In addition, Airtel has framework in place to validate regulatory compliance of Manpower Partners related to Minimum
Wages, PF, ESIC, Gratuity, Maternity Benefits etc.

FY 2021-22

Filedduring theyear

Pending resolution
at the end of year

RemarksFiledduring theyear

Pending resolution
at the end of year

Remarks

NIL
NIL

NIL
NIL

-

NIL
NIL

NIL
NIL

-

Working conditions
Health and safety

Does the entity extend any life insurance or any compensatory package in the event of death of:

14. Assessments for the year:

3.

Details on assessment of value chain partners:% Of value chain partners (by value of business done with such partners) that were assessed

Health and safety practices
Working Conditions

91%
91%

(As per value).

% Of your plants and offices that were assessed (by entity or statutory authorities or third parties)

Health and safety practices
Working Conditions

160

Bharti Airtel Limited

100%
100%

Integrated Report and Annual Financial Statements 2022-23

161

Corporate Overview

PRINCIPLE 4: Businesses should respect the interests of and be responsive to all its stakeholders
ESSENTIAL INDICATORS
1.

Describe the processes for identifying key stakeholder groups of the entity.

	Airtel follows the below mentioned process to identify key stakeholders who are directly or indirectly dependent on
Airtel’s activities, products or services and associated performance, or on whom Airtel is dependent in order to operate,or to whom Airtel has, or in the future may have, legal, commercial, operational, or ethical/moral responsibilities or who
can influence or have impact on Airtel’s strategic or operational decision-making.
• Analysis of business processes.
• For each process, identification of all interested, and impacted groups.
• Classification of stakeholders in homogenous categories (according to relevance to the Company or to the stakethey hold).
• Identification of priority groups within each category.

Management Discussion & Analysis

Statutory Reports

Financial Statements

LEADERSHIP INDICATORS
1.	Provide the processes for consultation between stakeholders and the Board on economic, environmental, andsocial topics or if consultation is delegated, how is feedback from such consultations provided to the Board.
	The management represented by ESG council has been entrusted by the Board's ESG Committee to conduct stakeholder
consultations, with the Sustainability team at Airtel updating the Committee on the results of these consultations.
The ESG council is chaired by the Managing Director and CEO. It identifies ESG priorities, goals and targets. Develops
processes, systems, controls and standard operating procedures to achieve ESG targets.
• Airtel conducts a materiality assessment and stakeholder engagement exercise to identify and reassess economic,
environmental, and social (ESG) topics that are significant to its business.
• During the exercise, Airtel engages with key internal and external stakeholders to gather their concerns and views,
which are incorporated into the materiality assessment process to prioritise ESG topics.
• Insights obtained from the stakeholder engagement are analysed to develop the materiality matrix, which helps
finalise the list of ESG topics for Airtel.

	This process is aligned with Stakeholder Engagement Framework, guided by the leading AA1000 Stakeholder
Engagement Standards.

• The Sustainability function presents the results of this assessment to the ESG Council and ESG Committee of the Board.

2.	List stakeholder groups identified as key for your entity and the frequency of engagement with eachstakeholder group.

	The ESG committee meeting provides us with an opportunity to share feedback with the Board on these consultations.
For more details on our stakeholder consultation process, please refer to page 42 of the Materiality Assessment &Stakeholder Engagement section of our Integrated Report (IR).

Whether
identified as
Vulnerable &Key
Stakeholders MarginalisedGroup(Yes/No)

Customers

Investors

No

No

Employees

Suppliers
andNetwork
Partners

No

No

Channels of communication(Email, SMS, Newspaper, Pamphlets,
Advertisement, Community Meetings,
Notice Board, Website), Others•	
Airtel Stores and contact centers
across operational cities•	
Email, SMS communication andCompany website•	Social media engagement•	
Airtel Thanks App•	
Annual General Meeting
Electronic correspondence•	
Press briefings•	
Analyst meets•	
Earning calls•	Company intranet portal•	Regular employee
communication forums
•	
Email
•	
Annual Employee surveys

Frequency ofengagement(Annually/Half
Yearly/Quarterly/Others – please
specify)

On-going

Quarterly/
Annually/
On going
On-going

On-going•	Electronic correspondence•	Partner Portal•	Company Website•	Annual Confluence•	Meetings/Governance/Review•	Sustainability Awareness session

ChannelPartners

No•	
Email, SMS communication andCompany website•	Channel Partner Portal

On-going

Regulatory
BodiesNo•	Electronic and physicalcorrespondence•	Face to face meetings

Need basis
and on-going•	
Field visits and community
meetings undertaken by
Bharti Foundation during theimplementation and program
operations

On-Going

Community/ Yes
NGOs*

Purpose and scope of engagement including key
topics and concerns raised during such engagement•	
Seeking consumer feedback on our services•	
Delivering customer service and resolving
customer queries•	To answer to queries of investors on
operations of the Company•	To bring transparency with the community ofexisting and potential investors•	
Learning and development•	
Employee recognition and engagement
activities•	
Employee performance review and careerdevelopment•	
Employee safety and well-being•	
New Product /Technology development•	
Material requirement planning•	Regulatory compliances including NSDTS•	Assessing supplier performance•	
Commercial and Contract discussion•	Supplier recognition and engagement activities•	
Engagement on Sustainability Parameters•	
Resolving channel partner queries andoperational challenges•	Commission and reward scheme•	
Sustained marketing support•	Deliberations and inputs on regulations,policies that have bearing on our operations
and businesses•	TRAI Consultations•	
DoT Directives, Policies•	
Public policy – Advocacy•	Education status of students enrolled•	Community based issues such as hygiene,
sanitation, girl-child education, etc.
•	Community participation in schools’ activities
and programs to build students’ connect with
communities•	
Sharing local art and craft and vocational
options with students to generate awareness* Bharti Foundation is the implementation agency for carrying out CSR initiatives on behalf of Bharti Airtel Ltd.

162

Bharti Airtel Limited• The identified ESG topics are considered while defining the ESG targets and initiatives of the Company.

2.	Whether stakeholder consultation is used to support the identification and management of environmental,
and social topics (Yes / No). If so, provide details of instances as to how the inputs received from stakeholders
on these topics were incorporated into policies and activities of the entity.
	Yes, Airtel engages in consultation with key stakeholders as a component of its materiality assessment exercise, aiming
to identify and prioritise environmental and social concerns.
	Based on the stakeholder feedback received, Airtel has implemented various policy and process reforms and defined
ESG objectives in the last two years.
• Airtel has set science-based targets for reducing carbon emissions and is working on a decarbonisation and climate
resilience plan.
• The Company has reviewed and reinforced its long-term ESG targets, with a focus on important topics such as
resource efficiency, talent development, community development, network quality, and customer satisfaction.
• Airtel has introduced a Diversity & Inclusion Charter and has set goals to increase diversity in its workforce.
• The Company is conducting training and awareness sessions for its suppliers to improve ESG practices in its
value chain and has strengthened its ESG guidelines for suppliers and business partners as part of its sustainableprocurement process.
3.	Provide details of instances of engagement with, and actions taken to, address the concerns of vulnerable/
marginalised stakeholder groups.
	Airtel, through its CSR implementing agency Bharti Foundation, has undertaken various initiatives to engage with andaddress the issues of marginalised communities, which are highlighted below:• Under the Satya Bharti School Program, Bharti Foundation provides free quality school education to nearly 39,000
students (50% girls and 76% from socially marginalised communities) through 173 schools across five states.
The majority of the teaching staff, support staff, and mid-day meal vendors in the school are also from similarsocio-economic communities. Bharti Foundation is also providing scholarship support for higher education add
meritorious passing out from the Satya Bharti Sr. Secondary Schools.
• Replicating the learnings and best practices of the Satya Bharti School Program, Bharti Foundation is transforming
government schools across 11 states/UTs through Quality Support Program (QSP). QSP has covered 1,256 government
schools since its inception and the majority of them are located in rural areas. The focus of the program is to enhance
the schooling experience through various co-scholastic and life-skill activities. The program is currently working with
808 schools and impacting over 3 lakh students (50% girls and 56% from socially marginalised communities).
• Community campaigns are an integral part of both Satya Bharti School Program and QSP. Students undertake
awareness campaigns on the issues such as water, sanitation & hygiene, environment, girl child, anti-tobacco, andalcohol, etc.
For more details on our development programs for vulnerable/marginalised communities, please refer to page 62 of ourIntegrated Report.
Integrated Report and Annual Financial Statements 2022-23

163

Corporate Overview

PRINCIPLE 5: Businesses should respect and promote human rights
ESSENTIAL INDICATORS

6.

Management Discussion & Analysis

FY 2022-23

FY 2022-23

FY 2021-22

Total (A)No. of employees /workers covered (B)% (B/A)*

Total (C)No. of employees /workers covered (D)% (D/C)

13,70813,70813,70813,708100%
100%

10,142
10,142

10,142
10,142

100%
100%

50,69950,69950,69950,699100%
100%

26,613
26,613

17,54817,54866%
66%

Employees
Permanent

Total Employees
Workers
Other than permanent

Total Workers

All employees and workers are provided with annual training on Code of Conduct of the Company which covers human rights
related aspects.
*Percentage indicates details of trainings extended.

2.

Details of minimum wages paid to employees and workers, in the following format:
FY 2022-23

Category

Total (A)FY 2021-22

Equal toMinimum Wage

More than
Minimum Wage

No. (B)% (B/A)

No. (C)% (C/A)

Total (D)

Equal toMinimum Wage

More than
Minimum Wage

No. (E)% (E/D)

No. (F)% (F/D)

Employees
Permanent

13,7080013,708100%

10,1420010,142

100%

MaleFemale12,115
1,593

0
0

0
0

12,115
1,593

100%
100%

8,924
1,218

0
0

0
0

8,924
1,218

100%
100%

50,69913,28526%

37,41474%

26,6135,202

20%

21,41180%

46,903
3,796

12,110
1,175

26%
31%

34,793
2,621

74%
69%

24,413
2,200

4,903
299

20%
14%

19,510
1,901

80%
86%

Workers
Other than
Permanent
Male
Female3.

Details of remuneration/salary:

Board of Directors (BoD)Key Managerial Personnel(other than BoD)
Employees other than BoD and KMP*
Workers

Male

FemaleMedian remuneration/ salary/
Numberwages of respective category in `Median remuneration/ salary/
Numberwages of respective category in `67,90022,274

1,593
3,796

FY 2021-22

Pending
Filed duringresolution at thethe yearend of the year

Sexual Harassment
Discrimination at workplace
Child labour
Forced labour /Involuntary labour
Wages
Other human rights related issues

7.

17
0
0
0
0
0

Remarks

0
0
0
0
0
0

NA
NA
NA
NA
NA
NA

Pending
Filed duringresolution at thethe yearend of the year

9
0
0
0
0
0

Remarks

0
0
0
0
0
0

NA
NA
NA
NA
NA
NA

Mechanisms to prevent adverse consequences to the complainant in discrimination and harassment cases.

	Airtel guarantees protection to complainants (employees and business associates) against any form of retaliation,
punishment, intimidation, coercion, dismissal, or victimisation as per the Ombudsperson Policy and Prevention of Sexual
Harassment (POSH) policy. This protection extends to those who report genuine concerns in good faith, regardless ofwhether their claims are proven. Anyone who attempts to victimise any person who complains, co-operates, or provides
information/data relating to an investigation or complaint, is liable to face punitive action.
	All matters and proceedings relating to the Complaint including the identity of the Complainant and Respondent remain
strictly confidential and is not be disclosed except to a competent court or a governmental agency that has the rightunder the law and regulation to obtain such information. Any person who breaches the confidentiality requirement is
be penalised.
8.

Do human rights requirements form part of your business agreements and contracts? (Yes/No)
Yes. Human rights requirements form part of the business agreements and contracts with suppliers.

9.

Assessments for the year:% of your plants and offices that were assessed (by entity or statutory authorities or third parties)

Child labour
Forced/involuntary labour
Sexual harassment
Discrimination at workplace
Wages
Others – please specify

100%
100%
100%
100%
100%
100%

For own operations Company internally monitors compliance with all relevant laws and policies pertaining to these issues.
10.	Provide details of any corrective actions taken or underway to address significant risks / concerns arising fromthe assessments at Question 9 above.

Refer to Annexure F of Board’s Report
12,11546,903Financial Statements

Number of Complaints on the following made by employees and workers:

1.	Employees and workers who have been provided training on human rights issues and policy(ies) of the entity,
in the following format:
Category

Statutory Reports

87,50021,618*Based on Monthly salary.

No significant risks or concerns were identified in own operations.

PRINCIPLE 6: Businesses should respect and make efforts to protect and restore the environment
ESSENTIAL INDICATORS

4.	Do you have a focal point (Individual/ Committee) responsible for addressing human rights impact or issues
caused or contributed to by the business? Yes.

1.

Parameter

Units

FY 2022-23

FY 2021-22

5.

Total electricity consumption (A)Total fuel consumption (B)Energy consumption through other sources (C)Total energy consumption (A+B+C)
Energy intensity per rupee of turnover(Total energy consumption/ (per rupee of turnover)

GJ
GJ
GJ
GJ

2,396,489
375,992
02,772,481
3.27

1,827,555iii
356,83802,184,393
3.09

Describe the internal mechanisms in place to redress grievances related to human rights issues.

	Our ombudsperson policy and process with relevant provisions for the whistleblower facilitate the reporting andresolution of any cases of breach of the code of conduct relating to human rights violations, ensuring that all employees,
contractors, and suppliers have the means to raise concerns regarding human rights. Any other human rights violations
that are legal in nature are dealt with by the Legal department of the Company.
	Any actual violations are addressed with the utmost seriousness, and appropriate remediation actions are taken based on
the severity of the infraction, including the possibility of employee termination and the termination of business contracts.
	Moreover, Airtel has implemented a Prevention of Sexual Harassment (POSH) policy, which outlines the process forreporting incidents to the POSH Committee. Each allegation is given due consideration and handled with confidentiality.

164

Bharti Airtel Limited

Details of total energy consumption (in Joules or multiples) and energy intensity, in the following format:

GJ/` Mn

Note: The boundary has been revised to include only standalone entity details and reflects data from meter reading for direct consumption ofelectricity and diesel at our facilities. Previous year figures are accordingly revised.
Note: Indicate if any independent assessment/evaluation/assurance has been carried out by an external agency? (Y/N) If yes, name ofthe external agency. Yes, BDO India LLP.

Integrated Report and Annual Financial Statements 2022-23

165

Corporate Overview

2.	Does the entity have any sites / facilities identified as designated consumers (DCs) under the Performance,
Achieve and Trade (PAT) Scheme of the Government of India? (Y/N) If yes, disclose whether targets set under
the PAT scheme have been achieved. In case targets have not been achieved, provide the remedial action taken,
if any.
Not applicable for telecommunication sector.
3.

Management Discussion & Analysis

Does the entity have any project related to reducing Green House Gas emission? If yes, then provide details:

S.
No.

Initiative undertaken

1.

(i) Surface water(ii) Groundwater(iii) Third party water(iv) Seawater/ desalinated water(v) Others

Total volume of water withdrawal (in kiloliters) (i + ii + iii + iv + v)
Total volume of water consumption (in kiloliters)

Onsite installation of solar technology to produce
renewable energy
Site sharing with partners to optimise our resource
consumption
Installation of advanced VRLA (Valve-Regulated LeadAcid) batteries and lithium-ion batteries
Consuming less than 100 L of diesel per quarter
Installation of DC air conditioners to maintaintemperatures without DG by running on DC batteries
Optimisation of RRU through AI/MLFY 2022-23

FY 2021-22

3.

026,255*
117,897*
0
1,309
145,460
17,496
0.021

0
1,953
70,6620072,6154.
5.

Advance battery banksolutionsGreen Sites
DC Air conditioners

6.

Power saving feature

Water intensity per rupee of turnover (Water consumed / turnover) (KL/` Mn)

7.
8.

Note: * The boundary has been revised to include water from warehouses and non-metered facilities (by taking average water withdrawal as per
National Building Code, 2016 and consumption by domestic water supply, WHO.
Note: Indicate if any independent assessment/evaluation/assurance has been carried out by an external agency? (Y/N) If yes, name ofthe external agency. Yes, BDO India LLP.

9.
10.
11.

4.	Has the entity implemented a mechanism for Zero Liquid Discharge (ZLD)? If yes, provide details of its coverageand implementation.

NOx
SOx
Particulate matter (PM)Persistent organic pollutants (POP)
Volatile organic compounds (VOC)
Hazardous air pollutants (HAP)
Carbon Monoxide (CO)Please specify
unit

Metric Tonnes
Metric Tonnes
Metric Tonnes

Metric Tonnes

FY 2022-23*

FY 2021-22**

163
6
15
NA
NA
NA
87

180
9
19
NA
NA
NA
92

Note: * Computation is done based on activity level data and standard emission norms by Department of Telecommunication.
** FY 2021-22 data has been revised as per updated activity level data.

Note: Indicate if any independent assessment/evaluation/assurance has been carried out by an external agency?
(Y/N) If yes, name of the external agency. Yes, BDO India LLP.
6.	Provide details of greenhouse gas emissions (Scope 1 and Scope 2 emissions) & its intensity in thefollowing format:
Parameter

Units

FY 2022-23

FY 2021-22*

Total Scope 1 emissions – Metric tonnes of CO2 equivalent(Break-up of the GHG into CO2, CH4, N2O, HFCs, PFCs, SF6, NF3, if
available)
Total Scope 2 emissions – Metric tonnes of CO2 equivalent (Break-up of
the GHG into CO2, CH4, N2O, HFCs, PFCs, SF6, NF3, if available)
Total Scope 1 and Scope 2 emissions (per rupee of turnover) tCO2e

Metric tonnes of
CO2 equivalent

31,25929,470Metric tonnes of
CO2 equivalent472,309400,962

0.59

0.61

tCO2e/ ` Mn

Resulting in renewable energy
generation of 344,498 kWh
Reduction of carbon emissions andwaste significantly through higher
utilisation of passive infrastructure
Optimisation of energy consumption
and reduction of our reliance on diesel
Reduction of emissions
Reduction of emissions•	Introduced guidelines for our suppliers to implement
measures for energy efficiency and carbon emission
reduction, as part of our Code of Conduct for Business
Associates•	Airtel is engaging with suppliers including equipment
manufacturers to drive initiatives for enhancing
energy efficiency of supplied equipment throughinnovative solutions

Please provide details of air emissions (other than GHG emissions) by the entity, in the following format:

Parameter

Outcome of the initiative

Power saving as per traffic utilisation
to effectively reduce GHG emissions
Outdoor Base Transceiver Converting 2,496 indoor sites outdoor in FY 2022-23
Reduces BTS energy usage by lessStation (BTS)
consumption of electricity
Electric Commutator
We have installed EC fans in our DG/LT rooms in
Resulting in an estimated annual(EC) fan installation
replacement of exhaust system and air washer
saving of 64,800 kWh
UPS optimisation
Optimisation of UPS to save electricity
Resulting in an estimated annual
saving of 727,945 kWh
Lighting optimisation
Replacement of linear lighting with more efficient LED
Resulting to an estimated 10,965 kWhlighting at some location
reduction in energy use•	Airtel has undertaken science-based target to reduce Enhanced focus on ESG impact acrossValue chain initiatives
our absolute scope 3 GHG emissions by 42% by 2031 the value chain	Airtel has enabled ZLD at few of its sites and is striving to implement it for its own facilities through various water efficiency
measures including wastewater recycling and reuse.
5.

Details of the initiative (Web-link, if any, may be provided
along with summary)

Solarisation of Network
towersNetwork site sharing

Provide details of the following disclosures related to water:

Water withdrawal by source (in kiloliters)

Financial Statements

7.

2.

Parameter

Statutory Reports

In addition to the above initiatives, Nxtra by Airtel has undertaken various initiatives at its Data Centers (DCs) and Main
Switching Centres (MSCs). They are as follows:
S.
No.

1.

Initiative undertaken

2.

Procurement of Open
access renewable energy
Solarisation of operations

3.

Optimum lighting

4.

Optimum cooling5.

Cold aisle/Hot aisle
containment
UPS optimisation & Power
Factor (PF) improvement

6.

7.

Other Main Switching
Centre initiatives

Details of the initiative (Web-link, if any, may beprovided along with summary)

Procurement of renewable energy from independent
energy providers
Onsite installation of solar technology to produce
renewable energy
Lighting optimisation through LED lights and motion
sensors across various data centres
Cooling optimisation through the installation of active
tiles, set points management, and air diverters
Cold aisle/hot aisle containment at different locations
UPS and Switched Mode Power Supply (SMPS)
optimisation along with PF improvement at
various locations
LED lights, motion sensors, air diverters, active
tiles, and blanking panels in our Main Switching
Centre sites. In addition, installed solutions fortemperature, rack, UPS and SMPS optimisation,
cold aisle containment and natural cooling to
reduce energy consumption

Outcome of the initiative

Procurement of 154,383,578 kWhrenewable energy of use in operations
Resulting in renewable energy
generation of 1,763,018 kWhResulting in an estimated annual savingof 88,464 kWh
Resulting in an estimated annual savingof 1,984,494 kWh
Resulting in an estimated annual savingof 562,070 kWhResulting in an estimated annual savingof 1,648,465 kWhResulting in an estimated annual savingof 9,010,672 kWh

Note: * The boundary has been revised to include only standalone entity details, inclusion of fugitive emissions and reflect data from accurate meterreading for electricity and diesel consumption at some facilities. Previous year figures are accordingly revised.

Note: Indicate if any independent assessment/evaluation/assurance has been carried out by an external agency?
(Y/N) If yes, name of the external agency. Yes, BDO India LLP.

166

Bharti Airtel Limited

Integrated Report and Annual Financial Statements 2022-23

167

Corporate Overview

8.

Plastic waste (A)E-waste (B)Battery Waste (C)Biomedical Waste (D)Radioactive waste (E)Other Hazardous waste. Please specify, if any. (G) (Lube Oil)
Other Non-hazardous waste generated (H). Please specify, if any.

Statutory Reports

Financial Statements

LEADERSHIP INDICATOR

Provide details related to waste management by the entity, in the following format:

Parameter

Management Discussion & Analysis

FY 2022-23(In MT)*FY 2021-22(In MT)

87
2,235
1,940
0
0
1
2,378

21
2,951
808
0
0
1
1,450

1.	With respect to the ecologically sensitive areas reported at Question 10 of Essential Indicators above, provide
details of significant direct & indirect impact of the entity on biodiversity in such areas along with prevention
and remediation activities.
Not Applicable.
2.	If the entity has undertaken any specific initiatives or used innovative technology or solutions to improve
resource efficiency or reduce impact due to emissions / effluent discharge / waste generated, please provide
details of the same as well as outcome of such initiatives.
Already covered under the essential indicator 7.

(Paper waste, organic waste and other miscellaneous waste)
6,641*
5,232
Total (A+B + C + D + E + F + G + H)
For each category of waste generated, total waste recovered through recycling, re-using or other recovery
operations (in metric tonnes)
Category of waste

3.	Does the entity have a business continuity and disaster management plan? Give details in 100 words/web-link.

(i) Recycled(ii) Re-used(iii) Other recovery operations	Airtel’s business continuity plan effectively enables all its employees to work remotely providing necessary infrastructure
and technology. Airtel is ISO 22301-2019 certified/compliant for 23 circle offices, MSCs, network warehouses andoperational sites according DoT requirement

7,083**
0
0
7,083

2,951
0
2,271
5,222

Total
For each category of waste generated, total waste disposed by nature of disposal method (in metric tonnes)
Category of waste(i) Incineration(ii) Landfilling(iii) Other disposal operations (landlord or municipal waste collection)

Total

0
0
13
13

Yes.
	Business Continuity Plan	Disaster Management Plan0101	Telecom networks are subject to risks of technical/partner failure, human errors/willful acts or natural disasters.
• Airtel has Network Operations Centre to monitor real-time network activity and conservative insurance cover policy
for asset protection from risks e.g., fire, floods.
• Disaster management guidelines shared with stakeholders for disaster preparedness.
• Guidelines cover risk identification, resource allocation, emergency response/reporting and disaster recovery.

Note: * Calculations are based on approximate weight of sample lot items.
** Actual weight of waste sent to authorised recycler(s).

Due to above reasons and closing stock of waste at FY closing which will be processed in due course, waste generated does
not tally with waste recycled and disposed.
Indicate if any independent assessment/evaluation/assurance has been carried out by an external agency? (Y/N)
If yes, name of the external agency. Yes, BDO India LLP.
9.	Briefly describe the waste management practices adopted in your establishments. Describe the strategy
adopted by your company to reduce usage of hazardous and toxic chemicals in your products and processes
and the practices adopted to manage such wastes.
	Airtel works towards reducing the negative environmental impact of it’s operations by focusing on managing waste
responsibly and optimising resources. Airtel deploy the 3 R strategy i.e. (1) Reduce resource utilisation, (2) Reuse
resources and (3) Recycle waste, supported by appropriate technology solutions to effectively manage all types ofwaste produced in our operations. All the E-waste, Hazardous waste and other waste generated in the operations
are responsibly recycled through authorised recyclers. Further, our guidelines require suppliers to include packaging
materials that is safe, hygienic, recyclable, efficient and protective for transport of goods.
10.	If the entity has operations/offices in/around ecologically sensitive areas (such as national parks, wildlife
sanctuaries, biosphere reserves, wetlands, biodiversity hotspots, forests, coastal regulation zones etc.) whereenvironmental approvals/clearances are required, please specify details.
Airtel does not have any offices in protected areas. iv
11.	Details of environmental impact assessments of projects undertaken by the entity based on applicable laws,
in the current financial year.
Not Applicable. v
12.	Is the entity compliant with the applicable environmental law/regulations/guidelines in India, such as theWater (Prevention and Control of Pollution) Act, Air (Prevention and Control of Pollution) Act, and Environment
Protection Act and Rules thereunder (Y/N). If not, provide details of all such non-compliances.
	Yes, we have implemented a compliance framework. No notices were received from competent authorities nor were
any instance of non-compliance reported during the year in this regard.

4.	Disclose any significant adverse impact to the environment, arising from the value chain of the entity. What
mitigation or adaptation measures have been taken by the entity in this regard?
NIL
5.	Percentage of value chain partners (by value of business done with such partners) that were assessed forenvironmental impacts.
	91% value chain partners (by value of business done with such partners) were self-assessed for environmental impacts
in FY 2022-23.

PRINCIPLE 7: Businesses, when engaging in influencing public and regulatory policy, should do so in amanner that is responsible and transparent.
ESSENTIAL INDICATORS
1.

a.

		

Number of affiliations with trade and industry chambers/associations:
Bharti Airtel Limited has affiliations with 12 trade and industry chambers/associations.

b.	List the top 10 trade and industry chambers/associations (determined based on the total members ofsuch a body) the entity is a member of/affiliated toS.
No.

Name of the trade and industry chambers/ associations

Reach of trade and industry chambers/
associations (State/National)

1
2
3
4
5
6
7
8
9
10

Cellular Operators Association of India (COAI)
Internet and Mobile Association of India (IAMAI)
Confederation of Indian Industry (CII)
Federation of Indian Chambers of Commerce and Industry (FICCI)The Associated Chambers of Commerce of India (ASSOCHAM)
Internet Service Providers Association of India (ISPAI)
Telecom Equipment and Services Export Promotion Council (TEPC)International Telecommunication Union (ITU)
GSM Association (GSMA)
The Open RAN Policy Coalition (ORPC)

National
National
National
National
National
National
National
International
International
International

2.	Provide details of corrective action taken or underway on any issues related to anti-competitive conduct by
the entity, based on adverse orders from regulatory authorities.
NIL

168

Bharti Airtel Limited

Integrated Report and Annual Financial Statements 2022-23

169

Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

LEADERSHIP INDICATORS
1.

Details of public policy positions advocated by the entity

S.
No.

1.

Public Policy advocated Method resorted for such advocacy

Spectrum: Efficient
allocation, assignment
methods to agencies
like NCRTC; for use ofdata Comms between
Aircraft and Ground
Stations to entities
other than AAI;
Sharing & Leasing
practices

2.

3.

4.

a.	TRAI CP on "Telecommunication Infrastructure Sharing,
Spectrum Sharing, and Spectrum Leasing

Yes

Others –as required

Link 2c.	TRAI CP on Data Communication Services Between
Aircraft and Ground Stations Provided by Organisations
Other Than Airports Authority of India

Link 3d.	Department of Telecom’s Consultation on The Draft
Indian Telecommunications Bill 2022e.	Airtel positions and inputs were also shared with otherchambers/ associations, who incorporated points intheir submissions to public consultationsa.	Department of Telecom’s Consultation on The Draft
Indian Telecommunications Bill 2022

Electricity andSolar Open Access:Electricity for Telecom b.	Some of the associations also took some these inputs
towers at industrial
independently and wrote to policymakers/ stakeholders
rates (required to keep
like regulators
99.95% uptime) andeasing deploymentof solar / renewableenergy through Open
Access policies
Rights of Way (RoW): a.	TRAI CP on Introduction of Digital Connectivity
Simplified, timeboundInfrastructure Provider (DCIP) Authorisation under
permissions for RoW
Unified License (UL)to establish Telecomb.	Submissions made and meetings held by otherinfrastructure including
associations (e.g., COAI), representing to relevant
for 5G network rollout
government departments, agencies including in States
Ease of doinga.	TRAI CP on Rationalisation of Entry Fee and Bank
business:
Guarantees
Simplification ofb.	TRAI CP on Leveraging Artificial Intelligence and Big
procedures related
Data in Telecommunication Sector
to regulatory processc.	TRAI CP on Licensing Framework and Regulatory
and approvals
Mechanism for Submarine Cable Landing in India

Broadcasting:technologicalconvergence, DTH
Consumer impact,need to review
regulatory and policy
framework

No6.

a.	TRAI CP on Regulating Converged Digital Technologies
and Services – Enabling Convergence of Carriage ofBroadcasting and Telecom Services

Yes

Others –as required

Link 1b.	TRAI CP on Issues related to New Regulatory
Framework for Broadcasting and Cable services

Link 2c.	TRAI CP on Renewal of Multi-System Operators (MSOs)
Registration

Link 3d.	TRAI CP on License Fee and Policy Matters of DTH
Services

Link 4

No

Privacy, Security ofCustomersf.	Our positions and inputs were shared with otherchambers/ associations, some of whom independently
incorporated some inputs in their submissionsa.	TRAI CP Introduction of Calling Name Presentation(CNAP) in Telecommunication Networks

Link 5-

Yes

Link 1Others –as required

Link 2b.	TRAI CP on Embedded SIM for M2M communications

Others –as requiredc.	Inputs on MeitY’s Draft Digital Data Protection Bill, 2022

No

PRINCIPLE 8: Businesses should promote inclusive growth and equitable development
ESSENTIAL INDICATORS
1.	Details of Social Impact Assessments (SIA) of projects undertaken by the entity based on applicable laws,
in the current financial year.
NILvi
Yes

Others –as required

Link 1

2.	Provide information on project(s) for which ongoing Rehabilitation and Resettlement (R&R) is being undertakenby your entity.
Not Applicable.
3.	Describe the mechanisms to receive and redress grievances of the community.

Yes

Others –as required

Link 1
Link 2
Link 3
Link 4e.	TRAI CP on Rating of Buildings or Areas for Digital
Connectivity

Link 3

Bharti Airtel Limited

5.

Public Policy advocated Method resorted for such advocacy

Frequency ofreview by Board(Annually/Web
Half yearly/
Link, if
Quarterly /available
Others – Please
specify)e.	TRAI CP on Issues relating to Media Ownershipd.	TRAI CP on Regulating Converged Digital Technologies
and Services – Enabling Convergence of Carriage ofBroadcasting and Telecommunication servicesg.	Airtel positions and inputs were also shared with otherchambers/associations, who incorporated points intheir submissions to public consultations

S.
No.

Link 1b.	TRAI CP on Spectrum Requirements of National Capital
Region Transport Corporation (NCRTC) for Train Control
System for RRTS Corridorsf.	Participation in public consultation process on
corporate governance matters.

170

Whether
information
availablein public
domain?
(Yes/No)

Frequency ofreview by Board(Annually/Web
Half yearly/
Link, if
Quarterly /available
Others – Please
specify)

Whether
information
availablein public
domain?
(Yes/No)	Airtel has Community Grievance Redressal Policy which enables communities to express their concerns and grievances.
This policy is transparent, just, fair, and timely, providing a mechanism for resolving grievances of community members.
	The Community members can send any concerns or grievances at the dedicated email: Community.Grievance@Airtel.com.
Airtel strives to proactively communicate the grievance redressal procedure to its external stakeholders, in the course of
its community and stakeholder engagement activities, to raise awareness and promote accessibility for communities tovoice their concerns.
4.

-

Percentage of input material (inputs to total inputs by value) sourced from suppliers.

Directly sourced from MSMEs/ small producer vii
Sourced directly from within the district and neighboring districts

FY 2022-23

FY 2021-22

7.25%
NA

7.39%
NA

(The majority of Airtel procurement is of technical nature, procured in bulk and managed centrally. Hence district level data
is not tracked).

Integrated Report and Annual Financial Statements 2022-23

171

Corporate Overview

PRINCIPLE 9: Businesses should engage with and provide value to their consumers in a responsible manner
ESSENTIAL INDICATORS
1.

Describe the mechanisms in place to receive and respond to consumer complaints and feedback.

• Customers can contact the dedicated customer care service through tele calling or Airtel Thanks App

Financial Statements

6.	Provide details of any corrective actions taken or underway on issues relating to advertising, and delivery ofessential services; cyber security and data privacy of customers; re-occurrence of instances of product recalls;
penalty / action taken by regulatory authorities on safety of products / services.

• Complaints can also be made through the toll-free complaint center number, email channel, or Airtel Thanks App

Refer page 78 for network related initiatives.

• Airtel Relationship centers are available for customers to reach out to with any queries or complaints

LEADERSHIP INDICATORS• Customers can also visit Airtel offices in person• Each complaint/feedback is assigned a unique identification number and addressed within a pre-defined
turnaround time

1.	Channels / platforms where information on products and services of the entity can be accessed (provide web
link, if available).
Refer to: https://www.airtel.com/.

• Customers are notified of the resolution of the complaint through SMS and/or tele calling

2.	Steps taken to inform and educate consumers about safe and responsible usage of products and/or services.

For more details on the mechanism to receive and respond to customer complaints, please refer to our Telecom Charter	Airtel abides by TRAI's clause 17 of the Telecom Consumers Complaint Redressal Regulation, 2012 by releasing the
Telecom Consumers Charter, which intends to enlighten customers about their entitlements, duties, quality benchmarks
established by the Authority, and methods of addressing conflicts.

2.	Turnover of products and/services as a percentage of turnover from all products/service that carry information
about:As a percentage to total turnover

Environmental and social parameters relevant to the productSafe and responsible usage
Recycling and/or safe disposal	Ensuring consistent network coverage for customers is a crucial aspect of our service, which we strive to maintain evenduring catastrophic events. We take proactive measures to keep our customers informed about the launch of new sites
and any mass outages in the Radio Access Network (RAN) through SMS.

FY 2022-23

Data privacy
Advertising
Cyber-security
Restrictive Trade Practices ix
Unfair Trade Practices ix
Delivery of essential services

Pending
resolution at
end of year

FY 2021-22
Remarks

Received
during theyear

Pending
resolution at
end of year

4.	Provide the following information relating to data breaches:
Remarks

Not Applicable. viii
5.	Does the entity have a framework/policy on cyber security and risks related to data privacy? (Yes/No) If
available, provide a web-link of the policy.
Yes, Airtel has measures to safeguard data security and maintain the privacy of personal information. This includes• The implementation of internal controls.
• The development of the Bharti Airtel Information Security Policy (BISP), which outlines specific guidelines for information
security and cybersecurity. The BISP is readily accessible on our intranet portal.
• Additionally, we have an Information Security Risk assessment and recovery strategy in place that aligns with the
ISO 27001 and ISO 22301 standards.
• To ensure the protection and confidentiality of customers' personal information, Airtel has also established the Bharti
Airtel Information Privacy Policy (BIPP). Our Online Privacy Policy serves to inform customers about the nature of
information collected and their rights in relation to their data.

Bharti Airtel Limiteda.	Number of instances of data breaches along-with impact: 0b.	Percentage of data breaches involving personally identifiable information of customers: 0%

0
0
0
0
5
0
2
0
0
0
0
0
0
0
0
0
0
0
0
0
Customer complaints are resolved as per applicable legislations, including sector specificregulatory provisions under The Telecom Consumers Complaint Redressal Regulation, 2012
issued by TRAI and to the extent applicable, are also reported to the regulator as per thereporting requirement prescribed thereunder.

Details of instances of product recalls on account of safety issues:

172

	Furthermore, Airtel adopts preventive measures to educate and offer general guidance to mobile/landline users on ways
to protect themselves against fraudulent activities such as telephonic or cyber scams.
3.	Mechanisms in place to inform consumers of any risk of disruption/discontinuation of essential services.

Not Applicable viii

Number of consumer complaints in respect of the following:
Received
during the
year

4.

Statutory Reports	Airtel follows the guidelines issued by the Advertising Standards Council of India (ASCI) and the Guidelines for Prevention of
Misleading Advertisements and Endorsements for Misleading Advertisements, 2022. Any specific complaints warranting
any corrective measures are promptly addressed to resolve any possibility of miscommunication through advertisement.

Airtel offers various channels for customers to raise complaints and provide feedback

3.

Management Discussion & Analysis

Endnotesi	For the purpose of present report, mobile towers are not included.
ii	Please note CSR provision is applicable but requirement to contribute 2% of average net profit of immediately preceding 3 years is not applicable.
The Company had made voluntary CSR contribution during the FY 2022-23.
iii	This includes electricity from grid, green wheeling and captive solar power generation.
iv	Airtel offices are not located within ecologically sensitive areas. This is based on assessment of our facilities against the protected sites as
identified by Protected Planet.
v	Environmental Impact Assessment (EIA) is not applicable for the Company for the current financial year as per applicability defined in EIA
Notification, 2020.
vi	During the financial year, the Company has not acquired any land that would require SIA as per Right to Fair Compensation and Transparency
in Land Acquisition, Rehabilitation and Resettlement Act, 2013.
vii	This data pertains to procurement of goods only and does not include services.
viii	Airtel provides telecom services and does not manufacture any physical products. In mobile services, no equipment is provided to customers
except SIM card. In fixed line services, Customer Premises Equipment (CPE) is supplied (not sold) to customers for rendering the services. The
ownership and effective control over the SIM/CPE always remain with Airtel. Customer is required to return the SIM/CPE immediately upon
termination of the Relationship Period or at the end of life.
ix

No complaint was received under The Competition Act, 2002.

Integrated Report and Annual Financial Statements 2022-23

173

Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

Board’s ReportReserves

Dear Members,Your Directors are pleased to present the 28th Board’s Reporton the business and operations of Bharti Airtel Limited(Bharti Airtel/ Airtel/ Company) along with audited financial
statements for the financial year ended March 31, 2023.

of solutions to its retail customers including high-speed
4G/5G mobile broadband, Airtel Xstream Fiber offering
speeds up to 1 Gbps with convergence across linear andon-demand entertainment, streaming services spanningmusic and video, digital payments, and financial services.
For enterprise customers, Airtel provides secure connectivity,
cloud and data center services, cyber security, IoT, Ad Techand CPaaS (Airtel IQ), among others. The Company also has
investments in tower infrastructure pertaining to telecom
operations through its joint venture entity viz. Indus Towers
Limited (‘Indus’). During FY 2022-23, the Company acquired
an additional stake of 1.46% and accordingly, its shareholdingin Indus stood at 47.95% as on March 31, 2023.

Company Overview
Bharti Airtel is a global communications solutions provider
with more than 500 Mn customers in 17 countries acrossSouth Asia and Africa. It is one of the top three mobile
operators globally with its networks covering more than
two billion people. Airtel is India’s largest integrated
communications solutions provider and the second largest
mobile operator in Africa. The Company offers a wide array

Financial Results
In terms of the provisions of the Companies Act, 2013 (‘Act’), and the SEBI (Listing Obligations and Disclosure Requirements)
Regulations, 2015 (‘Listing Regulations’), the Company has prepared its standalone and consolidated financial statements
as per Indian Accounting Standards (‘Ind AS’) for FY 2022-23. The financial highlights of the Company’s operations for
FY 2022-23 on standalone and consolidated basis, are as follows:Standalone Financial Highlights
FY 2021-22 (Restated)#

FY 2022-23

Particulars

Gross revenue
EBITDA before exceptional items
Cash profit from operations
Profit/(Loss) before tax
Net income/(Loss)

E Mn

USD Mn*E Mn

USD Mn**847,201
441,477
318,432
12,963(896)

10,541
5,493
3,962
158
(11)

707,950
351,943
231,421(42,557)(38,637)

9,521
4,733
3,112
(572)
(520)

(*1 USD = H80.37 Exchange Rate for financial year ended March 31, 2023).

#The composite scheme of arrangement between Nettle Infrastructure Investments Limited, Telesonic Networks Limited and their respective shareholders
and the Company, under Sections 230 to 232 along with other applicable provisions of the Act (‘Scheme’) has become effective from February 1, 2023 with
an appointed date of April 1, 2022. Consequently, the Audited Standalone Financial Statements have been restated in accordance with the accounting
treatment mentioned in the Scheme.

Consolidated Financial Highlights
FY 2022-23

Particulars

FY 2021-22

E Mn

USD Mn*E Mn

USD Mn**1,391,448
717,330
553,596
165,607
83,45917,313
8,925
6,888
2,061
1,038

1,165,469
581,103423,645
124,83142,54915,673
7,815
5,697
1,679
572

(*1 USD = H80.37 Exchange Rate for financial year ended March 31, 2023).
(**1 USD = H74.36 exchange Rate for financial year ended March 31, 2022).

The financial results and the results of operations, including major developments, have been further discussed in detail in theManagement Discussion and Analysis Report.

174

Bharti Airtel Limited

Change in the Nature of Business
There was no change in nature of the business of theCompany during the financial year ended on March 31, 2023.

Dividend
In terms of Regulation 43A of the Listing Regulations, theBoard of Directors of the Company had adopted the Dividend
Distribution Policy, which sets out the parameters andcircumstances to be considered by the Board in determining
the distribution of dividend to its shareholders and/or theutilization of the retained profits earned by the Company. The
Dividend Distribution Policy is available on the Company’s
website at https://assets.airtel.in/teams/simplycms/web/
docs/Dividend-Distribution-Policy-18052022.pdf.
In line with the above policy, your Directors have recommended
a final dividend of H4/- per fully paid-up equity share of facevalue of H5/- each and a pro-rata final dividend of H1/- perpartly paid-up equity share of face value of H5/- each withpaid-up value of H1.25/- each i.e. 80% of the paid-up value for
FY 2022-23. The proposed final dividend payout will amount
to approx. H22,696.20 Mn. The payment of final dividend issubject to the approval of shareholders at the 28th Annual
General Meeting (AGM).
The record date for the purpose of payment of final dividend
for the FY 2022-23, will be Friday, August 11, 2023.

(**1 USD = H74.36 Exchange Rate for financial year ended March 31, 2022).

Gross revenue
EBITDA before exceptional items
Cash profit from operations
Profit/(Loss)before tax
Net income/(Loss)

During the year, the Company has not transferred any amountto General Reserve. As on March 31, 2023, the Reserves andSurplus comprising General Reserve, Retained Earnings andSecurities Premium Account stood at H790,684 Mn.

In view of the applicable provisions of Income Tax Act, 1961,
dividend paid or distributed by the Company shall be taxable
in the hands of the shareholders. Your Company shall,accordingly make the payment of the final dividend after
deduction of tax at source.

Transfer of Amount to Investor Education andProtection Fund
Pursuant to Sections 124 and 125 of the Act read with
the Investor Education and Protection Fund Authority(Accounting, Audit, Transfer and Refund) Rules, 2016 (“IEPF
Rules”), dividend, if not claimed for a period of seven years
from the date of transfer to Unpaid Dividend Account of theCompany, is liable to be transferred to IEPF.
Further, all the shares in respect of which dividend has
remained unclaimed for seven consecutive years or morefrom the date of transfer to Unpaid Dividend Account shallalso be transferred to IEPF Authority. The said requirement
does not apply to shares in respect of which there is a specificorder of Court, Tribunal or Statutory Authority, restraining any
transfer of the shares.

In light of the aforesaid provisions, the Company during
FY 2022-23 has transferred the unpaid/ unclaimed dividend
amount of H1.25 Mn, pertaining to final dividend for
FY 2014-15, to the Investor Education and Protection Fund(“IEPF”) established by the Central Government. The detailsof unpaid and unclaimed dividend amounts lying with theCompany as on August 12, 2022 (date of last Annual General
Meeting) are available on the Company’s website at https://www.airtel.in/about-bharti/equity/shares/unpaid-dividend.
Further, 25,697 equity shares of the Company, in respect ofwhich dividend has not been claimed for seven consecutive
years or more from the date of transfer to unpaid dividend
account, have also been transferred to the demat accountof IEPF Authority during FY 2022-23. The relevant details ofequity shares transferred to IEPF are also available on the
Company’s website at https://www.airtel.in/about-bharti/
equity/shares/unpaid-dividend.
The shareholders whose unpaid dividend and/or shares havebeen transferred to IEPF may reach out to the Company/
Registrar and Transfer Agent, to lodge their claim for refundof the unpaid dividend/shares (as applicable) out of the IEPF.
The process for claiming the unpaid dividend/shares out of
the IEPF, is also available on the Company’s website at https://www.airtel.in/about-bharti/equity/shares.

Significant Developments
Amalgamation of Nettle Infrastructure Investments
Limited (‘Nettle’) and Telesonic Networks Limited(‘Telesonic’), wholly-owned subsidiaries with theCompany
During FY 2022-23, the Hon’ble National Company Law
Tribunal, Chandigarh Bench, vide its order dated January 16,
2023 (“NCLT order”), sanctioned the composite scheme ofarrangement between Nettle, Telesonic and their respective
shareholders and the Company, under Sections 230 to 232
and other applicable provisions of the Act for amalgamationof Nettle and Telesonic, wholly-owned subsidiaries with theCompany (‘Scheme’). The Scheme has become effectivefrom February 1, 2023.
Upon the Scheme becoming effective:a)	
30,000 Rated, Listed, Unsecured, Guaranteed,
Redeemable 5.35% Non-Convertible Debentures ofthe face value of H1,000,000 each of an aggregate
principal amount of H30,000 Mn (NCDs) and 17,500,
5.35% Listed Commercial papers of H500,000 each(CPs) of an aggregate principal amount of H8,750 Mn
issued by Telesonic, have been transferred in the nameof the Company.
	The aforesaid NCDs and CPs were redeemed by theCompany on April 28, 2023 and February 7, 2023
respectively. Accordingly, there are no outstanding
NCDs and CPs as on the date of this report.

Integrated Report and Annual Financial Statements 2022-23

175Corporate Overviewb)	The authorized share capital of Nettle and Telesonicis deemed to be added to the authorized sharecapital of the Company. Accordingly, the authorizedshare capital of the Company has been increased to
H148,730,500,000/- divided into 29,746,080,000 equity
shares of face value of H5/- each and 1,000 preference
shares of face value of H100/- each.

long-term interest for the organisation. The HR & Nomination
Committee administers and monitors the Company’s ESOP
schemes. Both the ESOP schemes are currently administeredthrough Bharti Airtel Employees Welfare Trust (ESOP Trust),
whereby shares held by the ESOP Trust are transferred to
employees, upon exercise of stock options as per the termsof the Schemes.

Allotment of Securities

Pursuant to the provisions of SEBI (Share Based Employee
Benefits and Sweat Equity) Regulations, 2021 (‘ESOP
Regulations’), a disclosure with respect to ESOP Schemesof the Company as on March 31, 2023, is available on the
Company’s website at https://www.airtel.in/about-bharti/
equity/results.

During the FY 2022-23, the Company has made thefollowing allotments:• 71,176,839 fully paid-up equity shares of face value ofH5/- each at an issue price of H734/- per share (including
a premium of H729/- per share) on preferential basis to
Google International LLC on July 14, 2022.
• 11,930,543 fully paid-up equity shares of face value ofH5/- each at the applicable conversion price pursuant toconversion of foreign currency convertible bonds (‘FCCBs’)of principal value of USD 86,300,000 in multiple tranches.
Consequent to the aforesaid allotment(s), the paid-up sharecapital of the Company has increased to H28,366,032,827.50/divided into 5,575,134,650 equity shares of face value ofH5/- each fully paid-up and 392,287,662 partly paid-up equity
shares of face value of H5/- each (H1.25 per share paid-up) as
on March 31, 2023.

Deposits

The members, at their previous AGM held in 2022, hadapproved the increase in total number of options of Employee
Stock Option Scheme, 2005 by 27,460,136 options. Apartfrom this, there were no other material changes in the
aforementioned Schemes of the Company and the ESOP
Schemes are in compliance with ESOP Regulations. The
certificate from Chandrasekaran Associates, Company
Secretaries, certifying that the schemes are implemented inaccordance with the ESOP Regulations and the resolutions
passed by the members, is available for inspection by themembers in electronic mode.

Material changes and commitments affecting thefinancial position between the end of financial
year and the date of report

The Company did not accept any deposits during thefinancial year, including from public and, as such, no amountof principal or interest was outstanding as on the balance
sheet closure date.

There were no material changes and commitments affecting
the financial position of the Company between the end of
financial year and the date of this report.

Capital Market Ratings

Directors and Key Managerial Personnel
Appointments, Re-appointments, Retirements andResignations

During the year ended March 31, 2023, the Company was
rated by two domestic rating agencies namely CRISIL
and India Ratings & Research Private Limited and threeinternational rating agencies namely Fitch Ratings, Moody’s
and S&P, which are as under:a)	CRISIL maintained the long term ratings at CRISIL
AA+(Stable) and short-term ratings maintained at
CRISIL A1+.
b)	India Ratings & Research Private Limited maintained
Short-term ratings at IND A1+.
c)	Fitch Ratings revised the Outlook to BBB- (Stable).
d)

Moody’s upgraded the rating to Baa3 (Stable).

e)

S&P maintained the rating at BBB- (Stable).

Employee Stock Option Plans
As on March 31, 2023, the Company has two Employee
Stock Options (‘ESOP’) schemes namely ‘Employee Stock
Option Scheme – 2001’ and ‘Employee Stock Option Scheme– 2005’ (collectively referred as ‘Schemes’). The ESOP
schemes help in attracting and retaining talent and aligning176

Bharti Airtel Limitedi.	
R e t ire me nt by
re-appointment

rot a t ion

andsub se qu e nt

	Pursuant to the provisions of the Act, Mr. Gopal Vittal(DIN: 02291778), Director of the Company (designatedas Managing Director & CEO), will retire by rotation at
the ensuing AGM and being eligible, has offered himself
for re-appointment. The Board, on the recommendationof the HR & Nomination Committee, recommended his
re-appointment at the ensuing AGM.
ii.	Appointment and re-appointment of Independent
Director	
Ms. Kimsuka Narasimhan (DIN: 02102783) will
be completing her present term as Independent
Director of the Company on March 29, 2024. On therecommendation of the HR & Nomination Committee
and subject to the approval of the shareholders, theBoard has approved her re-appointment as Independent
Director for a further term of five consecutive years w.e.f.
March 30, 2024 upto March 29, 2029.

Management Discussion & Analysis

Statutory Reports

Financial Statements	Ms. Kimsuka Narasimhan fulfils the conditions specified
under the Act and the Listing Regulations and is independentof the management. Accordingly, the Board recommends
her re-appointment, for the approval of the members.

exists or may be reasonably anticipated that could impair or
impact their ability to discharge their duties with an objective
independent judgement and without any external influenceand that they are independent of the Management.

	During the FY 2022-23, Mr. Pradeep Kumar Sinha(DIN: 00145126) and Mr. Shyamal Mukherjee (DIN:
03024803) were appointed as Independent Directors
on the Board with effect from May 18, 2022 to holdoffice for a term of five consecutive years i.e. upto
May 17, 2027. Their appointment was approved by
the members in the 27th AGM of the Company held on
August 12, 2022.

 he Independent Directors have also confirmed that theyThave complied with the Company’s Code of Conduct and thatthey are registered on the databank of Independent Directors
maintained by the Indian Institute of Corporate Affairs. The
Directors have further confirmed that they are not debarredfrom holding the office of director under any SEBI order or
any other such authority.

	In the opinion of the Board, all the directors, including
the directors appointed/ re-appointed during the year,
possess the requisite qualifications, experience, expertise,proficiency and hold high standards of integrity.
	
Brief resume, nature of expertise, disclosure of
relationship between directors inter-se, details of
directorships and committee memberships held in othercompanies of the directors proposed to be appointed/
re-appointed, along with their shareholding in the
Company, as stipulated under Secretarial Standard
2 and Regulation 36 of the Listing Regulations, areappended as an Annexure to the Notice of the 28th AGM.
iii.	Retirements and resignations of Independent
Director(s)	Mr. Shishir Priyadarshi tendered his resignation as
Independent Director w.e.f. the close of business hours
on October 31, 2022, to devote time towards new fulltime professional responsibilities. He further confirmedthat there was no material reason for his resignation
other than the one mentioned above.
	Mr. Manish Kejriwal retired from the Board w.e.f. theclose of business hours on September 25, 2022, uponcompletion of his second term as Independent Director of
the Company.
	The Board places on record its sincere appreciation for
the valuable contribution made by Mr. Priyadarshi and
Mr. Kejriwal.
	Save and except the above, there was no change inthe Directors or KMPs of the Company during the year
under review.

 he Board of Directors of the Company have taken on recordTthe aforesaid declaration and confirmation submitted by the
Independent Directors.

Board Diversity and Policy
Appointment and RemunerationonDirector’s he Board of Directors values the significance of diversityTand firmly believes that diversity of background, gender,
geography, expertise, knowledge and perspectives, leads
to sharper and balanced decision-making and sustainable
development. At Airtel, we recognize the importance ofdiversity and inclusion in our boardroom, and we strive tomaintain a diverse composition that reflects the richnessof the global community we serve. The Company has aneminent, high-performing and diverse board – comprising~27% Women Directors.
In terms of the requirement of Section 178 of the Companies
Act and Listing Regulations, the Board of Directors has
adopted ‘Policy on Nomination, Remuneration and Board
Diversity’ on appointment and remuneration of Directors,
Key Managerial Personnel & Senior Management. The Policy
includes, inter-alia, criteria for appointment of Directors, KMPs,
Senior Management Personnel (KMP) and other covered
employees, their remuneration structure and disclosures inrelation thereto, total rewards package for Managing Director& CEO and relevant members of Senior Management which is
linked with sustainability targets and long term performance of
the Company. The deferred/ variable remuneration (including
Long Term incentive) of KMPs and members of Senior
Management is subject to malus/clawback arrangements.
 he policy is available on the Company’s website at https://T
assets.airtel.in/teams/simplycms/web/docs/BAL-policy-onnomination-remuneration-and-board-diversity.pdf.

Annual Board Evaluation

Declaration by Independent Directors
 ursuant to Section 149(7) of the Act, the Company hasPreceived declarations from all Independent Directors
confirming that they meet the criteria of independence as
specified in Section 149(6) of the Act, as amended, readwith Rules framed thereunder and Regulation 16(1)(b) of the
Listing Regulations. In terms of Regulation 25(8) of the Listing
Regulations, the Independent Directors have confirmed thatthey are not aware of any circumstance or situation which

 he Board works with HR & Nomination Committee and laysTdown a structured framework – process, format, attributes,
criteria and questionnaires for the performance evaluation of
the Board, its Committees and individual directors including
the Chairman and MD & CEO, keeping in view the Board
priorities and best practices. The evaluation process at
Bharti Airtel is facilitated online by a leading independent
consulting firm.

Integrated Report and Annual Financial Statements 2022-23

177

Corporate Overview

 detailed disclosure on the framework of Board EvaluationA
including outcome and action plan has been provided in theReport on Corporate Governance, which forms a part of theIntegrated Report.

Familiarization Programme for Board members
 he Company has adopted a well-structured induction
T
programme for orientation and training of Directors at thetime of their joining so as to provide them with an opportunity
to familiarize themselves with the Company, Board, its
management, its operations including its products andservices, business model, values and Company’s culture andthe industry in which the Company operates.
 detailed note on the familiarization programme adopted byA
the Company for orientation and training of the Directors, isprovided in the Report on Corporate Governance which forms
a part of the Integrated Report.

 oard Committees and Meetings of the Board andB
Board Committees
I n compliance with the statutory requirements, the Company
has constituted mandatory Committees viz. Audit Committee,
Environmental, Social and Governance (ESG) Committee, HR& Nomination Committee, Corporate Social Responsibility
Committee, Risk Management Committee and Stakeholders’Relationship Committee.
 part from the above Committees, the Company hasAalso established operating Committees viz. Committee of
Directors and Airtel Corporate Council. Additionally, otherspecial committees have been constituted for special
purposes/ transactions.
 uring the year under review, all the recommendations
D
made by the Committees of the Board, including the Audit
Committee, were accepted by the Board.
 he Board of Directors met five times during the previous
Tyear. A detailed update on the Board, its composition,
governance of committees including detailed charters,
terms and reference of various Board Committees, numberof Board and Committee meetings held during FY 2022-23
and attendance of the Directors thereat, is provided in theReport on Corporate Governance, which forms part of theIntegrated Report.

Subsidiary,Companies

Associate

and

Joint

VentureAs on March 31, 2023, your Company has 138 subsidiaries,
9 associates and 7 joint ventures.
During the year under review, the following became
subsidiaries of the Company: Airtel Congo Telesonic Holdings(UK) Limited, Airtel DRC Telesonic Holdings (UK) Limited,
Airtel Gabon Telesonic Holdings (UK) Limited, Airtel Kenya
Telesonic Holdings (UK) Limited, Airtel Madagascar TelesonicHoldings (UK) Limited, Airtel (M) Telesonic Holdings (UK)
Limited (formerly known as Airtel Malawi Telesonic Holdings(UK) Limited), Airtel Niger Telesonic Holdings (UK) Limited,

178

Bharti Airtel Limited

Management Discussion & Analysis

Statutory Reports

Airtel Nigeria Telesonic Holdings (UK) Limited, Airtel Rwanda
Telesonic Holdings (UK) Limited, Airtel Seychelles TelesonicHoldings (UK) Limited, Airtel Tanzania Telesonic Holdings(UK) Limited, Airtel Uganda Telesonic Holdings (UK) Limited,
Airtel Zambia Telesonic Holdings (UK) Limited, Airtel Tchad
Telesonic Holdings (UK) Limited, Airtel (M) Telesonic Limited,
Airtel Kenya Telesonic Limited, Airtel Nigeria Telesonic
Limited, Airtel Rwanda Telesonic Limited, Airtel Telesonic
Uganda Limited, Airtel Zambia Telesonic Limited, Airtel(Seychelles) Telesonic Limited, Airtel Mobile Commerce
Tanzania B.V., Nxtra Africa Data Holdings Limited (formerly
known as Airtel Africa Data Center Holdings Limited), Nxtra
Nigeria Data Holdings (UK) Limited (formerly known as Airtel
Nigeria Data Center Holdings (UK) Limited), Nxtra Kenya Data
Holdings (UK) Limited (formerly known as Airtel Kenya Data
Center Holdings (UK) Limited), Nxtra DRC Data Holdings (UK)
Limited (formerly known as Airtel DRC Data Center Holdings(UK) Limited), Nxtra Gabon Data Holdings (UK) Limited(formerly known as Airtel Gabon Data Center Holdings (UK)
Limited), Nxtra Congo Data Holdings (UK) Limited (formerly
known as Airtel Congo Data Center Holdings (UK) Limited),
Airtel Congo RDC Telesonic S.A.U. and Nxtra Africa Data
(Nigeria) Limited.

Auditors and Auditors’ Report
Statutory Auditors

During the year under review, Mawezi RDC S.A. became joint
venture of the Company.

As regards the comments under para i(a) of the Annexure
B to the Independent Auditors’ Report regarding updationof quantitative and situation details relating to certain
fixed assets, the Company as per the program of physicalverification of fixed assets to cover all the items over a periodof three years, conducted physical verification of fixed assets
during the quarter ended March 31, 2023. The Company isin the process of updating quantitative and situation details
relating to certain fixed assets which were identified during
the physical verification exercise. This same is expected to becompleted by December 2023.

During the year, Telesonic and Nettle ceased to be the wholly
owned subsidiaries of the Company and Aban Green PowerPrivate Limited ceased to be the associate company.
Pursuant to Section 129(3) of the Act, read with Rule 5 ofCompanies (Accounts) Rules, 2014, a statement containing
salient features of financial statements of subsidiary,associate and joint venture companies in prescribed form
AOC-1, is annexed to the consolidated financial statementsof the Company which forms part of this Integrated Report.
The said statement also provides the details of performanceand financial position of each subsidiary, associate and joint
venture and their contribution to the overall performance of
the Company.
In terms of the requirement of Section 136 of the Act, thefinancial statements of each of the subsidiary company areavailable on the Company’s website at https://www.airtel.in/about-bharti/equity/results/annual-results and the same will
also be available electronically for inspection by the members
during the AGM.
The audited financial statements of each subsidiary, associate
and joint venture company are available for inspection at
the Company’s registered office. The physical copies ofannual financial statements of the subsidiary, associate andjoint venture companies will also be made available to themembers of the Company upon request.
The Policy for determining material subsidiaries of theCompany is also provided on the Company’s website athttps://s3-ap-southeast-1.amazonaws.com/bsy/iportal/
images/Policy-for-determining-Material-Subsidiaries-1_3C3
DACCD6AC67BF355A2231C3D434D64.pdf.

Financial Statements

Internal Auditors and Internal Assurance Partners

In terms of the provisions of Section 139 of the Act, Deloitte
Haskins & Sells LLP (‘Deloitte’) were re-appointed as the
Statutory Auditors by the shareholders in the 27th AGM
held on August 12, 2022, for a period of five years i.e. till theconclusion of 32nd AGM. The said re-appointment of Deloitte
was duly recommended by the Audit Committee and Board of
Directors after considering Deloitte’s expertise, competence
and experience in statutory audit, advisory services, due
diligence etc. of various multinational and large companies
particularly telecom sector companies.
Deloitte Haskins & Sells LLP have confirmed that they are
not disqualified from continuing as Statutory Auditors of theCompany and satisfy the independence criteria in terms of
the applicable provisions of the Act and Code of Ethics issued
by the Institute of Chartered Accountants of India.
The Board has duly examined the Statutory Auditors’ Reportto the financial statements, which is self-explanatory. The
clarifications, wherever necessary, have been included in theNotes to financial statements section of the Integrated Report.

As regards the comments under para i(b) of the Annexure B
to the Independent Auditors’ Report regarding no physicalverification of customer premises equipment, bandwidth andcertain assets due to their nature or location; the customer
premises equipment are located at subscriber’s premises andphysical check of the equipment is generally not possible.
As regards the comments under para i(c) of the Annexure B to
the Independent Auditors’ Report regarding transfer of title deedin the name of the Company, the ownership of these properties
is transferred and vested in the name of the Company throughmerger scheme. The Company is in the process of getting thetitle deeds transferred in name of the Company.
As regards to the comments under para ix(d) of the Annexure
B to the Independent Auditors’ Report regarding fund raised
on short term basis used for long term purpose, the Company
has used such funds as bridge financing and is able togenerate sufficient funds from long term sources to meet theworking capital requirement.
Further, during the year under review, the auditors have notreported any fraud under Section 143(12) of the Act, andtherefore, no details are required to be disclosed under
Section 134(3)(ca) of the Act.

The Company has in place a robust Internal AssuranceGroup (IAG), which is led by the Chief Internal Auditor andably supported by reputed independent firms i.e. Ernst &Young LLP, Chartered Accountants and ANB & Co., Chartered
Accountants as the Internal Assurance Partners.
The audits are based on an internal audit plan, which isderived from a bottoms-up risk assessment and directional
inputs from the Audit Committee in consultation with the IAG.
The Audit Committee oversees the scope and coverage ofthe audit plan and evaluates the overall results of these audits
during the quarterly Audit Committee meetings. These audit
are based on risk based methodology and, inter-alia, involve
the review of internal controls and governance processes,
adherence to management policies and review of statutorycompliances. The Internal Assurance Partners share theirfindings on an ongoing basis for corrective action.
The work of Internal Assurance Partners is coordinated by theinternal team led by Chief Internal Auditor. The combinationof internal team and expertise of reputed independent
professional firms ensures independence as well as effective
value addition and protection.
The Board, on the recommendation of the Audit Committee,
has re-appointed Ernst & Young LLP, Chartered Accountantsand ANB & Co. Chartered Accountants as the Internal
Assurance Partners for FY 2023-24.

Cost Records
The Company has maintained the cost records as prescribedby the Central Government under Section 148(1) of the Act .

Cost Auditors
The Board, on the recommendation of the Audit Committee
had appointed Sanjay Gupta & Associates, Cost Accountants,
as Cost Auditors, for the financial year ending March 31, 2023.
The Cost Auditors will submit their report for FY 2022-23
within the timeframe prescribed under the Act.
Cost Audit report for the FY 2021-22 did not contain any
qualification, reservation, disclaimer or adverse remark.
In accordance with the provisions of Section 148 of the Act
read with the Companies (Audit and Auditors) Rules, 2014, theremuneration payable to the Cost Auditors has to be ratified
by the shareholders. Accordingly, the Board recommends thesame for approval by shareholders at the ensuing AGM.
The Board, on the recommendation of Audit Committee, has
re-appointed Sanjay Gupta & Associates, Cost Accountants,
as Cost Auditors of the Company for FY 2023-24.

Secretarial Auditors
Pursuant to the provisions of Section 204 of the Act andrules made there under, the Board of Directors had appointed
Chandrasekaran Associates, Company Secretaries, as
Secretarial Auditors for the financial year ended March 31,
2023. The Secretarial Auditor has submitted their report,
confirming, inter-alia, compliance by the Company of all theIntegrated Report and Annual Financial Statements 2022-23

179

Corporate Overview

provisions of applicable corporate laws and does not containany qualification, reservation, disclaimer or adverse remark.
The Secretarial Audit Report is annexed as Annexure A ofthis Report.
The Board, on the recommendation of Audit Committee,
has re-appointed Chandrasekaran Associates, Company
Secretaries as Secretarial Auditors of the Company for
FY 2023-24.

Sustainability Journey
The Board continues to have a sharp focus on Environmental,
Social and Governance (ESG) agenda to ensure long-termvalue creation for all stakeholders through sustainablebusiness practices.
The ESG Committee of the Company provides strategic
guidance on ESG Targets and strategy. It keeps an oversight on
implementation of adopted ESG priorities and ensures they arealigned with best industry standards. The Committee reviews
and approves ESG Targets, strategy, monitors performanceof the Company and provides guidance on ESG improvement
areas, ratings etc. and keeps an oversight over material ESG
risks (including climate change risk), opportunities, mitigation
strategies and provides strategic guidance.
At Airtel, we are committed to digitally connect the entire
nation and roll out 5G on pan-India basis by March 2024. As ofnow, our network (with 759,310 BTS installed) covers 95.7%of the population in 7,913 Census towns as well as 795,126
Non-Census towns and villages.
Airtel, in all its capacity supports the agenda to limit global
temperature increase to less than 1.5ºC, as outlined in the
Paris Accords. To achieve this, we have adopted Science
Based Targets to reduce emissions by 50.2% from our own
operations and 42% in our value chain.
During the year, the Company continued to prioritise Greening
the Network and building Climate Resilience. Out of the total
electricity consumed in our data centers, 33% comes fromrenewable sources. Our 5G Towers will generate 85% lesser
carbon emissions for every GB compared to what 4G Towers
would consume. The company continues to focus on safety,
employee well-being and improving diversity.
We continue to ramp up our 5G roll out and expect to connect
all major towns and key villages by the end of this year. The
Company has joined the WEF initiative alliance of the CEO
Climate Leaders of India. This alliance enables to serve witha higher-level platform for business leaders to step India’s
climate action and green transition efforts and is committed
to enable 4G Net Adds to enable digital inclusion.
During the year, our ESG initiatives were recognised by multiple
forums, which is detailed at Page 35 of this Integrated Report.

180

Bharti Airtel Limited

Corporate Social Responsibility
Airtel is committed to long-term sustainable value creationby aligning its social activities with its business objectives.
Giving back to the very community that helps our businessthrive and sustain, has been our priority since inception. As
a good corporate citizen, we have been actively undertaking
community development and nation building initiatives
towards creation of a prosperous society by collaboratingwith diverse stakeholders. We believe in pursuing wider
socio-economic and cultural objectives and have always
endeavoured to not just meet, but try and exceed the
expectations of the communities in which we operate.
Airtel has been an early adopter of CSR initiatives. Bharti
Foundation, the philanthropic arm of Bharti Enterprises, wasestablished in the year 2000, with the objective of transforming
the lives of children and youth to help them achieve theirpotential by proactively implementing and supporting
programs for quality education and skill development. Bharti
Foundation is a key partner for undertaking development
programs for Airtel and its subsidiaries/ joint ventures. It acts
as an institutionalized body towards uplifting communities by
supporting holistic education programs, with an enhanced
focus on digital inclusion.
In terms of applicable provisions of Section 135 of theCompanies Act, 2013, the Company was not obligated tocontribute towards CSR activities during the FY 2022-23.
However, the Company has made voluntary CSR contributionof H6.48 Mn during the financial year 2022‑23. Additionally,
the Company has also contributed H14.70 Mn to various othercharitable institutions.
The direct subsidiaries of the Company have contributed
H225 Mn and associates / joint venture entities havecontributed H976.80 Mn (totalling to H1,201.80 Mn) towards
various CSR activities, which is in addition to the voluntary
CSR contribution of the Company under Section 135 ofCompanies Act, 2013.
The above voluntary contribution reflects the Company’scommitment to pursue socio-economic and culturalobjectives for benefit of the society at large.
A detailed update on the CSR initiatives of the Company isprovided in the Corporate Social Responsibility Report, whichforms part of this Integrated Report.
The CSR Committee is in place in terms of Section 135 of
the Companies Act, 2013. The details of CSR Committee
including composition, terms of reference etc. are provided in
the Report on Corporate Governance, which forms part of thisIntegrated Report. The CSR Committee has formulated andrecommended to the Board, a CSR Policy outlining, inter-alia,
CSR philosophy of the Company. The said policy is available
on the Company’s website at https://assets.airtel.in/teams/
simplycms/web/docs/Bharti_Airtel-Updated_CSR_Policy_
June2021.pdf

Management Discussion & Analysis

Statutory Reports

The annual report on Corporate Social Responsibility u/s 135of the Companies Act, 2013 is annexed as Annexure B tothis Report.

Integrated Reporting
The Company continues with its integrated reporting
journey in the current Fiscal Year, aligning with its philosophyof being a highly transparent and responsible corporate
citizen. Our 6th Integrated Report is guided by the principles
of International Integrated Reporting Framework developedby the International Integrated Reporting Council (nowconsolidated into IFRS Foundation) and reflects the
key actions taken by the Company towards long-termsustainability and stakeholder value creation. The Board
acknowledges its responsibility for the integrity of the report
and the information contained therein.

Business Responsibility & Sustainability Report
Pursuant to Regulation 34(2)(f) of the Listing Regulations, theBusiness Responsibility and Sustainability Report ('BRSR')
on initiatives taken from an environmental, social andgovernance perspective, in the prescribed format is available
as a separate section of this Integrated Report and is alsoavailable on the Company’s website at www.airtel.in.

Financial Statements

The Risk Management Framework is reviewed periodically by
the Risk Management Committee, which includes discussing
the management's submissions on risks, prioritising key risks
and approving mitigation plans.
The Company has duly approved Enterprise-wide Risk
Management Framework. The objective of this framework
is to have a well-defined approach towards risk and lays
down broad guidelines for timely identification, assessment
and prioritisation of risks affecting the Company in the shortterm and in the foreseeable future. The framework suggests
developing a response action for the key risks identified, so
as to make sure that the risks are adequately addressedor mitigated.
Operationally, risk is being managed at the top level by theManagement Boards in India and South Asia and at theoperating level by Executive Committees of Circles in India
and operating companies in the international operations.
Detailed update on risk management framework has
been covered under the risk section, forming a part of theIntegrated Report. At present, in the opinion of the Board of
Directors, there are no risks which may threaten the existenceof the Company.

Management Discussion and Analysis Report

Internal Financial Controls and their Adequacy

Pursuant to Regulation 34 of the Listing Regulations, theManagement Discussion and Analysis Report for the year
under review, is presented in a separate section forming partof this Integrated Report.

The Company has established a robust framework for internalfinancial controls. It has in place adequate controls, proceduresand policies, ensuring orderly and efficient conduct of its
business, including adherence to the Company’s policies,
safeguarding of its assets, prevention and detection of frauds
and errors, accuracy and completeness of accounting records
and timely preparation of reliable financial information.

Corporate Governance Report
A detailed Report on Corporate Governance, pursuant to therequirements of Regulation 34 of the Listing Regulations,forms part of this Integrated Report. A certificate from
Deloitte Haskins & Sells LLP, Chartered Accountants, theStatutory Auditors of the Company, confirming complianceof conditions of Corporate Governance during FY 2022-23,
as stipulated under the Listing Regulations, is annexed as
Annexure C of this Report.

Risk Management
Risk management is embedded in Bharti Airtel’s operating
framework. The Company believes that risk resilience isthe key to achieve long term sustainable growth. To thiseffect, there is a robust framework in place to identify key
risks across the group and prioritise relevant action plans to
mitigate these risks.
To have a sharper focus, the Company has constituted a
Risk Management Committee to focus on risk management
including determination of Company’s risk appetite, risk
tolerance, regular risk assessments and risk mitigation
strategies (risk identification, risk quantification and risk
evaluation) etc.
The Chief Risk Officer is responsible for assisting the Risk
Management Committee on an independent basis with acomplete review of the risk assessments and associatedmanagement action plans.

Your Board periodically reviews the internal processes,
systems and the internal financial controls and accordingly, theDirectors’ Responsibility Statement contains a confirmation
as regards adequacy of the internal financial controls.
Assurance on the effectiveness of Internal Financial Controls
is obtained through management reviews, self-assessment,
continuous monitoring by functional heads as well as testingof the internal financial control systems during the courseof audits. We believe that these systems provide reasonableassurance that our internal financial controls are designed
adequately and are operating as intended.

Compliance Management
The Company has a structured and digitised complianceframework based on a comprehensive inventory, which
are regularly monitored and updated basis the changing
requirements of law. Proactive automated alerts aresent to compliance owners to ensure compliance within
stipulated timelines.
The compliance owners certify the compliance status whichis reviewed by compliance approvers and a consolidated
dashboard is presented to the respective Business Leaders
and the Managing Director & CEO. A certificate of compliancewith all applicable laws and regulations along with theIntegrated Report and Annual Financial Statements 2022-23

181

Corporate Overview

summary of material litigations and mitigation plan, if any, isplaced before the Audit Committee and Board of Directors ona quarterly basis. Additionally, the Company has centralised
automated tool in place viz. Notice Management System toregularly monitor and update the regulatory notices.
Compliance requirements are independently reviewed during
periodic internal audits.

Other Statutory Disclosures
Vigil Mechanism
The Company has adopted a Vigil Mechanism/Whistle Blower
Policy which forms part of Code of Conduct of the Company.
It outlines the method and process for stakeholders to voice
their genuine concerns about unethical conduct that may
be actual or threatened breach with the Company’s Code of
Conduct. The Policy is available on the Company’s website
at https://assets.airtel.in/teams/simplycms/web/docs/Codeof-Conduct-2022.pdf.

Proceeding under Insolvency and Bankruptcy
Code, 2016
There were no proceedings, either filed by the Company oragainst the Company, pending under the Insolvency andBankruptcy Code, 2016 as amended, before the National
Company Law Tribunal or other Courts as on March 31, 2023.

Particulars of Loans, Guarantees and Investments
In compliance with the provisions of the Act and Listing
Regulations, the Company extends financial assistance in theform of investment, loan, guarantee etc. to its subsidiaries,
from time to time in order to meet their business requirements.
Further, the Company or any of its subsidiary has notextended any financial assistance to promoter or promoter
group entities which has been written off during last 3 years.
Particulars of loans, guarantees and investments form part ofNote no. 9, 22 and 7 respectively to the standalone financial
statements provided in this Integrated Report.

A brief note on the highlights of the Whistle Blower Policy
and compliance with Code of Conduct, is also provided in
the Report on Corporate Governance, which forms part ofthis Integrated Report.

The Company is in the business of providing telecom services(wireless telecommunications activities) and accordingly iscovered under the definition of ‘infrastructure facilities’ interms of Section 186 read with Schedule VI of the Act.

Prevention of Sexual Harassment at Workplace

Related Party Transactions

In compliance with Sexual Harassment of Women at
Workplace (Prevention, Prohibition and Redressal) Act, 2013
(POSH Act, 2013), the Company has adopted a policy which isin compliance with the provisions of the POSH Act, 2013 andconstituted an Internal Complaints Committee for providing
a redressal mechanism pertaining to sexual harassment of
employees at workplace and any such incident can be reported
to the Internal Complaints Committee. Details regarding
the policy, including the details of the complaints received
and disposed off, are provided in the Report on Corporate
Governance and Business Responsibility & Sustainability
Report, which form part of this Integrated Report.

The Company has a well-defined and structured governanceprocess for related party transactions undertaken by theCompany. The related party transactions are undertaken
after review and certification by leading Independent global
valuation/ accounting firms confirming that the proposed
pricing mechanism for a particular transaction meets thearm’s length criteria. In certain cases, the external valuers fromthe said leading Independent global valuation/ accounting
firm(s) also present the valuation report to the Audit
Committee. The Audit Committee considers the certificationsof leading Independent global valuation/ accounting firm andconducts a review before granting approval to any related
party transaction. A detailed note on the procedure adopted
by the Company in dealing with contracts and arrangementswith related parties is provided in the Report on Corporate
Governance, which forms part of this Integrated Report.

Annual Return
In terms of Section 92(3) read with Section 134(3(a) of the
Act and rules thereto, the Annual Return of the Company
in Form MGT – 7 for the financial year ended on March 31,
2023 is available on the Company’s website at https://www.
airtel.in/about-bharti/equity/results. The Annual Return will
be electronically submitted to the Registrar of Companies
within the timelines prescribed under the Act.

Significant and Material Orders
During the FY 2022-23, there were no significant and material
orders passed by the regulators or courts or tribunals
impacting the going concern status and the Company’s
operations in the future.

During the FY 2022-23, the Company had entered intomaterial related party transaction with Indus Towers Limited(Joint Venture Company) and necessary disclosure in form
AOC-2 in this regard is given in Annexure D of this Report.
Further, all arrangements/transactions entered into by theCompany with its related parties during the year underreview, were in the ordinary course of business and on anarm’s length compliant terms.

Management Discussion & Analysis

Statutory Reports

In compliance with the requirement of Listing Regulations,names of related parties and details of transactions with them
have been included in Note 34 to the financial statements
provided in this Integrated Report.
The Policy on the Related Party Transactions is available on
the Company’s website at https://assets.airtel.in/teams/
simplycms/web/docs/RPT_Policy.pdf.

Energy Conservation, Technology Absorption andForeign Exchange Earnings and Outgo
The details of energy conservation, technology absorption
and foreign exchange earnings and outgo as required under
Section134(3) of the Act read with the Rule 8 of the Companies(Accounts) Rules, 2014 is annexed as Annexure E of this Report.

Particulars of Employees
Disclosures relating to remuneration of Directors u/s 197(12)of the Act read with Rule 5(1) of Companies (Appointment
and Remuneration of Managerial Personnel) Rules, 2014 isannexed as Annexure F of this Report.
Particulars of employee remuneration, as required under
Section 197 (12) of the Act and read with Rule 5(2) andRule 5(3) of the Companies (Appointment and Remunerationof Managerial Personnel) Rules, 2014 forms part of thisIntegrated Report. In terms of the provisions of the firstproviso to Section 136(1) of the Act, the Integrated Report isbeing sent to the shareholders, excluding the aforementioned
information. The information will be available on the
Company’s website at https://www.airtel.in/about-bharti/
equity/results and will also be available for inspection at
the registered office of the Company on all working days
(Monday to Friday) between 11.00 a.m. and 1.00 p.m. upto
the date of AGM and a copy of the same will also be available
electronically for inspection by the members during the AGM.
Any member interested in obtaining such information may
write to the Company Secretary of the Company.

Directors’ Responsibility Statement
Pursuant to Section 134 of the Act, the Directors, to the bestof their knowledge and belief, confirm that:a)	in preparation of the annual accounts, the applicableaccounting standards had been followed, along withproper explanation relating to material departures;b)	the Directors had selected such accounting policies andapplied them consistently and made judgements andestimates that are reasonable and prudent, so as to givea true and fair view of the state of affairs of the Company
at the end of the financial year and of the profit and lossof the Company for that period;

Financial Statementsd)	the Directors had prepared the annual accounts on agoing concern basis;e)	the Directors, had laid down internal financial controls
to be followed by the Company and that suchinternal financial controls are adequate and wereoperating effectively;f)	the Directors had devised proper systems to ensurecompliance with the provisions of all applicablelaws and that such systems were adequate andoperating effectively.

Key initiatives with respect to stakeholder
relationship, customer relationship, environment,sustainability, health, safety and welfare of employees
The key initiatives taken by the Company with respect tostakeholder relationship, customer relationship, environment,sustainability, health and safety are provided separately
under various Capitals and Business Responsibility andSustainability Report, as a part of the Integrated Report. The
Environment, Health and Safety Policy and Human Rights
Policy are available on the website of the Company at https://www.airtel.in/sustainability-file/embedding-sustainability.

Compliance of Secretarial Standards
Pursuant to the provisions of Section 118 of the Act, during
FY 2022-23 the Company has complied with the applicableprovisions of the Secretarial Standards (SS-1 and SS-2)
relating to ‘Meetings of the Board of Directors’ and ‘General
Meetings’ issued by the Institute of Company Secretaries ofIndia and notified by Ministry of Corporate Affairs.

Acknowledgements
The Board wishes to place on record their appreciation to
the Department of Telecommunications (‘DoT’), the Central
Government and State Governments in India, Government of
Bangladesh and Governments in the 14 countries in Africa,
Company’s bankers and business associates, for the assistance,
co-operation and encouragement extended to the Company.
The Directors also extend their deep appreciation to theemployees for their continuing support and unstinting efforts
in ensuring an excellent all-round operational performance.
The Directors would like to thank Bharti Telecom Limited,
Singapore Telecommunications Ltd. and other shareholders
for their support and contribution. We look forward to theircontinued support in future.
For and on behalf of the Board

Date: May 16, 2023
Place: New Delhi

Sunil Bharti Mittal
Chairman
DIN: 00042491

c)	the Directors had taken proper and sufficient carefor the maintenance of adequate accounting recordsin accordance with the provisions of this Act forsafeguarding the assets of the Company and forpreventing and detecting fraud and other irregularities;

182

Bharti Airtel Limited

Integrated Report and Annual Financial Statements 2022-23

183

Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

Annexure A
Secretarial Audit Reportfor the financial year ended March 31, 2023
To,
The Members,
Bharti Airtel Limited
Airtel Center, Plot No. 16,
Udyog Vihar, Phase-IV,
Gurugram-122015, Indiad)	The Securities and Exchange Board of India (Share
Based Employee Benefits and Sweat Equity)
Regulations, 2021 to the extent applicable;

We have conducted the secretarial audit of the complianceof applicable statutory provisions and the adherence to good
corporate practices by Bharti Airtel Limited (hereinafter
called the Company). Secretarial Audit was conducted in amanner that provided us a reasonable basis for evaluating thecorporate conducts / statutory compliances and expressing
our opinion thereon.

f)	The Securities and Exchange Board of India(Registrars to an Issue and Share Transfer Agents)
Regulations, 1993 to the extent of the Companies
Act and dealing with client to the extent of
securities issued;

Based on our verification of the Company’s books, papers,
minute books, forms and returns filed and other records
maintained by the Company and also the information
provided by the Company, its officers, agents and authorized
representatives during the conduct of secretarial audit, we
hereby report that in our opinion, the Company has, during theaudit period covering the financial year ended on March 31,
2023 complied with the statutory provisions listed hereunder
and also that the Company has proper Board-processes andcompliance-mechanism in place to the extent, in the mannerand subject to the reporting made hereinafter:
We have examined the books, papers, minute books, forms
and returns filed and other records maintained by theCompany for the financial year ended on March 31, 2023(“period under review”) according to the provisions of:e)	
The Securities and Exchange Board of India(Issue and Listing of Non-Convertible Securities)
Regulations, 2021 to the extent applicable;g)	The Securities and Exchange Board of India(Delisting of Equity Shares) Regulations, 2021;
Not Applicable during the period under review.
h)	The Securities and Exchange Board of India(Buyback of Securities) Regulations, 2018;
Not Applicable during the period under review.
(vi)	The other laws, as informed and certified by the
management of the Company which are specificallyapplicable to the Company based on their Sectors/
Businesses are:a)

The Indian Telegraph Act, 1885b)	The Telecom Regulatory Authority of India Act,
1997 and Rules and Regulations made thereunderc)

The Indian Wireless Telegraphy Act, 1933

which necessary approvals obtained as per applicableprovisions), and a system exists for seeking andobtaining further information and clarifications on theagenda items before the meeting and for meaningful
participation at the meeting.

(i)	In accordance with the approval of the members of
the Company the Board of Directors has approved
the allotment 71,176,839 (Seventy-One Million One
Hundred and Seventy Six Thousand Eight Hundred
and Thirty Nine) equity shares of the face value ofH5/- (Rupees Five) each fully paid up, on preferential
basis to Google International LLC at a price of
H734/-(Rupees Seven Hundred and Thirty Four)per equity share including a premium of H729/(Rupees Seven Hundred and Twenty Nine) per
equity share.

a)	Secretarial Standards issued by the Institute ofCompany Secretaries of India and notified by
Ministry of Corporate Affairs.

(ii)	During the year the Committee of Directors of theBoard has approved the following allotments:b)	The SEBI (Listing Obligations and Disclosure
Requirements) Regulations, 2015 to theextent applicable.

• 27,543 equity shares of face value H5/- each(fully paid up) at a conversion price of H523/- perequity share;	During the period under review, the Company has
generally complied with the provisions of the Act, Rules,
Regulations, Guidelines, Standards, etc.

• 11,903,000 equity shares of face value H5/- each(fully paid up) at a conversion price of H521/- perequity share.

a)	The Securities and Exchange Board of India(Substantial Acquisition of Shares and Takeovers)
Regulations, 2011 to the extent applicable;b)	
The Securities and Exchange Board of India(Prohibition of Insider Trading) Regulations, 2015
to the extent applicable;c)	The Securities and Exchange Board of India(Issue of Capital and Disclosure Requirements)
Regulations, 2018 to the extent applicable;

184

Bharti Airtel Limited

We further report that:	
The Board of Directors of the Company is duly
constituted with proper balance of Executive Directors,
Non-Executive Directors and Independent Directors.
The changes in the composition of the Board of
Directors that took place during the period under review
were carried out in compliance with the provisions of
the Act.
	Adequate notice is given to all directors to schedule theBoard Meetings, agenda and detailed notes on agenda
were sent least seven days in advance (except in cases
where meetings were convened at a shorter notice for		(b)	The authorized share capital of Nettle andTelesonic has been added to the authorizedshare capital of the Company and clause V ofMemorandum of Association of the Company
has been amended accordingly.

	We further report that during the audit period following
major events have happened which are deemed to have
major bearing on the Company’s affairs in pursuance of
the above referred laws, rules, regulations, guidelines,
standards, etc:(ii)	The Securities Contracts (Regulation) Act, 1956(“SCRA”) and the rules made thereunder;(v)	The following Regulations and Guidelines prescribedunder the Securities and Exchange Board of India Act,
1992 (‘SEBI Act’):-(a)	both Nettle and Telesonic stand dissolved
and amalgamated with the Company
w.e.f. February 1, 2023 and all assets,
liabilities, contracts, deeds, bonds and other
Instruments etc. of Nettle and Telesonic standtransferred to the Company in accordancewith the Scheme. Accordingly, 30,000 Rated,
Listed, Unsecured, Guaranteed, Redeemable
5.35% Non-Convertible Debentures of theface value of H10,00,000 per Debenture of anaggregate principal amount of H3,000 crores(ISIN: INE308O08015) and 17,500, 5.35%
Listed Commercial papers of 5,00,000 each
(ISIN: INE308O14021) of an aggregate
principal amount of H875 crores issued by
Telesonic, also stand transferred in the nameof Bharti Airtel Limited; and	We further report that there are adequate systems andprocesses in the Company commensurate with the sizeand operations of the Company to monitor and ensurecompliance with applicable laws, rules, regulations
and guidelines.

	We have also examined compliance with the applicableclauses and regulations of the following:(iv)	The Foreign Exchange Management Act, 1999 and therules and regulations made thereunder to the extent of
Foreign Direct Investment, Overseas Direct Investment
and External Commercial Borrowings;			All decisions at Board Meetings and Committee
Meetings are carried out unanimously as recorded in
the minutes of the meetings of the Board of Directors
or Committee of the Board, as the case may be.

(i)	The Companies Act, 2013 (“the Act”) and the rules
made thereunder;(iii)	The Depositories Act, 1996 and the Regulations and Byelaws framed thereunder to the extent of Regulation 76
of Securities and Exchange Board of India (Depositories
and Participants) Regulations, 2018;

and Telesonic, wholly-owned subsidiaries with
the Company ('Scheme'), has become effectivefrom February 1, 2023. Upon the Scheme
becoming effective:(iv)	The Company has no outstanding balance of
unsecured commercial papers at the end of period
under review.
(v)	The members of the Company have granted theirapproval to increase in total number of optionsof Employee Stock Option Scheme, 2005 of
the Company.
(vi)	The members of the Company have granted
their approval to authorise Bharti Airtel Employee
Welfare Trust to acquire equity shares of theCompany by way of secondary market acquisition
for administration of Employees Stock Option
Scheme, 2005.
For Chandrasekaran Associates
Company Secretaries
FRN: P1988DE002500
Peer Review Certificate No.: 1428/2021

		The prices have been adjusted in accordance withthe terms of the offering circular issued to suchholder of FCCBs.
(iii)	Upon approval of Hon'ble National Company Law
Tribunal, Chandigarh Bench, vide its order ("NCL T
order") received on January 25, 2023 in certified
copy, the Composite scheme of arrangement
between Nettle Infrastructure Investments Limited('Nettle'), Telesonic Networks Limited ('Telesonic')
and their respective shareholders and Bharti
Airtel Limited ('Company'), under sections 230
to 232 and other applicable provisions of theCompanies Act, 2013 for amalgamation of Nettle

Date: May 16, 2023
Place: Delhi

Dr. S. Chandrasekaran
Senior Partner
Membership No. FCS No.: 1644
Certificate of Practice No: 715
UDIN: F001644E000285323

Note:i.	This report is to be read with our letter of even date
which is annexed as Annexure-A to this report andforms an integral part of this report.

Integrated Report and Annual Financial Statements 2022-23

185

Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

Annexure B

Annexure-A to the Secretarial Audit Report

Annual Report on Corporate Social Responsibility (CSR) Activities
The Members
Bharti Airtel Limited
Airtel Center, Plot No. 16,
Udyog Vihar, Phase-IV,
Gurugram -122015, India

1. Brief outline of the Company’s CSR policy:(i) Key Objectives

Our Report of even date is to be read along with this letter.
1.	Maintenance of secretarial record is the responsibility of the management of the Company. Our responsibility is toexpress an opinion on these secretarial records based on our audit.
2.	We have followed the audit practices and processes as were appropriate to obtain reasonable assurance about thecorrectness of the contents of the secretarial records. The verification was done on the random test basis to ensurethat correct facts are reflected in secretarial records. We believe that the processes and practices, we followed provide
a reasonable basis for our opinion.
3.

We have not verified the correctness and appropriateness of financial records and Books of Accounts of the Company.

(iii) CSR Activities	Airtel is committed to long-term sustainable value
creation by aligning its social activities with its businessobjectives. Giving back to the very community thathelps our business thrive and sustain, has been ourpriority since inception. As a good corporate citizen,
we have been actively undertaking community
development and nation building initiatives towards
creation of a prosperous society by collaborating withdiverse stakeholders. We believe in pursuing wider
socio-economic and cultural objectives and have always
endeavoured to not just meet, but try and exceed the
expectations of the communities in which we operate.

(ii) Focus Areas

4.	Where ever required, we have obtained the Management representation about the compliance of laws, rules andregulations and happening of events etc.

	Bharti Airtel’s CSR and welfare activities center aroundthe following areas but are not limited to:

5.	The compliance of the provisions of Corporate and other applicable laws, rules, regulations, standards is the responsibilityof management. Our examination was limited to the verification of procedures on the random test basis.

• Promoting education including special education,
employment enhancing vocation skills especiallyamong children and livelihood enhancement projects;

6.	The Secretarial Audit report is neither an assurance as to the future viability of the company nor of the efficacy oreffectiveness with which the management has conducted the affairs of the Company.
For Chandrasekaran Associates
Company Secretaries
FRN: P1988DE002500
Peer Review Certificate No.: 1428/2021• Promoting gender equality, empowering women,setting up homes and hostels for women andorphans, setting up old age homes, day care centersand such other facilities for senior citizens andmeasures for reducing inequalities faced by sociallyand economically marginalised groups;• Eradicating hunger, poverty and malnutrition,
promoting preventive health care and sanitation; andDate: May 16, 2023
Place: Delhi

Dr. S. Chandrasekaran
Senior Partner
Membership No. FCS No.: 1644
Certificate of Practice No: 715
UDIN: F001644E000285323• Supporting technology incubators located within
academic institutions.

	Airtel has been an early adopter of CSR initiatives. Bharti
Foundation, the philanthropic arm of Bharti Enterprises,
was established in the year 2000, with the objective oftransforming the lives of children and youth to help themachieve their potential by proactively implementing andsupporting programs for quality education and skill
development. Bharti Foundation is a key partner forundertaking development programs for Airtel and its
subsidiaries/ joint ventures. It acts as an institutionalized
body towards uplifting communities by supporting
holistic education programs, with an enhanced focus
on digital inclusion.
	The programs of Bharti Foundation are aligned with
Sustainable Development Goals - Quality Education,
Gender Equality, Clean Water and Sanitation andPartnership for the Goals. The initiatives of Bharti
Foundation synergize with National Programs andGovernment Missions such as Sarva Shiksha Abhiyan,
National Education Policy, Beti Bachao Beti Padhao
Yojana, National Nutrition Mission and Swachh
Bharat Abhiyan.
	Its flagship initiative, the Satya Bharti School programprovides quality education to disadvantaged children,
free of cost, with special focus on the girl child. Learnings
from the Satya Bharti Schools have empowered Bharti
Foundation to undertake partnerships with government
schools at a large scale. Through its programs, Bharti
Foundation aims to create a lasting and sustainable
impact on the communities. Bharti Foundation isconstantly working towards finding innovative solutions
through its primary, elementary and senior secondary
schools, to create replicable and scalable initiatives.

	For detailed overview, please refer the CSR policy of
the Company available at: https://www.airtel.in/aboutbharti/equity/corporate-governance/policies.
IMPACT ON COMMUNITY BY BHARTI FOUNDATION SINCE INCEPTION

186

Bharti Airtel Limited

2.8 Mn+~3 Mn

1.50 Lakhs+ 27,000+

18,500+Community
members impacted

Students impacted

Teachers impacted

Villages impacted

Schools impacted

Integrated Report and Annual Financial Statements 2022-23

187

Corporate Overview

2.

Composition of CSR Committee:
S.
No.

Name of Director

Designation/Nature of Directorship

1.
2.
3.

Mr. Rakesh Bharti Mittal
Mr. Dinesh Kumar Mittal
Mr. Gopal Vittal

Chairperson (Non-Executive Director)
Member (Non-Executive, Independent Director)
Member (Managing Director & CEO)

Number ofmeetings of CSR
Committee held
during the year

Number of meetingsof CSR Committee
attended during
the year

2
2
2

2
2
2

• Composition of CSR Committee is available at:https://www.airtel.in/about-bharti/equity/corporate-governanceS.
No.

4. 	Executive Summary along with web-link(s) of Impact Assessment of CSR Projects carried out inpursuance of sub-rule (3) of rule 8, if applicable:
	Provisions of Rule 8(3) of the Companies (CSR Policy) Rules, 2014 w.r.t. Impact Assessment are not applicable on the CSR projects undertakenby the Company during the FY 2022-23.
Particulars

(a)
(b)
(c)
(d)
(e)

Average net profit of the company as per sub-section (5) of section 135
Two percent of average net profit of the company as per sub-section (5) of section 135
Surplus arising out of the CSR projects or programmes or activities of the previous financial years
Amount required to be set off for the financial year, if any
Total CSR obligation for the financial year (5b+5c- 5d)

Amount(in E Million)(63,544)Nil
102.53*Nil**
Nil

	*In terms of Rule 7(3) of Companies (CSR) Rules, 2014, a company is entitled to avail set-off of excess CSR contribution made in immediate preceding
three financial years (commencing from financial year 2020-21) against the CSR obligation of the Company in current financial year. During thefinancial years 2020-21 and 2021-22, the Company had voluntarily spent H86.10 Mn and H16.43 Mn respectively, which is available for set-off.
	**In terms of applicable provisions of Section 135 of Companies Act, 2013, the Company was not required to make any CSR contribution
during the FY 2022-23. Hence, the Company had not availed set-off during the FY 2022-23.

(a) Amount spent on CSR Projects (both Ongoing Project and other than Ongoing Project): H6.48 Mn#

1
2
3

Amount transferred to any fund specified under Schedule
VII as per second proviso to section 135(5)Name of the Fund

AmountDate of transfer

Not applicable# The direct subsidiaries of the Company have contributed H225 Mn and associates/ joint venture entities have contributed H976.80 Mn		
towards various CSR activities, which is in addition to the voluntary CSR contribution of H6.48 Mn by the Company under (Section 135
of Companies Act, 2013) and a contribution of H14.70 Mn made by the Company to various other charitable institutions during the FY
2022-23.

188

Bharti Airtel Limited(2)

PrecedingFinancialYear(s)(3)
Amounttransferred to
Unspent CSR
Account undersub-section(6) of section
135 (in E)(4)
BalanceAmount in
Unspent CSR
Account undersub-section(6) of section
135 (in E)(5)
AmountSpentin theFinancialYear(in E)

F.Y.-1
F.Y.-2
F.Y.-3

Short particulars of theproperty or asset(s)[including complete address
and location of the property]

School of Future
Technologies
Address:

Amount Unspent (in E Mn)

Date of transfer

Nil
6.48*
6.48
102.53109.01**(6)
Amount transferred to aFund as specified under
Schedule VII as per second
proviso to sub-section (5)of section 135, if any
Amount(in E)

Date ofTransfer(7)(8)

Amountremaining
to be spentin thesucceeding
Financial
Year (in E)

Deficiency,
if anyNot applicable*
Not applicable*
Not applicable*	Furnish the details relating to such asset(s) so created or acquired through Corporate Social
Responsibility amount spent in the Financial Year:

1.

(e) CSR amount spent or unspent for the financial year:

Not applicableTwo percent of average net profit of the company as per section 135(5)Total amount spent for the financial year
Excess amount spent for the financial year [(ii)-(i)]Surplus arising out of the CSR projects or programmes or activities of the previous financial years, if any
Amount available for set off in succeeding financial years [(iii)-(iv)]	During the FY 2022-23, the Company had contributed H3 Mn to Bharti Foundation towards construction of “School of
Future Technologies” (the “School”) at Anant National University, Gujarat. The said contributed amount of H3 Mn has
been utilised towards designing the structure (Architecture Fee) of the School. The capital asset is in the initial phasesof construction designing.

(d) Total amount spent for the financial year (6a+6b+6c): H6.48 Mn

Amount

(i)
(ii)
(iii)
(iv)
(v)

8.	Whether any capital assets have been created or acquired through Corporate Social Responsibility
amount spent in the Financial Year: Yes
If Yes, enter the number of Capital assets created/acquired: One.

S.
No.

(c) Amount spent on Impact Assessment, if applicable: Not applicable for the FY 2022-23

6.48#

Amount(in E Mn)	*Owing to losses in immediate three (3) preceding financial years, the Company was not obligated to make CSR contribution under Section
135(5) of Companies Act, 2013 for the financial year 2019-20, 2020-21 and 2021-22. However, being socially responsible, the Company had
voluntary contributed H316.19 Mn, H86.10 Mn and H16.43 Mn in financial year 2019-20, 2020-21 and 2021-22 respectively.

(b) Amount spent in Administrative Overheads: Nil

Total Amount transferred to Unspent
CSR Account as per section 135(6)Particulars

Details of Unspent Corporate Social Responsibility amount for the preceding three Financial Years:(1)• Charter of CSR Committee is available at:https://assets.airtel.in/teams/simplycms/web/docs/Charter-Document-CSR-Committee.pdf

S.
No.

S.
No.

		*Owing to losses in immediate three (3) preceding financial years, the Company is not mandatorily required to spend any amounttowards CSR activities in terms of Section 135 (5) of the Companies Act, 2013 for the FY 2022-23. However, the Company, on voluntarybasis, has contributed H6.48 Mn towards CSR activities during the FY 2022-23.

7.

• CSR Annual Action Plan for FY 2022-23 is available at:https://assets.airtel.in/teams/simplycms/web/docs/Equity-Annual-Action-Plan-01122021.pdf

Total Amount Spentfor the financial year
(in E Mn)

Financial Statements		**In terms of Rule 7(3) of Companies (CSR) Rules, 2014, a company is entitled to avail set off of excess CSR contribution made in
immediate preceding three financial years (commencing from financial year 2020-21) against the CSR obligation of the Company
in current financial year. During the financial years 2020-21, 2021-22 and 2022-23, the Company has voluntarily spent H86.10 Mn,
H16.43 Mn and H6.48 Mn respectively which shall be available for set off in succeeding financial years.

• CSR Policy is available at:https://assets.airtel.in/teams/simplycms/web/docs/Bharti_Airtel-Updated_CSR_Policy_June2021.pdf

6.

Statutory Reports(f) Excess amount for set off, if any

3.	Web-link(s) to access the Composition of CSR committee, CSR Policy and CSR Projects approved by
the board:

5.

Management Discussion & Analysis

Anant National University,
Sanskardham Campus,
Bhopal-Ghuma-SanandRoad, Ahmedabad,
Gujarat-382115, India

Pincodeof thepropertyorasset(s)382115

Amountof CSR
amountspent

Date ofcreation

Not Applicable.
The School isin the initial
phases ofconstruction

H3 Mn

Details of entity/ Authority/ beneficiary of theregistered owner
CSR Registration
Number, if
Nameapplicable

CSR00002869

Anant
National
University*

Registered address

Sanskardham
Campus, BhopalGhuma-SanandRoad, Ahmedabad,
Gujarat-382115* Sponsoring body of Anant National University is Laxman Gyanpith, a registered Trust under Gujarat Public Trusts Act, 1950.

Integrated Report and Annual Financial Statements 2022-23

189

Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

9.	Specify the reason(s), if the company has failed to spend two per cent of the average net profit as
per section 135(5): Not Applicable

Annexure C	In terms of applicable provisions of Section 135 of the Companies Act, 2013, the Company was not obligated tocontribute towards CSR activities during FY 2022-23. However, the Company has made a voluntary contribution of
C21.18 Mn including C6.48 Mn towards CSR and C14.70 Mn to various other charitable institutions during the year.

Independent Auditor’s Certificate on Corporate Governance	The direct subsidiaries and associates/ joint venture entities of the Company have contributed C225 Mn and C976.80 Mn
respectively, pegging the overall CSR contribution of the Group at C1,201.80 Mn, which is in addition to the aforesaid
voluntary contribution made by the Company.
	The Group (Company along with its subsidiaries and associates/ JVs) is committed to pursuing socio economic andcultural objectives for benefit of the society at large. We believe that access to quality education is the hallmark of agreat nation, and it is imperative that every child gets to learn and contribute to nation’s growth. We strive to create asignificant impact on society facilitating this through various programs of our philanthropic arm, Bharti Foundation viz.
Satya Bharti School Program and Satya Bharti Quality Support Program. These programs of Bharti Foundation provide
quality education to underprivileged children with a special focus on girl child education in the rural pockets acrossIndia. Further, the Group supports higher education through collaborations of Bharti Foundation with various prestigious
institutes like IIT Delhi for the Bharti School of Telecommunication, Technology and Management; IIT Bombay for Bharti
Centre For Communication; ISB Mohali for the Bharti Institute of Public Policy; Plaksha University for establishment of a
block and for scholarships and Anant University for support in establishment of the School of Future Technologies.
	For detailed socio economic commitments of the group in India and Africa, please refer the detailed section on Corporate
Social Responsibility at Page 62 of this Integrated Report.

Place: New Delhi
Date: May 16, 2023

Gopal Vittal(Managing Director & CEO)Rakesh Bharti Mittal(Chairperson, CSR Committee)To,
The Members,
Bharti Airtel Limited
This certificate is issued in accordance with the terms of ourengagement letter dated October 12, 2022.
We, Deloitte Haskins & Sells LLP, Chartered Accountants, theStatutory Auditors of Bharti Airtel Limited (“the Company”),
have examined the compliance of conditions of Corporate
Governance by the Company, for the year ended on March
31, 2023, as stipulated in regulations 17 to 27 and clauses (b)to (i) of regulation 46(2) and para C and D of Schedule V of
the SEBI (Listing Obligations and Disclosure Requirements)
Regulations, 2015 (the Listing Regulations).

Management’s Responsibility
The compliance of conditions of Corporate Governance isthe responsibility of the Management. This responsibility
includes the design, implementation and maintenance ofinternal control and procedures to ensure the compliancewith the conditions of the Corporate Governance stipulated
in Listing Regulations.

Auditor’s Responsibility
Our responsibility is limited to examining the procedures
and implementation thereof, adopted by the Company forensuring compliance with the conditions of the Corporate
Governance. It is neither an audit nor an expression of opinion
on the financial statements of the Company.
We have examined the books of account and other relevant
records and documents maintained by the Company forthe purposes of providing reasonable assurance on thecompliance with Corporate Governance requirements by
the Company.
We have carried out an examination of the relevant recordsof the Company in accordance with the Guidance Note
on Certification of Corporate Governance issued by the190

Bharti Airtel Limited

Institute of the Chartered Accountants of India (the ICAI), theStandards on Auditing specified under Section 143(10) of theCompanies Act 2013, in so far as applicable for the purposeof this certificate and as per the Guidance Note on Reports
or Certificates for Special Purposes issued by the ICAI which
requires that we comply with the ethical requirements of theCode of Ethics issued by the ICAI.
We have complied with the relevant applicable requirementsof the Standard on Quality Control (SQC) 1, Quality Control
for Firms that Perform Audits and Reviews of Historical
Financial Information and Other Assurance and Related
Services Engagements.

OpinionBased on our examination of the relevant records andaccording to the information and explanations provided tous and the representations provided by the Management, wecertify that the Company has complied with the conditions ofCorporate Governance as stipulated in regulations 17 to 27
and clauses (b) to (i) of regulation 46(2) and para C and D of
Schedule V of the Listing Regulations during the year ended
March 31, 2023.
We state that such compliance is neither an assurance as
to the future viability of the Company nor the efficiency oreffectiveness with which the Management has conducted theaffairs of the Company.
For DELOITTE HASKINS & SELLS LLP
Chartered Accountants
FRN: P1988DE002500(Firm’s Registration No. 117366W / W-100018)

Date: May 16, 2023
Place: New Delhi

Nilesh H. Lahoti
Partner(Membership No. 130054)(UDIN: 23130054BGYYXW5296)

Integrated Report and Annual Financial Statements 2022-23

191

Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

Annexure D

Annexure E

Form No. AOC-2

Particulars of Energy Conservation, Technology Absorption and Foreign Exchange
Earnings and Outgo(Pursuant to clause (h) of sub-section (3) of section 134 of the Act and Rule 8(2) of the Companies (Accounts) Rules, 2014)

Form for disclosure of particulars of contracts/arrangements entered into by the Company with relatedparties referred to in sub-section (1) of section 188 of the Companies Act, 2013 including certain arm’s
length transactions under third proviso thereto
1. Details of contracts or arrangements or transactions not at arm’s length basis
	Not applicable. All the contracts, arrangements or transactions entered in to by the Company with related parties during
the financial year ended March 31, 2023, were at arm's length basis, in ordinary course of business and were approvedby the Audit Committee.

2.

Details of material contracts or arrangement or transactions at arm’s length basis
S.
No.

(a)
(b)

(c)
(d)

(e)

(f)

Particulars

DetailsName(s) of the related party andnature of relationship
Nature of contracts/
arrangements/ Transactions

Indus Towers Limited (Joint Venture)

Duration of the contracts/
arrangements/ transactions
Salient terms of the contracts or
arrangements or transactions
including the value, if any

Date(s) of approval by the Board,
if anyAmount paid as advances if any

Passive infrastructure services, telecommunication services, reimbursement ofexpenses, purchase/ sale/ exchange/ transfer/ lease of business asset(s) and/ or
equipment(s) including passive infrastructure assets to meet its business objectives/
requirements, selling or otherwise disposing of or leasing, or buying property(ies)to meet its business objectives/ requirements and transfer of resources, services or
obligations to meet its business objectives/ requirements
All the contracts/ arrangements/transactions are on ongoing basis unless otherwise
specified under the Master Service Agreement.
The Company has an arrangement with Indus Towers governing the detailed
terms and conditions under which the Company avails passive infrastructure andrelated services from Indus Towers. The arrangement prescribes material terms
and conditions w.r.t. sharing of passive infrastructure at sites, provision for related
operation and maintenance service, corresponding obligations of both the parties
and service level schedules applicable with respect to the said obligations. The
arrangement also prescribes the tower sharing process, site access, acquisitionand deployment timelines, the service levels and uptime to be maintained, site
electrification requirements, the governance process and applicable charges
including standard charges, annual increment, various site levels, premiums andadditional charges determined basis the installed active equipment of the Company
etc. Please refer Note 34 to the standalone financial statements provided in thisIntegrated Annual Report.
N.A.
The related party transactions are placed before the Audit Committee for its
prior approval in compliance with the requirement of Companies Act, 2013 andListing Regulations every year before commencement of the Financial Year andfor modifications, if any.
As per the terms of Master Service Agreement.

For and on behalf of the Board

Date: May 16, 2023
Place: New Delhi

Sunil Bharti Mittal
Chairman
DIN: 00042491

A.

Conservation of Energya.	The following initiatives were taken by the Company toreduce and conserve energy:i.

For Networks:• UPS optimization and Power Factor (PF)improvement – UPS and Switched Mode
Power Supply (SMPS) optimization along with
PF improvement at various locations saved
1,648,465 kWh of energy.

• Site sharing - Through greater use of passive
infrastructure, our site sharing strategy withpartners has optimised our resource usage anddrastically decreased carbon emissions. 39% of
which newly rolled out sites are co-located.

• Other Main Switching Center initiatives – We
installed LED lights, motion sensors, air diverters,
active tiles and blanking panels in our Main
Switching Center sites. In addition, we installed
solutions for temperature, rack, UPS and SMPS
optimization, cold aisle containment and natural
cooling, to reduce energy consumption. These
measures helped us save 9,010,672 kWh ofenergy in the reporting year.

• "Project Green City" - Working with our network
infrastructure partners, we are transforming oursites into eco-friendly ones. 43% of our networksites, including both owned by Airtel as well
as by partners, have been tagged as green
sites, consuming less than 100 litres of diesel
per quarter.
iii.

• Hybrid battery bank solutions - To optimise
energy use and lessen our reliance on diesel,
we have installed cutting-edge lithium-ion and
VRLA (Valve-Regulated Lead-Acid) batteries.
We have added additional/upgraded batterybanks resulting in saving of 4,112,680 Ltrs ofdiesel corresponding to emission reduction of~10,812 tCO2e.

• We have installed DC Air Conditioners at our
telecom shelters since they can maintaintemperature without running of DG as these
air conditioners run in DC batteries and hence
reduce our emissions.
• AI (Artificial Intelligence) and Machine learningalgorithms are implemented to put to sleep
radios of less load so that other cells can takethe traffic.

Energy efficiency at facilities:• Electronically Commutated (EC) fan
installation: We have installed EC fans in our
DG/LT rooms in replacement of exhaust system
and air washer resulting in an estimated annual
saving of 64,800 kWh energy.
• Uninterruptible Power Supply (UPS)
optimisation: In FY 2022-23, Optimizationof UPS at our facilities has helped us become
more energy efficient and we have optimized asaving of 10 KVA UPS which saved 727,945 kWhof electricity.

• Auto-shutdown in non-peak hours: An
auto-resource shutdown feature has been
implemented at more than 1.6 Lacs sites,
including all 4G sites, thereby reducing energy
requirement during non-peak hours.

• Optimum lighting – Lighting optimization
through LED lights and motion sensors acrossvarious data centers saved 88,464 kWhof energy.

Bharti Airtel Limited• Cold aisle/Hot aisle containment – Cold aisle/
Hot aisle containment at different locations
saved 562,070 kWh of energy• Maximising Outdoor Base Transceiver
Station (BTS): In FY 2022-23, we moved 2,496
inside BTS sites and converted them into outdoor
BTS. This initiative resulted in reducing energy
demand, thereby reducing BTS energy usage.

ii.	Energy efficiency across Data Centers (DCs)and Main Switching Centers (MSCs):

192• Optimum cooling – Cooling optimization
through the installation of active tiles, set points
management and air diverters saved 1,984,494
kWh of energy at our data centers.

• Lighting optimisation: At some locations, thereplacement of linear lighting with more energyefficient LED lighting has led to an estimated
10,965 kWh reduction in energy.
iv.	Energy efficiency at AORs: Use of energy efficient
LED lighting across 440+ AORs has led to saving of~406,552 kWh of electricity in FY 2022-23.

b.

Utilization of Green Energyi.	Renewable energy sourcing at MSCs and Data
Centers:• ‘Nxtra by Airtel’ is continually increasing theRenewable Energy share in the overall energy
mix of data centers via sourcing green energy
through open access. We have increased
use of green open access energy in our own
operations from 89,485 MWh in FY 2021-22 toIntegrated Report and Annual Financial Statements 2022-23

193

Corporate Overview

154,384 MWh in FY 2022-23, sourced throughvarious green power wheeling agreements.
• We have strengthened our green energy
footprint with the commissioning of Solarand Wind power plants in various states. The
captive units with capacity 34 MW Solar, 13 MWWind and 1.5 MW Hybrid (Solar + Wind) werecommissioned to supply clean energy in thestate of Tamil Nadu, Karnataka and Gujarat
respectively. The captive power units have been
set up in partnership with Avaada (Tamil Nadu
& Karnataka) and Continuum (Gujarat) to supply
clean energy to Nxtra by Airtel’s large and edge
data centers.

ii.

Solarization across operations:• Rooftop solar plants have been erected at 30
different locations in our data centers and MSCs
till FY 2022-23 resulting in renewable energy
generation of 1,763 MWh in FY 2022-23.
• 177 of our owned network sites have beensolarised till FY 2022-23. With installed capacityof 1.2 MWp+ at telecom tower sites spread
across many states and union territories of India
such as Andhra Pradesh, Arunachal Pradesh,
Assam, Jammu & Kashmir, Jharkhand, Manipur,
Meghalaya, Mizoram, Nagaland, Rajasthan,
Tripura and Telangana with the aim to coverentire India soon.

B. Technology absorption
1.	The efforts made towards
absorption –technology

	With an objective to provide best in class mobile
broadband experience to our customers, Airtel added
80525 4G Base stations and 28032 5G Base stationsin previous year. We now connect 7891 towns and795,182 villages through high-speed broadband; Airtel
covers 96.65% of India’s Population on 4G.
	In FY 2022-23, in order to strengthen the network
infrastructure and to increase network coverage in
Urban and Rural –• 20.2k Coverage macro sites & 15.3k Ultra lean solution
were deployed in the year across geographies.
• 27.3k 5G sites deployed across circles

	To enhance rural customer experience, Airtel has
initiated a special “Rural Acceleration Program”
under which 30k sites are planned to be deployed inrural areas.

194

Bharti Airtel Limited

Statutory Reports

Financial Statements

	Till Mar’23, 10.3k sites have been deployed under thisprogram. We have made 5G on-air in 28K sites across
700+ towns within 6 months of its launch.

	Total 19800 MHz, New 5G Spectrum Acquired& deployment is in WIP - in Spectrum Auction of
FY 2022-23 in all 22 LSA's.

circles, doing 40-50K per circle changes. It has led
to massive improvement in throughput thereby
improving customer experience.

	5G sites are catering to 10.4% of the total network
traffic in the geographies where they are live, thereby
offloading the existing 4G sites too. We closely worked
with smartphone manufacturers for timely testing andcommercial release of the binary for 5G support in Airtel
network for 100% of the 5G capable smartphones.
There has been quite a few marketing intervention toenhance 5G penetration too, with the recently launchedunlimited 5G data being one of those.

	Airtel has developed a state-of-art in-house tool
“Airtel Self Optimization Network” (A-SON) to predict
degradation and proactively makes changes in the
network to enhance customer experience greatly. Airtel
was awarded “Innovative Mobile Service and Application
Award” at the prestigious GTI Awards 2023 Global TDLTE Initiative (GTI) for our in-house platform, Vision - a
unified customer analytics & self-healing platform.

3.	Mitigation of Ducting – ‘Ducting’ this recurring
atmospheric phenomenon led to experiencedegradation at the impact circles leading to a daily
increase of 10K complaints. This scale of changes
is not possible to be done manually to mitigate
the impact of the Duct due to its highly variable
and random occurrence patterns. OEM proposedsolution had a lead-time of 6months with almost 6X
the estimated cost. The digitization team took totask and built a data-driven, AI-enabled predictivemodel that took input from various satellite sources
and internal network data to predict the impact ofducting, propose bulk actions to be performed andbring the network in the steady optimum stateonce the ducting ceased. The system executes ~0.2million changes per circle on peak ducting day
at an execution success rate of ~98%.

	Airtel has been focused on simplifying the Network
operations through investments in the areas ofdigitization, automation and innovation.
	In order to improve spectrum efficiency, Airtel has taken
below initiatives in the required regard:• Spectrum Addition: We have Induced spectrum in
FD18, FD21 and FD9 in 13 circles, Post Spectrum
addition and LMS changes 26% reduction in
observed in <3 Mbps cells.
• Traffic Balancing: For effectively use of spectrum
approx. 60K Sectors per month load balancing is being
done b/w layers. By continuous Traffic balancing weare able to improve <3 Mbps cells despite of increasein Data Volume by 20%.
• ASON Module: We have Ducting Mitigation module
developed in ASON module. Ducting ASON is live inall ducting impacted circles, Furthermore, we haveintroduced TDD Cell Lock module where cells which
are having RSSI >=-90 are getting locked during
ducting period, this module has been live in 6 circles
and rest are underway for launching Auto Load
Balancing. We have developed module in Vision for
Traffic balancing dashboard and auto FIX.
	In this module sectors, which are unbalanced w.r.t User
Throughput and Payload distribution these defaulter
cells are being published to every circles weekly forbalancing activity.
	
In addition, Auto Fix for these defaulter cells areunderway for developing.
Coverage and Capacity Solution: FY 2022-23• 28032 5G deployed to enhance data experience	These initiatives enabled customers to experience
better network speeds and HD quality voice.

Management Discussion & Analysis• 16K new 2G+4G sites deployed to improve coverageand data penetration in PAN India in FY 2022-23• 28K Sites deployed in L900 to improve indoor
coverage penetration• 40K sites deployed in L2100 and TDD to enhancecapacity to improve user experience	Airtel has brought in innovative in-house technicalproducts in multiple lines of business.
	We are first in marketplace to develop AI-ML-driven inhouse, closed-loop, self-healing platform called Airtel
SON (A-SON) for both mobility and broadband.
	The zero-touch solution ensures 24*7 network/routermonitoring, detects anomalies and implements realtime preventive actions in the network to improvecustomer experience.
	With future-ready architecture, the platform is currently
live across PAN India and is addressing the following
business critical use-cases:
Broadband Use- Cases:
1.	Wi-Fi Signal Interference Detection & Mitigation –An intelligent platform has been designed which
studies the KPIs of routers installed at customer
location and generates series of actions after
detecting anomalies. On an average ~ 70K, soft
actions are executed per day, which has resulted
to ~17% reduction in complaints.
2.	Proactive Router Performance Improvement –This module studies the uptime of the customer’srouter and basis historic trends and analysis, it
proactively reboots the system to improve it’s
efficiency. This proactively handles the issues likerouter going to hang mode etc. that is helping us
to save upcoming complaints.
Mobility Use-Cases:
1.	X2 Audit & Enforcement through ASON – Inorder to improve 5G & 4G network mobility,
correct X2 configurations are critical. This module
automatically detects incorrect X2 network
settings and rectifies it on real-time basis. ~50K
corrections are made on daily basis. It has led
to smooth 4G -5G transitions and improving
5G accessibility.
2.	Intelligent Load Balancing – This module detects
the imbalance between the network layers andinitiates real time soft actions to optimize thetraffic between the layers, thereby optimizing
network resources. The module is live in all Nokia

		Multiple actions involving tilt changes, loadbalancing, real-time cell locking and unlocking are
performed to mitigate the impact.
		This has resulted in remarkable customer
experience management reducing the ducting
complaints up to 70%. The platform is live in allhigh ducting circles.
4.	Energy Saving - The energy spent on radio
equipment is directly proportional to the trafficand consumption drew on a particular site. Theenergy expense amounts to 29% (H7,500 crores)of our overall Network Operating expenses. Tower
analyses at a micro-level show us the traffic pattern
and time duration when traffic is low where we can
shutdown/lock unused cells to enable a powersave mode to be energy efficient. A-SON uses
pattern analysis and experience measurement to
identify maximum contiguous hours for each of
the 238K sites to ensure real-time locking of theseunderutilized but energy-consuming cells. It is not
only saving Airtel Opex of H100 crores annually
but also a huge contributor to our ESG goals of
reducing carbon footprint across our network.
5.	Sleeping Cells Rectification - The ‘Sleeping Cell’
problem is a particular type of cell degradation in
network. This essentially means whenever a cellgoes to sleep it needs to be restarted/woken up
to make it usable again. This is considered a typeof cell outage. It is outrageously difficult to detect
when this happens, as we do not have any alarmthat will intimate the NOC when a cell malfunctions.
So, degradation in customer experience without
any notice. This failure can be prolonged, in somecases days, before being detected by the operator,and corrective measures are taken. Although at any
point in time <1% of the cells malfunction but the

Integrated Report and Annual Financial Statements 2022-23

195Corporate Overview

impact in terms of revenue loss (because no traffic
is flowing through them) and increase in customer
complaints in that service region is sharp.
		Now through A-SON, a novel correlation technique
has been devised that analyses different network
parameters (KPIs) over different intervals of time.
This allows us to intelligently identify sleeping
cells with an accuracy of 100% and the platform
automatically recovers almost 80-90% of suchcorrect cell/site remotely. The solution was 10X
more expensive had we purchased licenses toenable this in our network.
		Other major innovations include:• Ideploy: Deployed one solution for signoff toMS2 Handover on a single platform for RAN
sites deployment which includes TOCO nominal
process, RFAI Survey, ATs Cell configuration for
all Technology.
• MIDS: single platform for MW planning& deployment automation for end-toend Solutioning.
• Glimpse: 1. maintaining the correct azimuth of
3.3 million cells is a huge challenge. Manual visits
on sites, huge deployment activities such as 5G
launch, Natural causes such as storm or windleads to changes in azimuths. Manual surveys
used to happen which resulted in huge Opex tothe company. Thus, we launched Airtel's own
engine [eDeviance] to auto - identify the actual
azimuths basis of coverage pattern. The module
was tested in various clutter and scenarios andachieved more than 80% accuracy - which
resulted in commercial deployment of theEngine. This Engine also helped Airtel in planning
new sites by identifying actual back spots and ingeolocation accuracy - which helped in customer
complaint resolution.
• Mycom Tool rollout for 5G technology withdelivery of Experience Dashboard, Insight report
and KPI Triggers for PAN-India Network.
• Perception Corridor (VCR/Institution/NH/
Airport/Colleges/Hospitals/Railway Routes
Analysis)• Pan India Dashboards to track experience
analysis.
• Detailed cell/grid analysis prepared for all
hotspots to drive performance improvements.

196

Bharti Airtel Limited

Management Discussion & Analysis

Statutory Reports		
The new platforms have enabled automatic
optimization of multi-layered networks, thereby
reducing drop calls, network blocking, andincreasing data throughputs for setting new
benchmarks in end user experience.

• Last year International roaming experience for Airtel
Customers was picked as key project to improve
Voice and data. For Voice, Volte IR implemented with
top operators and default 4G for all customers forseamless latching.

2.	Efforts to increase network reliability, security,
accessibility etc. to support the Digital India
mission• As part of network resiliency improvement, Core
network nodes connectivity has been migrated to amore resilient MPLS transport network from P2P links,
which improved network reliability and accessibility.

	Mobile network is an essential service and its continuity
needs to be ensured during any catastrophe, unforeseen
situation of any kind etc.
• Scaling of core capacities to handle unlimited 5G.
Besides this, 5G plus offers easy onboarding without
activation and SIM changes. Unlimited 5G can be
opted with single click on Airtel Thanks application
and usage of 4G and 5G is accounted separately
with advanced functionalities of core and charging
system. This will also help in increasing 5G adoption
and offloading 4G network.

C.

Foreign Exchange Earnings and Outgo

	Activities relating to initiatives taken to increase exports,
development of new export markets for products andservices and export plans.
Total foreign exchange used and earned for the year:(a)Total Foreign Exchange Earnings – H36,515 Mn(b) Total Foreign Exchange Outgo – H106,635 Mn• We have added core capacities as part of BCP
implementation plans.
• Airtel network Security SOC maturity improved withsetup of a dedicated Network Security Operation
Center managing Security Monitoring, proactive
Security Risk assessment and closure management,
and improving Security monitoring visibility throughnew cutting-edge technologies e.g. EDR deployment
across telecom workloads.

Financial Statements

For and on behalf of the Board

Date: May 16, 2023
Place: New Delhi

Sunil Bharti Mittal
Chairman
DIN: 00042491• New ILD carriers been on boarded with a manual
process for Voice, ITFS & SMS services. As part of ILD
Voice Digitization project, we implemented self-care
portal, which interconnects, centralized billing for all
the products, agreement process happens in a digitalmode with no/very less manual interventions. With
the integration of real time view of customer’s usage
and traffic reports, experience will be enhanced.
• As legacy, we have been running our fixed line
and mobile on separate Core infrastructure. Aspart of FMC project (fix Mobile convergence), we
implemented converged voice core serving both Fixline and Mobile services as part of better synergy ofplatforms improving cost to serve.
• Core network nodes been deployed across verticalstacks from respective OEM, As part of our Cloudand Automation journey we have mature horizontal
cloud strategy integrated with Network orchestration
framework deploying telecom core applications fromdifferent OEM on unified cloud stack with Automation
onboarding of telecom workloads and their upgrade
management .
• Service testing across circles been performed
manually by network, CS and Revenue assurance
teams as part of new product /new nodes roll out andtheir change management. As part of our Automation
journey, we have deployed Call testing Automation
platform hosting all circle test SIMS extending
capability of emulating different network nodes andUE enabling call testing virtually instead of testing
physically at respective Circles.

Integrated Report and Annual Financial Statements 2022-23

197

Corporate Overview

Annexure Fi.	The percentage increase in remuneration of each Director, Chief Financial Officer, Chief Executive Officer and Company
Secretary during FY 2022-23 and ratio of the remuneration of each Director to the median remuneration of the employeesof the Company for FY 2022-23 are as under:

Name of the Director

Remuneration of
Director/ KMP for
FY 2022-23 (In K)

Percentage
increase inremuneration in
FY 2022-23 (%)

Ratio of remuneration ofeach Director to median
remuneration of theemployees of the Company

167,729,002
168,434,184

8.92
10.39

182.71
183.485,049,339
3,000,000
5,049,339

10.86
Nil
10.86

5.50
3.27
5.50

12,500,000
11,892,135
3,482,192
6,600,000
61,91,781
7,757,891
5,791,781
9,100,000(8.76)
17.16
*
2.90
*
*
*
(10.78)

13.62
12.95
*
7.19
7.64
10.14
*
9.91

9.78
*

17.95
30.68

Executive Directors
1.
2.

Mr. Sunil Bharti Mittal, Chairman
Mr. Gopal Vittal, Managing Director & CEO

Non-executive directors
3.
4.
5.

Ms. Chua Sock Koong
Mr. Rakesh Bharti Mittal
Mr. Tao Yih Arthur Lang

Statutory Reportsii.	The percentage increase in the median
remuneration of the employees in the financial year:
The percentage increase in the median remuneration of
employees in FY 2022-23 was 7.4%.

Statement of Disclosure of Remuneration under Section 197(12) of the Companies
Act, 2013, read with rule 5(1) of Companies (appointment and Remuneration ofManagerial Personnel) Rules, 2014S.
No.

Management Discussion & Analysisiii.	The number of permanent employees on the roll of
the Company: There were 13,708 employees on therolls of the Company as on March 31, 2023.
iv.	Average percentage increase already made in thesalaries of employees other than the managerial
personnel in FY 2022-23 and its comparison
with the percentage increase in the managerial
remuneration and justification thereof: The averageincrease in the remuneration of employees, excluding
remuneration of KMPs, during FY 2022-23 was 7.4% andthe average increase in the remuneration of KMPs andmanagerial personnel was 5.13%. The compensation
structure and revision in the remuneration of the

Financial Statements

employees and the KMPs is guided by our reward
philosophy, external competitiveness and benchmarking
and is as per the compensation and appraisal policy of
the Company. The remuneration is within the overall
limits approved by the shareholders of the Company.
The increase in the remuneration of KMPs (other than
executive Directors) is in line with the market practice.
v.	Affirmation that the remuneration is as per
the remuneration policy of the Company: The
remuneration of Directors was as per the policy on
nomination, remuneration and Board diversity of
the Company.
For and on behalf of the Board
Date: May 16, 2023
Place: New Delhi

Sunil Bharti Mittal
Chairman

Independent Directors
6.
7.
8.
9.
10.
11.
12.
13.

Mr. D.K. Mittal
Ms. Kimsuka Narasimhan
Mr. Manish Kejriwal#
Ms. Nisaba Godrej
Mr. Pradeep Kumar Sinha#
Mr. Shishir Priyadarshi#
Mr. Shyamal Mukherjee#
Mr. V. K. Viswanathan

Key Managerial Personnel other than Executive Directors
14. Mr. Pankaj Tewari, Company Secretary
15. Mr. Soumen Ray, CFO (India & South Asia)

16,588,050
50,168,723

	#Mr. Pradeep Kumar Sinha and Mr. Shyamal Mukherjee were appointed as Independent Directors of the Company w.e.f. May 18, 2022.
Mr. Shishir Priyadarshi resigned w.e.f. October 31, 2022 as an Independent Director of the Company and Mr. Manish Kejriwal retired from theBoard on September 25, 2022.
	*since the remuneration of these Directors/ KMP is only for the part of the current year/previous year hence the ratio of their remuneration to
median and increase in remuneration is not comparable.

Notes:
1.	The value of performance linked incentive (PLI) in
remuneration of Key Managerial Personnel (KMP)
represents incentive @ 100% performance level.
For effective comparison, the PLI component of
their remuneration for FY 2022-23 has also been
considered @ 100% performance level.

4.	The remuneration of Mr. Gopal Vittal and Mr. Pankaj
Tewari excludes perquisite value of H137,857,311/and H3,548,276/- respectively towards exercise ofstock options during FY 2022-23. The remunerationof Mr. Soumen Ray, CFO excludes the one time
payout of H33,566,667/- during FY 2022-23.

2.	Remuneration of Employees and KMPs does notinclude perquisite value of stock options exercised
during FY 2022-23.

5.	The remuneration paid to Independent Director
also includes sitting fees of H100,000/- per Board/
Committee meeting attended by them during the
FY 2022-23.

3.	There has been no change in the remunerationof Mr. Sunil Bharti Mittal, Chairman from last year.
The change reflecting above is due to change
in the perquisite value, which is within the limits
approved by the shareholders. During FY 2022-23,
he has received the remuneration of GBP 2.20 Mn
from overseas subsidiary of the Company, Network
i2i (UK) Limited.

198

Bharti Airtel Limited

6.	Change in remuneration of Non-Executive
Directors vis-à-vis previous year, if any, is due tochange in their committee membership, meetings
attended, sitting fee paid and change in foreignexchange rates.

Integrated Report and Annual Financial Statements 2022-23

199

Corporate Overview

Report on Corporate GovernanceManagement Discussion & Analysis

Statutory Reports

Financial Statements

Governance StructureThis Report on Corporate Governance reflects Company’s ethically-driven business practices, aimed at sustainablevalue-creation for all its stakeholders. The Company believes that Corporate Governance is more than just a legal requirement.
This report lays down the best practices and governance standards adopted by the Company in line with internationallyrecognised Corporate Governance standards.

The Company believes that a strong, agile and resilient governance structure is a key to build organisation’s capacity for wealthcreation. Therefore, at Airtel, the management, the Board and its Committees ensure that Airtel continues to remain a companyof trust, transparency and integrity; and is driven towards responsible growth in line with its Corporate Governance Philosophy.

Governance Structure at Bharti Airtel Limited as on March 31, 2023

This report is divided into following sections:
CORPORATEGOVERNANCE
PHILOSOPHY

BOARD OFDIRECTORSCODES, POLICIESAND FRAMEWORKSMEANS
OF COMMUNICATIONBOARDCOMMITTEES

GENERALSHAREHOLDERINFORMATION

Corporate Governance is not confined to a set of processes
and compliances at Airtel – it underlines the role that we
see for ourselves for today, tomorrow and beyond. The

OTHER DISCLOSURES

Group Governance Unit

Board Committees

Company adheres to the highest standards of governanceand continues to benchmark its practices – with not justthe global ‘best practices’ but also ‘next practices’. Your
Company has been a leader in adopting globally-recognised
and progressive corporate governance practices.
Corporate Governance at Airtel is reinforced through theCompany’s code of conduct; board governance and strong
management processes; effective audits; strong internal
controls and well-implemented and monitored policies
and procedures.

Governance

Airtel Africa plc(Overseas subsidiary listed
on London Stock Exchange)

Audit Committee
V. K. Viswanathan (C)3 Independent Directors

ESG Committee
Nisaba Godrej (C)4 Independent Directors
2 Non-Independent Directors

Stakeholders'
Relationship Committee
Rakesh Bharti Mittal (C)Ethical businesspractices& standards

2 Independent Directors
2 Non-Independent Directors

•
•
•
•
•
•
•
•
•

Effective and clear Governance structure with diverse Board, Board Committees and Senior Management.
Management Governance through Airtel Corporate Council supervising the Company’s business operations & major strategic decisions,robust risk management framework, strong foundation of Code of Conduct and business policies & procedures.
Group Governance Unit spearheading an oversight process of operations of subsidiary companies.
Compliance with all relevant laws in both form and substance.
Complete and timely disclosure of relevant financial and operational information to enable the Board to play an effective role inguiding strategies.
Board Governance through specialised sub-committees in the areas of Audit, Risk Management, HR & Nomination, ESG, Corporate Social
Responsibility and Stakeholders’ Relationship etc.
Well-defined corporate structure that establishes checks, balances and delegates decision making to appropriate levels in the organisation.
Transparent procedures, practices and decisions based on adequate information.
Structured Stakeholder Engagement framework ensuring long-term value creation for all stakeholders.
Accurate, uniform and timely dissemination of disclosures of corporate, financials and operational information to all stakeholders.
Oversight of Board on Company's business strategy, major developments and key activities.

200

Bharti Airtel Limited

Risk Management
Committee
Dinesh Kumar Mittal (C)Managing
Director&
Chief
Executive
Officer

2 Independent Directors
2 Non-Independent Directors
2 Non-director Members

CSR Committee
Rakesh Bharti Mittal (C)1 Independent Director
2 Non-Independent Directors

AirtelManagement
Board*Apart from the above Committee, the Board has constituted Committeeof Directors, Airtel Corporate Council and other transaction based/
Event-specific Committees in the areas of fund raising and restructuring
including Equity Fund Raising, Preferential Allotment, Rights Issue, Debt
Fund Raising and Evaluation of Stake in Indus Towers Limited etc.

Key pillars that underpin the Company’s Corporate Governance Philosophy••

HR & Nomination
Committee
Dinesh Kumar Mittal (C)3 Independent Directors
1 Non-Independent Director

Independent Board
Governance throughExecutive Committee

Trust, transparency
and integrity

Deep & fairrelationshipwith stakeholders

Sunil Bharti Mittal (C)6 Independent Directors
5 Non-Independent Directors

CORPORATE GOVERNANCE PHILOSOPHY
At Airtel, we believe that Corporate Governance is means
to achieve the Company’s vision and objectives, in a legallycompliant, transparent and ethical manner, while ensuring
the best interests and long-term value creation for all the
stakeholders. The Corporate Governance Philosophy of
the Company is drawn from its objective of creating andenhancing long term stakeholder value and flows from its
core values – being Alive, Inclusive and Respectful.

Board of Directors

GENERAL
BODY MEETINGS(C) Chairperson

Integrated Report and Annual Financial Statements 2022-23

201

Corporate Overview

Board of Directors: The Board of Directors of the Company
guides, oversees and monitors strategy, performanceand governance. The Board establishes the governancearchitecture in consonance with the highest standards andowns a fiduciary responsibility to ensure that the Company’s
actions and objectives are aligned to sustainability,
shareholder value and its growth. The Board is led by the
Chairman who is responsible for encouraging and nurturinga robust Board culture.
Apart from shaping the long-term vision, the Board exercises
independent judgement in overseeing management
performance against defined goals and strategy on behalf ofthe shareholders and other stakeholders and hence, plays avital role in the oversight and management of the Company.
Board Committees: The Board delegates its functioning
in relevant areas to designated Board Committees to more
effectively deal with complex or specialised issues and to use
directors’ time more efficiently. Committees brief the Boardon their discussions and make recommendations for action
to the full Board, which retains collective responsibility fordecision making.
Separate posts of Chairman and Managing Director& CEO: Since 2013, the positions of the Chairman of theBoard and the Managing Director & CEO at Airtel are held byseparate individuals.
While the Chairman is responsible for overall strategy
development, alliances, leadership development, international
opportunities, corporate governance including effectivefunctioning of the Board and Airtel’s global image andreputation, the Managing Director & CEO is responsible forbusiness strategy deployment, overall financial & operational
performance and sustainability. The indicative performance
criteria of Managing Director & CEO includes financial
parameters such as Growth in Revenue Market Share, Gross
Revenue, EBITDA margin and Operating Free Cash Flow etc.
and non-financial parameters cover Digital platforms, TalentManagement, Diversity and Sustainability/ESG etc.
The Company’s operations in India are headed by Circle CEOsor Chief Operating Officer(s), each supported by circle level
Executive Committee.
Airtel Corporate Council: The Airtel Corporate Council(ACC) is helmed by the Chairman and comprises the Managing
Director & CEO and other select senior management
members. ACC is responsible for strategic management
and supervision of the Company’s operations within theapproved framework.

Airtel Management Board (AMB): The AMB provides
support relating to the Company’s business strategy andderive operational synergies across business units. It
implements the strategy and drives company-wide business,processes, systems, policies, and function as role models
for leadership development and as catalysts for imbibing
customer centricity and meritocracy in the Company. The brief
profile of the members of AMB comprising their qualification,
experience, domain knowledge and expertise and number ofyears of working experience etc. are available on the websiteof the Company at www.airtel.in.
Group Governance Unit: The Board, in line with the highest
standards of Corporate Governance, has also constituted theGroup Governance Unit which oversees the implementationof strong and effective Group Governance Policy, monitors
the governance standards of Bharti Airtel and its international
subsidiaries and provides need-based guidance to ensurethat highest standards of corporate governance are adhered
to, across the group. The Group Governance Unit acts as an
institutionalised body between the Board of the Company
at India and Airtel Africa plc, a subsidiary company listed onpremium segment of London Stock Exchange, bestowed witha highly effective and Independent Board.
Role of Company Secretary in Governance Process:The role of Company Secretary at Bharti Airtel broadly
encompasses around ensuring compliance, providing support
and guidance to the Board of Directors and sustaining highest
standards of Corporate Governance through effective
development of Board and Committee processes, robust
organisational governance through policy-making & controls
and transparent communication with the stakeholders.
The Company Secretary ensures that the Board processes
and procedures are followed and regularly reviewed. The
Company Secretary also convenes and attends Board,
Committee and General meetings of the Company andensures that all relevant information is made available for
effective decision-making. Important decisions of the Board/
Committee meetings are communicated to the management
teams promptly for action. The Company Secretary provides
the necessary guidance to the Board members with regard
to their duties, responsibilities and powers and assists the
Chairman in all Board development processes including Board
evaluation, Board rejuvenation, succession, inductions andtrainings etc. Apart from ensuring compliance with applicablestatutory and regulatory requirements, the Company
Secretary also acts as an institutionalised interface between
the Board, management and external stakeholders.

Management Discussion & Analysis

Awards: During the year, Airtel has been conferred with:• Golden Peacock Global Award for Excellence in Corporate Governance, 2022, in 'Telecommunication' Category, by
the Institute of Directors.
• 22nd ICSI National Award for Excellence in Corporate Governance and ‘Best Governed Company’ in Listed Segment– Large Category.
CRISIL GVC 1 Grading: CRISIL has maintained its Governance and Value Creation (GVC) grading, viz. CRISIL GVC
Level 1 in Airtel. The grading indicates that Airtel’s corporate governance practices and value creation for all its
stakeholders, are at the highest level.
Ratings upgrade: Through its focused corporate governance interventions, Airtel secured following ratings upgrade
during FY 2022-23:• ‘Sustainalytics’ ranking from ‘Medium’ to ‘Low’ ESG risk.
• MSCI rating from ‘BBB’ to ‘A’.
The Awards and improvements in ratings recognise the highest standards of corporate governance and values we standby
as we conduct our business for long-term value creation of the stakeholders.

BOARD OF DIRECTORS
Size and Composition
The Company’s Board is an optimum mix of Executive, Non-Executive, Independent and Women Directors and conforms to
the provisions of the Companies Act, 2013, Listing Regulations, FDI guidelines, terms of shareholders’ agreement and otherapplicable statutory provisions.
As on March 31, 2023, the Board comprised Eleven (11) members, including a Chairman, a Managing Director & CEO, three
Non-Executive Non-Independent Directors and six Independent Directors including two Women Independent Directors.
The shareholders of the Company periodically approve the appointment/ re-appointment of all the directors, including therotational directors. The Company does not have any permanent Board seat.

Size and Composition of the Board as on March 31, 2023
Board Composition

Board Gender Diversity

~18%

~27%

During the year, the Company Secretary of the Company has
been conferred with ‘Governance Professional of the year’
award by the Institute of Company Secretaries of India (ICSI).

	

~27%

~82%

~55%

	

Bharti Airtel Limited

Financial Statements

Corporate Governance Recognitions and Ratings

	

202

Statutory Reports

Executive Directors (2)Non-Executive
Non-Independent Directors (3)Independent Directors (6)NON-EXECUTIVEDIRECTORS ON
BOARD

~73%

	 Men (8)	Women (3)Integrated Report and Annual Financial Statements 2022-23

203

Corporate Overview

Average Tenure as on March 31, 2023

~8.6 years~4.3 years

AVERAGE TENURE
OF DIRECTORSAVERAGE TENURE
OF INDEPENDENTDIRECTORS

Changes in the Board during the FY 2022-23a)	Mr. Manish Kejriwal, Lead Independent Director
retired with effect from the close of business hours on
September 25, 2022, upon completion of his second
term as an Independent Director.
b)	Mr. Shishir Priyadarshi, Independent Director, resignedwith effect from the close of business hours on
October 31, 2022 to devote time towards new full time
professional responsibilities. He further confirmed that
there was no material reason for his resignation otherthan mentioned above.
c)	
Mr. Pradeep Kumar Sinha was appointed as an
Independent Director of the Company for a period of fiveconsecutive years w.e.f. May 18, 2022 upto May 17, 2027.
d)	Mr. Shyamal Mukherjee was appointed as an
Independent Director of the Company for a period offive consecutive years from w.e.f. May 18, 2022 upto
May 17, 2027.
e)	
Mr. Gopal Vittal, Managing Director & CEO, wasre-appointed for a further period of five years w.e.f.
February 1, 2023 upto January 31, 2028.

Changes in the Board subsequent to the FY 2022-23:
On the recommendation of HR & Nomination Committee,
Ms. Kimsuka Narasimhan has been re-appointed as
Independent Director by the Board for a further period of five
years w.e.f. March 30, 2024 upto March 29, 2029, subject toapproval of members in the ensuing Annual General Meeting.
The profiles of the Board members comprising their detailsof nationality, DIN, age, date of appointment, tenure on the
Board, term-ending date, shareholding, directorships inIndian listed companies and committee memberships etc. as
required under Regulation 36(3) of the Listing Regulations
and Secretarial Standards-2, are provided under ‘Board of
Directors’ section of this Integrated Report. Except Mr. Sunil
Bharti Mittal and Mr. Rakesh Bharti Mittal, who are brothers,
none of the Directors are relatives of any other director.

Key Board skills, expertise and competencies
The Board at Airtel represents a confluence of diverse
backgrounds with skills, experience and expertise in criticalareas like technology, global finance, telecommunication,
entrepreneurship, administrative services and public policy,
strategic leadership, governance, consulting and generalmanagement. Majority of the Board members have worked
extensively at senior management positions in global
corporations and others are business leaders of repute witha deep understanding of the global business environment.
The Board reviews its composition, skills and diversity
from time to time to ensure that it remains aligned with thestatutory as well as business requirements.

Following skills/ expertise/ competencies have been identified by the Board for its effective functioning. The Board comprises
qualified members who collectively bring in identified skills/ expertise/ competencies.

Strategic Leadershipand Management
Experience in guiding
and leading management
teams, strategic planning,understanding of organisational
systems & processes andappreciation of long-term
trends/ choices

GovernanceExperience in developing
governance practices,protecting best interest of
stakeholders, maintaining
board and management
accountability and oversight ofcompliance, corporate ethics
and values

Technology
Background in technology
and innovation, anticipationof technological trends,
experience of creation of new
business ideas or models

Global Business/
International Expertise
Experience of leadinglarge organisations having
international/ global
businesses including
marketing, supply chain andunderstanding of multiple
geographies and cross-culturalbusiness environment

Industry and Sector
Experience
Knowledge and experiencein telecom sector to provide
strategic guidance to the
management in fast changing
environment

Financial and Risk
Management

Wide-ranging financial skills,
experience of corporate
accounting, internal controls
and reporting and ability tomonitor the effectivenessof the risk management
framework and practices

Public Policy

Sustainability and ESG

Understanding of legal &regulatory landscape, national/
global policy developments
and its impact on dynamic
business environment

Experience in overseeing/leading the sustainability
and ESG matters of largeorganisations including thematters of Corporate Social
Responsibility

The Board members broadly possess the identified skills/ competencies and the core domain expertise of each director isprovided in ‘Board of Directors’ section of this Integrated Report.

204

Bharti Airtel Limited

Management Discussion & Analysis

Statutory Reports

Financial Statements

Board Membership Criteria and Selection Process

Designated Committee
for nomination/ selection

Well-defined andStructured process

HR and Nomination Committee
is responsible for evaluating
and selecting a suitable
candidate for appointment as
Board member.

The Committee follows a welldefined and structured process/criteria under Policy on Nomination,
Remuneration & Board Diversity
and makes recommendations to
the Board.

Comprehensive discussions
at the Board on eligible
candidates
The Board considers therecommendations of theCommittee and recommends
the appointment of new Board
member, to the Shareholders
for their approval.

The HR & Nomination Committee inter-alia considers & evaluates various criteria and leverages differencein following factors while making recommendations to the Board:a)Background including professional experience, education, culture & geography and accomplishments;b)

Skills, attributes, capabilities, knowledge and thought to exercise sound judgement;c)Time commitment;d)	Understanding of the sector(s) & industry(ies) in which Company operates including Telecommunication
sector; ande)Expertise in marketing, technology, finance & other disciplines relevant to the Company’s business.

Independent Directors
The Independent Directors are the Board members who
are required to meet baseline definition and criteria on‘independence’ as set out in Regulation 16 of Listing
Regulations, Section 149(6) of the Companies Act, 2013
read with rules and Schedule IV thereto and other applicableregulations. In terms of Regulation 25(8) of Listing Regulations,
Independent Directors of the Company have confirmed thatthey are not aware of any circumstance or situation, which
exist or may be reasonably anticipated, that could impair or
impact their ability to discharge their duties.
Accordingly, based on the declarations received from all
Independent Directors, the Board of Directors has confirmedthat Independent Directors of the Company fulfill theconditions specified in the Companies Act, 2013 and Listing
Regulations and are independent of the management.
Further, the Independent Directors confirmed that they haveenrolled themselves in the Independent Directors’ Databankmaintained by the Indian Institute of Corporate Affairs. As
mentioned earlier in this report, the Board includes Six (6)Independent Directors as on March 31, 2023.
The Company issues formal letter of appointment to the
Independent Directors at the time of their appointment/
re-appointment. The terms and conditions of the appointment
of Independent Directors are available on the Company’s
website at https://s3-ap-southeast-1.amazonaws.com/bsy/
iportal/images/Terms-and-conditions-of-appointment-ofIndependent-Director_71431EDE0A09885D5A367A04374
E5FB5.pdf.
Lead Independent Director
In line with its well-defined and structured Board governanceprocess, the Company follows the practice of appointing a

Lead Independent Director. During the year ended March 31,
2023, Mr. D.K. Mittal was designated as the Lead Independent
Director w.e.f. September 26, 2022 upon retirement of
Mr. Manish Kejriwal as an Independent Director.
The roles and responsibilities of Lead Independent Director
are as follows:a)	Preside over all deliberations/ sessions/ quarterly
meetings of the Independent Directors.
b)	Provide objective feedback of the Independent Directors
as a group to the Board on various matters, including
agenda and other matters relating to the Company.
c)	Liaise between the Chairman, Managing Director & CEO
and Independent Directors for consensus building on
sensitive matters.
d)	Help the Company in further strengthening theBoard effectiveness and governance practices,
including suggestions on agenda items for Board/
Committee meetings on behalf of the group of
Independent Directors.
e)	Undertake such other assignments, as may berequested by the Board from time to time.
Meeting of Independent Directors
The Independent Directors meet separately on a quarterly
basis before the Board meeting without the presence of NonIndependent Directors or representatives of management, inorder to form a fair and independent judgement on all mattersrelated to functioning of the Board, senior management andthe Company as a whole. At these meetings, the Independent
Directors discuss various matters including Company’s

Integrated Report and Annual Financial Statements 2022-23

205

Corporate Overview

performance; industry landscape and Company’s strategy;
key strategic risks faced by the Company; succession
planning; governance and compliance; performance of NonIndependent Directors, the Board as a whole and the Chairman;
and the quality, quantity, effectiveness and promptness of theflow of information between the Company’s Management
and the Board.
The Chairman and Managing Director & CEO are also
invited occasionally to these meetings to generally discussand update about strategic matters. The Lead Independent
Director updates the Audit Committee/ the Board about theoutcome/ proceedings of the meetings and action, if any,required to be taken by the Company.
In these meetings, the Independent Directors also engage
with Statutory Auditors as well as Internal Assurance Partners
at least once a year, to discuss internal audit effectiveness,
control environment and their general feedback. The
Independent Directors also have access to Secretarial
Auditor, Cost Auditor and the management for discussions
and questions, if any.
During FY 2022-23, the Independent Directors met four times
i.e. on May 17, 2022, August 08, 2022, October 31, 2022 andFebruary 07, 2023.

Familiarisation programme for Board members
The Company has adopted a well-structured induction
programme for orientation and training of Directors at thetime of their joining so as to provide them with an opportunity
to familiarise themselves with the Company, Board, its
management, its operations including its products andservices, business model, values and Company’s culture andthe industry in which the Company operates.
The induction programme includes one-to-one interactive
sessions with the top management team, business andfunctional heads among others and generally also includes
a visit to network center(s) to understand the operations
and technology. They are also familiarised with Company’sorganisational and governance structure, Governancephilosophy/ principles, Code of Conduct & key policies,
Board’s way of working & procedures, formal information
sharing protocol between the Board and the management,
Directors’ roles and responsibilities and disclosure obligations.

b) ubai Leadership Strategy Conclave: The Company organised a Board Strategy Meeting and Leadership
D
Conclave for the Board and senior management in Dubai to have detailed deliberations on Company’s strategy, key
business priorities, strategic risks and execution challenges for the achievement of Company’s long-term vision.

(c) Evaluation Criteria
Board of Directors

Evaluation by the Board on various criteria such as structure, composition, quality, diversity, experience, competencies,
performance of specific duties and obligations, quality of decision- making, board practices and overall effectiveness ofBoard including its time devotion towards strategy, governance and compliance.

Board Committees

Evaluation by the Board and Committees after seeking inputs from the committee members on the basis of criteria suchas committee composition, effectiveness of committee in terms of well-defined charters & powers and information-flow
with the Board in terms of reporting and due consideration of Committees’ decisions, findings and recommendations
at the Board level.

Individual Directors

Evaluation by the Board on criteria such as meeting attendance, time devotion and contribution, engagement withcolleagues on the Board, preparedness for meetings, quality of inputs, entrepreneurial leadership, ability to bringdifferent perspectives/ new ideas and independent judgement, knowledge, skills, competence etc. All the directors
were subject to peer-evaluation.

Chairman and Managing Director & CEO

Evaluation of Chairman on certain additional criteria such as leadership development, Board management, fairness,
Corporate governance, recognition & awards and company’s international positioning etc; and Managing Director &CEO on the achievement of strategic goals, clarity on vision, openness to constructive suggestions, delivery of businessperformance, talent and leadership management etc.

Independent Directors

Based on role of Independent Directors viz. vision and strategic guidance, governance and control, the Independent
Directors were evaluated by the Board on certain additional performance indicators including (a) devotion of sufficient
time and attention towards professional obligations for independent decision making and for acting in the best interestsof the Company; (b) providing strategic guidance to the Company and help determine important policies with a view toensure long-term viability and strength; and (c) bringing external expertise and independent judgement.

	The recommendations arising out of the evaluation process were discussed with the Board and the Board Committees
and individual feedback was provided.
d)

The Board has an active communication channel with the
management, which enables Board members to raise queries
and seek clarifications, enabling a good understanding of
the Company and its various operations. Quarterly updates,
strategic updates including press releases and mid-quarter
updates are regularly shared with the Board members to keepthem abreast on significant developments in the Company.
Details of the Familiarisation programme for the Independent
Directors are available on the Company’s website at https://
assets.airtel.in/teams/simplycms/web/docs/familiarizationprogramme.pdf

Performance Evaluationa)

Objective	At Airtel, we believe that Annual Board Evaluation is a
key pillar of our Corporate Governance framework. The

206

Bharti Airtel Limited

Board firmly believes that an effective Board Evaluation
helps in delivering greater value to the Company andall its stakeholders. This involves a comprehensive
and transparent assessment, providing candid
feedback and constructively using the outcome of theevaluation process to continuously enhance the overall
effectiveness of the Board and optimise the individual
strengths of the Board members.
b)

Overview of Evaluation process and mechanism

	The Board works with HR & Nomination Committee andlays down a structured framework - process, format,
attributes, criteria and revised questionnaires for the
performance evaluation of the Board, its Committees
and individual directors including the Chairman and
MD & CEO, keeping in view the Board priorities andbest practices.

Financial Statements

	The results of evaluation were discussed in the Independent Director’s meeting, followed by Committee meetings andBoard Meeting held later during the same day. All Directors participated in the performance evaluation process.

Highlights of Board engagements during the FY 2022-23
 oard Engagement and Industry Specific familiarisation: The Board had a deeper engagement with theBmanagement vide quarterly sessions with the Senior Management covering areas including update on 5G
implementation strategy, consumer business and overall talent management strategy including an overview ofimpactful career development interventions etc.

Statutory Reports

	The process provides that the performance evaluation shall be carried out on an annual basis. During the year, theDirectors completed the evaluation process, which included evaluation of the Board as a whole, Board Committees
and individual directors including the Chairman and the MD & CEO. The evaluation process was facilitated online by aleading independent consulting firm. The consolidated reports on outcome were submitted by the consulting firm to
the Board through the Company Secretary.

Apart from the induction programme, the Company
periodically presents updates at the Board/Committee
meetings to familiarise the Directors with the Company’s
strategy, business performance including Company’s digital
ecosystem, product offerings, finance, risk management
framework, human resources and other related matters. The
Board members also visit Airtel outlets and meet customers/
other stakeholders for gaining first-hand experience about
the products and services of the Company.

a)Management Discussion & Analysis

Outcome of the Evaluation process and action plan	a)	The Board was satisfied with overall performance& effectiveness of the Board, Committee, andIndividual Directors, and appreciated Company’s
performance during the year. The Board noted thatwell-defined and distinct roles of Chairman and the
MD & CEO reflect a high degree of cohesiveness,thereby enhancing the image and performance of
the Company. The professional and transparent
way in which Board and committee meetings are
conducted, allows for robust debate on strategic
matters and reflects the organization’s value
system based on integrity and fair play.
b)	The Company would continue to follow a long-term
approach to board succession and rejuvenation.
Induction of board members with relevant expertiseand skill-sets would further enhance the overall
effectiveness of the Board and make it future-ready.

c)	Board and ESG Committee would continue
to monitor and provide strategic guidance on
Company’s ESG initiatives, progress and reportingwith evolving regulatory requirements, to ensuresustainable value creation for all stakeholders.
	The evaluation demonstrated high governancestandards of the Company, the resilience of the Boardand the Management and the effective communication
between the Board and the Management.
e)	Action taken on outcome of last year performance
evaluation	Progress on recommendations from last year’s
performance evaluation were also discussed/ reviewed.
The Board continued to have deep engagement withmanagement on key strategic matters including 5G
implementation and progress; overall talent management
strategy and dynamic industry landscape. This served

Integrated Report and Annual Financial Statements 2022-23

207

Corporate Overview

two objectives: a) giving opportunity to the businessleaders to interact with board and seek its guidanceb) Enabling the board to gauge the depth of businessleadership. During the year, the Board/ ESG Committee
continued to have an enhanced oversight of Company’s
ESG journey, key interventions, improvements in ESG
ratings and plans ahead.

Succession planning	At Airtel, a well-governed and structured succession
planning framework for the Board and top critical
positions including its Senior Management, fostersorganisational growth and long-term value creation.

Key features of Airtel’s Succession planning framework
Board: HR & Nomination Committee works with the Board on plan including current tenure of Board members, outcomeof performance evaluation, skill matrix including skill-gaps, Board diversity, time-commitment, statutory requirements
etc. offering an additional opportunity for the Board to assess its competencies and capabilities. The Chairman works
closely with the HR & Nomination Committee to put in place a multi-year succession plan, which takes into accountanticipated departures/ retirements on the Board, prioritises future needs and builds a strong talent pipeline. This helps
identify prospective Board members who possess the skills and experience required in the context of the Company’sbusiness and ensures a smooth transition in key Board positions.
Top critical positions including Senior Management: Apex Talent Council spearheads the framework and carriesout detailed evaluation of each position including various criteria of identification of successors, their readiness/development plan (which could be in the form of job rotation, exposure, coaching, mentorship, development andengagement etc). The HR & Nomination Committee of the Company then devotes its considerable time for review ofsuccession planning framework on half-yearly basis. The Committee reviews the detailed plan including specific listingof critical jobs, successors identified and readiness timeline/ contingency plan for each position. This framework now
includes a larger set of critical jobs, a proposed formalised identification, mentoring and development framework as
well as a roadmap for strengthening governance on talent actions/ readiness/ risk etc (from bi-annual to quarterly).
The framework involves skilling for the top leadership as well to foster successor readiness more effectively. The Board
also reviews the succession planning framework for top critical positions including Senior Management.
For critical positions, the Company also follows the global best practice wherein the identified successor shadows thecurrent incumbent for a reasonable period to allow smooth and orderly succession.

93%
SUCCESSION RATEFOR MIDDLE AND
TOP LEVEL MANAGEMENT

Board Meetings
Meetings Schedule and Agenda
The schedule of the Board meetings and Board Committee
meetings are finalised in consultation with the Board members
and communicated to them in advance. The Board Calendar
for the financial year 2023-24 has been disclosed later inthis report and has also been uploaded on the Company’s
website. Additional meetings are called, when necessary, toconsider the urgent business matters.
The Audit Committee and the HR & Nomination Committee
meetings are generally held on the same dates as Board
meetings. To ensure an immediate update to the Board, theChairperson of the respective committee briefs the Board indetail about the proceedings of the respective committee
meetings. All committee recommendations placed before
the Board during the year under review were unanimously
accepted by the Board.

208

Bharti Airtel Limited

As a process prior to each Board meeting, proposals are invitedfrom Independent Directors for discussion/ deliberation at themeeting(s) and these are included in the meeting’s agenda topromote objective decision making.
The Board devotes its significant time in evaluation of current
and potential strategic issues and reviews Company’sbusiness plans, corporate strategy and risk management
issues based on the markets it operates in and in light ofglobal industry trends and developments to help achieve its
strategic goals.
The Chief Financial Officer and other Senior Management
members are invited to the Board meetings to present updates
on the items being discussed at the meeting. In addition, thefunctional heads of various business segments/ functions
are also invited at regular intervals to present updates on therespective business functions.
Availability of information to the Board
The Board has complete and unfettered access to all relevant
information within the Company, to the Senior Management
and all the auditors of the Company. In order to have an‘informed Board’ as a collective body, there is a formal‘Information Sharing Protocol’ in place for seamless anduniform exchange of information between the Board and the
Senior Management.

Management Discussion & Analysis

Statutory Reports

Financial Statements

In order to ensure highest standards of security and havetechnology-driven paperless board meetings, all the
documents, including the agenda and explanatory notes, arenotified through a web-based platform accessible to board
members through ipads, laptops and hand-held devices.

and external-experts are invited to provide additional insights
and clarifications. Specific cases of mergers, acquisitions,business-restructurings and fund-raisings etc. are presented
to the Board Committees and later, upon the recommendationof the committees, to the Board for its approval.

The information, as required under Part A of Schedule II of the
SEBI Listing Regulations, is made available to the Board. Withthe unanimous consent of the Board, all information whichis in the nature of unpublished Price Sensitive Information,is submitted to the Board and its Committees at a shorter
notice. At Board meetings, Company executives, managers

Details of Board meetings and Board attendance
During FY 2022-23, the Board met five times i.e. on May 17,
2022, August 08, 2022, October 31, 2022, February 07, 2023
and March 16, 2023.

The attendance of the Board members at the Board meetings and the Annual General Meeting of the Company held during
FY 2022-23, is as follows:
AGM held
Name of the director on August
12, 2022

May 17,2022

Date of Board Meeting
AugustOctober February
08, 2022 31, 2022 07, 2023

Total Board
March 16, meetings held
during tenure
2023

Board
meetings
attended% ofattendance

Mr. Sunil Bharti
Mittal55100%

Mr. Gopal Vittal

5

5

100%

5

5

100%

5

5

100%

5

5

100%

5

5

100%

2

2

100%

Ms. Kimsuka
Narasimhan

5

5

100%

Ms. Nisaba Godrej

5

5

100%

3

3

100%

5

5

100%

Not
applicable

4

4

100%

Not
applicable

4

4

100%

Ms. Chua Sock
Koong
Mr. Rakesh Bharti
MittalMr. Tao Yih Arthur
Lang
Mr. Dinesh Kumar
MittalNot
Not
Not
applicable applicable applicable

Mr. Manish Kejriwal1

Mr. ShishirPriyadarshi2
Mr. V. K.
Viswanathan
Mr. Pradeep Kumar
Sinha3Mr. Shyamal
Mukherjee4

Attendance (%)

Not
Notapplicable applicableX

92.30%

Attended in person

100%

100%

100%

100%

Attended through video conference

100%
X

Leave of absence

Notes:
1.	Mr. Manish Kejriwal retired as an Independent Director w.e.f. the close of business hours on September 25, 2022 upon completion of his term.
2.

Mr. Shishir Priyadarshi resigned as an Independent Director w.e.f. the close of business hours on October 31, 2022.

3.

Mr. Pradeep Kumar Sinha was appointed as an Independent Director w.e.f. May 18, 2022.

4.

Mr. Shyamal Mukherjee was appointed as an Independent Director w.e.f. May 18, 2022.

Integrated Report and Annual Financial Statements 2022-23

209

Corporate Overview

100%

Directors’ remuneration
In terms of the Listing Regulations and Companies Act, 2013,
the Board has approved a Policy on Nomination, Remuneration
and Board Diversity for Directors, KMPs and other Senior
Management and it includes the criteria of making payments

The Policy is available on the Company’s website at https://
assets.airtel.in/teams/simplycms/web/docs/BAL-policyon-nomination-remuneration-and-board-diversity.pdf. The
Company affirms that the remuneration paid to the Board
members is as per terms laid out in the Policy on Nomination,
Remuneration and Board Diversity.

Details of the remuneration of Directors for the FY 2022-23
Sitting Fees

Salary andallowances

Performancelinkedincentive

Perquisites

Commission

Total

Not
applicable

100,676,316
100,970,654

45,000,000
67,456,810

22,052,686
6,720

-

167,729,002
168,434,184

2,500,000
800,000
1,000,000 Not applicable Not applicable Not applicable
1,100,000
600,000
1,100,000
1,400,000
1,000,000
9,500,000 201,646,970 112,456,810
22,059,406

5,049,339
3,000,000
5,049,339
10,000,000
2,682,192
10,892,135
5,500,000
7,157,891
8,000,000
4,791,781
4,791,781
66,914,458

5,049,339
3,000,000
5,049,339
12,500,000
3,482,192
11,892,135
6,600,000
7,757,891
9,100,000
6,191,781
5,791,781
412,577,644

Executive Directors
Mr. Sunil Bharti Mittal
Mr. Gopal Vittal

Statutory Reports

Financial Statements

to non-executive directors. The Policy is directed towards
rewarding performance based on a periodic review of theachievements. The salient features of the Policy are provided
in the Board’s Report forming part of this Annual Report.

ATTENDANCE AT THE
BOARD MEETINGS DURING
FY 2022-23

Name of Director

Management Discussion & Analysis

BOARD COMMITTEES
In compliance with the statutory requirements, the Board
has constituted various Committees with specific terms ofreference and scope. The objective is to focus effectively on
specific areas and ensure expedient resolution and decisionmaking. The Committees operate as the Board’s empowered
agents according to their charter/ terms of reference.

submitted to the Board for approval. During the year, allrecommendations of the committees were approved by
the Board. Generally, committee meetings are held prior to
the Board meeting and the chairperson of the respective
committees update the Board about the deliberations,recommendations and decisions taken by the Committee.

Committee governance: The Board, in consultation with
the HR & Nomination Committee, constitutes the Board
committees and lays down their charters and terms ofreference. The recommendations of the committees are

The constitution and charters of the Board Committees
are available on the Company’s website viz. https://www.
airtel.in/about-bharti/equity/corporate-governance/boardcommittees.

Constitution of Board Committees as on March 31, 2023

Non-Executive Directors
Ms. Chua Sock Koong
Mr. Rakesh Bharti Mittal
Mr. Tao Yih Arthur Lang
Mr. Dinesh Kumar Mittal
Mr. Manish Kejriwal
Ms. Kimsuka Narasimhan
Ms. Nisaba Godrej
Mr. Shishir Priyadarshi
Mr. V. K. Viswanathan
Mr. Pradeep Kumar Sinha
Mr. Shyamal Mukherjee

Total

Environmental, Socialand Governance(ESG) Committee

Audit
Committee

Risk Management
Committee

V.K. Viswanathan

Dinesh Kumar Mittal

Nisaba Godrej

Dinesh Kumar Mittal

Kimsuka Narasimhan

V. K. Viswanathan

Dinesh Kumar Mittal

Nisaba Godrej

Shyamal Mukherjee

Rakesh Bharti Mittal

Gopal Vittal

Pradeep Kumar Sinha

Gopal Vittal

Kimsuka Narasimhan

Rakesh Bharti Mittal

Soumen Ray

Pradeep Kumar Sinha

Pankaj Tewari

Rakesh Bharti Mittal

Notes:
1.	The salary and allowances includes the Company’s contribution to the Provident Fund. Above doesn’t include (a) liability for gratuity and leaveencashment, provided on actuarial basis for the Company as a whole, the amount pertaining to the Directors is not ascertainable; and (b) intereston provident fund.
2. The value of the perquisites is calculated as per the provisions of the Income Tax Act, 1961.
3.	Value of Performance Linked Incentive (PLI) based on mix of short-term and long-term goals. PLI considered above represents incentive which
accrued at 100% performance level for FY 2022-23 and will get paid on the basis of actual performance parameters, the details of which arelaid down earlier in this report. At 100% performance level, the gross remuneration of Mr. Sunil Bharti Mittal was H167,729,002 for FY 2022-23
and H153,986,068 for FY 2021-22 and that of Mr. Gopal Vittal was H168,434,184 for FY 2022-23 and H152,581,334 for FY 2021-22. During theyear, Mr. Sunil Bharti Mittal and Mr. Gopal Vittal were paid H52,500,000 and H74,748,231 respectively as PLI for previous year 2021-22, which is
not included above. During FY 2022-23, Mr. Sunil Bharti Mittal has received the remuneration of GBP 2.20 Mn from overseas subsidiary of theCompany, Network i2i (UK) Limited.
4.	During the year, Mr. Gopal Vittal was granted 199,140 stock options on August 12, 2022 under ESOP Scheme 2005 at an exercise price of H5 per
option, with a vesting period spread over 3 years. The above remuneration of Mr. Gopal Vittal does not include perquisite value of H137,857,311
towards the value of Stock Options exercised during the year. The options can be converted into equity shares either in full or in tranches at any
time upto seven years from the grant date. The unexercised vested options can be carried forward throughout the exercise period. The options
which are not exercised will lapse after the expiry of the exercise period. No other director has been granted any stock option during the year.

HR & Nomination
Committee

Stakeholders'
RelationshipCommittee

Corporate Social
Responsibility
Committee

Rakesh Bharti Mittal

Rakesh Bharti Mittal

Dinesh Kumar Mittal

Dinesh Kumar Mittal

Gopal Vittal

Gopal Vittal

Shyamal Mukherjee

5.	The Company has entered into contracts with the executive directors i.e. Mr. Sunil Bharti Mittal and Mr. Gopal Vittal. These are based on theapproval of the shareholders dated (i) August 31, 2021 for Mr. Sunil Bharti Mittal and; (ii) August 12, 2022 for Mr. Gopal Vittal. There are no othercontracts with any other director.
6.	As per the terms of contract, no severance fee is payable to any Director of the Company. Further, notice period & other terms of employment of
Executive Directors are governed by the HR policies of the Company.
7.	Save and except the respective remuneration of Directors (as stated above), there was no pecuniary relationship or transaction in the Company
with Non-Executive Directors.

210

Bharti Airtel Limited

Chairperson

MemberNote: Apart from the above Committee, the Board has constituted Committee of Directors, Airtel Corporate Council and other transaction based/
Event-specific Committees in the areas of fund raising and restructuring including Equity Fund Raising, Preferential Allotment, Rights Issue, Debt
Fund Raising and Evaluation of Stake in Indus Towers Limited etc.

Integrated Report and Annual Financial Statements 2022-23

211

Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

100%

I. Statutory Committees
Audit Committee

ATTENDANCE AT THE AUDIT COMMITTEEMEETINGS DURING FY 2022-23
The attendance of members at the Audit Conference calls held during FY 2022-23, are given below:
Name of the director

May 10,2022

Date of Audit Conference Call
August 02,
October 28,
January 31,
2022
2022
2023

Mr. V. K. Viswanathan,Chairperson
Mr. Manish Kejriwal1

Mr. V.K. Viswanathan, Independent Director

Composition, Meetings and Attendance	As on March 31, 2023, Audit Committee comprised three
Directors, all of whom are independent. The Chairpersonof the Committee, Mr. V. K. Viswanathan, Independent
Director is a Chartered Accountant and has many yearsof experience in general management. All membersof the Audit Committee, including the Chairperson,
have accounting and ﬁnancial management expertise.
The composition of the Audit Committee meets therequirements of Section 177 of the Companies Act,
2013 and Regulation 18 of the Listing Regulations.
	During the year ended March 31, 2023, the followingchanges occurred in the composition of the Committee:a)	Mr. Tao Yih Arthur Lang, Non-Executive Director
stepped down as a member of the Committee w.e.f.
May 18, 2022.
b)	Mr. Shyamal Mukherjee, Independent Director was
appointed as a member of the Committee w.e.f.
May 18, 2022.

100%

Mr. Shyamal Mukherjee3

INDEPENDENT AUDIT COMMITTEEThe Company Secretary is the Secretary to the Committee.
The Chief Financial Officer (India & South Asia), the Chief
Internal Auditor, the Statutory Auditors and Internal Assurance
Partners are invited to the meetings of the Committee toprovide necessary information/clarification.
Beside the Committee meetings as above, the Committee
also holds quarterly conference calls and/ or mid-quarter
conference calls before every regular Committee meeting
to discuss routine internal audit issues and other matters.
This provides an opportunity to the Committee to devote
more time on other signiﬁcant matters in the regular
Committee meeting.
During FY 2022-23, the Committee met eight times i.e. on May
17, 2022, August 08, 2022, October 31, 2022, and February
07, 2023 through Committee meetings and on May 10, 2022,
August 02, 2022, October 28, 2022 and January 31, 2023
through conference calls.

 he composition of the Committee and attendance of members at the Committee meetings held during FY 2022-23, areTgiven below:
Date of Audit Committee meeting
August 08,
October 31,
February 07,
May 17, 2022
2022
2022
2023

Mr. V. K. Viswanathan,Chairperson
Mr. Manish Kejriwal1

Not
applicableNot
applicableNot
applicableNot
applicable

Ms. Kimsuka Narasimhan
Notapplicable

Mr. Tao Yih Arthur Lang2
Mr. Shyamal Mukherjee3

Attendance (%)
Attended in person

Notapplicable

100%

100%

100%

Held
duringtenureTotal
attended

4

4

100%

2

2

100%

4

4

100%

1

1

100%

3

3

100%

% of attendance

100%

Attended through video conference1.

Mr. Manish Kejriwal ceased to be a member of the Committee w.e.f. the close of business hours on September 25, 2022 upon his retirement.

2.

Mr. Tao Yih Arthur Lang stepped down as a member of the Committee w.e.f. the close of business hours on May 18, 2022.

3.

Mr. Shyamal Mukherjee was appointed as a member of the Committee w.e.f. May 18, 2022.

212

Bharti Airtel Limited

Not
applicable

Mr. Tao Yih Arthur Lang2c)	Mr. Manish Kejriwal, Independent Director ceased to bea member of the Committee w.e.f. the close of businesshours on September 25, 2022 upon his retirement.

Name of the director

Notapplicable

Ms. Kimsuka Narasimhan

Chairperson, Accounting and Financial Management Experta)Notapplicable

X

Not
applicableNot
applicableNot
applicable

Attendance (%)
Attended through video conference

100%
X

75%

100%

Held
duringtenureTotal
attended

4

4

100%

2

1

50%

4

4

100%

1

1

100%

3

3

100%

% of attendance100%

Leave of absence1.

Mr. Manish Kejriwal ceased to be a member of the Committee w.e.f. the close of business hours on September 25, 2022 upon his retirement.

2.

Mr. Tao Yih Arthur Lang stepped down as a member of the Committee w.e.f. the close of business hours on May 18, 2022.

3.

Mr. Shyamal Mukherjee was appointed as a member of the Committee w.e.f. May 18, 2022.

b) Brief responsibilities of the Audit Committee
	The brief responsibilities of the Audit Committee, interalia, include the following:
1.	Oversee the Company’s financial reporting process
and the disclosure of its financial information, toensure that the financial statements are correctand credible.

9.	Review the Company’s financial and risk management
policies, implementation of treasury policies, strategies
and status of investor relation activities.
10.	Consider and comment on rationale, cost-benefits andimpact of Schemes involving merger, demerger etc., on
the Company and its shareholders.

2.	Review the Quarterly/ Annual Financial Statements& Auditor’s Report thereon, before submission to
the Board for approval.

 he Audit Committee is governed through its formal Charter
T
which may be referred for its detailed purpose and objective,
responsibilities and powers. The same is available on the
Company’s website at https://assets.airtel.in/teams/simplycms/
web/docs/Charter-Document-Audit-Committee.pdf.

3.	Consider the appointment, resignation etc. andremuneration of the Statutory Auditor, Internal
Auditor, Cost Auditor and Secretarial Auditor.

c)	Key matters
Committee

4.	Review and monitor the Auditor’s performance &independence and effectiveness of audit process.
5.	Evaluation of internal financial controls andensure that internal audit function is effective &adequately resourced.
6.	Approval of all transactions with related parties
and subsequent modifications (including material
modifications) thereof.
7.	Oversee the functioning of the Vigil Mechanism/
Whistle Blower Mechanism and Ethics framework/
ethical issues.
8.	Review and scrutinise the inter-corporate loans& investments.

consideredbyActivities of the Committee during the year

the

Audit

Frequency

Review and recommendation of standalone
and consolidated financial statements of theCompany and its subsidiaries.
Performance evaluation of its own effectiveness.
Review the state and adequacy of internal controls
with the management, statutory auditors, internal
auditor and internal assurance partners.
Review of internal assurance reports and actions
taken reports at the audit committee conference
calls.
Review with statutory auditors and internal
assurance partners on the nature and scope of
the audit.
Review of compliance certificates confirming
compliance with laws and regulations, including
any exceptions to these compliances.
Review of management’s discussion andanalysis of the financial condition and results ofoperations.

Integrated Report and Annual Financial Statements 2022-23

213

Corporate Overview

Activities of the Committee during the year

Recommendation to the Board on the selectionand evaluation of the internal assurance
partners, cost auditors, secretarial auditors,
accounting separation report (ASR) auditors
including remuneration and terms of their
appointment.
Discussions with statutory auditors (whenevernecessary, without the presence of membersof the management) regarding the Company’s
audited financial statements or any othermatters as the committee deemed necessary.
Approval of non-audit services to be obtained
from the statutory auditors and approval of
payment of such non-audit services.
Review of adequacy and effectiveness of internalfinancial controls.
Consideration and approval of the report of Cost
Auditors and other statements.
Review of the related party transactions during
preceding quarter.
Omnibus approval for the related party
transactions proposed to be entered into by theCompany.
Review, approval and recommendation ofrelated parties transactions to the Board.
Review of inter-corporate loans and investments.
Review and update on liabilities (including
contingent liability).
Review and monitoring of statutory auditor’sand internal assurance partners’ independence,
performance and effectiveness of audit process.
Review of implementation of Code of Conduct or
ethics framework.
Review of status of compliances under SEBI
Insider Trading Regulations.
Monitoring and review of ombudsperson reporton whistle blower incidents.
Review of utilisation of issue proceeds of funds
raised by the Company.

Quarterly

Half Yearly

Annually	The Audit Committee (“Committee”) is pleased
to present its report for the year ended March 31,
2023:
1.	The Committee presently comprises of threemembers of whom all members, including the
Chairman, are Independent Directors, as against
the requirement of two thirds prescribed under
Regulation 18 of the Securities and Exchange
Board of India (Listing Obligations and Disclosure
Requirements) Regulations, 2015 and Section 177of the Companies Act, 2013.
2.	The responsibility for the Company’s internal
controls and ﬁnancial reporting processes lies with
the Management. The Statutory Auditors have
Bharti Airtel Limited

3.	The Company has in place an Internal AssuranceGroup (IAG) led by Anil Jeet Singh Riat. He is theChief Internal Auditor in accordance with Section
138 of the Companies Act, 2013. The Company
had also appointed Ernst & Young LLP and ANB& Co., Chartered Accountants, Mumbai as theInternal Assurance Partners. The audit conductedby the Internal Auditors and Internal Assurance
Partners is based on an internal audit plan, whichis reviewed each year in consultation with the IAG
and the Audit Committee. These audits are basedon risk based methodology and inter-alia involve
the review of internal controls and governanceprocesses, adherence to management policies
and review of statutory compliances. The Internal
Assurance Partners share their findings on an
ongoing basis during the year for corrective action.

5.	
In this regard, the Audit Committee reports
as follows:
		

		

I.	
The Committee has discussed with theCompany’s Internal Auditor, Internal
Assurance Partners and Statutory Auditors
the overall scope and plan for their respective
audits. The Committee has also discussed
the results and effectiveness of the audit,
evaluation of the Company’s internal controls
and the overall quality of ﬁnancial reporting.

Statutory Reports		III.	The Committee has reviewed the standalone
and consolidated ﬁnancial statements
for the year ended March 31, 2023. It
has recommended the same for the
Board’s approval.

		IV.	The Committee has reviewed the internal
controls for ensuring that the Company’s
accounts are properly maintained and that theaccounting transactions are in accordancewith prevailing laws and regulations. In
conducting such reviews, the Committee
found that the Company’s internal control
systems overall are designed adequately
and are operating satisfactorily. Where
deficiencies or improvement areas in control
systems are pointed out by the internal audit,
the management has taken adequate steps
or is in process of addressing those areas.

		

V.	The Committee reviewed the Company’s
internal f inancial controls and risk
management systems from time to time.

		VI.	The Committee reviewed the Ombudsperson’sreport on the functioning of the Whistle
Blower Mechanism for reporting concerns
about unethical behavior, actual or suspectedfraud, or violation of the Company’s Code of
Conduct or ethics policy. The Committee
believes that the Company has an effective
Whistle Blower Mechanism and nobody has
been denied access to this mechanism.

4.	
The Audit Committee oversees the work of
Statutory Auditors, Internal Auditors, IAG, Internal
Assurance Partners and the Ombudsperson.
It is also responsible for overseeing theprocesses related to the financial reporting andinformation dissemination.

Periodicallyd)	Audit Committee Report
To the Shareholders of Bharti Airtel Limited214

the responsibility of performing an independent
audit of the Company’s ﬁnancial statements inaccordance with the Indian Accounting Standards(Ind-AS) and issuing a report thereon. The
Ombudsperson is responsible for the Company’s
Whistle Blower Mechanism.

Frequency

Management Discussion & Analysis

		VII.	
The Committee has reviewed the Intercorporate loans and investments and financial
assistance to subsidiary companies.

		

VIII.	The Committee has reviewed with
the Management, the independence,
ef fectiveness of Audit process andperformance of Deloitte Haskins & Sells
LLP, Chartered Accountants, the Statutory
Auditors of the Company

Financial Statements

		IX.	The Committee, along with the Management,
reviewed the performance of the Internal
Assurance Partners viz. Ernst & Young LLP
and ANB & Co., Chartered Accountants,
Mumbai and also reviewed the adequacy ofinternal control systems. The Committee has
also reviewed the eligibility and independenceof Ernst & Young LLP and ANB & Co.
and has recommended to the Board the
re-appointment of Ernst & Young LLP and
ANB & Co. as the Internal Assurance Partners.

		X.	The Committee has been vested with theadequate powers to seek support and otherresources from the Company. The Committee
has access to the information and records
as well. It also has the authority to obtainprofessional advice from external sources,
if required.

		

XI.	
The Audit Committee monitored andapproved all related party transactions,
including any modiﬁcation / amendment inany such transactions.

		In conclusion, the Audit Committee is sufficiently
satisﬁed that it has complied with the responsibilities
as outlined in the Audit Committee’s Charter.
Place: New Delhi
Date: May 16, 2023

e)

V. K. VISWANATHAN

Chairman, Audit Committee

Consolidated fees paid to statutory auditors	Total fees for all services paid by the Company and its
subsidiaries, on a consolidated basis, to the statutory
auditors and all entities in the network firm/ network
entity of which it is a part, is given below:
Amount (K in Mn)

Audit Fees*
Other services

Total

468
175
643

*includes out of pocket expenses

II.	The Management has presented theCompany’s ﬁnancial statements to theCommittee and affirmed that the Company’s
ﬁnancial statements have been drawn inaccordance with Ind-AS. Based on its review
and the discussions conducted with theManagement and the Statutory Auditors,
the Committee believes that the Company’s
ﬁnancial statements are fairly presented
in conformity with applicable accounting
standards in all material aspects. The
Committee also considers that the ﬁnancial
statements are true and fair and provide
sufficient information. The Committee
believes the Company has followed
adequate processes to prepare thesefinancial statements.
Integrated Report and Annual Financial Statements 2022-23

215

Corporate Overview

Management Discussion & Analysis

Statutory Reportsb)	Brief responsibilities of the HR & Nomination
Committee

HR & Nomination Committee

	The brief responsibilities of the HR & Nomination
Committee, inter-alia, include the following:
1.	
Formulate a policy relating to appointment
and remuneration of Directors, Key Managerial
Personnel (‘KMP’) etc.
2.	
Recommend to the Board, persons who are
qualified to become Directors and who may be
appointed in Senior Management, including KMP.

Mr. Dinesh Kumar Mittal, Independent Director
Chairpersona)Composition, Meetings and Attendance	As on March 31, 2023, the Committee comprised four
Non-Executive Directors, of whom three members,
including, the Chairperson of the Committee, are
Independent Directors. The composition of theCommittee meets the requirements of Section 178
of the Companies Act, 2013 and Regulation 19 of the
Listing Regulations. The Company Secretary/ Deputy
Company Secretary acts as the Secretary of theCommittee. The Chief People Officer is a permanent
invitee to the meetings of Committee. Other Senior
management members are also invited to the meeting
to present reports relating to items being discussed at
the meeting.

	During the year ended March 31, 2023, followingchanges occurred in the composition of the Committee:a)	Mr. Pradeep Kumar Sinha, Independent Director
was appointed as a member of the Committee
w.e.f. May 18, 2022.
b)	
Mr. Shishir Priyadarshi, Independent Director
ceased to be a member of the Committee w.e.f.
close of business hours on October 31, 2022 upon
his resignation.
	During FY 2022-23, the Committee met four times i.e.
on May 17, 2022, August 08, 2022, October 31, 2022
and February 07, 2023.

 he composition of the Committee and attendance of members at the Committee meetings held during FY 2022-23, isTgiven below:
Name of the director

May 17, 2022

Date of HRC meeting
August 08,
October 31,
2022
2022

February 07,
2023

Held
duringtenureTotal% ofattended attendance

Mr. Dinesh Kumar Mittal,
Chairperson

4

4

100%

Ms. Nisaba Godrej

4

4

100%

3

3

100%

3

3

100%

4

3

75%

Mr. Pradeep Kumar Sinha1

NotapplicableNot
applicable

Mr. Shishir Priyadarshi2
Mr. Rakesh Bharti Mittal

Attendance (%)
Attended in person

X

75%

100%

100%

Attended through video conference

Leave of absence

1. Mr. Pradeep Kumar Sinha was appointed as a member of the Committee w.e.f. May 18, 2022.
2. Mr. Shishir Priyadarshi ceased to be a member of the Committee w.e.f. the close of business hours on October 31, 2022.

~94%
AVERAGE ATTENDANCE AT THE HR & NOMINATIONCOMMITTEE MEETINGS DURING FY 2022-23

216

Bharti Airtel Limited

4.	
Determine the compensation, KRAs andperformance targets of Chairman and Managing
Directors & CEOs.
5.	Review succession planning for Executive and NonExecutive Directors and other senior executives.
6.	Formulate the evaluation criteria and conduct anannual evaluation of the overall effectiveness of
the Board & its Committees and performance ofeach Director.
7.	Review attraction, retention and development
strategies for employee.
8.	Administer the ESOP scheme(s), formulate ESOPplans and decide on future grants.
	The Committee is governed through its formal Charter
which may be referred for its detailed purpose andobjective, responsibilities and powers. The sameis available on the Company’s Website at https://
assets.airtel.in/teams/simplycms/web/docs/CharterDocument-HR-and-Nomination-Committee.pdf.

c)	Key matters considered
Nomination Committee

byActivities of the Committee during the year

100%
X

3.	
Review and evaluate the structure, size andcomposition (including skills, knowledge,
experience and diversity) of the Board and
its Committees.

Review of HR Update – India & South Asia
comprising of key metrics including headcount (on roll, contractual, targets and trend);
HR metrics: attrition, diversity, cost, L&D andengagement etc; change in senior management;
workforce related changes/movements arisingout of M&A activities; serious accidents andother incidents, if any; internal auditors’ reporton human resource related issues/ observations& actions taken and forecast of CEO/ Company
performance versus targets etc.
Review of detailed Succession planning framework
including specific listing of critical talent, successor
readiness timeline/ contingency plan for eachposition and key metrics including criteria ofidentification of successors, their coaching,mentorship, development and engagement etc.

the

HR

Frequency&

Financial Statements

Activities of the Committee during the year

Frequency

Approval of Rolling Agenda of the Committee,
fixed in advance for the year to discuss planned
key agenda items quarter on quarter including
progress on HR priorities.
Approval of Key Result Areas (KRAs) of the
Chairman including his responsibilities for India
and overseas operations and KRAs of Managing
Director & CEO.
Recommendation of Performance Linked
Incentive payable to Chairman, Managing
Director & CEO and Senior Management.
Review and noting of detailed annual update by
Ombudsperson on compliance and effectivenessof Code of Conduct of the Company.
Review of overall composition, skills, diversity
etc. of the Board and its Committees in line withthe statutory and business requirements.
Review of the terms of reference of all Board
Committees in line with the statutory andbusiness requirements.
Approval of the structured process, format,
attributes, criteria and questionnaires as a whole,for the performance evaluation of the Board,
Board Committees and Individual Directors
including the Chairman and MD & CEO.
Discussion on evaluation of Committee’s
performance and progress on last year
recommendations.
Review of detailed reports w.r.t. ESOP Schemes
including total grants, live grants yet to be
exercised, shares available with the ESOP
trust etc.
Noting of the update on final Long Term Incentive(LTI) vesting scores.
Approval of various Long Term Incentive plans
under ESOP Schemes and grant of options
thereunder.
Review and recommendation of the annual
rotation of rotational directors.
Recommendation for appointment of new
director(s) in place of resigning/ retiring director
and incidental matters.
Comprehensive review, noting and suggestions
on various special matters including key
HR priorities, digitization in HR; hiring anddevelopment of digital talent; grooming
high potential talent and Airtel Leadership
Academies; strengthening of governance& compliance mechanism for associate
staff management; meaningful organizationarchitecture and key interventions ensuring
delivery of superior employee experience.

Quarterly

Half Yearly

Annually

PeriodicallyIntegrated Report and Annual Financial Statements 2022-23

217

Corporate Overview

Risk Management Committee

Management Discussion & Analysis

Statutory Reportsb)	Brief Responsibilities of the Risk Management
Committee:

	Risk Management Framework available at: https://www.
airtel.in/about-bharti/equity/corporate-governance.

	The brief responsibilities of the Risk Management
Committee, inter-alia, include the following:c)	Key matters consideredManagement Committee

1.	
Formulation and the implementation of risk
management policy;
2.	Identify and oversee internal & external risks inparticular including financial, operational, sectoral,sustainability (viz. ESG), information, privacy &data security, cyber security etc. and mitigation
thereof; andMr. Dinesh Kumar Mittal, Independent Director
Chairpersona)Composition, Meetings and Attendance	In compliance with the requirements of the Listing
Regulations, the Company has constituted Risk
Management Committee to focus on functions
relating to risk management such as determination ofCompany’s risk appetite, risk tolerance and regular risk
assessments including risk identification, quantificationand evaluation etc.
	
The Risk Management Committee comprises six
members with majority of them being Board members,

including two Independent Directors. Mr. Dinesh
Kumar Mittal, Independent Director is Chairperson of
the Committee.
	The Company Secretary or in his absence, Deputy
Company Secretary acts as the secretary to
the Committee.

Financial Statements

3.	
Review of systems
internal controls.

andprocesses

forbyActivities of the Committee during the year

the

Risk

Frequency

Review of the Enterprise Risk Management
Framework of the Company.
Review and assessment and mitigation of key
strategic risks including industry specific risks,
privacy, data security and cyber security etc.

Periodicallyd) Chief Risk Officer

	The Committee is governed through its formal Charter
which may be referred for its detailed purpose andobjective, responsibilities and powers. The sameis available on the Company’s Website at https://
assets.airtel.in/teams/simplycms/web/docs/CharterDocument-Risk-Management-Committee.pdf.

	As on March 31, 2023, Mr. Ramjee Verma is the Chief
Risk Officer of the Company.

	During the year, Risk Management Committee met
twice i.e. on September 23, 2022 and March 13, 2023.

The composition of the Committee and attendance of members at the Committee meetings held during the FY 2022-23, aregiven below:
Date of Risk Management Committee
meeting
September 23, 2022
March 13, 2023

Held during
tenureTotal
attended

2

2

100%

2

1

50%

Mr. Pankaj Tewari

2

2

100%

Mr. Rakesh Bharti Mittal

2

2

100%

Mr. Soumen Ray

2

2

100%

Mr. V. K. Viswanathan

2

2

100%

Name of the director

Mr. Dinesh Kumar Mittal, Chairperson
Mr. Gopal Vittal

Attendance (%)
Attended through video conferenceX

83.33%
X% of attendance100%

Leave of absence~92%
AVERAGE ATTENDANCE AT THE
RISK MANAGEMENT COMMITTEE MEETINGS DURING FY 2022-23

218

Bharti Airtel Limited

Integrated Report and Annual Financial Statements 2022-23

219

Corporate Overview

Management Discussion & Analysis

Statutory Reports

100%

Environmental, Social and Governance (ESG) Committee

	The Committee is governed through its formal Charter
which may be referred for its detailed purpose andobjective, responsibilities and powers. The sameis available on the Company’s Website at https://
assets.airtel.in/teams/simplycms/web/docs/CharterDocument-ESG-Committee.pdf.

ATTENDANCE AT THE
ESG COMMITTEE MEETINGS
DURING FY 2022-23b) Brief Responsibilities of the ESG Committee:	
The brief responsibilities of the ESG Committee,
inter-alia, include the following.
1.	Approve ESG goals, strategy and initiatives andmonitor performance thereof.
2.	Overview material ESG risks, opportunities andmitigation of risks.

Ms. Nisaba Godrej, Independent Director
Chairpersona)Composition, Meetings and Attendance	To sharpen Company’s focus on ESG agenda and longterm stakeholder value creation, the Board constituted aseparate ESG Committee during the year ended March
31, 2022. The Committee comprises six members
including four Independent Directors as on March 31,
2023. Ms. Nisaba Godrej, Independent Director is the
Chairperson of the Committee.
	During the year ended March 31, 2023, followingchanges occurred in the composition of the Committee:a)	Mr. Pradeep Kumar Sinha, Independent Director
was appointed as a member of the Committee
w.e.f. May 18, 2022.

b)	Ms. Nisaba Godrej, Independent Director was
designated as the Chairperson of the Committee
w.e.f. September 26, 2022 i.e. upon retirementof Manish Kejriwal from the Board w.e.f. close ofbusiness hours on September 25, 2022.
c)	Ms. Kimsuka Narasimhan, Independent Director
was appointed as a member of the Committee
w.e.f. February 08, 2023.

3.	Approve the Charter of ESG and Sustainability
Council and review its working.
4.	
Review ESG reporting in line with various
national and global sustainability/ESG indicesand guidelines.
5.

Financial Statements

	Progress of the Company on ESG matters available at:https://www.airtel.in/sustainability-file/our-blueprintfor-social-inclusionc)

Key matters considered by the ESG Committee

Activities of the Committee during the year

Frequency

Review of initiatives and progress towards ESG
commitments, goals and targets including
greening the network and climate resilience(solarisation plan); Diversity & Inclusion and
Health & Safety - maturity level and compliance
percentage matrix for all safety interventions;and supply chain sustainability.
Review of ESG Ratings and action plan towards
improvements.

Review and noting of statutory reports.
Periodically	The Company Secretary or in his absence, Deputy
Company Secretary acts as the Secretary to
the Committee.
	During FY 2022-23, the Committee met twice i.e. on
January 16, 2023 and March 24, 2023.

The composition of the Committee and attendance of members at the Committee meetings held during FY 2022-23, aregiven below:
Date of ESG Committee meeting
January 16, 2023
March 24, 2023

Held during
tenureTotal
attended

Ms. Nisaba Godrej, Chairperson

2

2

100%

Mr. Dinesh Kumar Mittal

2

2

100%

Mr. Gopal Vittal

2

2

100%

1

1

100%

0

0

Mr. Rakesh Bharti Mittal

2

2

100%

Mr. Pradeep Kumar Sinha3

2

2

100%

Name of the director

Ms. Kimsuka Narasimhan1

Not applicable

Mr. Manish Kejriwal2

Not applicable

Attendance (%)

100%

Not applicable% of attendance

Not applicable

100%

Attended through video conference
1.

Ms. Kimsuka Narasimhan was appointed as a member of the Committee w.e.f. February 08, 2023.

2.	Mr. Manish Kejriwal ceased to be a member of the Committee w.e.f. the close of business hours on September 25, 2022 upon his retirement.
3.

Mr. Pradeep Kumar Sinha was appointed as a member of the Committee w.e.f. May 18, 2022.

220

Bharti Airtel Limited

Integrated Report and Annual Financial Statements 2022-23

221

Corporate Overview

Financial Statements

Mr. Rakesh Bharti Mittal, Non-executive Director

Mr. Rakesh Bharti Mittal, Non-executive Director

Chairperson

Chairpersona)	Composition, Meetings and Attendance	In compliance with the requirements of the Companies
Act, 2013, the Company has constituted the Corporate
Social Responsibility Committee. The Committee
evaluates and recommends the CSR proposals andAnnual Report on CSR to the Board for approval.
The Committee comprises three members including
Mr. Rakesh Bharti Mittal, Non-Executive Director as
Chairperson of the Committee and two other membersa)	Composition, Meetings and Attendance
viz. Mr. Gopal Vittal, Managing Director & CEO andMr. Dinesh Kumar Mittal, Independent Director.
	The Company Secretary or in his absence Deputy
Company Secretary acts as a secretary to
the Committee.
	During FY 2022-23, the Committee met twice i.e. on
May 17, 2022 and March 10, 2023.

The composition of the Committee and attendance of members at the Committee meetings held during FY 2022-23, aregiven below:
Date of CSR Committee meeting
May 17, 2022
March 10, 2023

Held during
tenureTotal
attended

Mr. Rakesh Bharti Mittal,
Chairperson

2

2

100%

Mr. Dinesh Kumar Mittal

2

2

100%

Mr. Gopal Vittal

2

2

100%

Name of the director

Attendance (%)

100%	In compliance with the Regulation 20 of the Listing
Regulations, requirements and provisions of Section
178 of the Companies Act, 2013, the Company has
constituted a Stakeholders’ Relationship Committee.
The Committee comprises four members including two
Independent Directors. Mr. Rakesh Bharti Mittal, NonExecutive Director is the Chairperson of the Committee.
	
The Company Secretary or in his absence,
Deputy Company Secretary acts as a secretary to
the Committee.

% of attendance

100%

Attended through video conference

1.	Formulate, monitor and recommend to the Board,
CSR Policy and the activities to be undertaken by
the Company along with Annual Action Plan.
2.	Review the Company’s performance in the area of
CSR and evaluate social impact of Company's CSR
activities, wherever required.
3.	Review the CSR related disclosure(s) including
annual report on CSR.
4.	Ensure that the funds contributed by the Company
under CSR are spent by the implementation
agency for the intended purpose only.

	CSR Policy available at: https://www.airtel.in/aboutbharti/equity/corporate-governancec)	Annual Report on Corporate Social Responsibility
	The CSR Report for the year ended March 31, 2023 isannexed as Annexure B to the Board’s Report.

	During FY 2022-23, the Committee met four times i.e.
on May 17, 2022, August 08, 2022, October 31, 2022
and February 07, 2022.

Date of Stakeholders' Relationship Committee meeting
August 08,
October 31,
February 07,
May 17, 2022
2022
2022
2023

Mr. Rakesh Bharti Mittal,
Chairperson

4

4

100%

Mr. Dinesh Kumar Mittal

4

4

100%

Mr. Gopal Vittal

4

4

100%

2

2

100%

3

3

100%

Mr. Shyamal Mukherjee2

	The brief responsibilities of the CSR Committee include
the following:b)	Mr. Manish Kejriwal, Independent Director ceased
to be a member of the committee upon his
retirement w.e.f. the close of business hours on
September 25, 2022.

Total
attended

ATTENDANCE AT THE CSR COMMITTEEMEETINGS DURING FY 2022-23
	The Committee is governed through its formal Charter
which may be referred for its detailed purpose andobjective, responsibilities and powers. The sameis available on the Company’s Website at https://
assets.airtel.in/teams/simplycms/web/docs/CharterDocument-CSR-Committee.pdf.

a)	Mr. Shyamal Mukherjee, Independent Director was
appointed as a member of the Committee w.e.f.
May 18, 2022.

Held
duringtenureName of the director

Mr. Manish Kejriwal1b) Brief responsibilities of the CSR Committee	During the year ended March 31, 2023, the followingchanges occurred in the composition of the Committee:

The attendance of members at the meetings held during FY 2022-23, are given below:

100%

Bharti Airtel Limited

Statutory Reports

Stakeholders' Relationship Committee

Corporate Social Responsibility (CSR) Committee

222

Management Discussion & Analysis

Attendance (%)
Attended in person

NotapplicableNot
applicableNot
applicable

100%

100%

100%

% of attendance

100%

Attended through video conference

1.	Mr. Manish Kejriwal, Independent Director ceased to be a member of the committee upon his retirement w.e.f. the close of business hours on
September 25, 2022.
2.

Mr. Shyamal Mukherjee, Independent Director was appointed as a member of the Committee w.e.f. May 18, 2022.

100%
ATTENDANCE AT THE
STAKEHOLDERS' RELATIONSHIP COMMITTEEMEETINGS DURING FY 2022-23b)	
Brief responsibilities of the Stakeholders'
Relationship Committee	
The brief responsibilities of the Stakeholders'
Relationship Committee, inter-alia, include the following:
1.	Consider and resolve the complaints/ grievancesof security holders.

Integrated Report and Annual Financial Statements 2022-23

223

Corporate Overview

2.	Approve & oversee sub-division, consolidation,
replacement, dematerialisation or rematerialisation
and all matters associated with the transfer &transmission of securities.

c)

3.	Oversee the performance and service standardsof the Registrar & Share Transfer Agent.

d) Nature of Complaints and Redressal Status

4.	Deal with Company’s unclaimed/ undelivered
shares and review various measures & initiatives
taken to reduce the quantum of unclaimed
dividends and ensure timely receipt of dividend
warrants, annual reports and other statutory
notices by the shareholders of the Company.
5.	
Review of measures taken by the Company
for effective exercise of voting rights by
the shareholders.
	The Committee is governed through its formal Charter
which may be referred for its detailed purpose andobjective, responsibilities and powers. The sameis available on the Company’s Website at https://
assets.airtel.in/teams/simplycms/web/docs/CharterDocument-Stakeholders-Relationship-Committee.pdf.

Compliance Officer	In terms of the requirement of Listing Regulations,
Mr. Rohit Krishan Puri, Dy. Company Secretary is theCompliance Officer of the Company.

	The Committee is responsible to consider and resolve
the complaints/ grievances of security holders, including
queries related to transfer of shares, declarationof dividend and attendance at general meetings.
The Committee oversee periodic engagement &communication with security holders through directinteractions, analysts’ meets, surveys etc. It also reviews
the concerns/ views of security holders and steps taken
by management to address those concerns.
	During FY 2022-23, the complaints and queries received
by the Company were general in nature, which include
issues relating to allotment of shares pursuant to
Rights issue, non-receipt of dividend warrants, shares,
and others, which were resolved to the satisfaction of
the shareholders.

Management Discussion & Analysis

Statutory Reports

5.	Issue and allot shares of the Company as per theterms of the ESOP Schemes or upon conversionof Foreign Currency Convertible Bonds issued by
the Company.
6.	Open, shift, merge, close any branch office, circle
office etc. and purchase, sell, take on lease/ license,transfer or otherwise deal with any property.
7.	
Appoint Merchant Banker(s), Char tered
Ac c o unt ant(s), Ad vo c ate (s), C o mp any
Secretar y(ies), Engineer(s), Technician(s),Consultant(s) and/ or other Professional(s) for
undertaking any assignment for and on behalf of
the Company.
	The Committee is governed through its formal Charter
which may be referred for its detailed purpose andobjective, responsibilities and powers. The sameis available on the Company’s Website at https://
assets.airtel.in/teams/simplycms/web/docs/CharterDocument-Committee-of-Directors.pdf.

Financial Statementsb)	Airtel Corporate Council (ACC):
	Airtel Corporate Council is a non-statutory committee,
constituted by the Board for strategic management
and supervision of the Company’s operations within theapproved framework. ACC is headed by the Chairman of
the Company and comprises the Managing Director &CEO and other select members of senior management.
ACC meets as and when deemed necessary to cater tothe day to day requirements of the Company.

c)	Transaction based/Event-specific Committees:	The Company has also constituted other non-statutory,transaction based/event-specific special Committees,from time to time, in the areas of fund raising andrestructuring including Equity fund raising, Preferential
allotment, Rights Issue, Debt Fund Raising and
Evaluation of stake in Indus Towers Limited etc. These
Committees operate under the direct supervision of theboard, in accordance with assigned scope of work andtheir terms of reference.

	Details of the investors’ complaints received and redressed during FY 2022-23 are as follows:

1 1

23

Investor complaints
received

23

21

GENERAL BODY MEETINGS
The details of last three Annual General Meetings (AGMs) are as follows:
Financial Year

Location/ Mode

2021-22

By Video
Conferencing

Investor complaints
redressed

Day, Date & Time
(IST)

Friday,August 12, 2022
at 1100 Hrs.

Rights Issue
Miscellaneous/ Others

II. Other Committeesa)	Committee of Directors:	To cater to various day-to-day requirements and to
facilitate seamless operations, the Company has
formed a Committee called Committee of Directors.
The Committee meets as and when deemed necessary
to cater to operational requirements. The Committee
comprises four members including two Independent
Directors. Mr. Rakesh Bharti Mittal, Non-Executive
Director is the Chairperson of the Committee. The
Company Secretary or in his absence Deputy Company
Secretary acts as the Secretary to the Committee.

224

Bharti Airtel Limited

Transcript

1.	Appointment of Mr. Pradeep Kumar Sinha as an Transcript
Independent Director
available at Link
2.	
Appointment of Mr. Shyamal Mukherjee as an
Independent Director
3.	Approval of payment of remuneration to Mr.
Gopal Vittal as Managing Director & CEO of theCompany

Non–receipt of dividend/ dividend warrants/ fractional entitlements

	The meetings of the Committee are generally held as
and when deemed necessary, to review and ensure that
all investor requests/ grievances are redressed within
stipulated time period.

Special Resolution passed

4.	Approval of increase in total number of options of
Employee Stock Option Scheme, 2005
5.	Authorisation to Bharti Airtel Employee Welfare
Trust to acquire equity shares of the Company
by way of secondary market acquisition foradministration of Employees Stock Option
Scheme, 2005

	The brief responsibilities of the Committee of Directors,
inter-alia, include the following:
1.	Grant loan to a body corporate/ entity or give
guarantee(s) in connection with loan made to
any body corporate/ entity and finalise terms &conditions in relation thereto.
2.	Purchase, sell, acquire or otherwise deal in the
securities of any company, body corporate orother entities.
3.	Borrow money and create security/ charge on
the asset(s) of the Company for the purpose of
securing credit facility(ies).
4.	Deal in foreign exchange and financial derivatives
linked to foreign exchange etc.

2020-21

By Video
Conferencing

2019-20

By Video
Conferencing

Tuesday,
August 31, 2021
at 1500 Hrs.
Tuesday,
August 18, 2020
at 1530 Hrs.

6.	
Approval of provisioning of money by theCompany for purchase of its shares by the Bharti
Airtel Employee Welfare Trust for the benefitof employees under Employees Stock Option
Scheme, 2005
Re-appointment of Mr. Sunil Bharti Mittal as the Transcript
Chairman of the Company
available at Link
Re-appointment of Mr. Shishir Priyadarshi as an Transcript
available at Link
Independent Director.

During the year 2022-23, no Extraordinary General Meeting and Postal Ballot of the members of the Company was convened.
Further, no resolution is proposed for approval of the members by way of Postal Ballot as on the date of this report.

Integrated Report and Annual Financial Statements 2022-23

225

Corporate Overview

Management Discussion & Analysis

Statutory Reports

Code on prohibition of Insider Trading

CODES, POLICIES AND FRAMEWORKS
Code of Conduct
The Company’s Code of Conduct reinforces its commitment
towards ensuring compliance of all laws and regulations,providing safe and harassment free work place, avoiding
conflict of interest at all times, fairness and mutual respect inall dealings, ethical conduct of business with zero tolerance
towards bribery and corruption in any form and upholding
and protecting company’s reputation etc.
The Code is applicable to the Board members, Senior
Management and all the employees. As a process, an annual
confirmation is sought regarding the compliance with theCode of Conduct. Regular training programmes/ workshops/
e-learnings/self- certifications are conducted across locations
to explain and reiterate the importance of adherence to
the Code. A declaration by the Managing Director & CEO,regarding affirmation of the compliance with the Code of
Conduct by Board Members and Senior Management for thefinancial year ended March 31, 2023, is annexed as Annexure
A to this report.
Besides above, the Company also procures a quarterly
confirmation of material financial and commercial transactions
entered into by members of Senior Management with theCompany that may have a potential conflict of interest. During
the year, the Company’s Code of Conduct was revampedwith a view to align the Code with global best practices andCompany’s ESG agenda.
The Company has also adopted ‘Code of Conduct for Business
Associates’ including suppliers and vendors of products andservices, all service providers, channel partners, consultants,
agent/ their representatives and employees of such businessassociate etc, setting out sets out the fundamental values
and integrity levels that Airtel expects its Business Associates
to uphold in all business relationships, guidance to deal withthe situations that may have potential conflict of interest anddisclosure thereof to the Company etc. The Code is available
at https://www.airtel.in/partnerworld/Business_Code_of_
conduct.
Internal Audits are periodically undertaken to assess thedesign and operating effectiveness of the Code of Conductof the Company, including the ethics framework coveringanti-bribery and anti-corruption across all the business
operations. Any Finding(s) noted is reported to Audit
Committee in the respective quarter.

Risk Management Framework
The Company has established an Enterprise-wide Risk
Management (ERM) framework to optimally identify andmanage risks, as well as to address operational, strategic
and regulatory risks. In line with the Company’s commitment
to deliver sustainable value, this framework aims to provide
an integrated and organised approach to evaluate and226

Bharti Airtel Limited

manage risks. Risk assessment monitoring is included in the
Company’s annual Internal Audit programme and reviewed
by the Audit Committee/ Risk Management Committee atregular intervals. In compliance with Regulation 17 and 21 of
the Listing Regulations, the Board of Directors has formulateda Risk Management Policy for framing, implementing andmonitoring the risk management plan for the Company.
The Board is periodically updated on the key risks, steps andprocesses initiated for reducing and, if feasible, eliminating
various risks. Business risk evaluation and management is an
ongoing process within the Company.
Detailed update on risk management framework has been
covered under the risk section, forming a part of the Annual
Integrated Report.

Vigil Mechanism/ Whistle Blower Policy

In compliance with the SEBI (Prohibition of Insider Trading)Regulations, 2015 (‘PIT Regulations’), the Company has
formulated the Code of Conduct for Prevention of Insider
Trading (“Code”) to regulate and monitor trading by
Designated Persons (DPs) and their immediate relatives.
The Company has voluntarily adopted a regime, which isstricter than what is statutorily prescribed, to comply with PIT
Regulations in letter and its spirit e.g. (i) all the transactions
done by DPs require preclearance irrespective of value orquantum; and (ii) restriction on maximum number of securities
sold during quarter to 25% of total holding or 50,000 equity
shares, whichever is higher.
The Code, inter alia, lays down the procedures to be followed
by DPs while trading/ dealing in Company shares/ derivatives
and while sharing Unpublished Price Sensitive Information(UPSI). The Code includes the obligations and responsibilitiesof DPs, obligation to maintain the structured digital database,mechanism for prevention of insider trading and handlingof UPSI, process to familiarise with the sensitivity of UPSI,
transactions which are prohibited and manner in which
permitted transactions in the securities of the Company shallBharti Airtel has adopted a Vigil Mechanism/Whistle Blower
Policy which forms a part of Code of Conduct. It outlines
the method and process for stakeholders to voice genuine
concerns about unethical conduct that may be an actual or
threatened breach with the Company’s Code of Conduct. The
policy aims to ensure that genuine complainants are able toraise their concerns in full confidence, without any fear of
retaliation or victimisation and also allows for anonymous
reporting of complaints.

Financial Statements

be carried out etc. The Code was comprehensively reviewed
and amended by the Board last year to inter-alia align thesame with best practices and latest statutory requirements.
Additionally, a Monitoring Committee has been constitutedby the Board to review the list of DPs, trading by DPs,
implementation of policies under the PIT Regulations,trainings, enquiry into leak of information etc. A report on
insider trading, covering trading by DPs and various initiatives/
actions taken by the Company under the PIT Regulations is
also placed before the Audit Committee and its Chairperson
on half yearly basis.
The Company periodically circulates the informatory e-mails
along with the FAQs on Insider Trading Code, Do’s and Don’ts
etc. to the employees (including new employees) to familiarise
them with the provisions of the Code. The Company also
conducts frequent workshops/ training sessions to educate
and sensitise the employees/ designated persons.
The key details of aforesaid policies/ code and other Board
approved policies adopted by the Company are provided in
Annexure B to this report.

MEANS OF COMMUNICATION

An independent office of Ombudsperson administers theentire formal process from reviewing and investigating
concerns raised, undertaking all appropriate actions forresolution thereof and regular monitoring of process. All
employees of the Company (full-time or part-time) as well
as external stakeholders (e.g. associate, strategic partners,
vendors, suppliers, contractors and customers etc.) have fullaccess to the Ombudsperson through secure hotline, email
or even meetings in person.

a)

Quarterly financial results

All such instances are investigated while ensuring confidentialityof the identity of such complainant(s). Matters relating tofinancial misdemeanors, fraud or impropriety are investigatedin consultation with the Internal Assurance Group, which
undertakes the investigation of the same by itself or at times
in consultation with the ombudsperson office. The external
investigation agencies are also involved, in exceptional
circumstances, if required. All investigations are endeavored
to be completed in 90 days and final investigation reports are
submitted to the competent disciplinary authority under the
Policy. Further, any complaint may be escalated at the option ofcomplainant to the Audit Committee on a secured email address.

b) Official news releases

	
Following the highest standards of Corporate
Governance, the Company has a practice of announcing
fully audited financial results every quarter since overa decade now. The financial results were publishedin prominent daily newspapers viz. Economic Times(English daily) and Navbharat Times (Hindi daily –vernacular) and were also uploaded on the Company’s
website viz. www.airtel.in.

	Official news and media releases are submitted to Stock
Exchanges and uploaded on the Company’s website viz.
www.airtel.in.

c)	Earning Calls & presentations to Institutional
Investors/ Analysts
	The Company organises earnings call with analysts
and investors on the next day of announcement of
results. The audio/video clips and transcript of theseearning calls are posted on the Company’s website.

Presentations made to institutional investors andfinancial analysts on the financial results are submitted
to the stock exchanges and also uploaded on the
Company’s website.

d)	Corporate announcements
informationofmaterial

	The Company electronically submits the requisite
corporate announcements, material information,
periodical fillings etc. through respective web portalsof NSE and BSE.

e)

Website	The Company has dedicated “Investors” section on its
website viz. www.airtel.in wherein any person can accessthe corporate policies, Board committee charters,
Memorandum and Articles of Association, Annual
Reports, financial results & other financial information,
details relating to dividend & shares transferred to IEPF
and shareholding details etc.

During the FY 2022-23, a total of 82 whistle blower complaints
were received and taken up for investigation of which 71
complaints were resolved as on March 31, 2023. Balancecomplaints are pending for investigation by the Company.
No person was denied access to the Audit Committee.
Integrated Report and Annual Financial Statements 2022-23

227

Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

Stock Price Data for the period April 1, 2022 to March 31, 2023
The month-wise High & Low prices along with volume of Company’s shares traded at BSE and NSE during FY 2022-23, areas follows:a)

Fully paid-up equity shares
BSE

28th Annual General Meeting

BSE Limited (‘BSE’)

Fully paid-up: 532454

Phiroze Jeejeebhoy Towers Dalal
Street, Mumbai – 400001, India

Partly paid-up: 890157

Record Date
Friday, August 11, 2023

Dividend Pay-out Date
The Dividend shall be paid within 30 days of ensuing Annual
General Meeting upon approval of the members.

Note: Non-Convertible Debentures of Telesonic Networks Limited(Telesonic), listed on BSE (Scrip: 973353), were transferred to
Bharti Airtel Limited in terms of composite scheme of arrangement
under Section 230-232 of the Companies Act, 2013 between Nettle
Infrastructure Investments Limited and Telesonic and their respective
shareholders and Bharti Airtel Limited, effective February 01, 2023. The
NCDs were redeemed on April 28, 2023 in accordance with the termsof issuance.

The annual listing fee for FY 2023-24 has been paid to both,
NSE and BSE.

408.00352.00333.75319.00369.90404.15441.05477.70479.00464.05410.00401.00330.00293.55264.15259.00292.25341.00373.85418.20427.00376.00358.40352.25

11,77,663
97,563
1,48,969
1,71,657
1,86,808
3,73,525
1,96,110
94,812
1,90,874
73,791
59,84915,47,335

April, 2022
May, 2022
June, 2022
July, 2022
August, 2022
September, 2022
October, 2022
November, 2022
December, 2022
January, 2023
February, 2023
March, 2023

Bharti Airtel Limited

Low price(K)

Volumes(No. ofshares)406.50354.80333.95318.00364.00404.40441.00480.00474.70448.30408.20409.00332.05293.50264.00259.00292.95343.90373.10415.40431.55381.15358.50353.00

1,28,35,511
80,21,314
87,74,266
60,53,217
1,35,67,549
3,31,69,162
1,22,91,766
1,09,56,254
45,48,051
50,81,578
57,25,688
63,71,382

Company's stock price performance against Market Indices during FY 2022-23

Performance against BSE Sensex

Performance against Nifty 50

1000

1000

900

900

800

800

700

700

600

600

500

500

Airtel’s Share Price at BSE
BSE Sensex (indexed for comparison)

228

High price(K)

Mar-23

Partly Paid-up:
AIRTELPP

Low price(K)

Feb-23

Exchange Plaza, C-1 Block G Bandra
Kurla Complex, Bandra, Mumbai –400001, India

High price(K)

Jan-23

Fully Paid-up:
BHARTIARTL

NSE
Volumes(No. ofshares)Dec-22National Stock Exchange of India
Limited (‘NSE’)

11,30,46,212
17,50,15,440
13,57,49,771
13,76,32,671
16,66,35,296
38,89,86,256
10,02,16,607
12,80,06,582
9,25,54,041
14,45,41,778
9,05,81,909
9,74,72,910

Oct-22

Scrip code/ Symbol(Equity Shares)

716.85667.85634.20628.75677.05686.20759.85804.20760.10751.65738.45735.80

Sep-22Name and address of the Stock
Exchange

780.70742.95706.20696.60754.20809.00833.80860.55853.20826.10795.85795.00Aug-22The Board has considered and recommended a dividend of
H4/- per fully paid-up equity share of face value of H5/- eachand Re. 1/- per partly paid-up equity share of face value of H5/each (paid-up value of H1.25/- per share) for the FY 2022-23,
subject to approval of the members at the ensuing AGM.
The dividend is in proportion to the amount paid-up on
equity shares.

Volumes(No. ofshares)Jul-22

Listing details

Low price(K)

BSE

Jun-22

Dividend

High price(K)b) Partly paid-up equity shares

May-22

May 14, 2024
(Tuesday)Apr-22February 05, 2024
(Monday)

41,75,617
71,82,810
39,70,019
73,30,696
86,11,132
1,06,14,679
81,58,078
37,63,252
24,56,646
18,44,289
13,33,532
33,35,772

Mar-23October 31, 2023
(Tuesday)

717.00668.20634.20629.05677.85720.05758.55804.50800.40752.00738.85736.20Feb-23

August 03, 2023
(Thursday)

780.35742.70706.00696.55792.65808.85
833.70877.10853.00826.00795.45795.50Jan-23

March, 2024

Low price(K)

Dec-22

December, 2023

Nov-22September, 2023

Oct-22

Proposed schedule(Tentative and subject
to change)

June, 2023

Sep-22

Quarterending on

Aug-22The Company’s financial year starts on April 1 and ends on March 31 every year. The calendar for approval of quarterly
financial results are as under:

Jul-22Financial Calendar

Jun-22

Instructions for attending AGM/ Remote e-voting:

Refer notice of AGM.

High price(K)

April, 2022
May, 2022
June, 2022
July, 2022
August, 2022
September, 2022
October, 2022
November, 2022
December, 2022
January, 2023
February, 2023
March, 2023

May-22Thursday, August 24
2023 at 1100 Hrs. (IST)

E-voting dates: August 20, 2023 toAugust 23, 2023

Mode: Video Conferencing/Other Audio Visual Means

Apr-22

Date & Time

NSE
Volumes(No. ofshares)Nov-22

GENERAL SHAREHOLDER INFORMATION

Airtel’s Share Price at NSE
Nifty 50 (indexed for comparison)

Integrated Report and Annual Financial Statements 2022-23

229

Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

Credit Ratings

Distribution of Shareholding: By category of holders as on March 31, 2023

During the year ended March 31, 2023:

Category

S. No.

Rating agency

Status1

CRISIL Ratings

Long term ratings maintained at CRISIL AA+(Stable)
Short term ratings maintained at CRISIL A1+

2

India Ratings & Research

Short-term ratings maintained at IND A1+

3

Fitch Ratings

Outlook revised to BBB- (Stable).

4

Moody's Investors Services

Rating upgraded to Baa3 (Stable)

5

S&P Global

Rating maintained at BBB- (Stable)

IndianForeign

Total Promoter Shareholding (A)PUBLIC (B)Institutions (Domestic) (B1)

Registrar and Share Transfer AgentAll the functions relating to share registry, both in physical and electronic form, are handled by the Company’s Registrar andShare Transfer Agent viz. Kfin Technologies Limited (‘Kfintech’). The address of Kfintech is mentioned in the 'Communications
Details' section of this report.

Share Transfer System, Dematerialisation of Shares and Liquidity thereof
Approximately the entire equity shares capital of the Company is held in dematerialised form. The Company’s shares arecompulsorily traded in dematerialised form and are available for trading with both the depositories i.e. National Securities
Depository Limited (NSDL) and Central Depository Services (India) Limited (CDSL). The shareholders can hold the Company’s
shares with any depository participant, registered with the depositories.

Mutual Funds
Alternative Investment Fund
Banks
Insurance Companies
Provident Funds/Pension Funds
Sovereign Wealth Funds
NBFCs registered with RBI

Sub-Total (B1)
Institutions (Foreign) (B2)
Foreign Portfolio Investors Category I
Foreign Portfolio Investors Category II
Any Other (Other FPIs and Body Corporates)

Sub-Total (B2)
Central Government/ State Government(s) (B3)
Shareholding by Bodies Corporate where Government is a promoter

Sub-Total (B3)
Non-Institutions (B4)5,967,418,752

758,435

3,560

Number of shares in Demat

Number of shareholders

Number of shares inphysical form

280
Number of shareholders

Directors and their relatives (excluding Independent Directors and nominee directors)
Investor Education and Protection Fund (IEPF)
Resident Individuals holding nominal share capital upto H2 lakhs
Resident Individuals holding nominal share capital in excess of H2 lakhs
Non Resident Indians (NRIs)
Foreign Nationals
Foreign Companies
Bodies Corporate
Any Other (Clearing Members, HUF and Trusts)

ISIN for the equity shares of the Company are as follows:
Fully-paid Equity shares

INE397D01024

Partly-paid Equity shares

IN9397D01014

No. of shares held

% of shares

2,299,875,172
983,599,934
3,283,475,106

38.54
16.48
55.02

681,054,936
23,213,784
3,455,083
410,742,919
62,207,640
7,117,785
1,776,468
1,189,568,615

11.41
0.39
0.06
6.88
1.04
0.12
0.03
19.93

1,145,420,047
106,439,785
35,4631,251,895,295

19.20
1.78
0.00
20.98

2,001
2,001

0.00
0.00

1,002,381
181,194
86,480,732
35,659,202
6,630,270
978
62,727,263
43,479,797
3,398,736
239,560,553
2,681,026,464

0.02
0.00
1.45
0.60
0.11
0.00
1.05
0.73
0.06
4.02
44.93

2,920,742
2,920,742
5,967,422,312

0.05
0.05
100.00PROMOTER AND PROMOTER GROUP (A)In terms of the amended Regulation 40(1) of Listing Regulations, with effect from April 1, 2019, securities of listed companies
can be transferred only in dematerialised form (except transmission of securities or transposition in the name(s) of holding).
Accordingly, the shares held in physical form will not be transferred unless they are converted into dematerialised form.
Transfers of equity shares in electronic form are effected through the depository system with no involvement of the Company.
Pursuant to Regulation 40(9) of the Listing Regulations, the Company obtain certificates from a practicing Company Secretaryon a yearly basis to the effect that all the transfers are completed within the statutory stipulated period. A copy of thecertificates so received are submitted to both the Stock Exchanges viz. NSE and BSE.

Sub-Total (B4)
Total Public Shareholding (B)=(B1+B2+B3+B4)
NON-PROMOTER AND NON-PUBLIC (C)Employee Benefit Trust/Employee Welfare Trust

Total Non-Promoter and Non-Public Shareholding (C)GRAND TOTAL (A+B+C)

Note: During FY 2022-23, there was no instance of pledge created on the Company's shares held by Promoters/ Promoter Group.

Category-wise shareholding as on March 31, 2023

There was no instance of suspension of trading in Company’s shares during FY 2022-23.

Distribution of Shareholding: By number of shares held as on March 31, 2023
S.
No.

Category (by no. of shares)

No. ofshareholders% to holders

No. of shares

Others (Public)1.

1-5,000

754,849

99.49

74,792,176

1.25

5,001-10,000

1,461

0.19

10,254,470

0.17

3.

10,001-20,000

706

0.09

9,813,026

0.17

4.

20,001-30,000

272

0.04

6,703,836

0.11

5.

30,001-40,000

153

0.02

5,281,612

0.09

6.

40,001-50,000

94

0.01

4,185,884

0.07

7.

50,001-100,000

269

0.04

19,393,163

0.33

8.

100,001 & Above

911

0.12

5,836,998,145

97.81

758,715100.005,967,422,312

100.00230

Bharti Airtel Limited

20.98%% of shares

2.

Total

Foreign Portfolio Investors
1,251,863,782

3.49% 207,592,242

Non-Resident Indians

0.11% (Individuals)
6,630,270

Resident Individuals (Public)

2.06% 123,142,315

Promoter and Promoter Group55.02% 3,283,475,106

Insurance Companies
410,742,919

6.88%

Mutual Funds
681,054,936

11.41%

Total

5,967,422,312

Employee Welfare (ESOP) Trust
2,920,742

0.05%

Integrated Report and Annual Financial Statements 2022-23

231

Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

Top 10 shareholders (other than Promoter/Promoter Group) of the Company as on March 31, 2023
Name of the shareholder

No. ofShares held

% of shares

LIC Gratuity Plus Growth Fund
(Insurance Companies)

4.29

SBI Equity Savings Fund
(Mutual Funds)

3.17

ICICI Prudential Sensex Index Fund
(Mutual Funds)

127,138,978

2.13

HDFC Trustee Company Ltd. A/c HDFC Top 100 Fund
(Mutual Funds)

1.22

72,985,421

Google International LLC(Foreign Portfolio Investors Category II)

1.19

71,176,839

NPS Trust- A/c UTI Retirement Solutions Pension Fund
(Pension Funds)

1.04

62,207,640

Government of Singapore(Foreign Portfolio Investors Category I)

1.04

61,975,869

Government Pension Fund Global(Foreign Portfolio Investors Category I)

1.01

60,418,281

ICICI Prudential Life Insurance Company Limited(Insurance Companies)

0.93

55,379,336

Note: Shareholding has been consolidated on PAN basis.

Outstanding GDRs/ ADRs/ Warrants or any
Convertible instruments, conversion date andlikely impact on equity
During FY 2019-20, the Company had issued 1.50% Foreign
Currency Convertible Bonds ('FCCBs') of USD 1,000 Mn atpar, which are convertible into fully paid-up equity sharesof face value of H5/- each of the Company, on or after
February 27, 2020 and up to the close of business hours on
February 7, 2025 (‘Conversion Period’), at the option of FCCB
holders. As per the terms of issue, the FCCBs which are notconverted into equity shares during the conversion period,
shall be redeemed at 102.66% of the principal amount on
February 17, 2025.
The initial conversion price of FCCBs was H534/- per equity
share, however, as per the terms & conditions of the issue,
the said conversion price is subject to certain adjustmentsfrom time to time. As on March 31, 2023, the conversion pricestands adjusted to H521/- per equity share.
During FY 2022-23, 11,930,543 fully paid-up equity sharesof H5/- each were issued pursuant to conversion option
exercised by certain FCCBs holders. As on March 31, 2023,
the outstanding value of FCCBs stands as USD 913.70 million.
Other than the above, the Company does not have any
outstanding GDRs/ ADRs/Warrants or any other convertible
instruments as on date.

Disclosure of commodity pricecommodity hedging activities

risks

and

A detailed note on commodity price risks and commodity
hedging activities is given in Management Discussion andAnalysis forming part of the Annual Report.

Communications Details
Particulars

Email

Address

Mr. Pankaj TewariCompany Secretary
Mr. Rohit Krishan Puri
Dy. Company Secretary& Compliance Officer
For queries relating to Mr. Naval SethFinancial Statements Head – Investor
Relations
For Corporate
Mr. Kinshuk Gupta
Communication
Head – Corporate
related matters
Communications

Contact

compliance.officer@bharti.in

Bharti Airtel Limited
Registered Office: Airtel Center,
Plot No. 16, Udyog Vihar, Phase-IV,
Gurugram – 122015, India
Telephone no. +91-124-4222222,
Fax no. +91-124-4248063
Website: www.airtel.in

Registrar and Share
Transfer Agenteinward.ris@kfintech.com

For Corporate
Governance, IEPF
and other Secretarial
related matters

KFin Technologies
Limitedir@bharti.in

corporate.communications1@airtel.
com

OTHER DISCLOSURES

189,207,685
136,912,804

2.29Europacific Growth Fund
(Foreign Portfolio Investors Category I)

255,823,570

Corporate Office: Bharti Crescent, 1, Nelson
Mandela Road, Vasant Kunj, Phase – II,
New Delhi – 110 070, India
Telephone no. +91 11 46666100
Fax no. +91 11 46666137
Karvy Selenium Tower B, Plot number 31 & 32,
Gachibowli, Financial District, Nanakramguda,
Hyderabad – 500032, India
Telephone no. 040-67162222
Fax No. 040-23001153
Website: www.kfintech.com

Compliance with discretionary requirementsa)	Separate persons hold the positions ofChairman, and Managing Director & CEO	Separate individuals hold the positions of Chairman of
the Board and the Managing Director & CEO since 2013.

b) Shareholders’ Rights
	The Company has a long practice (since over a decade)of releasing a comprehensive quarterly report alongwith the financial results inter-alia containing risk factors,
financial and operational highlights, significant industry& Company developments/ events and Management
Discussion and Analysis etc.
	The Company acknowledges shareholders’ interests
and accordingly, follows a robust grievance framework
to ensure that shareholders’ rights are valued andthey are well-informed about key decisions both on
financial and non-financial matters. The Company
proactively engages with shareholders throughearning calls, presentations, meetings, conferences
and regular roadshows etc. The audio/video recordings
and transcripts of earnings call and Annual General
Meeting, comprehensively providing for queries andmanagement responses, are uploaded on Company’s
website. In addition, all major press releases issued by theCompany are simultaneously disseminated to the Stock
Exchanges and on its website. For easy understandingof shareholder rights, grievance mechanism and basic
information relating to shareholder related matter,‘Frequently Asked Questions’ for the shareholders
have also been uploaded on Company’s website athttps://assets.airtel.in/teams/simplycms/web/docs/
Frequently_Asked_Questions_121021.pdf.
	The Company is pleased to report that since 97.13%
shareholders of the Company have a registered e-mailaddresses, the Company follows a medium of electronic
communication with them, towards its continuingendeavour in the area of ‘Go Green’ initiatives.

c)	The Company has a practice of releasing fully
audited financial statements every quarterd) Audit Qualifications
	The Company is in the regime of financial statementswith unmodified audit opinion.

e)Reporting of Internal Auditorf)Quarterly Independent Directors’ meetings

	The Company has a practice of holding quarterly
Independent Directors' meetings without presence ofmanagement and non-executive Directors much before
the requirement of having at least one exclusive meetingof Independent Directors was statutorily prescribed.

g)	Integrated Reporting as perprescribed by International
Reporting Council (IIRC)

framework
Integrated

	The Company has now released its sixth ‘Annual
Integrated Report’ in accordance with the IIRC’s
Integrated reporting (IR) Framework.

h)	The Company is substantially in compliancewith the G-20 OECD Principles of Corporate
Governancei)	The Company has a fully independent Audit
Committee – all the members of the Committee
are Non-Executive Independent Directors.
Related Party Transactions
All transactions entered into by the Company with its relatedparties during the financial year ended on March 31, 2023,
were in the ordinary course of business and on an arm’s length
basis and hence, do not attract the provisions of Section 188 of
the Companies Act, 2013. Prior approval of Audit Committee
and Shareholders, wherever required in terms of the Listing
Regulations, was obtained for the Related Party Transactions.
The Company has not entered into any materially significant
related party transaction that has potential conflict oris prejudicial to the interest of the Company or minority
shareholders at large, rather, they synchronise and synergisewith the Company's operations. Generally, the major related
party transactions of the Company are with its subsidiaries,
associates and JVs which are entered on account of synergy
in operations, sectoral specialisation, liquidity, capital resource
and other business exigencies etc.
The Board of Directors has formulated a ‘Policy on Related
Party Transactions’ governing framework for determining
the materiality of and ensuring approval of Related Party
Transactions pursuant to the applicable provisions of theCompanies Act, 2013 and Listing Regulations.
Members may refer the financial statements for the detailsof transactions with related parties entered during the
FY 2022-23.

	The Internal Auditor/ Internal Assurance Partners
directly reports to the Audit Committee.

Plant Locations
Being a service provider company, Bharti Airtel has no plant locations. The Company’s Circle Office addresses are provided
at the end of the Annual Report.

232

Bharti Airtel Limited

Integrated Report and Annual Financial Statements 2022-23

233

Corporate Overview

Details of Non-compliance with regard to CapitalMarkets during the last three years

During the FY 2022-23, status of cases reported with respect
to sexual harassment at the workplace is as follows:

There has been no instance of non-compliance by theCompany and no penalty and/ or stricture has been imposedby Stock Exchanges or SEBI or any statutory authority on any
matter related to capital markets during the last three years.

Pending at the
beginning offinancial year

Utilisation of funds raised through preferential
allotment or qualified institutions placement*Out of total 17 cases, allegations were substantiated in 13 cases andthe accused personnel were separated from their services.

During FY 2022-23, the Company raised H52,243.80 million
vide preferential allotment of 71,176,839 fully paid-up equity
shares of the Company to Google International LLC at an issue
price of 734/- per equity share (including a premium of H729
per equity share). The Company affirms that the proceeds ofthe issue were utilised towards its objects and there has been
no deviation or variation in utilisation of proceeds.

Subsidiary Companies

Prevention of Sexual Harassmentb)	Minutes of the board meetings of unlisted subsidiarycompanies are regularly placed before the Board.

The Company is committed towards creating a respectful
workplace free from any form of harassment and has a ‘zerotolerance’ approach towards any act of sexual harassment.
The Company has a comprehensive policy which is incompliance with the provisions of the Sexual Harassment of
Women at Workplace (Prevention, Prohibition and Redressal)
Act, 2013. Internal Complaints Committees (ICC) have been
constituted as per procedure prescribed in the law. The
Ombudsperson administers a formal process to review andinvestigate all concerns and undertakes appropriate actions
required to resolve the reported matters. The investigation
reports and recommendations are forwarded to the CEO
and Chief People Officer for action. A quarterly summary
report is also placed before the Audit Committee. The listof ICC members has been prominently displayed across all
offices in publicly accessible areas. Further, awareness andtraining sessions about the Prevention of Sexual Harassment
at workplace are conducted for all employees, including
our associates.

NIL

Received
duringfinancial year

Disposed ofduring thefinancial year

Pending at
the end of
financial year

17*

17

NIL

The Company monitors performance of subsidiary
Companies, inter-alia, by the following means:a)	Financial Statements, in particular investments made byunlisted subsidiary companies, are reviewed quarterly
by the Audit Committee.

c)	A statement containing significant transactions andarrangements entered into by unlisted subsidiarycompanies is placed before the Board.
d)	Reviewing of the utilisation of loans and/ or advances
from/investment by the Company in the subsidiary
exceeding rupees 100 crores or 10% of the asset
size of the subsidiary, whichever is lower including
existing loans / advances / investments existing by
Audit Committee.
e)	Group Governance Unit at a group level, oversees
the implementation of strong and effective Group
Governance Policy, monitors the governance standards
across the group and provides need-based guidance toensure that group maintains the highest standards ofcorporate governance.

The annual financial statements of the subsidiaries for FY 2022-23 are available for download on the website of the Company
at weblink https://www.airtel.in/about-bharti/equity/results. The Annual Report of Airtel Africa plc, an overseas subsidiary
listed on London Stock Exchange, is available on its website viz. https://airtel.africa/#/.

Management Discussion & Analysis

Statutory Reports

Disclosure of Loans and advances by theCompany/ its subsidiaries in the nature of loans tofirms/companies in which directors are interested
During the financial year ended March 31, 2023, there were noloans or advances provided by the Company or its subsidiaries
to firms/companies in which directors were interested.

Statutory Certificatesa)	Auditors’ Certificate on Corporate Governance	The Company has complied with all the mandatory
requirements of the Corporate Governance as
specified in Regulations 17 to 27 and clauses (b) to(i) of sub regulation (2) of Regulation 46 of the Listing
Regulations. In this regard, a certificate has been
received from Deloitte Haskins & Sells LLP, Chartered
Accountants affirming compliance of Corporate
Governance requirements during FY 2022-23 and thesame is attached as ‘Annexure C’ to the Board’s Report.

b) CEO and CFO Certification
	The certificate required under Regulation 17(8) of the
Listing Regulations, duly signed by the CEO and CFO of
the Company was placed before the Board. The sameis provided as ‘Annexure C’ to this report.

Financial Statementsc)	Certificate from Secretarial Auditor pursuant
to Schedule V of the Listing Regulations
	A certificate from Chandrasekaran Associates, Company
Secretaries, pursuant to Schedule V of the Listing
Regulations, confirming that none of the Directors
on the Board of the Company has been debarred or
disqualified from being appointed or continuing as
director of the Company by the Securities and Exchange
Board of India, Ministry of Corporate Affairs or any suchstatutory authority as on March 31, 2023, is annexed as‘Annexure D’ to this report.

Green Initiative
As a responsible Company, the Company supports ‘Green
Initiative’ undertaken by the Ministry of Corporate Affairs,
Government of India, enabling electronic delivery of
documents and continues to send all correspondence/
communication through email to those shareholders
who have registered their email id with their Depository
participants (DPs)/ Company’s Registrar and Share Transfer
Agent (RTAs).
Shareholders who have not registered their e-mail addresses
so far are requested to write to their DPs (for shares held indematerialised form) or to Company’s RTA (for shares held inphysical form) by sending a letter, duly signed by the first/sole
holder quoting necessary details.

Status of Dividend declared
Status of the dividend declared by the Company for the last seven years is as under:(Amount in H/Mn)

Financial Year2021-222019-20
2018-19 (Interim)
2017-18
2017-18 (Interim)
2016-17
2015-16

Amount of Dividend
per equity share offace value of E5/- each

3.00
2.00
2.50
2.50
2.84
1.00
1.36

Total Pay-out

Amount paid to theshareholders as on
March 31, 2023

Unclaimed
dividend as on
March 31, 2023

16,983.91
10,911.11
9,993.50
9,993.50
11,352.62
3,997.40
5,436.46

16,975.32
10,909.89
9,991.70
9,991.72
11,350.74
3,996.70
5,435.31

8.59
1.22
1.80
1.78
1.88
0.70
1.15

Notes:

Details of material subsidiaries; including the date and place of incorporation and the name and date of
appointment of the statutory auditors of such subsidiaries

1)	No dividend was declared by the Company for the financial year 2020-21.

S.
No.

Subsidiaries whose total income/net Date ofworth exceeds 10% of the Company’s Incorporation
consolidated income/ net worth

Place of
Incorporation

The Company constantly endeavours to reduce the unpaid & unclaimed dividend amount. The shareholders, who have notclaimed their dividend for the above financial years, are requested to contact the Company or its Share Transfer Agent.

1.
2.
3.
4.

Network i2i Limited
Airtel Africa Mauritius Limited
Airtel Africa plc
Bharti Airtel International(Netherlands) B.V.
Bharti Airtel Africa B.V.
Airtel Networks Limited

Mauritius
Deloitte
July 05, 2022
Mauritius
Deloitte
July 05, 2022
United Kingdom Deloitte LLP
June 28, 2022
Netherlands
Deloitte Haskins & Sells LLP October 14, 2022*

5.
6.

November 30, 2000
June 28, 2018
July 12, 2018
March 19, 2010

June 08, 2010
Netherlands
December 21, 2000 Nigeria

Name of statutory auditors

Date ofappointment of
statutory auditors2)	Dividend of H0.75 each on partly paid-up equity shares was declared on proportionate basis for FY 2021-22.

Deloitte Haskins & Sells LLP October 14, 2022*
Deloitte & Touche
July 21, 2022

* Appointed vide consolidated engagement entered between the Company and Deloitte Haskins & Sells LLP.

234

Bharti Airtel Limited

Integrated Report and Annual Financial Statements 2022-23

235

Corporate Overview

Equity Shares in the Unclaimed Suspense AccountIn terms of Regulation 39 of the Listing Regulations, details of the equity shares lying in the Unclaimed Suspense Accountare as follows:
Number of
Shareholders

Number of
Equity Shares

1

31

Nil

Nil

Nil

Nil

	Aggregate number of shareholders and the outstanding fully paid-up
shares in the Unclaimed Suspense Account lying as on March 31, 2023
II. Partly paid-up shares

131

	Number of shareholders and aggregate number of partly paid-up shares in the
Unclaimed Suspense Account lying as on April 1, 2022
	
Add: Number of shareholders and aggregate number of shares transferred to the
Unclaimed Suspense Account during the year	
Less: Number of shareholders who approached the Company for transfer of sharesand shares transferred from Unclaimed Suspense Account during the year

260

5,694

Nil

Nil

191

4,919

69

775

Particulars

I. Fully paid-up shares	Number of shareholders and aggregate number of fully paid-up shares in the
Unclaimed Suspense Account lying as on April 1, 2022
	Add: Number of shareholders and aggregate number of shares transferred to the
Unclaimed Suspense Account during the year	Less: Number of shareholders who approached the Company for transfer of sharesand shares transferred from Unclaimed Suspense Account during the year

	Aggregate number of shareholders and the outstanding partly paid-up
shares in the Unclaimed Suspense Account lying as on March 31, 2023

Note: The voting rights on the shares in the suspense accounts as on March 31, 2023 shall remain frozen till the rightful owners of such sharesclaim the shares.

Management Discussion & Analysis

Statutory Reports

Financial Statements

Annexure A

Declaration of compliance with Code of Conduct
I hereby confirm that the Company has received a confirmation from all the members of the Board and Senior Managementthat they are in compliance with the Company’s Code of Conduct for the financial year ended March 31, 2023.

For Bharti Airtel Limited

Gopal Vittal
Managing Director & CEO

Date: May 16, 2023
Place: New Delhi

Annexure B
Corporate Policies(To be read in addition to the policies/ codes/ frameworks referred in Clause E of Report on Corporate Governance)
Below corporate policies can be accessed at the website of the Company at https://www.airtel.in/about-bharti/equity/
corporate-governance/policies:
PolicyCorporate Social Responsibility
PolicyBrief description

Web link

The policy emphasises on Company’s philosophy to pursue wider socio-economic& cultural objectives of promoting education for underprivileged with special
emphasis on girl child, livelihood enhancement and education programs etc.
Policy on Related Party
The policy regulates the transactions between the Company and its related parties
Transactions and determination
based on the applicable laws. The policy lays down the framework for appropriate
of materiality
identification, governance and reporting of related party transactions.
Policy for determining material
The policy lays down a framework to determine material subsidiaries and ensure
subsidiaries
their effective governance.
Dividend Distribution Policy
The policy facilitates the consistent approach w.r.t. dividend pay-out plans in the
Company and lays down the broad parameters to be considered for distribution ofdividend.
Policy on Nomination,
The policy, inter-alia, includes criteria for appointment of Directors, KMPs, senior
management and other covered employees, their remuneration structure andRemuneration and Board
Company’s approach to have diversity on the Board of Directors.
Diversity
Policy for determination andThis policy specifies the manner of determining materiality & disclosure of events
disclosure of Material Events
based on the criteria prescribed therein, Company’s approach of providing timely,
direct and equal access of material information to the market.
Code of practices and procedures The code lays down the standards of transparency and fair disclosure followed byfor fair disclosure of unpublished the Company and ensures that all material updates/ information are shared withprice sensitive information
the stakeholders including investors, market analysts, media and other third parties
in a timely, orderly, consistent and credible manner.
Code of Conduct and Whistle
The code provides the fundamental guidelines and acts as a foundation, to ensure
Blower Policy (Vigil Mechanism)
ethical business practices and standards across the Company’s operations; trust,transparency and integrity in Company’s actions; and fair relationship with all
stakeholders.
Policy for preservation andThis policy ensures that necessary documents & records are preserved & properly
archival of documents & records maintained and the documents & records which are no longer required aredisposed-off in an appropriate manner with due approvals.

236

Bharti Airtel Limited

Click here

Click here

Click here
Click here

Click here

Click here

Click here

Click here

Click here

Integrated Report and Annual Financial Statements 2022-23

237

Corporate Overview

Annexure C

Chief Executive Officer (CEO)/Chief Financial Officer (CFO) certification
We, Gopal Vittal, Managing Director & CEO and Soumen Ray, CFO (India & South Asia) of Bharti Airtel Limited, to the best of
our knowledge and belief hereby certify that:(a)	We have reviewed financial statements and the cash flow statements for the year ended March 31, 2023 and that tothe best of our knowledge and belief:(i)	these statements do not contain any materially untrue statement or omit any material fact or contain statementsthat might be misleading; and(ii)	these statements together present a true and fair view of the Company’s affairs and are in compliance with existingaccounting standards, applicable laws and regulations.
(b)	There are, to the best of our knowledge and belief, no transactions entered into by the Company during the year which
are fraudulent, illegal or violative of the Company’s code of conduct.
(c)	We accept responsibility for establishing and maintaining internal controls for financial reporting and that we haveevaluated the effectiveness of internal control systems of the Company pertaining to financial reporting and we havedisclosed to the auditors and the Audit Committee, deficiencies in the design and operations of such internal controls,
if any, of which we are aware and the steps we have taken or propose to take to rectify these deficiencies.
(d)	We have indicated to the auditors and the Audit Committee:

Management Discussion & Analysis

Statutory Reports

Financial Statements

Annexure D

Certificate of Non-Disqualification of Directors[Pursuant to Regulation 34(3) and Schedule V Para C clause (10)(i) of the SEBI (Listing Obligations and Disclosure
Requirements) Regulations, 2015]
To,
The Members
Bharti Airtel Limited
Airtel Center, Plot No. 16,
Udyog Vihar, Phase-IV,
Gurugram-122015, India
We have examined the relevant registers, records, forms, returns and disclosures received from the Directors of Bharti Airtel
Limited bearing CIN L74899HR1995PLC095967, having registered office at Airtel Center, Plot No. 16, Udyog Vihar, Phase-IV,
Gurugram-122015, India (hereinafter referred to as ‘the Company’), produced before us by the Company for the purpose of
issuing this Certificate, in accordance with Regulation 34(3) read with Schedule V Para-C Sub clause 10(i) of the Securities
Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015.
In our opinion and to the best of our information and according to the verifications (including Directors Identification Number(DIN) status at the portal www.mca.gov.in) as considered necessary and explanations furnished to us by the Company &its officers and based on declarations received from respective Directors, we hereby certify that as on Financial Year ended
March 31, 2023, none of the Directors on the Board of the Company as stated below have been debarred or disqualified frombeing appointed or continuing as Directors of companies by the Securities and Exchange Board of India, Ministry of Corporate
Affairs or any such other Statutory Authority:(i)	significant changes in the internal control over financial reporting during the year;

Sl.
No.

Name of Director

DIN

Original date of appointment in the Company(ii)	significant changes in the accounting policies during the year and that the same have been disclosed in the notes
to the financial statements; and

1.
2.
3.
4.
5.
6.
7.
8.
9.
10.
11.

Mr. Sunil Bharti Mittal
Ms. Chua Sock Koong
Mr. Dinesh Kumar Mittal
Mr. Gopal Vittal
Ms. Kimsuka Narasimhan
Ms. Nisaba Godrej
Mr. Rakesh Bharti Mittal
Mr. Tao Yih Arthur Lang
Mr. Vegulaparanan Kasi Viswanathan
Mr. Shyamal Mukherjee
Mr. Pradeep Kumar Sinha

00042491
00047851
00040000
02291778
02102783
00591503
00042494
07798156
01782934
03024803
00145126

July 07, 1995
May 07, 2001
March 13, 2014
February 01, 2013
March 30, 2019
August 04, 2021
January 07, 2016
October 27, 2020
January 14, 2014
May 18, 2022
May 18, 2022(iii)	instances of significant fraud of which we have become aware and the involvement therein, if any, of the management
or an employee having a significant role in the Company’s internal control system over financial reporting.

Date: May 16, 2023
Place: New Delhi

Gopal Vittal

Soumen Ray

Managing Director & CEO

Chief Financial Officer(India & South Asia)

Ensuring the eligibility for the appointment / continuity of every Director on the Board is the responsibility of the managementof the Company. Our responsibility is to express an opinion on these based on our verification. This certificate is neither anassurance as to the future viability of the Company nor of the efficiency or effectiveness with which the management has
conducted the affairs of the Company.

For Chandrasekaran Associates
Company Secretaries
FRN: P1988DE002500
Peer Review Certificate No.: 1428/2021

Date: May 16, 2023
Place: New Delhi

238

Bharti Airtel Limited

Dr. S. Chandrasekaran
Senior Partner
Membership No. FCS No.: 1644
Certificate of Practice No: 715
UDIN: F001644E000285367

Integrated Report and Annual Financial Statements 2022-23

239

Corporate Overview

Independent Auditor’s Report

Sr.
No

2

To The Members of BHARTI AIRTEL LIMITED

Report on the Audit of the Standalone Financial
Statements
OpinionWe have audited the accompanying standalone financial
statements of BHARTI AIRTEL LIMITED (“the Company”),
which comprise the Standalone Balance Sheet as at March
31, 2023, and the Standalone Statement of Profit and Loss(including Other Comprehensive Loss), the Standalone
Statement of Changes in Equity and the Standalone
Statement of Cash Flows for the year then ended, anda summary of significant accounting policies and otherexplanatory information (hereinafter referred to as “theStandalone Financial Statements”).
In our opinion and to the best of our information and according
to the explanations given to us, the aforesaid Standalone
Financial Statements give the information required by theCompanies Act, 2013 (“the Act”) in the manner so required
and give a true and fair view in conformity with the Indian
Accounting Standards prescribed under section 133 of the
Act read with the Companies (Indian Accounting Standards)
Rules, 2015, as amended, (“Ind AS”) and other accounting
principles generally accepted in India, of the state of affairsof the Company as at March 31, 2023, and its loss, total
comprehensive loss, its changes in equity and its cash flows
for the year ended on that date.

Basis for Opinion
We conducted our audit of the Standalone Financial
Statements in accordance with the Standards on Auditing
specified under section 143(10) of the Act (“SAs”). Our
responsibilities under those Standards are further describedin the Auditor’s Responsibility for the Audit of the Standalone
Financial Statements section of our report. We are independentof the Company in accordance with the Code of Ethics issued
by the Institute of Chartered Accountants of India (“ICAI”)
together with the ethical requirements that are relevant toour audit of the Standalone Financial Statements under theprovisions of the Act and the Rules made thereunder, and wehave fulfilled our other ethical responsibilities in accordancewith these requirements and the ICAI’s Code of Ethics. We
believe that the audit evidence obtained by us is sufficientand appropriate to provide a basis for our audit opinion on
the Standalone Financial Statements.

Key Audit Matters
Key audit matters are those matters that, in our professional
judgement, were of most significance in our audit of theStandalone Financial Statements of the current period. These
matters were addressed in the context of our audit of theStandalone Financial Statements as a whole, and in forming
our opinion thereon, and we do not provide a separate opinion
on these matters. We have determined the matters described
below to be the key audit matters to be communicated inour report.

Sr.
No

Key Audit Matter

Auditor's Response

1

Revenue from operations:

Principal Audit Procedures

We considered accuracy of revenues relating to prepaid
and postpaid mobile services as a key audit matterbecause of the complexity of the IT systems, significanceof volumes of data processed by the IT systems andthe impact of changing pricing models (tariff structures,
incentive arrangements and discounts, etc.). Refer note
2.18 “Revenue recognition” for accounting policies, note
3.2.d ‘Revenue recognition and presentation’ under thehead ‘Critical judgements in applying the Company’s
accounting policies’ and note 23 on disclosures related
to Revenue from operations in the standalone financial
statements

We obtained an understanding, evaluated the design andtested the operating effectiveness of (i) the general IT controls,
automated controls, interfaces, control over plan configurationand system generated reports relevant for revenue recognition
by involving our IT specialist; and (ii) controls over recording ofrevenue relating to prepaid and postpaid mobile services; and (iii)
control over reconciliations.
We tested inter se reconciliations between relevant IT systems(such as billing system, prepaid application systems, active
customer database) and with general ledger, and performed
verification of revenue recognised, deferred and unbilled revenue.

Management Discussion & Analysis

Financial Statements

Key Audit Matter

Auditor's Response

Assessment of recoverability relating to Deferred tax
assets (‘DTA’) recognized on carry forward losses:

Principal Audit Procedures

The DTA balance as at March 31, 2023 of H1,46,439 Mn
primarily relates to DTA on carry forward losses.

We obtained an understanding, evaluated the design and tested
the operating effectiveness of controls over the Company’s
process for determining the recoverability of the DTA relating tocarry forward losses which included amongst others controls
over the assumptions and judgments used in the projections of
future taxable income and related tax projections.

The Company exercises significant judgement inassessing the recoverability of DTA relating to carryforward losses. In estimating the recoverability of DTA
on carry forward losses, management uses inputs suchas internal business and tax projections over a 10 year
period.
Recoverability of DTA on carry forward losses is considereda key audit matter as it is sensitive to the assumptions
used by management in projecting the future taxable
income, the reversal of deferred tax liabilities which canbe scheduled, and tax planning strategies.

3

Statutory Reports

Refer note 2.11 “Taxes” for accounting policies, note
3.1.c ‘Taxes’ under the head “Key sources of estimation
uncertainties”, and note 11 “Income taxes” for disclosuresrelated to taxes in the standalone financial statements.
Provisions and contingencies relating to regulatory
and tax matters:
The Company has recognised provisions for probableoutflows relating to legal, tax and regulatory matters andhave disclosed contingencies for legal, tax and regulatory
matters where the obligations are considered possible.
The Company in consultation with the legal, tax and otheradvisers assess a likelihood that a pending matter relating
to tax, legal or regulatory will succeed. In performing
this assessment, the Company applies judgement andhas recognised provisions based on whether additionalamounts will be payable and has disclosed contingent
liabilities where economic outflows are considered
possible.
We have considered the provisions recorded and thecontingencies relating to tax, legal and regulatory matters
as a key audit matter as there is significant judgement todetermine the possible outcome of matters under disputeand determining the amounts involved, which may varydepending on the outcome of the matters.
Refer note 2.17 “Contingencies” for accounting policies,
note 3.1.e ‘Contingent liabilities and provisions’ under
the head “Key sources of estimation uncertainties”, note
19 “Provisions” for disclosure related to provisions for
subjudice matters, note 4(viii) for AGR matter and Note
22(I) in respect of details of Contingent liabilities in thestandalone financial statements.

To assess the Company’s ability to estimate future taxable income,we compared the Company’s previous forecasts to actual results
to determine its reasonableness and examined the consistencyof projections used for assessing DTA recoverability with businessprojections used for goodwill impairment assessment.
We involved our tax specialist in evaluating tax planning strategies,
opinion obtained by the Company from its tax advisors, if any
and interpretation of tax laws used by the Company in the tax
projections used for supporting the recoverability of DTA.

Principal Audit Procedures:
We obtained an understanding, evaluated the design and tested
the operating effectiveness of internal controls relating to:(1)	identification, evaluation, recognition of provisions, disclosureof contingencies for matters under review or appeal
with relevant adjudicating authorities by considering theassumptions and information used by management in
performing this assessment;(2)	completeness and accuracy of the underlying data /information used in the assessment. For tax matters, with thehelp of our tax specialist, we evaluated the reasonableness ofthe management’s positions by considering tax regulations
and past decisions from tax authorities, new informationand opinions obtained by the Company from its external
tax advisors, where applicable. For regulatory matters,
we evaluated the reasonableness of the management’s
positions by considering relevant assessment orders, court
judgements, statutes, interpretations and amendments,
circulars and external legal opinion obtained by the Company,
where applicable. We also evaluated the disclosuresprovided in the notes to the standalone financial statements
concerning these matters.

We made test calls to determine the accuracy of revenue
recorded.
We verified the appropriateness of the accounting policies andthe disclosures related to Revenue from operations in notes 2.18,
3.2.d and 23 respectively in the standalone financial statements.

240

Bharti Airtel Limited

Integrated Report and Annual Financial Statements 2022-23

241Corporate Overview

Sr.
No

4

Key Audit Matter

Auditor's Response

Impairment of investment in a Joint venture (JV),
Indus Towers Limited (ITL)

Principal Audit Procedures

Investments in JV ITL as at March 31, 2023 amounts to
H 244,176 Mn (net of impairment).

We obtained an understanding, evaluated the design and tested
the operating effectiveness of internal controls over Company’s
forecasting process and investment impairment review including
controls related to the review of revenue growth, EBITDA margins
and the assumptions used to develop the discount rates applied
to estimated future cashflows and long term growth rates.

During the year ended March 31, 2023, the Company
assessed that there are indicators of impairment inrespect of its investment in ITL mainly arising from thefinancial condition of one of the largest customer of
ITL and its inability to pay outstanding dues to ITL anddetermined the recoverable amount for its investment in
ITL. The Company, considering the amount of recoverable
value so determined recorded an impairment charge
for investment of H 42,764 Mn which is disclosed as an
exceptional item.
We have considered the impairment evaluation as a
key audit matter as the determination of recoverable
amount of investment based on value-in-use is complex
and subjective as it involves significant estimates andjudgements in determining the assumptions such as therevenue growth, EBITDA margins, discount rates applied
to estimated future cash flows and growth rate, especiallywhen there is uncertainty about the going concern of oneof the largest customer of ITL.

We evaluated reasonableness of management’s basis ofdetermining value in use and assumptions related to revenue
growth, EBITDA margins, discount rates and long term growth
rates by considering (i) the current and past performance and(ii) the consistency with external sources of information, whereavailable.
We involved our internal valuation specialists to assist in theevaluation of the appropriateness of significant assumptions like
discount rate and long term growth rates.
We also evaluated the impairment disclosures against therequirements of Ind AS 36 – Impairment of Assets.
We tested the appropriateness of the accounting policies
and disclosures related to Investments in notes 2.9.a and 7
respectively in the standalone financial statements.

Refer Note 2.9.a for accounting policy and Note 7 fordisclosure relating to investments in joint ventures.

Information Other than the Financial Statements
and Auditor’s Report Thereon
The Company’s Board of Directors is responsible for theother information. The other information comprises theManagement Discussion and Analysis, Board’s Report
including Annexures to the Board’s Report, BusinessResponsibility & Sustainability Report and Corporate
Governance Report, but does not include the Consolidated
Financial Statements, Standalone Financial Statements andour auditor’s reports thereon.
Our opinion on the Standalone Financial Statements does notcover the other information and we do not express any formof assurance conclusion thereon.
In connection with our audit of the Standalone Financial
Statements, our responsibility is to read the other information
and, in doing so, consider whether the other information
is materially inconsistent with the Standalone Financial
Statements or our knowledge obtained during the course of
our audit or otherwise appears to be materially misstated.
If, based on the work we have performed, we conclude that
there is a material misstatement of this other information, weare required to report that fact. We have nothing to report inthis regard.

Responsibilities of Management and Those
Charged with Governance for the Standalone
Financial Statements
The Company’s Board of Directors is responsible for thematters stated in section 134(5) of the Act with respect tothe preparation of these Standalone Financial Statementsthat give a true and fair view of the financial position, financial
performance including other comprehensive income/

242

Bharti Airtel Limited(loss), changes in equity and cash flows of the Company inaccordance with the Ind AS and other accounting principles
generally accepted in India. This responsibility also includes
maintenance of adequate accounting records in accordancewith the provisions of the Act for safeguarding the assets of
the Company and for preventing and detecting frauds andother irregularities; selection and application of appropriate
accounting policies; making judgments and estimates thatare reasonable and prudent; and design, implementationand maintenance of adequate internal financial controls,that were operating effectively for ensuring the accuracy
and completeness of the accounting records, relevant to the
preparation and presentation of the Standalone Financial
Statements that give a true and fair view and are free frommaterial misstatement, whether due to fraud or error.
In preparing the Standalone Financial Statements, Board of
Directors is responsible for assessing the Company’s ability
to continue as a going concern, disclosing, as applicable,
matters related to going concern and using the going concern
basis of accounting unless Board of Directors either intends
to liquidate the Company or to cease operations, or has no
realistic alternative but to do so.
Company’s Board of Directors are also responsible foroverseeing the Company’s financial reporting process.

Auditor’s Responsibility for the Audit of theStandalone Financial Statements
Our objectives are to obtain reasonable assurance about
whether the Standalone Financial Statements as a whole
are free from material misstatement, whether due to fraud
or error, and to issue an auditor’s report that includes ouropinion. Reasonable assurance is a high level of assurance,
but is not a guarantee that an audit conducted in accordanceManagement Discussion & Analysis

Statutory Reports

with SAs will always detect a material misstatement when it
exists. Misstatements can arise from fraud or error and areconsidered material if, individually or in the aggregate, they
could reasonably be expected to influence the economic
decisions of users taken on the basis of these Standalone
Financial Statements.
As part of an audit in accordance with SAs, we exercise
professional judgment and maintain professional skepticism
throughout the audit. We also:•	Identify and assess the risks of material misstatementof the Standalone Financial Statements, whether due
to fraud or error, design and perform audit procedures
responsive to those risks, and obtain audit evidence
that is sufficient and appropriate to provide a basis
for our opinion. The risk of not detecting a material
misstatement resulting from fraud is higher than for
one resulting from error, as fraud may involve collusion,forgery, intentional omissions, misrepresentations, or theoverride of internal control.
•	Obtain an understanding of internal financial controls
relevant to the audit in order to design audit proceduresthat are appropriate in the circumstances. Undersection 143(3)(i) of the Act, we are also responsible
for expressing our opinion on whether the Company
has adequate internal financial controls with reference
to standalone financial statements in place andthe operating effectiveness of Company’s internalfinancial controls.
•	Evaluate the appropriateness of accounting policies
used and the reasonableness of accounting estimatesand related disclosures made by the management.
•	Conclude on the appropriateness of management’s useof the going concern basis of accounting and, basedon the audit evidence obtained, whether a material
uncertainty exists related to events or conditions that
may cast significant doubt on the Company’s ability
to continue as a going concern. If we conclude that amaterial uncertainty exists, we are required to draw
attention in our auditor’s report to the related disclosuresin the Standalone Financial Statements or, if suchdisclosures are inadequate, to modify our opinion. Our
conclusions are based on the audit evidence obtained
up to the date of our auditor’s report. However, future
events or conditions may cause the Company to cease
to continue as a going concern.
•	Evaluate the overall presentation, structure and content
of the Standalone Financial Statements, including thedisclosures, and whether the Standalone Financial
Statements represent the underlying transactions andevents in a manner that achieves fair presentation.
Materiality is the magnitude of misstatements in theStandalone Financial Statements that, individually or inaggregate, makes it probable that the economic decisions ofa reasonably knowledgeable user of the Standalone Financial
Statements may be influenced. We consider quantitative

Financial Statements

materiality and qualitative factors in (i) planning the scope of
our audit work and in evaluating the results of our work; and(ii) to evaluate the effect of any identified misstatements in
the Standalone Financial Statements.
We communicate with those charged with governanceregarding, among other matters, the planned scope andtiming of the audit and significant audit findings, including
any significant deficiencies in internal control that we identify
during our audit.
We also provide those charged with governance with astatement that we have complied with relevant ethicalrequirements regarding independence, and to communicate
with them all relationships and other matters that may
reasonably be thought to bear on our independence, andwhere applicable, related safeguards.
From the matters communicated with those charged withgovernance, we determine those matters that were ofmost significance in the audit of the Standalone Financial
Statements of the current period and are therefore the key
audit matters. We describe these matters in our auditor’sreport unless law or regulation precludes public disclosure
about the matter or when, in extremely rare circumstances,
we determine that a matter should not be communicated inour report because the adverse consequences of doing sowould reasonably be expected to outweigh the public interest
benefits of such communication.

Report on Other Legal and Regulatory Requirements
1.	As required by Section 143(3) of the Act, based on our
audit, we report that:a)	We have sought and obtained all the information andexplanations which to the best of our knowledge andbelief were necessary for the purposes of our audit.
b)	In our opinion, proper books of account as required bylaw have been kept by the Company so far as it appears
from our examination of those books.
c)	The Standalone Balance Sheet, the Standalone Statementof Profit and Loss including Other Comprehensive loss,
the Standalone Statement of Changes in Equity and theStandalone Statement of Cash Flows dealt with by thisReport are in agreement with the books of account.
d)	In our opinion, the aforesaid Standalone Financial
Statements comply with Ind AS specified under Section
133 of the Act.
e)	On the basis of the written representations received
from the directors as on March 31, 2023 taken on
record by the Board of Directors, none of the directors is
disqualified as on March 31, 2023 from being appointed
as a director in terms of Section 164(2) of the Act.
f)	With respect to the adequacy of the internal financial
controls with reference to Standalone Financial
Statements of the Company and the operating
effectiveness of such controls, refer to our separate

Integrated Report and Annual Financial Statements 2022-23

243

Corporate Overview

the understanding, whether recorded inwriting or otherwise, that the Company shall,
directly or indirectly, lend or invest in otherpersons or entities identified in any mannerwhatsoever by or on behalf of the Funding
Party (“Ultimate Beneficiaries”) or provide any
guarantee, security or the like on behalf of the
Ultimate Beneficiaries.

Report in “Annexure A”. Our report expresses anunmodified opinion on the adequacy and operating
effectiveness of the Company’s internal financial controls
with reference to Standalone Financial Statements.
g)	With respect to the other matters to be included in the
Auditor’s Report in accordance with the requirements ofsection 197(16) of the Act, as amended,	In our opinion and to the best of our information
and according to the explanations given to us, theremuneration paid by the Company to its directors
during the year is in accordance with the provisions ofsection 197 of the Act.
h)	With respect to the other matters to be included in
the Auditor’s Report in accordance with Rule 11 of
the Companies (Audit and Auditors) Rules, 2014,as amended, in our opinion and to the best of our
information and according to the explanations given
to us:
i.	The Company has disclosed the impact of pending
litigations on its financial position in its Standalone
Financial Statements (Refer Note 22(I) to theStandalone Financial Statements).
ii.	The Company has made provision, as required
under the applicable law or accounting standards,
for material foreseeable losses, if any, on long-term
contracts including derivative contracts (Refer
Note 19 to the Standalone Financial Statements).
iii.	There has been no delay in transferring amounts,
required to be transferred, to the Investor Education
and Protection Fund by the Company (Refer Note
18 to the Standalone Financial Statements).
iv.

		(a)	The Management has represented that, to thebest of its knowledge and belief, no funds havebeen advanced or loaned or invested (either
from borrowed funds or share premium or any
other sources or kind of funds) by the Company
to or in any other person(s) or entity(ies),
including foreign entities (“Intermediaries”),
with the understanding, whether recordedin writing or otherwise, that the Intermediary
shall, directly or indirectly lend or invest inother persons or entities identified in any
manner whatsoever by or on behalf of theCompany (“Ultimate Beneficiaries”) or provide
any guarantee, security or the like on behalf of
the Ultimate Beneficiaries.
(b)	The Management has represented, that,to the best of its knowledge and belief, nofunds have been received by the Company
from any person(s) or entity(ies), including
foreign entities (“Funding Parties”), with		(c)	Based on the audit procedures performedthat have been considered reasonable andappropriate in the circumstances, nothing
has come to our notice that has caused us
to believe that the representations under
sub-clause (i) and (ii) of Rule 11(e), as
provided under (a) and (b) above, contain any
material misstatement.

v.	The final dividend proposed in the previous year,
declared and paid by the Company during theyear is in accordance with section 123 of the Act,
as applicable.
		As stated in note 15(h) to the Standalone Financial
Statements, the Board of Directors of the Company
has proposed final dividend for the year which is
subject to the approval of the members at theensuing Annual General Meeting. The dividend
proposed is in accordance with section 123 of theAct, as applicable.
vi.	Proviso to Rule 3(1) of the Companies (Accounts)
Rules, 2014 for maintaining books of accountusing accounting software which has a feature ofrecording audit trail (edit log) facility is applicable to
the Company w.e.f. April 1, 2023, and accordingly,
reporting under Rule 11(g) of Companies (Audit
and Auditors) Rules, 2014, as amended, is notapplicable for the financial year ended March
31, 2023.
2.	As required by the Companies (Auditor’s Report) Order,
2020 (“the Order”) issued by the Central Government interms of Section 143(11) of the Act, we give in “Annexure
B” a statement on the matters specified in paragraphs 3
and 4 of the Order.
For Deloitte Haskins & Sells LLP
Chartered Accountants(Firm‘s Registration No. 117366W/W-100018)
Vijay Agarwal
Partner(Membership No. 094468)(UDIN: 23094468BGYIOH1932)
Place: New Delhi
Date: May 16, 2023

Management Discussion & Analysis

Statutory Reports

Annexure “A” to the Independent Auditor's Report(Referred to in paragraph 1(f) under ‘Report on Other Legal and Regulatory Requirements’ section of our reportof even date)
Report on the Internal Financial Controls with reference
to Standalone Financial Statements under Clause (i) of
Sub-section 3 of Section 143 of the Companies Act, 2013(“the Act”)
We have audited the internal financial controls with reference
to Standalone Financial Statements of BHARTI AIRTELLIMITED (“the Company”) as at March 31, 2023 in conjunction
with our audit of the Standalone Financial Statements of theCompany as at and for the year ended on that date.

Management’s
Responsibility
Financial Controls

forInternal

The Company’s management is responsible for establishingand maintaining internal financial controls with reference
to standalone financial statements based on the internal
control with reference to Standalone Financial Statements
criteria established by the Company considering the essential
components of internal control stated in the GuidanceNote on Audit of Internal Financial Controls Over Financial
Reporting issued by the Institute of Chartered Accountantsof India (“the Guidance Note”). These responsibilities include
the design, implementation and maintenance of adequate
internal financial controls that were operating effectively forensuring the orderly and efficient conduct of its business,
including adherence to company’s policies, the safeguardingof its assets, the prevention and detection of frauds and errors,
the accuracy and completeness of the accounting records,
and the timely preparation of reliable financial information, as
required under the Companies Act, 2013 (“the Act”).

Auditor’s Responsibility
Our responsibility is to express an opinion on the Company's
internal financial controls with reference to Standalone
Financial Statements of the Company based on our audit. We
conducted our audit in accordance with the Guidance Note andthe Standards on Auditing prescribed under Section 143(10) of
the Act, to the extent applicable to an audit of internal financial
controls with reference to Standalone Financial Statements.
Those Standards and the Guidance Note require that wecomply with ethical requirements and plan and perform theaudit to obtain reasonable assurance about whether adequate
internal financial controls with reference to Standalone
Financial Statements was established and maintained and if
such controls operated effectively in all material respects.
Our audit involves performing procedures to obtain audit
evidence about the adequacy of the internal financial controls
with reference to Standalone Financial Statements andtheir operating effectiveness. Our audit of internal financial
controls with reference to Standalone Financial Statements
included obtaining an understanding of internal financial
controls with reference to Standalone Financial Statements,
assessing the risk that a material weakness exists, and testingand evaluating the design and operating effectiveness ofinternal control based on the assessed risk. The procedures
selected depend on the auditor’s judgement, including theassessment of the risks of material misstatement of thefinancial statements, whether due to fraud or error.
We believe that the audit evidence we have obtained issufficient and appropriate to provide a basis for our audit

244

Bharti Airtel Limited

Financial Statements

opinion on the Company’s internal financial controls withreference to Standalone Financial Statements.

Meaning of Internal Financial Controls withreference to Standalone Financial Statements
A company's internal financial control with reference toStandalone Financial Statements is a process designed toprovide reasonable assurance regarding the reliability offinancial reporting and the preparation of financial statements
for external purposes in accordance with generally accepted
accounting principles. A company's internal financial control withreference to Standalone Financial Statements includes thosepolicies and procedures that (1) pertain to the maintenance ofrecords that, in reasonable detail, accurately and fairly reflect thetransactions and dispositions of the assets of the company; (2)provide reasonable assurance that transactions are recorded
as necessary to permit preparation of financial statements inaccordance with generally accepted accounting principles, andthat receipts and expenditures of the company are being madeonly in accordance with authorisations of management anddirectors of the company; and (3) provide reasonable assurance
regarding prevention or timely detection of unauthorised
acquisition, use, or disposition of the company's assets that
could have a material effect on the financial statements.

Inherent Limitations of Internal Financial Controls
with reference to Standalone Financial Statements
Because of the inherent limitations of internal financial controls
with reference to Standalone Financial Statements, including
the possibility of collusion or improper management overrideof controls, material misstatements due to error or fraud may
occur and not be detected. Also, projections of any evaluationof the internal financial controls with reference to Standalone
Financial Statements to future periods are subject to the riskthat the internal financial control with reference to Standalone
Financial Statements may become inadequate because ofchanges in conditions, or that the degree of compliance withthe policies or procedures may deteriorate.

OpinionIn our opinion, to the best of our information and according
to the explanations given to us, the Company has, in allmaterial respects, an adequate internal financial controls
with reference to Standalone Financial Statements andsuch internal financial controls with reference to Standalone
Financial Statements were operating effectively as at March
31, 2023, based on the criteria for internal financial control withreference to Standalone Financial Statements establishedby the Company considering the essential components ofinternal control stated in the Guidance Note.
For Deloitte Haskins & Sells LLP
Chartered Accountants(Firm‘s Registration No. 117366W/W-100018)
Vijay Agarwal
Partner(Membership No. 094468)(UDIN: 23094468BGYIOH1932)
Place: New Delhi
Date: May 16, 2023

Integrated Report and Annual Financial Statements 2022-23

245

Corporate Overview

Annexure B to the Independent Auditor's Report(Referred to in paragraph 2 under ‘Report on Other Legal and Regulatory Requirements’ section of our report ofeven date)
3 years which, in our opinion, is reasonable having regard
to the size of the Company and the nature of its assets.
Pursuant to the program, certain Property, Plant andEquipment, capital work-in progress and right of use
assets (based on underlying agreements/other relevant
documents and refer sub-clause (c) below) were due forverification during the year and were physically verified
by the Management during the year. According to theinformation and explanations given to us, no material
discrepancies were noticed on such verification.

In terms of the information and explanations sought by us andgiven by the Company and the books of account and records
examined by us in the normal course of audit and to the bestof our knowledge and belief, we state that(i)	In respect of Company’s Property, Plant and Equipment,
Right of use assets and Intangible Assets:(a)(A)	The Company has maintained proper records
showing full particulars, including quantitative
details and situation of Property, Plant andEquipment, capital work-in-progress and relevant
details of right of use assets except in the case ofcertain Plant and Machinery, where the Company isin the process of updating the records for situationof these assets.
(B)	The Company has maintained proper records
showing full particulars of intangible assets.

(b)	The Company, except for customer premises equipment
and bandwidth which due to their nature or location are
not verifiable, has a program of verification of property,
plant and equipment, capital work in-progress, andright-of-use assets so to cover all the items once every

Description ofproperty

Land

Land

As at the Balance sheet
date(Amount in K Mn)
Carrying
Grossvalue in the
Carrying
Standalone
Value
Financial
Statements

2,630

133

2,630

133

Held in thename of

Tata
Teleservices
Limited(c)	With respect to immovable properties (other thanproperties where the Company is the lessee andthe lease agreements are duly executed in favour of
the Company) disclosed in the Standalone Financial
Statements included in property, plant and equipment
and according to the information and explanations given
to us and based on the examination of the property tax
receipts and utility bills for self constructed buildings,
registered sale deed / transfer deed / conveyance deedor court orders approving schemes of arrangements /amalgamations (as applicable) provided to us, we report
that, the title deeds of such immovable properties areheld in the name of the Company as at the balance sheet
date, except for as provided below.

Whetherpromoter,director or
their relative
or employee

No

Amrit Bottlers No
Pvt.
LimitedBuilding

203

Building

Building

32

251

165

26

122

Tata
Teleservices
Limited
Tata
Teleservices

No

No(Maharashtra)
LimitedAmrit Bottlers No
Pvt. Limited

Period held

Held since
July 1, 2019

Held since
February 12,2010

Held since
July 1, 2019

Reason for not being in Company’s
name

Ownership of these lands istransferred and vested in the
Company through merger scheme.
The titles are pending mutation in
the name of the Company.
The Company is in the possessionoftheproperty.
However,conveyance deed is yet to be
executed in the name of theCompany.
Ownership of these buildings
is transferred and vested in the
Company through merger scheme.

Held since
July 1, 2019

The titles are pending mutation in
the name of the Company.

Held since
February 12,
2010

The Company is in the possessionoftheproperty.
However,conveyance deed is yet to be
executed in the name of theCompany.

Management Discussion & Analysis

Statutory Reports

Financial Statements

	Further, Property, plant and equipment includes certain immovable properties having gross carrying value of H 1,222 million(Net carrying value of H 285 million) as at March 31, 2023 acquired as part of scheme of arrangements / amalgamations
are still registered in the name of erstwhile group companies/pending mutation in the name of the Company (Refer Note
38 of Standalone Financial Statements).
	In respect of immovable properties that have been taken on lease and disclosed in the financial statements as right ofuse assets as at the balance sheet date, the lease agreements are duly executed in favour of the Company, except foras provided below.

Description of
immovable
properties
taken on lease

As at the Balance sheet
date(Amount in K Mn)
Carrying
Grossvalue in the
carrying
FinancialvalueStatement

Land

15

14

Building

235

194

Held in nameof

Tata
Teleservices
Limited
Tata
Teleservices
LimitedWhetherpromoter,director or
their relative
or employee

Period held

No

Held since
July 1, 2019No

Held since
July 1, 2019

Reason for not being held in nameof Company*

Right to use of land & building isvested in the Company throughmerger scheme. The duly executed
agreements are pending mutationin the name of the Company.

(d)	The Company has not revalued any of its property, plant and equipment, right of use assets and intangible assets
during the year.
(e)	According to the information and explanations given to us, no proceedings have been initiated during the year or are
pending against the Company as at March 31, 2023 for holding any benami property under the Benami Transactions(Prohibition) Act, 1988 (as amended in 2016) and rules made thereunder.
(ii)

(a)

The company does not have any inventory and hence reporting under clause (ii)(a) of the Order is not applicable.

(ii)(b)	According to the information and explanations given to us, at any point of time of the year, the Company has notbeen sanctioned any working capital facility from banks or financial institutions on the basis of security of current
assets, and hence reporting under clause (ii)(b) of the Order is not applicable.

(iii)	The Company has made investments in, provided guarantee and granted loans or advance in nature of loan, unsecured,
to companies or any other parties during the year, in respect of which:(a)	The Company has provided loans (excluding loans to employees), advance in nature of loans and guarantees during
the year and details of which are given below:
Loan Amounts*

A.	Aggregate amount granted / provided during theyear:- Subsidiaries
B.	Balance outstanding as at balance sheet date(subsidiaries)

47,90841,763

Advance in natureof loan-

Guarantees

349,854		* Excluding loans given to Telesonic Networks Limited and Nettle Infrastructure Investments Limited (merged with company w.e.f.
April 1, 2022).

(b)	The investments made, guarantees provided and the terms and conditions of the grant of all the above-mentioned
loans, during the year are, in our opinion, prima facie, not prejudicial to the Company’s interest.
(c)	The Company has granted loans which are payable on demand. During the year, Loans amounting to
H 15,668 million (excluding loans amounting 2,935 million converted in equity of wholly owned subsidiaries) havebeen re-paid. In our opinion, the repayments of principal amounts and receipts of interest are regular (Refer reporting
under clause (iii)(f) below).
(d)	According to information and explanations given to us and based on the audit procedures performed, in respect ofloans provided by the Company, there is no overdue amount remaining outstanding as at the balance sheet dateas the Company has not demanded such loans.
(e)	None of the loans granted by the Company have fallen due during the year as the Company has not demanded
such loans .

246

Bharti Airtel Limited

Integrated Report and Annual Financial Statements 2022-23

247

Corporate Overview

prima facie, the prescribed cost records have been madeand maintained by the Company. We have, however,not made a detailed examination of the cost records
with a view to determine whether they are accurate
or complete.

(f)	Above mentioned loans in clause (iii) (a) grantedby the Company are repayable on demand andrepresent 100% of the total loans granted.
(iv)	According to the information and explanations given
to us, the Company has complied with the provisionsof Sections 185 and 186 of the Companies Act, 2013
in respect of grant of loans, making investments andproviding guarantees and securities, as applicable.

(vii) In respect of statutory dues:(vi)	The maintenance of cost records has been specified
by the Central Government under section 148(1) of theCompanies Act, 2013. We have broadly reviewed thebooks of account maintained by the Company pursuant
to the Companies (Cost Records and Audit) Rules, 2014,as amended, prescribed by the Central Government for
maintenance of cost records under Section 148(1) of
the Companies Act, 2013, and are of the opinion that,		There were no undisputed amounts payable inrespect of Goods and Service tax, Provident Fund,
Employees’ State Insurance, Income-tax, Duty ofcustom, cess and other material statutory dues inarrears as at March 31, 2023 for a period of morethan six months from the date they became payable.

(b)	Details of statutory dues referred to in sub-clause (a) above as on March 31, 2023 on account of disputes are
given below:
Name of Statue

Nature of Dispute

Income Tax Act, 1961
Income Tax Act, 1961

Income Tax
Income Tax

Income Tax Act, 1961

Income Tax

Income Tax Act, 1961

Income Tax

Income Tax Act, 1961

Income Tax

Forum where dispute ispending

1999-05; 2002-08
1996-98, 2002-05,
2006-09, 2013-14;
2004-10
1995-97, 2000-04,
2006-08, 2014-16;
2003-10
1999-00, 2003-04,
2010-11, 2012-13,
2015-16; 2004-07,
2008-10
2000-02, 2005-06;
1996-97, 2003-14

Supreme Court
High Court

139
21,894

Income Tax Appellate
Tribunal

1,034

Commissioner of Income
Tax (Appeals)

1,582

Assessing Officer

5,542

Finance Act, 1994 (Service tax)

Custom Act
Custom Act
Custom Act
Custom Act

2004-2005
2001-2005
2016-2017
2003-2019

Assessing Officer
Supreme Court
Commissioner
Tribunal

Service Tax
Service Tax
Service Tax
Service Tax
Service Tax

1996-20092003-20092004-2008
1999-20172016-2018

Commissioner
High Court
Supreme Court
Tribunal
Joint Commissioner(Appeals)
Deputy Commissioner(Appeal)Service Tax

1997-2006

Sub Total (C)Goods and Services Tax Act, 2017

AP GST2017-2019

Goods and Services Tax Act, 2017
Goods and Services Tax Act, 2017

UP GST
UP GST2018-20192018-2019248

Bharti Airtel Limited

Financial Statements

Total Disputed
amount(K In Mn)*

Name of Statue

Nature of Dispute

Period to which
the amount relates

Forum where dispute ispending

Goods and Services Tax Act, 2017
Goods and Services Tax Act, 2017
Goods and Services Tax Act, 2017
Goods and Services Tax Act, 2017

HP GST
WB GST
Telangana GST
Bihar GST

2019-2021
2020-2021
2017-20182017-2020

Assessing Officer
Assessing Officer
Additional Commissioner
Assistant Commissioner

Bihar VAT Act, 2005
Delhi VAT Act, 2004
Delhi VAT Act, 2004
Delhi VAT Act, 2004
The Gujarat VAT Act, 2003

Sales Tax
VAT
VAT
VAT
VAT

2005-20182013-20172015-20182013-20142016-2018

The Madhya Pradesh VAT Act, 2002
Punjab VAT Act, 2005
Punjab VAT Act, 2005
Punjab VAT Act, 2005
UPVAT Act, 2008
UPVAT Act, 2008
UPVAT Act, 2008
UPVAT Act, 2008
UPVAT Act, 2008
UPVAT Act, 2008
UPVAT Act, 2008
The West Bengal VAT Act, 2003
The West Bengal VAT Act, 2003

VAT
VAT
VAT
VAT
VAT
VAT
VAT
VAT
VAT
VAT
VAT
VAT
VAT

2008-20092003-2004
2008-20102007-2008
2004-2012
2002-2005
2003-20092008-20102009-20102009-2016
2003-2009
1995-2002
1996-1997

The West Bengal VAT Act, 2003
The West Bengal VAT Act, 2003
The Kerala VAT Act, 2003
The Kerala VAT Act, 2003
The Kerala VAT Act, 2003
The Karnataka VAT Act, 2003
The Karnataka VAT Act, 2003
Telangana VAT Act, 2005
Telangana VAT Act, 2005
Andhara Pradesh VAT Act, 2005

VAT
VAT
VAT
VAT
VAT
VAT
VAT
VAT
VAT
VAT

2005-2006
1997-1998
2008-20092006-20192003-2004
2002-20092005-2006
2009-20102008-2017
2006-2010

Tribunal
Special Commissioner
Assessing Officer
Tribunal
Deputy Commissioner(Appeals)
Assistant Commissioner
High Court
Tribunal
Assistant Commissioner
Assessing Officer
Assistant Commissioner
Deputy Commissioner
High Court
Joint Commissioner
Tribunal
1st Appeal
Assessing Officer
Deputy Commissioner(Appeal)
Revisional Authority
Tribunal
Assessing Officer
High Court
Tribunal
Supreme Court
Tribunal
Supreme Court
Tribunal
Supreme Court

Entry Tax

2000-2003

Tribunal

9
0
0
123
0
3,160
256
487
127
2,849
7,307
46

Entry Tax

2010-2012

Tribunal

33

Entry Tax

2005-2006

High Court

172

Entry Tax

1999-2012

Assessing Officer

33

Entry Tax

1998-2008

Commissioner

3

Entry Tax

2000-2011

High Court

490

Entry Tax

2001-2003

Tribunal

10

Entry Tax

2006-2016

1st Appeal

8

Entry Tax

2006-2016

9

Entry Tax

2006-2016

Deputy Commissioner(Appeals)
Additional Commissioner

Entry Tax

2006-2016

Assistant Commissioner

14

Integrated Report and Annual Financial Statements 2022-23

249

Sub Total (E)Sub Total (B)Finance Act, 1994 (Service tax)
Finance Act, 1994 (Service tax)
Finance Act, 1994 (Service tax)
Finance Act, 1994 (Service tax)
Finance Act, 1994 (Service tax)

Total Disputed
amount(K In Mn)*

Period to which
the amount relates

Sub Total (A)Custom Act, 1962
Custom Act, 1962
Custom Act, 1962
Custom Act, 1962

Statutory Reports

Sub Total (D)(a)	Undisputed statutory dues, including Goods andService tax, Provident Fund, Employees’ State
Insurance, Income-tax, Duty of custom, cess andother material statutory dues applicable to theCompany have been regularly deposited by itwith the appropriate authorities in all cases during
the year.

(v)	According to the information and explanations given
to us, the Company has not accepted any deposit oramounts which are deemed to be deposits. Hence,
reporting under clause (v) of the Order is not applicable.

Management Discussion & Analysis

Joint Commissioner,(Appeal)
1st Appeal
Assistant Commissioner

30,191
6
4,128
0
1,118
5,252
158
1,132
273
15,92013
017,496162
00Haryana Local Area Development Tax
Act, 2000
HP Tax on Entry of Goods into Local
Areas Act, 2010
Karnataka Special Tax on Entry of
Certain Goods Act, 2004
Madhya Pradesh Sthaniya Kshetra Me
Mal Ke Pravesh Par Kar Adhiniyam, 1976
Madhya Pradesh Sthaniya Kshetra Me
Mal Ke Pravesh Par Kar Adhiniyam, 1976
Madhya Pradesh Sthaniya Kshetra Me
Mal Ke Pravesh Par Kar Adhiniyam, 1976
Madhya Pradesh Sthaniya Kshetra Me
Mal Ke Pravesh Par Kar Adhiniyam, 1976
Madhya Pradesh Sthaniya Kshetra Me
Mal Ke Pravesh Par Kar Adhiniyam, 1976
Madhya Pradesh Sthaniya Kshetra Me
Mal Ke Pravesh Par Kar Adhiniyam, 1976
Madhya Pradesh Sthaniya Kshetra Me
Mal Ke Pravesh Par Kar Adhiniyam, 1976
Madhya Pradesh Sthaniya Kshetra Me
Mal Ke Pravesh Par Kar Adhiniyam, 1976

9
6
67
1,846
2,090
150
4
3
6
4
1
30
0
0
23
1
24
6
1
2
2
39
0

1

Corporate Overview

Total Disputed
amount(K In Mn)*

Name of Statue

Nature of Dispute

Period to which
the amount relates

Forum where dispute ispending

Telangana tax on entry of goods into
local areas act, 2001
The Assam Entry Tax Act, 2008
The Assam Entry Tax Act, 2008
UP Tax on Entry of Goods into Local
Areas Act, 2007
UP Tax on Entry of Goods into Local
Areas Act, 2007
Orissa Entry Tax Act
Bombay Provincial Municipal
Corporations Act,1949
Bombay Provincial Municipal
Corporations Act,1949

Entry Tax

2006-2007

High Court

Entry Tax
Entry Tax
Entry Tax

2017-20182006-2008
2004-2005

High Court
Revisional Authority
Assessing Officer

647
82
0

Entry Tax

2001-2007

High Court

407

Entry Tax
Local Body Tax

2006-2017
2002-2016

High Court
High Court

855
131

Local Body Tax

2010-2016

High Court

41

Entertainment Tax 2009-2010

High Court

2,988
5

Entertainment Tax 2016-2018

High Court

165

Sub Total (F)U.P. Entertainments and Betting Tax
Act, 1979
Madhya Pradesh Entertainment duty
and Advertisement tax Act 1936

Sub Total (G)Grand Total (A+B+C+D+E+F+G):

170
65,494

The above-mentioned figures represent the total disputed
cases without any assessment of Probable, Possible andRemote, as done in case of Contingent Liabilities. Of the above
cases, includes total amount deposited in respect of Income
Tax is H 8,613 Mn, Duty of custom is H 2,664 Mn, Service Tax
is H 666 Mn, Goods and Services Tax Act, 2017 is H 198 Mn,
Sales Tax is H 286 Mn, Entry Tax and other Local Area/Body
Taxes is H 1,591 Mn and Entertainment Tax is H nil.

term sources either through its operations or othermeans to meet the working capital requirements arisingfrom the event of short-term sources falling due forpayment. On an overall examination of the Standalone
Financial Statements of the Company, funds raised on
short-term basis have been used during the year for
long-term purposes by the Company. Refer Note 17 to
the Standalone Financial Statements.
(e)	According to the information and explanations
given to us and on an overall examination of theStandalone Financial Statements of the Company,
the Company has not taken any funds fromany entity or person on account of or to meetthe obligations of its subsidiaries, associates orjoint ventures.

* Amount less than half million are appearing as '0'(viii)	According to the information and explanations given
to us, there were no transactions relating to previously
unrecorded income that were surrendered or disclosed
as income in the tax assessments under the Income Tax
Act, 1961 (43 of 1961) during the year.
(ix) (a)	According to the information and explanations given
to us, in our opinion, the Company has not defaulted
in the repayment of loans or other borrowings orin the payment of interest thereon to any lenderduring the year.
(b)	According to the information and explanations
given to us, the Company has not been declaredwilful defaulter by any bank or financial institution
or government or any government authority.
(c)	To the best of our knowledge and belief andaccording to the information and explanations
given to us, in our opinion, term loans availed by
the Company were, applied by the Company during
the year for the purposes for which the loans
were obtained.
(d)	To the best of our knowledge and belief and according
to the information and explanations given to us, themanagement of the Company is of the view that theCompany is able to generate sufficient funds from long250

Bharti Airtel Limited6(f)	According to the information and explanations
given to us, the Company has not raised loans
during the year on the pledge of securities held in its
subsidiary or joint ventures or associate companies.
(x)(a)	The Company has not raised moneys by way of initialpublic offer or further public offer (including debt
instruments) during the year and hence reporting
under clause (x)(a) of the Order is not applicable.
Further, the Company has raised moneys throughcommercial papers from Qualified Institutional
Buyers (QIBs) for general corporate purpose use.

Management Discussion & Analysis

Statutory Reports(xi) (a)	According to the information and explanations given
to us and to the best of our knowledge, no fraud by
the Company and no material fraud on the Company
has been noticed or reported during the year.
(b)	According to the information and explanations
given to us and to the best of our knowledge, noreport under sub-section (12) of section 143 of theCompanies Act has been filed in Form ADT-4 asprescribed under rule 13 of Companies (Audit andAuditors) Rules, 2014 with the Central Government,
during the year and upto the date of this report.
(c)	We have taken into consideration the whistle blower
complaints received by the Company during theyear (and upto the date of this report) and provided
to us, when performing our audit.
(xii)	T he Company is not a Nidhi Company and hence
reporting under clause (xii) of the Order is not applicable.
(xiii)	According to the information and explanations given
to us and in our opinion, the Company is in compliancewith Section 177 and 188 of the Companies Act, whereapplicable, for all transactions with the related parties
and the details of related party transactions have been
disclosed in the Standalone Financial Statements etc. as
required by the applicable accounting standards.
(xiv) (a)	In our opinion the Company has an adequate
internal audit system commensurate with the size
and the nature of its business.
(b)	We have considered, the internal audit reports
issued to the Company during the year andcovering the period upto March 31, 2023.
(xv)	According to the information and explanations given
to us, in our opinion, during the year the Company has
not entered into any non-cash transactions with its
directors or persons connected with its directors andhence provisions of section 192 of the Companies Act,
2013 are not applicable to the Company.
(xvi) (a)	The Company is not required to be registeredunder section 45-IA of the Reserve Bank of India
Act, 1934. Hence, reporting under clause (xvi)(a),(b) and (c) of the Order is not applicable.

Financial Statements(b)	The Group does not have more than one CIC aspart of the group.
(xvii)	The Company has not incurred cash losses during thefinancial year covered by our audit and the immediately
preceding financial year.
(xviii) There has been no resignation of the statutory auditorsof the Company during the year.
(xix)	On the basis of the financial ratios, ageing and expected
dates of realization of financial assets and payment offinancial liabilities, other information accompanying theStandalone Financial Statements and our knowledgeof the Board of Directors and Management plans andbased on our examination of the evidence supporting
the assumptions, nothing has come to our attention,
which causes us to believe that any material uncertainty
exists as on the date of the audit report indicating that
Company is not capable of meeting its liabilities existingat the date of balance sheet as and when they fall due
within a period of one year from the balance sheet date.
We, however, state that this is not an assurance as tothe future viability of the Company. We further state that
our reporting is based on the facts up to the date of theaudit report and we neither give any guarantee nor any
assurance that all liabilities falling due within a period of
one year from the balance sheet date, will get discharged
by the Company as and when they fall due.
(xx)	T he Company has incurred losses during the three
immediately preceding financial years and hence, it is
not required to spend any money under sub-section (5)of section 135 of the Act. Accordingly, reporting underclause (xx) of the Order is not applicable for the year.
For Deloitte Haskins & Sells LLP
Chartered Accountants(Firm’s Registration No. 117366W/W-100018)

Place: New Delhi
Date: May 16, 2023

Vijay Agarwal
PartnerMembership No.094468)
UDIN: 23094468BGYIOH1932(b)	The Company has made private placement ofshares during the year. For such allotment of shares,
the Company has complied with the requirementsof Section 42 and 62 of the Companies Act, 2013,
and the funds raised have been, prima facie, appliedby the Company during the year for the purposes
for which the funds were raised. The Company has
not made any private placement of (fully or partly or
optionally) convertible debentures during the year.
Integrated Report and Annual Financial Statements 2022-23

251

Corporate Overview

Standalone Balance Sheet
As ofMarch 31, 2023

March 31, 2022#

5
5
35
6
6
6
7

650,837
69,598397,026
1,083
825,145
335,959
431,150

637,950
17,149219,682
1,083
778,642
16,708458,974

7
8
10

565
81
17,22813,540146,439
61,3512,950,002

312
16,84011,658160,175
60,323
2,379,496-

4

35,199963
21,165
13,925505
41,763200,836
91,414
405,770
3,355,772

7,974
316
27,7173,102
312
11,288
194,950
87,249332,9122,712,408

28,366
761,568
789,934

27,950720,755
748,705

1,362,300
351,369
51,874
15,311
2,534
1,783,388

973,228
174,350
34,201
17,5142,603
1,201,896

8

44,11059,184532

103,011
48,461
176

21
21

731
259,258481
255,28218
23
19

124,585
55,305
212,918
18
25,809782,450
2,565,838
3,355,772

74,50250,999209,146
204
19,545
761,807
1,963,703
2,712,408

Notes

For the year ended
March 31, 2023

March 31, 2022#

Income1112

Current assets
Inventories
Financial assets
Investments
Derivative instruments
Trade receivables
Cash and cash equivalents
Other bank balances
Loans
Other financial assets
Other current assets

7
8
13
14
14
9
10
12

Total assets
Equity and liabilities
EquityEquity share capital
Other equity

15

Non-current liabilities
Financial liabilities
Borrowings
Lease liabilities
Other financial liabilities
Deferred revenue
Provisions

17
18
23
19

Current liabilities
Financial liabilities
Borrowings
Lease liabilities
Derivative instruments
Trade payables-	total outstanding dues of micro enterprises and small enterprises-	total outstanding dues of creditors other than micro enterprises andsmall enterprises
Other financial liabilities
Deferred revenue
Provisions
Current tax liabilities (net)Other current liabilities

17

20

Total liabilities
Total equity and liabilities#Refer note 4(i)The accompanying notes 1 to 43 form an integral part of these Standalone Financial Statements.
As per our report of even date
For Deloitte Haskins & Sells LLP
Chartered Accountants(Firm's Registration No. 117366W / W-100018)

For and on behalf of the Board of Directors of Bharti Airtel Limited

Vijay Agarwal
PartnerMembership No. 094468

Sunil Bharti Mittal
Chairman
DIN: 00042491

Gopal Vittal
Managing Director & CEO
DIN: 02291778

Date: May 16, 2023
Place: New Delhi

Soumen Ray
Chief Financial Officer(India & South Asia)

Pankaj TewariCompany Secretary

Bharti Airtel Limited

Financial Statements(All amounts are in millions of Indian Rupee; except per share data)

Notes

252

Statutory Reports

Standalone Statement of Profit and Loss

(All amounts are in millions of Indian Rupee)

AssetsNon-current assets
Property, plant and equipment
Capital work-in-progress
Right-of-use assets
Goodwill
Other intangible assets
Intangible assets under development
Investments in subsidiaries, associates and joint ventures
Financial assets
Investments
Derivative instruments
Other financial assets
Income tax assets (net)Deferred tax assets (net)Other non-current assets

Management Discussion & Analysis

Revenue from operations

23

847,201

707,950

Other income

24

26,3386,040

873,539

713,990

183,857

171,877

Access charges

41,31832,309License fee / Spectrum charges

87,92584,623

Expenses
Network operating expenses

25

Employee benefits expense

26

19,664

17,954

Sales and marketing expenses

27

46,38331,497

Other expenses

28

30,067

22,685409,214360,945464,325

353,045

Profit before depreciation, amortisation, finance costs,
exceptional items and tax
Depreciation and amortisation expenses

29

263,550

243,298

Finance costs

30

145,318

132,208

55,457(22,461)

42,76420,096

12,693(42,557)(178)-

Profit / (loss) before exceptional items and tax
Exceptional items (net)31

Profit / (loss) before tax
Tax expense / (credit)
Current tax

11

Deferred tax

11

Loss for the year

13,767(3,920)13,589(3,920)(896)(38,637)

Other comprehensive income
Items not to be reclassified to profit or loss:-

Re-measurement loss on defined benefit plans

26

(123)

(13)

-

Tax credit

11

31

3

Other comprehensive loss for the year

(92)

(10)

Total comprehensive loss for the year

(988)

(38,647)(0.16)(6.96)

Loss per share (Face value: G 5 each)
Basic and diluted loss per share

32#Refer note 4(i)The accompanying notes 1 to 43 form an integral part of these Standalone Financial Statements.
As per our report of even date

For and on behalf of the Board of Directors of Bharti Airtel Limited

For Deloitte Haskins & Sells LLP

Chartered Accountants(Firm's Registration No. 117366W / W-100018)
Vijay Agarwal

Sunil Bharti Mittal

Gopal Vittal

Partner

ChairmanManaging Director & CEO

Membership No. 094468

DIN: 00042491

DIN: 02291778

Soumen Ray

Pankaj Tewari

Date: May 16, 2023

Chief Financial Officer

Company Secretary

Place: New Delhi(India & South Asia)
Integrated Report and Annual Financial Statements 2022-23

253

254
Bharti Airtel Limited-

565,477--

51,736-

513,741

Securities
premium

(988)

(898)
162,300
(896)
(92)

-

-

(38,647)

201,845(38,637)(10)

Retainedearnings-(23)
22,786----22,809-Generalreserve

28,366

5,967,422

624,233-

58,756

Securities
premium(16,984)(646)
143,682--

Retainedearnings

(300)
1,633

992

-

Share-based
payment
reserve(34,260)--

Capitalreserve

(31)

-

-

-

Fair value
through
OCI
reserve

DIN: 02291778

Chairman
DIN: 00042491

Membership No. 094468

Pankaj TewariCompany Secretary

Soumen Ray
Chief Financial Officer(India & South Asia)

Date: May 16, 2023
Place: New Delhi

-

3,542
-

-

-

-

3,542

-

-

Equitycomponentof foreign
currency
convertible
bondManaging Director & CEO

Sunil Bharti Mittal
Partner

Gopal Vittal

For and on behalf of the Board of Directors of Bharti Airtel Limited(17)
22,769--Generalreserve

Other equity

-

(31)
-

-

-

-

3,542
-

Equitycomponentof foreign
currency
convertible
bond

(317)
(16,984)(646)
761,568

992

58,756

Total

(988)

(588)
(898)
720,755
(896)
(92)

645

51,736(38,647)

708,507(38,637)
(10)

Total

(317)
(16,984)(646)
789,934

992

59,172Total
equity

(988)

(588)
(898)
748,705
(896)
(92)

645

52,226(38,647)

735,967(38,637)
(10)

Total
equityStatutory Reports

Vijay Agarwal(Firm's Registration No. 117366W / W-100018)

Chartered Accountants

For Deloitte Haskins & Sells LLP

As per our report of even date

The accompanying notes 1 to 43 form an integral part of these Standalone Financial Statements.

416

83,107

AmountReserves and Surplus-(34,260)
-

-

-

-

(31)
-

Fair value
through
OCI
reserve

Management Discussion & Analysis#Refer note 4(i)As of March 31, 2023

Issue of equity shares, net of
expenses (refer note 4 (ii) and (iii))
Employee share-based payment
expenseExercise of share options
Dividend paid to shareholders
Dividend paid#

Transactions with owners ofequityNo. ofshares(in '000)

Equity share capital(All amounts are in millions of Indian Rupee; unless stated otherwise)

-

(565)
941
-

645

-

-

861
-

Capitalreserve(34,260)-

Other equity

Share-based
payment
reserve

Reserves and Surplus

Standalone Statement of Changes in Equity

Total comprehensive loss

Loss for the year
Other comprehensive income(net of tax)-

27,950-5,884,315---

As of March 31, 2022

490

392,288

Issue of equity shares, net of
expenses (note 4(vii))
Employee share-based payment
expenseExercise of share options
Dividend paid#-

27,460--5,492,027-

AmountTotal comprehensive loss
Transactions with owners ofequityLoss for the year
Other comprehensive loss (net of
tax)

As of April 1, 2021#

No. ofshares(in '000)

Equity share capital(All amounts are in millions of Indian Rupee; unless stated otherwise)Standalone Statement of Changes in Equity

Corporate Overview
Financial Statements

Integrated Report and Annual Financial Statements 2022-23

255

Corporate Overview

Standalone Statement of Cash Flows

Management Discussion & Analysis

Statutory Reports

Financial Statements

Standalone Statement of Cash Flows(All amounts are in millions of Indian Rupee)(All amounts are in millions of Indian Rupee)

For the year ended

For the year ended

March 31, 2023

March 31, 2022#

12,693(42,557)

263,550
143,973(2,499)(15,181)(3,502)(1,987)42,764
(61)
961
2,741
797
444,249

243,298
131,557(1,428)
(450)
(87)
(975)
9,702
(243)
617
1,737
1,145
342,316

3,738(11,033)
(20)
3,422
6,138
(8,778)437,716(1,890)435,826

1,688
14,720(113)
3,764(2,372)
4,206
364,209
3,335
367,544(161,738)
827(2,826)(83,124)(25,238)(253)(11,832)(47,908)
15,66815,181
1,180(300,063)(167,367)
890(6,778)(174,442)
10,048663
31,195(89)(26,535)(56,050)
54,940450
1,378(331,697)

Adjustments for:
Depreciation and amortisation expenses
Finance costs
Interest income
Dividend income
Net gain on derivative financial instruments
Net gain on fair value through profit or loss (FVTPL) investments
Exceptional items (net)Profit on sale of property, plant and equipment
Employee share - based payment expense
Provision for doubtful debts / bad debts written off
Other non - cash items

Operating cash flows before changes in assets and liabilities
Changes in assets and liabilities
Trade receivables
Trade payables
Inventories
Provisions
Other financial and non-financial liabilities
Other financial and non-financial assets

Net cash generated from operations before tax
Income tax (paid) / refund - net

Net cash generated from operating activities (a)Cash flows from investing activities
Purchase of property, plant and equipment and capital-work-in-progress
Proceeds from sale of property, plant and equipment
Purchase of intangible assets and intangible assets under development
Payment towards spectrum (including deferred payment liability)*
Proceeds from sale of spectrum
Proceeds from sale of business (refer note 4 (v))(Purchase) / sale of current investments (net)
Purchase of non-current investments
Investment in subsidiaries, associates and joint venture
Loan given to subsidiaries
Loan repayment by subsidiaries and joint venture
Dividend received
Interest received

Net cash used in investing activities (b)256

Bharti Airtel Limited

March 31, 2022#

52,242
57,383(68,124)(44,499)(69,501)(34,878)
3(16,984)(646)(125,004)
10,75952,226
106,613(111,389)(49,845)
64,824(104,427)7(898)(42,889)(7,042)

3,102
13,861

10,144
3,102

Cash flows from financing activities

Cash flows from operating activities
Profit / (loss) before tax

March 31, 2023

Net Proceeds for issue of shares (refer note 4(ii) and 4(vii))
Proceeds from borrowings
Repayment of borrowings
Payment of lease liabilities(Repayment of) / Proceeds from short-term borrowings (net)
Interest and other finance charges paid
Proceeds from exercise of share options
Dividend paid to shareholders
Dividend paid

Net cash used in financing activities (c)Net increase / (decrease) in cash and cash equivalents during the year
(a+b+c)Add: Cash and cash equivalents as at the beginning of the year

Cash and cash equivalents as at the end of the year (refer note 14)#Refer note 4(i)*Cash flows towards spectrum acquisitions are based on the timing of payouts to Department of Telecommunications (‘DoT’) (viz. upfront / deferred).

The above Statement of Cash Flows has been prepared under the ‘indirect method’ as set out in Ind AS 7 'Statement of Cash
Flows'.
Please refer note 36(1)(vi), for reconciliation of liabilities whose cash flow movements are disclosed as part of financing
activities in the Statement of Cash Flows.
Please refer note 36(1)(vii) for non-cash investing and financing transactions that are excluded from Statement of Cash Flows.
The accompanying notes 1 to 43 form an integral part of these Standalone Financial Statements.
As per our report of even date

For and on behalf of the Board of Directors of Bharti Airtel Limited

For Deloitte Haskins & Sells LLP

Chartered Accountants(Firm's Registration No. 117366W / W-100018)
Vijay Agarwal

Sunil Bharti Mittal

Gopal Vittal

Partner

ChairmanManaging Director & CEO

Membership No. 094468

DIN: 00042491

DIN: 02291778

Soumen Ray

Pankaj Tewari

Date: May 16, 2023

Chief Financial Officer

Company Secretary

Place: New Delhi(India & South Asia)

Integrated Report and Annual Financial Statements 2022-23

257

Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

Notes to Standalone Financial Statements

Notes to Standalone Financial Statements

1.

2.1 Basis of measurement(All amounts are in millions of Indian Rupee; unless stated otherwise)

Corporate information

	Bharti Airtel Limited (‘the Company’) is domiciled andincorporated in India as a public limited company listedon the National Stock Exchange of India Limited and the
BSE Limited. The registered office of the Company issituated at Airtel Center, Plot no. 16, Udyog Vihar, Phase– IV, Gurugram – 122 015, Haryana, India.
	The Company is principally engaged in provision of
telecommunication services in India. The details as
to the services provided by the Company are further
provided in note 23.

2.

Summary of significant accounting policies
Basis of preparation

	These Standalone Financial Statements (‘Financial
Statements’) have been prepared to comply in all material
respects with the Indian Accounting Standards (‘Ind AS’)as notified by the Ministry of Corporate Affairs (‘MCA’)
under Section 133 of the Companies Act, 2013 (‘Act’),read together with Rule 3 of the Companies (Indian
Accounting Standards) Rules, 2015 (as amended fromtime to time) and other accounting principles generally
accepted in India.
	The Financial Statements are approved for issue by theCompany’s Board of Directors on May 16, 2023.
	The Financial Statements are based on the classification
provisions contained in Ind AS 1, ‘Presentation of Financial
Statements’ and Division II of Schedule III (as amended)
to the Act. Further, for the purpose of clarity, various
items are aggregated in the Standalone Balance Sheet('Balance Sheet') and, Standalone Statement of Profit
and Loss (‘Statement of Profit and Loss’). Nonetheless,these items are disaggregated separately in the notes to
the Financial Statements, where applicable or required.
	All the amounts included in the Financial Statements
are reported in millions of Indian Rupee (‘Rupee’ or ‘H’)and are rounded off to the nearest million, except per
share data and unless stated otherwise. Further, due torounding off, certain amounts are appearing as ‘0’.
	The preparation of the said Financial Statements
requires the use of certain critical accounting estimatesand judgements. It also requires the management
to exercise judgement in the process of applying theCompany’s accounting policies. The areas where
estimates are significant to the Financial Statements,
or areas involving a higher degree of judgement orcomplexity, are disclosed in note 3.
	The accounting policies, as set out in the following
paragraphs of this note, have been consistently applied,by the Company, to all the periods presented in the said

258

Bharti Airtel Limited

Financial Statements, except in case of adoption of any
new standards and amendments during the year.
	To provide more reliable and relevant information about
the effect of certain items in the Balance Sheet andStatement of Profit and Loss, the Company has changed
the classification of certain items.

New amendments adopted during the year
Amendments to Ind AS	
MCA vide notification no. G.S.R. 255(E) dated
March 23, 2022 has issued the Companies (Indian
Accounting Standards) Amendment Rules, 2022 whichamends following Ind AS (as applicable to the Company):• Ind AS 103, Business Combinations• Ind AS 109, Financial Instruments• Ind AS 16, Property, Plant and Equipment• Ind AS 37, Provisions, Contingent Liabilities andContingent Assets
	The amendments are applicable for annual periods
beginning on or after April 1, 2022, however, these do
not have material impact on the Financial Statementsof the Company.

	
Amendments to Ind AS issued but not yet
effective	
MCA vide notification no. G.S.R. 242(E) dated
March 31, 2023 has issued the Companies (Indian
Accounting Standards) Amendment Rules, 2023 whichamends following Ind AS (as applicable to the Company):• Ind AS 102, Share-based Payments• Ind AS 103, Business Combinations• Ind AS 107, Financial Instruments: Disclosures• Ind AS 109, Financial Instruments(All amounts are in millions of Indian Rupee; unless stated otherwise)	The Financial Statements have been prepared on theaccrual and going concern basis, and the historicalcost convention except where the Ind AS requires adifferent accounting treatment. The principal variations
from the historical cost convention relate to financial
instruments classified as FVTPL or fair value throughother comprehensive income (‘FVTOCI’) (refer note
2.9(b)) and liability for cash-settled awards (refer note2.15) - which are m­­easured at fair value.
Fair value measurement
	Fair value is the price at the measurement date, at which
an asset can be sold or a liability can be transferred, inan orderly transaction between market participants. The
Company’s accounting policies require, measurement ofcertain financial instruments at fair values (either on arecurring or non-recurring basis).
	The Company is required to classify the fair valuation
method of the financial / non-financial assets andliabilities, either measured or disclosed at fair value inthe Financial Statements, using a three level fair-valuehierarchy (which reflects the significance of inputs
used in the measurement). Accordingly, the Company
uses valuation techniques that are appropriate in
the circumstances and for which sufficient data isavailable to measure fair value, maximising the use of
relevant observable inputs and minimising the use ofunobservable inputs.
	
The three levels of the fair-value-hierarchy aredescribed below:	Level 1: Quoted (unadjusted) prices for identical assets
or liabilities in active markets
	Level 2: Significant inputs to the fair value measurement
are directly or indirectly observable	
The consideration transferred also includes thefair value of any asset or liability resulting from acontingent consideration arrangement. Any contingent
consideration transferred is recognised at fair value atthe acquisition date. Contingent consideration classified
as an asset or liability is subsequently measured atfair value with changes in fair value recognised inStatement of Profit and Loss. Contingent considerationthat is classified as equity is not re-measured and its
subsequent settlement is accounted for within equity.
	Acquisition-related costs are expensed in the period inwhich the costs are incurred.
	If the initial accounting for a business combination
is incomplete as at the reporting date in which the
combination occurs, the identifiable assets and liabilities
acquired in a business combination are measured attheir provisional fair values at the date of acquisition.
Subsequently adjustments to the provisional values
are made retrospectively within the measurement
period, if new information is obtained about facts andcircumstances that existed as of the acquisition dateand, if known, would have affected the measurement of
the amounts recognised as of that date or would haveresulted in the recognition of those assets and liabilities
as of that date; otherwise the adjustments are recordedin the period in which they occur.
	
A contingent liability recognised in a businesscombination is initially measured at its fair value.
Subsequent to initial recognition, it is measured at thehigher of:(i)	the amount that would be recognised in accordancewith Ind AS 37, ‘Provisions, Contingent Liabilities
and Contingent Assets’, and(ii)	
the amount initially recognised less, whereappropriate, cumulative amortisation recognisedin accordance with Ind AS 115 ‘Revenue fromContracts with Customers’.

• Ind AS 115, Revenue from Contracts with Customers

	Level 3: Significant inputs to the fair value measurement
are unobservable.

• Ind AS 1, Presentation of Financial Statements

2.2 Business combinations

2.3 Common control transactions• Ind AS 12, Income Taxes

	The Company accounts for business combinations using
the acquisition method of accounting. Accordingly, theidentifiable assets acquired and the liabilities assumedof the business are recorded at their acquisition datefair values (except certain assets and liabilities which arerequired to be measured as per the applicable standard).
The consideration transferred for the acquisition of abusiness is aggregation of the fair values of the assets
transferred, the liabilities incurred and the equity
interests issued by the Company in exchange for controlof the business.

	Transactions arising from transfers of assets / liabilities,
interest in entities or businesses between entities
that are under the common control, are accounted
at their carrying amounts. The difference, between
any consideration paid / received and the aggregate
carrying amounts of assets / liabilities and interests inentities acquired / disposed (other than impairment, ifany), is recorded in capital reserve / retained earnings,
as applicable.

• Ind AS 8, Accounting Policies, Changes in Accounting
Estimates and Errors• Ind AS 34, Interim Financial Reporting	The amendments are applicable for annual periods
beginning on or after April 1, 2023. The Company
has evaluated the amendments and the impact is notexpected to be material.

Integrated Report and Annual Financial Statements 2022-23

259

Corporate Overview

Notes to Standalone Financial Statements(All amounts are in millions of Indian Rupee; unless stated otherwise)

2.4 Foreign currency transactionsa)Functional and presentation currency

	The Financial Statements are presented in Indian Rupee
which is the functional and presentation currency of
the Company.
b)Transactions and balances	Transactions in foreign currencies are initially recordedin the relevant functional currency at the exchange rate
prevailing at the date of the transaction.
	Monetary assets and liabilities denominated in foreign
currencies are translated into the functional currency at
the closing exchange rate prevailing as at the reporting
date with the resulting foreign exchange differences,on subsequent re-statement / settlement, recognisedin the Statement of Profit and Loss. Non-monetary
assets and liabilities denominated in foreign currencies
are translated into the functional currency using theexchange rate prevalent, at the date of initial recognition(in case they are measured at historical cost) or at thedate when the fair value is determined (in case they aremeasured at fair value) – the resulting foreign exchange
difference, on subsequent re-statement / settlement,
recognised in the Statement of Profit and Loss, except
to the extent that it relates to items recognised in theother comprehensive income (‘OCI’) or directly in equity.
	The equity items denominated in foreign currencies aretranslated at historical cost.

2.5 Current versus non-current classification
	The Company presents assets and liabilities in the balance
sheet based on current / non-current classification.
	Deferred tax assets and liabilities, and all other assets
and liabilities which are not current (as discussed in the
below paragraphs) are classified as non-current assets
and liabilities.
	An asset is classified as current when it is expected
to be realised or intended to be sold or consumed innormal operating cycle, held primarily for the purposeof trading, expected to be realised within twelve months
after the reporting period, or cash or cash equivalent
unless restricted from being exchanged or used tosettle a liability for at least twelve months after thereporting period.
	A liability is classified as current when it is expected to
be settled in normal operating cycle, it is held primarily
for the purpose of trading, it is due to be settled withintwelve months after the reporting period, or there is no
unconditional right to defer the settlement of the liability
for at least twelve months after the reporting period.

260

Bharti Airtel Limited	Separated embedded derivatives are classified basis thehost contract.

2.6 Property, plant and equipment (‘PPE’)	An item is recognised as an asset, if and only if, it isprobable that the future economic benefits associatedwith the item will flow to the Company and its cost can bemeasured reliably. PPE are initially recognised at cost. The
initial cost of PPE comprises its purchase price (including
non-refundable duties and taxes but excluding any trade
discounts and rebates), assets retirement obligations(refer note 2.16 (b)) and any directly attributable cost of
bringing the asset to its working condition and location
for its intended use. Further, it includes assets installedon the premises of customers as the associated risks,
rewards and control remain with the Company.
	Subsequent to initial recognition, PPE are stated at costless accumulated depreciation and impairment losses,
if any. When significant parts of PPE are required to be
replaced at regular intervals, the Company recognises
such parts as separate component of assets. Whenan item of PPE is replaced, then its carrying amountis derecognised from the Balance Sheet and cost of
the new item of PPE is recognised. Further, in case thereplaced part was not being depreciated separately,
the cost of the replacement is used as an indication todetermine the cost of the replaced part at the time it
was acquired.
	Cost of assets not ready for intended use, as on the
Balance Sheet date, is shown as capital work-in-progress,
advances given towards acquisition of PPE outstandingat each balance sheet date are disclosed under othernon- current assets.
	The expenditures that are incurred after the item of
PPE has been available for use such as repairs andmaintenance, are normally charged to the Statementof Profit and Loss in the period in which such costs
are incurred. However, in situations where the said
expenditure can be measured reliably and is probablethat future economic benefits associated with it will flow
to the Company, it is included in the asset’s carrying
value or as a separate asset, as appropriate.
	Depreciation on PPE is computed using the straight-line
method over the estimated useful lives. The management
basis its past experience and technical assessment has
estimated the useful lives, which is at variance with thelife prescribed in Part C of Schedule II to the Act andhas accordingly, depreciated the assets over such
useful lives. Freehold land is not depreciated as it has anunlimited useful life. The Company has established theestimated range of useful lives for different categories of
PPE as follows:

Management Discussion & Analysis

Statutory Reports

Financial Statements

Notes to Standalone Financial Statements(All amounts are in millions of Indian Rupee; unless stated otherwise)

Categories

Buildings
Building on leased land
Leasehold improvements
Plant and equipment-	Network equipment(including passive
infrastructure)-	Customer premise
equipments
Computers and servers
Furniture & fixtures and officeequipments
VehiclesAmortisation is computed using the straight-line method
over the expected useful life of intangible assets.

Years

20
Lease term or 20 years,
whichever is lessLease term or 20 years,
whichever is less3 - 25	
Subsequent expenditure on intangible assets is
capitalised only when it increases the future economic
benefits embodied in the specific asset to which it
relates. All other expenditure, is recognised in profit orloss as incurred.

3-5

	The Company has established the estimated useful livesof different categories of intangible assets as follows:
a)

3–5
2–5

Software	Software are amortised over the period of license,
generally not exceeding five years.

3–5	
The useful lives, residual values and depreciation
method of PPE are reviewed, and adjusted appropriately,at least as at each financial year end so as to ensure thatthe method and period of depreciation are consistent
with the expected pattern of economic benefits fromthese assets. The effect of any change in the estimateduseful lives, residual values and / or depreciation
method are accounted prospectively, and accordingly
the depreciation is calculated over the PPE’s remaining
revised useful life. The cost and the accumulated
depreciation for PPE sold, scrapped, retired or otherwise
disposed off are derecognised from the Balance Sheetand the resulting gains / losses are included in theStatement of Profit and Loss within other income /other expenses.

2.7 Intangible assets
	Intangible assets are recognised when the Company
controls the asset, it is probable that future economic
benefits attributed to the asset will flow to the Company
and the cost of the asset can be measured reliably.
	Goodwill represents the cost of the acquired businessin excess of the fair value of identifiable net assets
purchased (refer note 2.2). Goodwill is not amortised;however it is tested annually for impairment andwhenever there is an indication that the unit may be
impaired (refer note 2.8), and carried at cost less any
accumulated impairment losses. The gains / (losses) on
the disposal of a cash-generating-unit (‘CGU’) include
the carrying amount of goodwill relating to the CGU sold(in case goodwill has been allocated to group of CGUs;
it is determined on the basis of the relative fair value of
operations sold).
	The intangible assets that are acquired in a businesscombination are recognised at its fair value. Other
intangible assets are initially recognised at cost. Those
assets having finite useful life are carried at cost lessaccumulated amortisation and impairment losses, if any.

b)

Licenses (including spectrum)	
Acquired licenses and spectrum are amortisedcommencing from the date when the related network
is available for intended use in the relevant jurisdiction.
The useful life of acquired licenses and spectrum range
upto twenty years.
	The revenue-share based fee on licenses / spectrum ischarged to the Statement of Profit and Loss in the period
such cost is incurred.
c)

Other acquired intangible assets

	Other acquired intangible assets include the following: ights acquired for unlimited license access: OverR
the period of the agreement which ranges upto five years
Non-compete fee: Over the period of the agreement
which ranges upto five years
	The useful lives and amortisation method are reviewed,
and adjusted appropriately, at least at each financial
year end so as to ensure that the method and period ofamortisation are consistent with the expected pattern of
economic benefits from these assets. The effect of any
change in the estimated useful lives and / or amortisation
method is accounted for prospectively, and accordingly
the amortisation is calculated over the remaining revised
useful life.
	Further, the cost of intangible assets under development(‘IAUD’) includes the following:(a)	the amount of spectrum allotted to the Company
and related costs (including borrowing costs)
that are directly attributable to the acquisition orconstruction of qualifying assets (refer note 6), if
any, for which services are yet to be rolled out andare presented separately in the Balance Sheet.
(b)	t he amount of sof tware
under development.

/IT

platform

Integrated Report and Annual Financial Statements 2022-23

261

Corporate Overview

Notes to Standalone Financial Statements(All amounts are in millions of Indian Rupee; unless stated otherwise)	
Gains or losses arising from derecognition of an
intangible asset are measured as the difference between
the net disposal proceeds and the carrying amount of
the asset and are recognised in the Statement of Profit
and Loss when the asset is derecognised.

2.8 Impairment of non-financial assetsa)Goodwill	Goodwill is tested for impairment, at least annually
and whenever circumstances indicate that it may be
impaired. For the purpose of impairment testing, thegoodwill is allocated to a CGU or group of CGUs, which
are expected to benefit from the acquisition-relatedsynergies and represent the lowest level within theentity at which the goodwill is monitored for internalmanagement purposes, within an operating segment.
A CGU is the smallest identifiable group of assets thatgenerates cash inflows that are largely independent of
the cash inflows from other assets or group of assets.

estimated recoverable amount and allocated on prorata basis.
Reversal of impairment losses	Impairment loss in respect of goodwill is not reversed.
Other impairment losses are reversed in the Statementof Profit and Loss and the carrying value is increased
to its revised recoverable amount provided that thisamount does not exceed the carrying value that would
have been determined had no impairment loss beenrecognised for the said asset / CGU previously.

2.9 Financial instrumentsa)

Recognition, classification and presentation

	The financial instruments are recognised in the Balance
Sheet when the Company becomes a party to thecontractual provisions of the financial instrument.
	
The Company determines the classification of its
financial instruments at initial recognition.

	Impairment occurs when the carrying value of a CGU/ CGUs including the goodwill, exceeds the estimatedrecoverable amount of the CGU / CGUs. The recoverable
amount of a CGU / CGUs is the higher of its fair valueless costs to sell and its value in use. Value in use is
the present value of future cash flows expected to be
derived from the CGU / CGUs.

	The Company recognises its investment in subsidiaries,
associates and joint ventures at cost less any impairment
losses. The said investments are tested for impairment
whenever circumstances indicate that their carrying
values may exceed the recoverable amount (viz. higherof the fair value less costs to sell and the value in use).

	The total impairment loss of a CGU / CGUs is allocatedfirst to reduce the carrying value of goodwill allocatedto that CGU / CGUs and then to the other assets of that
CGU / CGUs - on pro-rata basis of the carrying value ofeach asset.

	The Company classifies its financial assets in thefollowing categories: a) those to be measured
subsequently at FVTPL, and b) those to be measured
at amortised cost. The classification depends on theentity’s business model for managing the financial
assets and the contractual terms of the cash flows.

b)	PPE, right-of-use assets (‘ROU’), intangible assets
and IAUD	PPE (including Capital work-in-progress (CWIP)), ROU
and intangible assets with definite lives, are reviewed
for impairment, whenever events or changes incircumstances indicate that their carrying values may
not be recoverable. IAUD is tested for impairment, atleast annually and whenever circumstances indicatethat it may be impaired.
	For the purpose of impairment testing, the recoverable
amount (that is, higher of the fair value less costs to sell
and the value in use) is determined on an individual asset
basis, unless the asset does not generate cash flows thatare largely independent of those from other assets, inwhich case the recoverable amount is determined at
the CGU level to which the said asset belongs. If suchindividual assets or CGU are considered to be impaired,
the impairment to be recognised in the Statement ofProfit and Loss is measured by the amount by which
the carrying value of the asset / CGU exceeds their262

Bharti Airtel Limited

	The Company has classified all the non-derivative
financial liabilities as measured at amortised cost.
	The entire hybrid contract, financial assets withembedded derivatives, are considered in their entirety
for determining the contractual terms of the cash flow
and accordingly the embedded derivatives are notseparated. However, derivatives embedded in nonfinancial instrument / financial liabilities (measured atamortised cost) host contracts are classified as separate
derivatives if their economic characteristics and risks are
not closely related to those of the host contracts.
	Financial assets and liabilities arising from different
transactions are off-set against each other and theresultant net amount is presented in the balance sheet,
if and only when, the Company currently has a legally
enforceable right to set-off the related recognised
amounts and intends either to settle on a net basis or to
realise the assets and settle the liabilities simultaneously.

Management Discussion & Analysis

Statutory Reports

Financial Statements

Notes to Standalone Financial Statements(All amounts are in millions of Indian Rupee; unless stated otherwise)b) 	M e a s u re m e n t
instruments
I.

–

N o n - d e r i v a t i ve

f i na n c i a l

Initial measurement	All financial assets are recognised initially at fair valueplus, in the case of financial assets not recorded at FVTPL,
transaction costs that are attributable to the acquisitionof the financial asset. However, trade receivables that
do not contain a significant financing component aremeasured at transaction price. All financial liabilities arerecognised initially at fair value, in the case of loans andborrowings and payables, net of directly attributabletransaction costs. Other transaction costs are expensed
as incurred in the Statement of Profit and Loss.
	
The liability component of a compound financial
instrument is initially recognised at the fair value of asimilar liability that does not have an equity conversion
option. The equity component is initially recognised at
the difference between the fair value of the compound
financial instrument as a whole and the fair value of theliability component. Any directly attributable transaction
costs are allocated to the liability and equity components
in proportion to their initial carrying amounts.
II.

Subsequent measurement - financial assets

	The subsequent measurement of the non-derivative
financial assets depends on their classification as follows:i.

Financial assets measured at amortised cost	Assets that are held for collection of contractual cash
flows where those cash flows represent solely payments
of principal and interest are measured at amortised
cost using the effective-interest rate (‘EIR’) method (ifthe impact of discounting / any transaction costs issignificant). Interest income from these financial assets
is included in other income.
ii.

Financial assets at fair value through OCI (‘FVTOCI’)	Equity investments which are not held for trading and forwhich the Company has elected to present the change inthe fair value in OCI and debt instruments that are held
for collection of contractual cash flows and for selling thefinancial assets, where the assets’ cash flow represent
solely payment of principal and interest, are measured
at FVTOCI.
	The changes in fair value are taken to OCI, except the
impairment (on debt instruments), interest (basis EIR
method), dividend and foreign exchange differences
which are recognised in the Statement of Profit and Loss.
iii.

EIR method) and dividend income from financial assets
at FVTPL is recognised in the Statement of Profit andLoss within other income separately from the other gains/ losses arising from changes in the fair value.

Financial assets measured at FVTPL

	All financial assets that do not meet the criteria foramortised cost are measured at FVTPL. Interest (basis

Impairment

	The Company assesses on a forward looking basis
the expected credit losses associated with its assets
carried at amortised cost. The impairment methodology
applied depends on whether there has been a significant
increase in credit risk since initial recognition. If credit risk
has not increased significantly, twelve month expectedcredit loss (ECL) is used to provide for impairment loss,
otherwise lifetime ECL is used.
	However, only in case of trade receivables, the Company
applies the simplified approach which requires expected
lifetime losses to be recognised from initial recognitionof the receivables.
III. Subsequent measurement - financial liabilities
	Any off-market financial guarantees are amortisedover the life of the guarantee and are measured ateach reporting date at the higher of (i) the remaining
unamortised balance of the amount at initial recognitionand (ii) the best estimate of expenditure required tosettle the obligation at the end of the reporting period.
Other financial liabilities are subsequently measured
at amortised cost using the EIR method (if the impact
of discounting / any transaction costs is significant),
except for contingent consideration and financial liability
under option arrangements recognised in a businesscombination which is subsequently measured at FVTPL.
For trade and other payables maturing within one year
from the Balance Sheet date, the carrying amounts
approximate the fair value due to the short maturity ofthese instruments.
	Subsequent to initial recognition, the liability componentof a compound financial instrument is measured atamortised cost using the effective interest method. The
equity component of a compound financial instrument is
not re-measured. Interest related to the financial liability
is recognised in profit or loss under finance cost. On
conversion at maturity, the financial liability is reclassified
to equity and no gain or loss is recognised.
c)

Measurement - derivative financial instruments

	Derivative financial instruments, including separated
embedded derivatives are classified as financial
instruments at FVTPL - Held for trading. Such derivative
financial instruments are initially recognised at fair value.
They are subsequently measured at their fair value, withchanges in fair value being recognised in the Statementof Profit and Loss.

Integrated Report and Annual Financial Statements 2022-23

263

Corporate Overview

Notes to Standalone Financial Statements(All amounts are in millions of Indian Rupee; unless stated otherwise)d)Derecognition

	The financial assets are de-recognised from the Balance
Sheet when the rights to receive cash flows from thefinancial assets have expired, or have been transferred
and the Company has transferred substantially all risks
and rewards of ownership. The financial liabilities are derecognised from the Balance Sheet when the underlying
obligations are extinguished, discharged, lapsed,
cancelled, expires or legally released. The resultant
impact of derecognition is recognised in the Statementof Profit and Loss.

2.10 Leases
	The Company, at the inception of a contract, assesses thecontract as, or containing, a lease if the contract conveys
the right to control the use of an identified asset for aperiod of time in exchange for consideration. To assess
whether a contract conveys the right to control the useof an identified asset, the Company assesses whether
the contract involves the use of an identified asset, theCompany has the right to obtain substantially all of theeconomic benefits from use of the asset throughout theperiod of use; and the Company has the right to direct
the use of the asset.
Company as a lessee
	The Company recognises a ROU and a corresponding
lease liability with respect to all lease agreements inwhich it is the lessee in the Balance Sheet. The leaseliability is initially measured at the present value of thelease payments that are not paid at the commencement
date, discounted by using the incremental borrowing
rate (as the rate implicit in the lease cannot be readily
determined). Lease liabilities include the net present
value of fixed payments (including any in-substance fixed
payments) and payments of penalties for terminating
the lease, if the lease term reflects the lessee exercisingthat option.
	Subsequently, the lease liability is measured at amortised
cost using the effective interest method. It is remeasured
when there is a change in future lease payments
including or when the lease contract is modified and thelease modification is not accounted for as a separate
lease. The corresponding adjustment is made to thecarrying amount of the ROU, or is recorded in profit orloss if the carrying amount of the related ROU has been
reduced to zero and there is a further reduction in themeasurement of the lease liability.
	ROU are measured at cost, comprising the amount of theinitial measurement of lease liability, any lease payments
made at or before the commencement date and any
initial direct costs less any lease incentives received.

264

Bharti Airtel Limited

	Subsequent to initial recognition, ROU are stated atcost less accumulated depreciation and any impairment
losses and adjusted for certain remeasurements of
the lease liability. Depreciation is computed using thestraight-line method from the commencement dateto the end of the useful life of the underlying asset orthe end of the lease term, whichever is shorter. The
estimated useful lives of ROU are determined on thesame basis as those of the underlying asset.
	In the Balance Sheet, the ROU and lease liabilities arepresented separately. In the Statement of Profit and
Loss, interest expense on lease liabilities are presented
separately from the depreciation charge for the ROU.
Interest expense on the lease liability is a componentof finance costs, which are presented separately in
the Statement of Profit or Loss. In the statement ofcash flows, cash payments for the principal portionof lease payments and the interest portion of leaseliability are presented as financing activities, and shortterm lease payments and payments for leases of lowvalue assets and variable lease payments not includedin the measurement of the lease liability, if any, as
operating activities.
	
When a contract includes lease and non-lease
components, the Company allocates the considerationin the contract on the basis of the relative stand-alone
prices of each lease component and the aggregate
stand-alone price of the non-lease components.
Short-term leases and leases of low-value assets
	The Company has elected not to recognise ROU andlease liabilities for short-term leases that have a leaseterm of twelve months or less and leases of low value
assets. The Company recognises lease payments
associated with these leases as an expense on a straightline basis over the lease term.
Company as a lessor	Whenever the terms of the lease transfer substantially
all the risks and rewards of ownership to the lessee, thecontract is classified as a finance lease. All other leases
are classified as operating leases.
	Amounts due from lessees under a finance lease arerecognised as receivables at an amount equal to the net
investment in the leased assets. Finance lease income
is allocated to the periods so as to reflect a constantperiodic rate of return on the net investment outstanding
in respect of the finance lease.
	Rental income from operating leases is recognised ona straight-line basis over the term of the relevant lease.
Initial direct costs incurred in negotiating and arranging
an operating lease are added to the carrying amount ofManagement Discussion & Analysis

Statutory Reports

Financial Statements

Notes to Standalone Financial Statements(All amounts are in millions of Indian Rupee; unless stated otherwise)

the leased asset and recognised on a straight-line basis
over the lease term.
	When a contract includes lease and non-lease
components, the Company applies Ind AS 115 ‘Revenue
from Contracts with Customers’ to allocate theconsideration under the contract to each component.
	The Company enters into ‘Indefeasible right to use’(‘IRU’) arrangements wherein the right to use theassets is given over the substantial part of the asset life.
However, as the title to the assets and the significant risks
associated with the operation and maintenance of theseassets remains with the Company, such arrangements
are recognised as operating lease. The contracted
price is recognised as revenue during the tenure of theagreement. Unearned IRU revenue received in advanceis presented as deferred revenue within liabilities in the
Balance Sheet.

2.11 Taxes
	The income tax expense comprises of current anddeferred income tax. Income tax is recognised in theStatement of Profit and Loss, except to the extent thatit relates to items recognised in the OCI or directly inequity, in which case the related income tax is also
recognised accordingly.
a)Current tax

	The current tax is calculated on the basis of the tax
rates, laws and regulations, which have been enacted
or substantively enacted as at the reporting date. The
payment made in excess / (shortfall) of the Company’s
income tax obligation for the period are recognised in
the balance sheet under assets as income tax assets /under current liabilities as current tax liabilities.
	Any interest, related to accrued liabilities for potential tax
assessments are not included in income tax charge or(credit), but are rather recognised within finance costs.
	The Company periodically evaluates positions takenin the tax returns with respect to situations in whichapplicable tax regulations are subject to interpretation.
The Company considers whether it is probable that ataxation authority will accept an uncertain tax treatment.
If the Company concludes it is probable that the taxation
authority will accept an uncertain tax treatment, it
determines the taxable profit (tax loss), tax bases, unused
tax losses, unused tax credits or tax rates consistently
with the tax treatment used or planned to be used in
its income tax filings. If the Company concludes it is
not probable that the taxation authority will accept anuncertain tax treatment, the entity reflects the effect of
uncertainty in determining the related taxable profit (taxloss), tax bases, unused tax losses, unused tax credits or
tax rates.

	Current tax assets and tax liabilities are offset where
the entity has a legally enforceable right to offset andintends either to settle on a net basis, or to realise theasset and settle the liability simultaneously.
b)

Deferred tax

	Deferred tax is recognised on temporary differences
arising between the tax bases of assets and liabilities
and their carrying values in the Financial Statements.
Deferred tax is also recognised in respect of carriedforward tax losses and tax credits. Deferred tax assets/ liabilities recognised for temporary differences andunused carry forward losses arising from a businesscombination, affect the amount of goodwill or the bargain
purchase gain that the Company recognises. However,deferred tax liabilities are not recognised if they arise
from the initial recognition of goodwill. Deferred tax is
not recognised if it arises from initial recognition of anasset or liability in a transaction other than a businesscombination that at the time of the transaction affects
neither accounting nor taxable profit or loss.
	The measurement of deferred tax liabilities and assets
reflects the tax consequences that would follow fromthe manner in which the Company expects, at the endof the reporting period, to recover or settle the carrying
amount of its assets and liabilities.
	Deferred tax assets are recognised only to the extent
that it is probable that future taxable profit will beavailable against which the temporary differences canbe utilised. The Company considers the projected futuretaxable income and tax planning strategies in making
this assessment.
	The unrecognised deferred tax assets / carrying amountof deferred tax assets are reviewed at each reporting
date for recoverability and adjusted appropriately.
	Deferred tax is determined using tax rates (and laws)that have been enacted or substantively enacted by thereporting date and are expected to apply when the asset
is realised or the liability is settled.
	Deferred tax assets and liabilities are off-set where there
is a legally enforceable right to enforceable right to offset
current tax assets and liabilities and where the deferred
tax balances relate to the same taxation authority.

2.12 Inventories
	Inventories are stated at the lower of cost (determinedusing the first-in-first-out method) and net realisablevalue. The costs comprise its purchase price and any
directly attributable cost of bringing the inventories to
its present location and condition. Net realisable value
is the estimated selling price in the ordinary course ofIntegrated Report and Annual Financial Statements 2022-23

265Corporate Overview

Notes to Standalone Financial Statements(All amounts are in millions of Indian Rupee; unless stated otherwise)business, less the estimated costs of completion and theestimated costs necessary to make the sale.

2.13 Cash and cash equivalents
	Cash and cash equivalents include cash in hand, bankbalances and any deposits with original maturitiesof three months or less (that are readily convertible
to known amounts of cash and cash equivalents andsubject to an insignificant risk of changes in value).
However, for the purpose of the Statement of Cash
Flows, in addition to above items, any bank overdrafts /cash credits that are integral part of the Company’s cash
management, are also included as a component of cash
and cash equivalents.

2.14 Equity share capital	Ordinary shares are classified as Equity when the
Company has an un-conditional right to avoid delivery ofcash or another financial asset, that is, when the dividend
and repayment of capital are at the sole and absolute
discretion of the Company and there is no contractual
obligation whatsoever to that effect.

2.15 Employee benefits	
The Company’s employee benefits mainly include
wages, salaries, bonuses, defined contribution plans,
defined benefits plans, compensated absences,deferred compensation and share-based payments.
The employee benefits are recognised in the year inwhich the associated services are rendered by theCompany employees. Short-term employee benefits
are recognised in Statement of Profit and Loss at
undiscounted amounts during the period in which therelated services are rendered.
a.

Defined Contribution plans

	The contributions to defined contribution plans arerecognised in profit or loss as and when the services
are rendered by employees. The Company has nofurther obligations under these plans beyond its
periodic contributions.
b.

Defined benefits plans	In accordance with the local laws and regulations, all
the employees in India are entitled for the Gratuity plan.
The said plan requires a lump-sum payment to eligible
employees (meeting the required vesting service
condition) at retirement or termination of employment,
based on a pre-defined formula.
	The Company provides for the liability towards the saidplans on the basis of actuarial valuation carried out
quarterly as at the reporting date, by an independent
qualified actuary using the projected-unit-credit method.

266

Bharti Airtel Limitedc.

Other long-term employee benefits	The employees of the Company are entitled tocompensated absences as well as other long-term
benefits. Compensated absences benefits comprisesof encashment and availment of leave balances thatwere earned by the employees over the period ofpast employment.

but excludes the impact of any service and non-market
performance vesting conditions. However, the nonmarket performance vesting and service conditions
are considered in the assumption as to the number of
options that are expected to vest. The forfeitures are
estimated at the time of grant and reduce the said
expense rateably over the vesting period.
	The expense so determined is recognised over therequisite vesting period, which is the period over which
all of the speciﬁed vesting conditions are to be satisfied.
As at each reporting date, the Company revises its
estimates of the number of options that are expected
to vest, if required.
	It recognises the impact of any revision to original
estimates in the period of change. Accordingly, no
expense is recognised for awards that do not ultimately
vest, except for which vesting is conditional upon amarket performance / non-vesting condition. These
are treated as vested irrespective of whether or not themarket / non-vesting condition is satisfied, provided that
service conditions and all other non-market performanceare satisfied.
	Where the terms of an award are modified, in addition
to the expense pertaining to the original award, anincremental expense is recognised for any modificationthat results in additional fair value, or is otherwise
beneficial to the employee as measured at the dateof modification.

2.16 Provisionsd.

a)	The Company operates equity-settled employee sharebased compensation plans, under which the Company
receives services from employees as consideration forstock options towards shares of the Company.
	
The fair value of stock options (at grant date) is
recognised as an expense in the Statement of Profit
and Loss within employee benefits as employee sharebased payment expenses over the vesting period, with acorresponding increase in share-based payment reserve(a component of equity).
	
The total amount so expensed is determined byreference to the grant date fair value of the stock options
granted, which includes the impact of any market
performance conditions and non-vesting conditions

Financial Statements(All amounts are in millions of Indian Rupee; unless stated otherwise)	The Company provides for the liability towards the said
benefits on the basis of actuarial valuation carried out
quarterly as at the reporting date, by an independent
qualified actuary using the projected-unit-credit method.
The related re-measurements are recognised in theStatement of Profit and Loss in the period in which
they arise.
Share-based payments

Statutory Reports

Notes to Standalone Financial Statements

	The obligation towards the said benefits is recognisedin the Balance Sheet, at the present value of thedefined benefits obligations. The present value ofthe said obligation is determined by discounting theestimated future cash outflows, using interest rates ofgovernment bonds.
	The interest income / (expense) are calculated byapplying the above mentioned discount rate to theplan assets and defined benefit obligations. The netinterest income / (expense) on the net defined benefit
obligations is recognised in the Statement of Profit and
Loss. However, the related re-measurements of the net
defined benefit obligations are recognised directly in
the OCI in the period in which they arise. The said remeasurements comprise of actuarial gains and losses(arising from experience adjustments and changes
in actuarial assumptions), the return on plan assets(excluding interest). Re-measurements are not reclassified to the Statement of Profit and Loss in any of
the subsequent periods.

Management Discussion & Analysis

	Where an award is cancelled (including due to nonvesting conditions not being met), it is treated as if it isvested thereon, and any un-recognised expense for theaward is recognised immediately.

General	Provisions are recognised when the Company has apresent obligation (legal or constructive) as a result ofa past event, it is probable that an outflow of resources
will be required to settle the said obligation, and theamounts of the said obligation can be reliably estimated.
	Provisions are measured at the present value of theexpenditures expected to be required to settle therelevant obligation (if the impact of discounting issignificant), using a pre-tax rate that reflects current
market assessments of the time value of money andthe risks specific to the obligation. The increase in theprovision due to unwinding of interest over passage oftime is recognised within finance costs.
	
The Company is involved in various legal andtaxation matters, and the matter are in legal course.
Management, in consultation with legal, tax and otheradvisers, assesses the likelihood that a pending claim
will succeed. The Company recognises a provision incases where it is probable that an outflow of resources
embodying economic benefits will be required to settle
the obligations arising from such claims.
b)

Asset retirement obligations (‘ARO’)	ARO are recognised for those lease arrangements where
the Company has an obligation at the end of the lease
period to restore the leased premises in a condition
similar to inception of lease. ARO are provided at thepresent value of expected costs to settle the obligation
and are recognised as part of the cost of that particularasset. The estimated future costs of decommissioning
are reviewed annually and any changes in the estimatedfuture costs or in the discount rate applied are adjusted
from the cost of the asset.

2.17 Contingencies	A disclosure for a contingent liability is made when there
is a possible obligation or a present obligation that may,
but probably will not, require an outflow of resources.
When there is a possible obligation or a present
obligation in respect of which the likelihood of outflow ofresources is remote, no provision or disclosure is made.
Contingent asset is not recognised and is disclosed only
where an inflow of economic benefits are probable.

2.18 Revenue recognition	Revenue is recognised upon transfer of control ofpromised products or services to the customer at
the amount of transaction price (net of variableconsideration) which the Company has received or
expects to receive in exchange of those products
or services, net of any taxes / duties, discounts andprocess waivers. When determining the consideration
to which the Company is entitled for providing promised
products or services via intermediaries, the Company
assesses whether it is primarily responsible for fulfilling
the performance obligation and whether it controls thepromised service before transfer to customers. To theextent that the intermediary is considered a principal,
the consideration to which the Company is entitled isdetermined to be that received from the intermediary.
	
Revenue is recognised when, or as, each distinct
performance obligation is satisfied. The main categories
of revenue and the basis of recognition are as follows:a)Service revenue	Service revenues mainly pertain to usage, subscription
and customer onboarding charges for voice, data,
messaging and value added services. It also includes
revenue from interconnection / roaming charges forusage of the Company’s network by other operators forvoice, data, messaging and signaling services.

Integrated Report and Annual Financial Statements 2022-23

267

Corporate Overview

Notes to Standalone Financial Statements(All amounts are in millions of Indian Rupee; unless stated otherwise)	Telecommunication services (comprising voice, data andSMS) are considered to represent a single performanceobligation as all are provided over the Company’s
network and transmitted as data representing a digital
signal on the network. The transmission consumes
network bandwidth and therefore, irrespective of thenature of the communication, the customer ultimately
receives access to the network and the right to consume
network bandwidth.

c)	
The Company recognises revenue from these
services as they are provided. Revenue is recognised
based on actual units of telecommunication services
provided during the reporting period as a proportionof the total units of telecommunication services to beprovided. Subscription charges are recognised over thesubscription pack validity period. Customer onboarding
revenue is recognised upon successful onboarding ofcustomer i.e. upfront. Revenues in excess of invoicing areclassified as unbilled revenue while invoicing / collection
in excess of revenue are classified as deferred revenue /advance from customers.

d)	Service revenues also includes revenue frominterconnection / roaming charges for usage of theCompany’s network by other operators for voice, data,
messaging and signaling services. These are recognised
upon transfer of control of services over time.

Equipment sales	
Equipment sales mainly per tain to sale oftelecommunication equipment and related accessories
for which revenue is recognised when the control ofequipment is transferred to the customer, i.e. transferred
at a point in time. However, in case of equipment saleforming part of multiple-element revenue arrangements
which is not a distinct performance obligation, revenue
is recognised over the customer relationship period.

	The Company incurs certain costs to obtain or fulfill
contracts with customers viz. intermediary commission,etc. The Company has estimated that the averagecustomer life derived from customer churn rate is longer
than 12 months and, thus, such costs are recognisedover the average expected customer life.
f)

Dividend income	Dividend income is recognised when the Company’s
right to receive the payment is established. For futherdetails, refer note 2.9.

2.19 Government grants	Government grants relating to income are deferred andrecognised in the Statement of Profit and Loss over theperiod necessary to match them with the costs that they
are intended to compensate.

b)	Government grants relating to the purchase of PPE are
included in non-current liabilities as deferred income andare credited to Statement of Profit and Loss on a straightline basis over the expected lives of the related assets.

Bharti Airtel Limited

2.21 Exceptional items

3.1 Key sources of estimation uncertainties

	Exceptional items refer to items of income or expense
within the Statement of Profit and Loss from ordinary
activities which are non-recurring and are of such size,
nature or incidence that their separate disclosure isconsidered necessary to explain the performance of
the Company.

	The estimates and assumptions that have a significant
risk of causing a material adjustment to the carrying
values of assets and liabilities are discussed below:

2.22 Dividends paid

2.23 Earnings per share (‘EPS’)	Revenues from long distance operations compriseof voice services and bandwidth services (including
installation), which are recognised on provision ofservices over the period of respective arrangements.

268(All amounts are in millions of Indian Rupee; unless stated otherwise)e)

Costs to obtain or fulfill a contract with a customer

2.20 Borrowing costs	Borrowing costs consist of interest and other ancillarycosts that the Company incurs in connection withthe borrowing of funds. The borrowing costs directly
attributable to the acquisition or construction of any
asset that takes a substantial period of time to get
ready for its intended use or sale are capitalised. Allother borrowing costs are recognised in the Statementof Profit and Loss within finance costs in the period inwhich they are incurred.

Financial Statements

Notes to Standalone Financial Statements

	The interest income is recognised using the EIR method.
For further details, refer note 2.9.

	Grants from the government are recognised where
there is a reasonable assurance that the grant will
be received and the Company will comply with all
attached conditions.

	The Company has entered into certain multiple-element
revenue arrangements which involve the delivery or
performance of multiple products, services or rights to
use assets. At the inception of the arrangement, all thedeliverables therein are evaluated to determine whether
they represent distinct performance obligations, and if
so, they are accounted for separately. Total consideration
related to the multiple element arrangements isallocated to each performance obligation basedon their standalone selling prices. The stand-alone
selling prices are determined based on the list prices
at which the Company sells equipment and network
services separately.

Statutory Reports	Dividend to shareholders is recognised as a liabilityon the date of approval by the shareholders. However,interim dividend is recorded as a liability on the date of
declaration by the Company’s Board of Directors.

Interest income	Certain business services revenues include revenue
from registration and installation, which are amortisedover the period of agreement since the date of activationof service.

Multiple element arrangements

Management Discussion & Analysis

The Company presents the Basic and Diluted EPS.
	Basic EPS is computed by dividing the profit for theperiod attributable to the shareholders of the Company
by the weighted average number of shares outstanding
during the period.
	Diluted EPS is computed by adjusting, the profit for theyear attributable to the shareholders and the weighted
average number of shares considered for deriving Basic
EPS, for the effects of all the shares that could havebeen issued upon conversion of all dilutive potential
shares. The dilutive potential shares are adjusted forthe proceeds receivable had the shares been actually
issued at fair value. Further, the dilutive potential sharesare deemed converted as at beginning of the period,
unless issued at a later date during the period.

3.	Key sources of estimation uncertainties andCritical judgements
	The estimates and judgements used in the preparationof the said Financial Statements are continuously
evaluated by the Company, and are based on historicalexperience and various other assumptions and factors(including expectations of future events), that theCompany believes to be reasonable under the existing
circumstances. The said estimates and judgements
are based on the facts and events, that existed as at
the reporting date, or that occurred after that date but
provide additional evidence about conditions existing as
at the reporting date.
	
Although the Company regularly assesses theseestimates, actual results could differ materially fromthese estimates - even if the assumptions underlying such
estimates were reasonable when made, if these results
differ from historical experience or other assumptions do
not turn out to be substantially accurate. The changes
in estimates are recognised in the Financial Statementsin the year in which they become known.

a)Useful lives of PPE	As described at note 2.6 above, the Company reviewsthe estimated useful lives of PPE at the end of eachreporting period. After considering market conditions,industry practice, technological developments and otherfactors, the Company determined that the current useful
lives of its PPE remain appropriate. However, changes
in economic conditions of the markets, competition
and technology, among others, are unpredictable andthey may significantly impact the useful lives of PPE
and therefore the depreciation charges. Refer note 2.6
and 5 for the estimated useful life and carrying value of
PPE respectively.
b)

Impairment reviews	
PPE (including CWIP) and intangible assets withdefinite lives, are reviewed for impairment, whenever
events or changes in circumstances indicate that
their carrying values may not be recoverable. Goodwill
and IAUD are tested for impairment, at least annually
and whenever circumstances indicate that it may be
impaired. For details as to the impairment policy, refer
note 2.8. Further, the Company conducts impairment
reviews of investments in subsidiaries / associates /joint arrangements whenever events or changes incircumstances indicate that their carrying amounts may
not be recoverable.
	In calculating the value in use, the Company is required
to make significant judgements, estimates andassumptions inter-alia concerning the growth in earnings
before interest, taxes, depreciation and amortisation(‘EBITDA’) margins, capital expenditure, long-term
growth rates and discount rates to reflect the risks
involved. Also, judgement is involved in determining the
CGU / grouping of CGUs for allocation of the goodwill.
c)

Taxes

	Deferred tax assets are recognised for the unused
tax losses credits for which there is probability ofutilisation against the future taxable profit. Significant
management judgement is required to determine theamount of deferred tax assets that can be recognised,based upon the likely timing and the level of futuretaxable profits, future tax planning strategies and recent
business performances and developments.
d)

Allowance for impairment of trade receivables

	The ECL is mainly based on the ageing of the receivablebalances and historical experience. The receivables
are assessed on an individual basis or grouped into

Integrated Report and Annual Financial Statements 2022-23

269

Corporate Overview

Notes to Standalone Financial Statements(All amounts are in millions of Indian Rupee; unless stated otherwise)

homogeneous groups and assessed for impairment
collectively, depending on their significance. Moreover,trade receivables are written off on a case-to-case basis
if deemed not to be collectible on the assessment of theunderlying facts and circumstances.
e)Contingent liabilities and provisions

	The Company is involved in various legal, tax andregulatory matters, the outcome of which may not be
favourable to the Company. Management in consultation
with the legal, tax and other advisers assess the likelihoodthat a pending claim will succeed. The Company has
applied its judgement and has recognised liabilities
based on whether additional amounts will be payable
and has included contingent liabilities where economic
outflows are considered possible but not probable.

3.2	Critical judgements in applying the Company’s
accounting policies	
The critical judgements, which the management
has made in the process of applying the Company’s
accounting policies and have the most significant
impact on the amounts recognised in the said Financial
Statements, are discussed below:a)Separating lease and non-lease components	
The consideration paid by the Company intelecommunication towers lease contracts include
the use of land and passive infrastructure as well as
maintenance, security, provision of energy services etc.
Therefore, in determining the allocation of consideration
between lease and non-lease components, for the
additional services that are not separately priced, theCompany performs analysis of cost split to arrive at
relative stand-alone prices of each of the components.
The bifurcation of the consideration paid (excluding
energy) between lease versus non-lease component
across the Company has been accordingly consideredat 60% as lease component on an overall basis.
b)

Determining the lease term	Under Ind AS 116, if it is reasonably certain that a lease will
be extended / will not be early terminated, the Company
is required to estimate the expected lease period which
may be different from the contractual tenure. The
Company has various tower lease agreements with aright to extend / renew / terminate wherein it considers
the nature of the contractual terms and economic
factors to determine the lease term. After assessing
such factors, the lease liability has been calculated using
the remaining lease period until which significant exit
penalties are payable.

270

Bharti Airtel Limitedc)	Determining the incremental borrowing rate forlease contracts
	The initial recognition of lease liabilities at present value
requires the identification of an appropriate discountrate. The Company has determined the incremental
borrowing rate based on considerations specific to theleases by taking consideration of the risk free borrowing
rates as adjusted for country / company specific risk
premiums (basis the readily available data points).
d)

Revenue recognition and presentation

	The Company assesses its revenue arrangements inorder to determine if it is acting as a principal or as anagent by determining whether it has primary obligationbasis pricing latitude and exposure to credit / inventoryrisks associated with the sale of goods / renderingof services.
	
In the said assessment, both the legal form andsubstance of the agreement are reviewed to determine
each party’s role in the transaction.

4.

Significant transactions / new developmentsi.	During the year ended March 31, 2023, upon approvalof National Company Law Tribunal, Chandigarh Bench,
vide its order received on January 25, 2023 in certified
copy, the composite scheme of arrangement between
Nettle Infrastructure Investments Limited (‘Nettle’),Telesonic Networks Limited (‘Telesonic’), their respective
shareholders and the Company, under Sections 230
to 232 along with other applicable provisions of theCompanies Act, 2013 for amalgamation of Nettle andTelesonic, wholly-owned subsidiaries, with the Company(‘Scheme’) has become effective from February 1, 2023,
with an appointed date of April 1, 2022 in accordancewith the Scheme. As prescribed by the Scheme, noconsideration was paid as both Nettle and Telesonicwere wholly-owned subsidiaries of the Company.
	Nettle was in the business to promote, establish andfund companies engaged in the business for providing
telecom services and other companies engaged in
activities ancillary to the telecom industry. Telesonic
was in the business of lying, owning and maintaining
pan India fiber optic cables, wire line voice / broadband
services and support its transition to next generation
networks and innovative services.
	The Company has accounted the merger as a common
control business combination as required under Ind AS
103 ‘Business Combinations’ and the effect has been
given from April 1, 2021 (beginning of the preceding
period). The excess of carrying value of investments overManagement Discussion & Analysis

Statutory Reports

Financial Statements

Notes to Standalone Financial Statements(All amounts are in millions of Indian Rupee; unless stated otherwise)

the net value of assets, liabilities and reserves of Nettle
and Telesonic amounting to H 64,742 has been debitedto Capital Reserve as on April 1, 2021.
	Consequently, the authorised share capital of Nettle
and Telesonic has been added to the authorised sharecapital of the Company. Accordingly, as on effective dateof the Scheme, the authorised equity share capital of
the Company is H 148,730 dividend into 29,746,080,000
equity shares of H 5 each.
ii.	During the year ended March 31, 2023, the Company
has allotted 71,176,839 equity shares of the facevalue of H 5 each fully paid up, on preferential basis to
Google International LLC at an issue price of H 734 perequity share (including a premium of H 729 per share)
aggregating to H 52,244, upon receipt of all applicablestatutory/ regulatory approvals including the approval
from the Competition Commission of India.
iii.	During the year ended March 31, 2023, the Company
has, in accordance with the terms of the Offering Circular
dated (‘Offering Circular‘) January 14, 2020 w.r.t. USD
1,000 Mn (approx. H 72,017) 1.50% Convertible Bonds
due 2025 (‘FCCBs’), allotted 11,903,000 equity sharesof the face value of H 5 each fully paid up at a conversion
price of H 521 per equity share and 27,543 equity sharesof the face of H 5 each fully paid up at a conversion priceof H 523 per equity share, against the conversion requestof FCCBs of USD 86.1 Mn and USD 0.2 Mn respectively.
iv.	During the year ended March 31, 2023, the Company has
participated in the latest spectrum auction conductedby the DoT (Government of India), Government of India
and acquired 18,063.8 MHz spectrum of 3.5 and 26
GHz bands and selective mid and low band spectrum.
The entire spectrum band was secured for a total
consideration of H 415,619 for 20 years. The Company
has paid 4 years of spectrum dues upfront amounting
to H 83,124. The said spectrum has been allocated by
the DoT on August 17, 2022. Payment for remaining
spectrum dues shall begin from August 2026.
v.	During the year ended March 31, 2021, the National
Company Law Tribunal, New Delhi, subject to theapplicable sectoral approval, approved the composite
Scheme of arrangement under Sections 230 to 232of the Companies Act, 2013 (‘Scheme’) for transfer ofVery Small Aperture Terminal (‘VSAT’) business of theCompany and Bharti Airtel Services Limited, whollyowned subsidiary of the Company, on a going concern
basis by way of slump sale and vesting of the same with
Hughes Communications India Private Limited (‘Hughes
India’) and HCIL Comtel Private Limited against theconsideration of H 663 and H 334 respectively. During
the year ended March 31, 2022, the Scheme has
become effective on January 4, 2022 upon fulfillmentof conditions and receipt of requisite approval(s).
Furthermore, the Company had invested approximately
H 998 in Hughes India and holds its 33.33% equity
shareholding w.e.f. January 4, 2022.
vi.	During the year ended March 31, 2022, the Company
has paid H 155,191 and H 88,145 to the DoT (Governmentof India) towards prepayment of the entire deferredliabilities pertaining to spectrum acquired by theCompany in 2014 auction (including acquired spectrum)and towards prepayment of the first two instalmentsof deferred liabilities pertaining to spectrum acquiredby the Company in 2015 auction (including acquired
spectrum) respectively.
vii.	During the year ended March 31, 2022, the Company
had allotted 392,287,662 partly paid-up equity shares at
an issue price of H 535 per share (with H 133.75 paid on
application and balance to be paid in two more additionalcalls as may be decided by the Board / Committee of theBoard of the Company from time to time) to the eligible
applicants under the rights issue.
viii.	On October 24, 2019, the Supreme Court of India
delivered a judgement in relation to a long outstanding
industry-wide case upholding the view of the DoT in
respect of the definition of Adjusted Gross Revenue(‘AGR’). Further, in its judgement dated September 1,
2020 (‘AGR September Judgement’), the Supreme Court
reaffirmed that the demand raised by the DoT stated inits modification application. In addition, Supreme Court
directed that the Telecom Service Providers (‘TSPs’) shallmake a payment of 10% of the total dues as demanded
by DoT, by March 31, 2021 and remaining dues in yearly
instalments commencing April 1, 2021 till March 31,
2031, payable by March 31 of every succeeding financial
year. Considering the above Supreme Court’s judgement,
the Company accounted for provision for license fee
and spectrum charges based on the demand raised by
the DoT and paid part dues in the previous years. On
July 19, 2021, the Company confirmed its complianceto the Supreme Court with the directions to pay 10%
of total dues by March 31, 2021. The matter is pending
adjudication before the Supreme Court. Further, on July23, 2021, the Supreme Court pronounced its judgement,
whereby the applications filed by the TSPs for correctionof errors in the computation of demand amount by DoT
were dismissed. The Company has filed a review petition
against the July 23, 2021 order before the Supreme
Court and the same is pending adjudication.
	In the meanwhile, DoT vide letter dated October 14, 2021
has offered a one-time opportunity to opt for defermentof AGR related dues determined determined by theSupreme Court in the AGR case, by a period of four
years with immediate effect without changing the overall
payment period of 10 years as fixed by the Supreme

Integrated Report and Annual Financial Statements 2022-23

271

ix.	During the year ended March 31, 2022, the Company
has transferred spectrum rights and related future
liabilities of H 4,693 to another telecom operator for
the Company’s 800 MHz spectrum in Andhra Pradesh(3.75 MHz), Delhi (1.25 MHz) and Mumbai (2.5 MHz) for
consideration of H 10,048 (refer note 31(ii)(a)).

272
Bharti Airtel Limited

3,935
5,406

624,782
632,150

846,578
132,044(18,611)960,011960,011
139,845(33,111)
1,066,745

1,450,528
154,203(19,938)
1,584,793
1,584,793
148,753(34,651)
1,698,895

127
155

1,895
69
(0)
1,964
1,964
56
(9)
2,011

2,064
29
(2)
2,091
2,091
84
(9)
2,166

18
14

205
8
(108)
105
105
5
(1)
109

211
21
(109)
123
123
1
(1)
123

Vehicles

398
383

4,332
213
(21)
4,524
4,524
201
(38)
4,687

4,804
140
(22)
4,922
4,922
193
(45)
5,070

Officeequipments

The carrying value of CWIP as of March 31, 2023 and March 31, 2022 is H 69,598 and H 17,149 respectively, which mainly pertains to plant and equipment.

1,900
5,735

1,239
1,092

-

3,935
3,935
3,935
1,471
5,406

Furnitureand fixtures

5,551
5,902

34,001
3,419(39)
37,381
37,381
3,403(40)
40,744

39,2503,721(39)
42,93242,9323,755(41)
46,646

637,950
650,837

894,810
136,252(18,827)
1,012,235
1,012,235
144,203(33,201)
1,123,237

1,512,067
158,277(20,159)
1,650,185
1,650,185
1,58,640(34,751)
1,774,074

Total

Statutory Reports# It also includes buildings on leased land.

As of March 31, 2023
Net carrying value
As of March 31, 2022
As of March 31, 2023

As of April 1, 2022
ChargeDisposals / net adjustments

As of March 31, 2022

3,120
253
3,373
3,373
439
3,812

5,273
5,273
5,273
4,274
9,547
4,679
246
(48)
4,877
4,877
254
(2)
5,129

6,002
163
(49)
6,116
6,116
109
(4)
6,221

Plant andequipment

Management Discussion & Analysis

As of April 1, 2021
ChargeDisposals / net adjustments

As of March 31, 2023
Accumulated depreciation

As of April 1, 2022
Additions
Disposals / net adjustments

As of March 31, 2022

Additions
Disposals / net adjustments

Gross carrying value
As of April 1, 2021

Land

(All amounts are in millions of Indian Rupee; unless stated otherwise)

Buildings#

Notes to Standalone Financial Statements

Leaseholdimprovements

Computerand serversx.	The Code on Social Security, 2020 (‘Code’) relating
to employee benefits during employment and postemployment benefits received Presidential assent in
September 2020. The Code has been published in theGazette of India. The Ministry of Labour and Employment(‘Ministry’) has issued draft of the Code on Social
Security (Central) Rules, 2020 on November 13, 2020and has invited suggestions from stakeholders which
are under active consideration by the Ministry. However,the date on which the Code will come into effect has notbeen notified. The Company is assessing the impact of
the Code and will record any related impact in the period
in which the Code becomes effective.
The following table presents the reconciliation of changes in the carrying value of PPE for the year ended March 31, 2023 and March 31, 2022:

Property, plant and equipment (PPE)

court (i.e. the last of the yearly instalment payment tobe made by March 31, 2031). The revised amount of
instalment of the AGR dues is to be paid within this timeframe only. The Company vide its letter dated October22, 2021 has confirmed DoT to avail the offer.

5.

(All amounts are in millions of Indian Rupee; unless stated otherwise)

Notes to Standalone Financial Statements

Corporate Overview
Financial Statements

Integrated Report and Annual Financial Statements 2022-23

273

Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

Notes to Standalone Financial Statements

Notes to Standalone Financial Statements

CWIP Ageing Schedule

IAUD Ageing Schedule

As of March 31, 2023

As of March 31, 2023

(All amounts are in millions of Indian Rupee; unless stated otherwise)(All amounts are in millions of Indian Rupee; unless stated otherwise)

Amount in CWIP for a period of

Projects in progress(net of provision)

Amount in IAUD for a period ofLess than 1 year

1-2 years

2-3 years

More than
3 years

68,583

1,015

-

-

Total

69,598

As of March 31, 2022

Projects in progress (net ofprovision)Less than 1 year

1-2 years

2-3 years

More than
3 years

Total

335,90752--

335,959

As of March 31, 2022
Amount in CWIP for a period of

Projects in progress(net of provision)

6.

Amount in IAUD for a period ofLess than 1 year

1-2 years

2-3 years

More than
3 years

16,069

1,041

25

14

Total

17,149Goodwill and other intangible assets

The following table presents the reconciliation of changes in the carrying value of goodwill and other intangible assets for theyear ended March 31, 2023 and March 31, 2022:

Goodwill

Gross carrying value
As of April 1, 2021
Additions
Disposals / net adjustments

As of March 31, 2022
As of April 1, 2022
Additions
Disposals / net adjustments

As of March 31, 2023
Accumulated amortisation
As of April 1, 2021
Amortisation
Disposals / net adjustments

As of March 31, 2022
As of April 1, 2022
Amortisation
Disposals / net adjustments

As of March 31, 2023
Net carrying value
As of March 31, 2022
As of March 31, 2023

Other intangible assets
Licenses
Software(including
spectrum)

Others

Total

1,083
1,083
1,083
1,083

29,176
6,363(10,762)
24,777
24,7772,481(227)
27,031

964,071
171,956(16,703)
1,119,324
1,119,324
110,900
1,230,224

9,713(7,206)2,507
2,507(1,055)
1,452

1,002,960
178,319(34,671)
1,146,608
1,146,608
113,381(1,282)
1,258,707-

23,517
3,866(10,742)
16,641
16,641
4,332(262)
20,711

3,01,216
58,230(10,523)
348,923
348,923
62,476
411,399

9,127
481(7,206)
2,402
2,402
57
(1,007)
1,452

333,860
62,577(28,471)367,966
367,966
66,865(1,269)433,562

1,083
1,083

8,136
6,320

770,401
818,825

105-

778,642825,145

Weighted average remaining amortisation period of licenses (including spectrum) as of March 31, 2023 and March 31, 2022
is 13.64 and 13.71 years respectively.
The carrying value of IAUD as of March 31, 2023 and March 31, 2022 is H 335,959 and H 16,708 respectively, which mainlypertains to spectrum and software / IT platform.

Projects in progress (net ofprovision)Less than 1 year

1-2 years

2-3 years

More than
3 years

Total

16,69612--

16,708The Company has capitalised borrowing cost of H 14,172 and H 2,837 during the year ended March 31, 2023 andMarch 31, 2022 respectively. The rate used to determine the amount of borrowing costs eligible for capitalisation is 7.16%(specific borrowing), 3.34% (general borrowing) for the year ended March 31, 2023 and 7.30% (specific borrowing), 3.34%(general borrowing) for the year ended March 31, 2022.

7. Investments
Non-current
As ofInvestments carried at cost

Bharti Airtel Limited

March 31, 2022

87,90966,974
5,718-

87,90966,974
5,718
-

6,355

355

348
1,142

348
308

95
1
0
168,54295
1
0
161,708

17,240998
1
149

17,240998
1149

18,38818,388244,176

278,83434
10244,220
431,15034
10
278,878
458,974

Investment in subsidiaries
Network i2i Limited: 1,267,427,896 equity shares of USD 1 each
Bharti Telemedia Limited: 510,200,000 equity shares of H 10 each
Bharti Hexacom Limited: 175,000,000 equity shares of H 10 each
Bharti Airtel Lanka (Private) Limited: 50,200,221,771 equity shares(net of impairment)*
Airtel Digital Limited: 173,731 equity shares of H 10 each
(March 31, 2022 - 89,286 equity shares of H 10 each)
Nxtra Data Limited: 9,017,857 equity shares of H 10 each
Indo Teleports Limited: 82,570,423 equity shares of H 10 each
(March 31, 2022 - 22,998,995 equity shares of H 10 each)
Oneweb India Communications Private Limited: 9,510,000 equity shares of H 10 each
Bharti Airtel Services Limited: 100,000 equity shares of H 10 each
Bharti Airtel International (Netherlands) B.V.: 1 equity share of EURO 1 each

Investment in associates
Airtel Payments Bank Limited: 1,724,025,128 equity shares of H 10 each
Hughes Communications India Private Limited: 7,524,808 equity shares of H 10 each
Lavelle Networks Private Limited: 100 equity shares of H 10 each
Lavelle Networks Private Limited: 37,314 0.1% Series B Compulsory Convertible
Preference Shares of H 100 each

Investment in joint ventures
Indus Towers Limited: (quoted) 1,292,261,364 equity shares of H 10 each
(March 31, 2022 - 1,252,829,190) (net of impairment)#
Bridge Mobile Pte. Limited: 800,000 equity shares of USD 1 eachFirefly Networks Limited: 1,000,000 equity shares of H 10 each

Investment in subsidiaries, associates and joint ventures

274

March 31, 2023

Integrated Report and Annual Financial Statements 2022-23

275

Corporate Overview

Notes to Standalone Financial Statements
As ofMarch 31, 2023

March 31, 2022

494
2
496

241
2
243

Investments carried at FVTOCI
Equity instrument

Other investments

69
69
565

69
69
312

Current
As ofMarch 31, 2023

March 31, 2022

24,907
24,907

7,974
7,974

5,795
4,497
10,29235,1997,974

187,539-

180,452-

244,176
35,199278,834
7,974

The key sensitivities based on reasonably possible change to the assumptions keeping other assumptions consistent under the Income Approach
are as follows:•

0.5% change in discount rate will result in an additional impairment of H 14,948.

•

1% change in discount rate will result in an additional impairment of H 28,279.

•

0.5% change in terminal growth rate will result in an additional impairment of H 8,084.

•

1% change in terminal growth rate will result in an additional impairment of H 15,308.

In developing the assumptions relating to the recoverable amounts, the Company considered both internal and external evidences as appropriate. If
the assumptions considered change in future due to possible effect of uncertainties, this could result in additional impairments, the effects of which
may not have been estimated as at the date of the approval of these Financial Statements.

Details of significant investments in Subsidiaries, Associate and Joint venture are as below:
S.
No

Name of the Subsidiaries

Place ofincorporation

1

Network i2i Limited

Mauritius

2
3

Bharti Telemedia Limited
Bharti Hexacom Limited

India
India

4

Airtel Digital Limited

India

S.
No

Name of the Associate

Place ofincorporation

Principal activities

1

Airtel Payments Bank Limited

India

Mobile commerce services

S.
No

Name of the Joint venture

Place ofincorporation

Principal activities

1

Indus Towers Limited

India

8.

Derivative instruments

Investments carried at FVTPL
Mutual funds (quoted)

Investments carried at amortised costCommercial paper (quoted)
Corporate deposits (quoted)

Current investments
Aggregate book value of unquoted investments
Non-Current
Current

Aggregate book value of quoted investments
Non-Current
Current

Aggregate market value of quoted investments
Non-Current
Current

Financial Statements(All amounts are in millions of Indian Rupee; unless stated otherwise)

Investments carried at FVTPL
Equity instruments
National Savings Certificates

Statutory Reports

Notes to Standalone Financial Statements(All amounts are in millions of Indian Rupee; unless stated otherwise)

Investments carried at cost

Management Discussion & Analysis

184,793
35,199278,191
7,974*During the year ended March 31, 2022, the Company had recorded an impairment charge of H 4,527 on investment value of Bharti Airtel(Lanka) Private Limited, a subsidiary company. The impairment charge was recorded under exceptional items in the Statement of Profit and Loss(refer note 31(ii)(d)).
# The Company assesses at the end of each reporting period whether there is objective evidence that investments in subsidiaries, joint ventures andassociates are impaired. As of December 31, 2022, the carrying value of investment in Indus Towers Limited (‘Indus’) was H 286,940. The Company
performed a formal impairment analysis given the prolonged decline in the market price of the shares in Indus. The recoverable amount of Indus
was determined based on Value in use.

As a result of this impairment analysis, the recoverable amount of its investment in Indus was determined to be H 244,176, resulting in an impairmentof H 42,764, which was recorded in quarter ended December 31, 2022. The Company further tested for impairment at the end of March 31, 2023
and assessed that no additional impairment loss need to be recognised. Impairment loss recognised has been presented as an exceptional item
(refer note 31(i)(a)).
Cash flow projections for the period 10 years (as the average life of leases recently entered into with Indus Towers Limited is around ten years)•

Terminal Growth Rate – 2.5% per annum•

Post tax – Tax Risk adjusted discount rate – 10.9% (pre-tax discount rate –13.7%)

Telecommunication,submarine cable system
and Investment holding
Company
Direct to home services
Telecommunication
services
Content procurement,
selling, advertisement andother value added services

Passive infrastructureservices% of shareholding
March 31, 2023

March 31, 2022

100.00100.00100.0070.00

100.0070.00

100.00100.00% of shareholding
March 31, 2023

March 31, 2022

72.61

73.41

% of shareholding
March 31, 2023

March 31, 2022

47.95

46.49

The details of derivative financial instruments are as follows:As of
March 31, 2023

March 31, 2022

1,044
1,044

316
316

532
532
81
963
532

176
176
316
176

AssetsForward and option contracts

Liabilities
Forward and option contracts

Key assumptions considered by the Company in determining recoverable amounts under Income Approach are as follows:•

Principal activities

Non-current derivative financial assets
Current derivative financial assets
Current derivative financial liabilities

Besides above, other assumptions included EBITDA margin to sustain at current levels.

276

Bharti Airtel Limited

Integrated Report and Annual Financial Statements 2022-23

277

Corporate Overview

Notes to Standalone Financial Statements

Statutory Reports

Financial Statements

Notes to Standalone Financial Statements(All amounts are in millions of Indian Rupee; unless stated otherwise)

9.

Management Discussion & Analysis(All amounts are in millions of Indian Rupee; unless stated otherwise)Loans

For the year ended
As ofMarch 31, 2023

March 31, 2022

43,022(1,259)41,763

11,457(169)
11,288

Unsecured, considered good
Loans to related parties (refer note 34)*
Interest accured (refer note 10)*repayable on demand.

10. Other financial assets
Non-current

March 31, 2023

March 31, 2022

31
31

3
3

Amounts recognised in OCI
Deferred tax related to items charged to OCI during the year:- Re-measurement loss on defined benefit plans

Deferred Tax credited to OCI

The reconciliation between the amount computed by applying the statutory income tax rate to the loss before tax and income
tax expense / (credit) is summarised below:
For the year ended

As ofMarch 31, 2023

March 31, 2022

10,1216,160
935
1217,228

10,121
5,634
897
188
16,840Indemnification assets*
Security deposits#
Claims recoverable
Margin money deposits*primarily includes indemnification assets recognised pursuant to merger with Tata Teleservices Limited (‘TTSL’) / Tata Teleservices (Maharashtra)
Limited (‘TTML’) and Telenor (India) Communications Private Limited (‘Telenor’).
#Security deposits (net of allowance for impairment of H 1,835 and H 1,692 as of March 31, 2023 and March 31, 2022, respectively) primarily includes

deposits given towards rented premises, cell sites and interconnect ports.

Profit / (loss) before tax
Enacted tax rates in India
Tax expense

March 31, 2023

March 31, 2022

12,69325.168%
3,195(42,557)
25.168%(10,711)(178)
10,54032
13,589

(39)
6,745
2
79
4
(3,920)Effect of:
Adjustments in respect to previous years
Expense not deductible (net)
Losses against which no deferred tax asset recognised
Impact of VSAT business slump sale
OthersIncome tax expense / (credit)
The analysis of deferred tax assets / (liabilities) is as follows:

Current

As of
As of
March 31, 2023

March 31, 2022

14,120182,959
1,332
1,035
1,390
200,836

12,137
179,640
187
1,354
1,632
194,950

Unbilled revenue (refer note 23)
Indemnification assets*
Interest accrued
Recoverable from related party
Others$*primarily includes indemnification assets recognised pursuant to merger with TTSL / TTML and Telenor.
$primarily includes security deposits and claims recoverable.

11. Income tax

March 31, 2023

March 31, 2022

9,038
162,484
1,305
331
98
(43,370)
(493)
4,163
12,979(96)
146,4398,393
179,854
1,089
443
184
(47,075)
(801)
5,612
12,461
15
160,175

Deferred tax asset / (liability)
Trade receivables
Carry forward losses
Provision for employee benefits
Government grants
Fair valuation of financial instruments and exchange differences
Property, plant and equipment, intangible assets and leases
Financial liabilities
Claim for variable license fee acquired under amnesty scheme
Payables and non-financial liability
OthersNet deferred tax asset

The major components of income tax (credit) / expense are:
For the year ended

For the year ended
March 31, 2023

March 31, 2022

Amounts recognised in Statement of Profit and Loss
Current tax-

For the year
Adjustments for prior periods

(178)
(178)

-

13,767
13,767
13,589(3,881)(39)(3,920)(3,920)

Deferred tax-

Origination and reversal of temporary differences
Adjustments for prior periods

Income tax expense / (credit)

Bharti Airtel Limited

March 31, 2022

(645)
17,370(185)
112
86(3,705)
(308)
1,449
(518)
111
13,767(416)(7,446)
14
60
(51)
2,670
(266)
4,072
(2,599)42(3,920)

Deferred tax expense / (credit)
Trade receivables
Carry forward losses
Provision for employee benefits
Government grants
Fair valuation of financial instruments and exchange differences
Property, plant and equipment, intangible assets and leases
Financial liabilities
Claim for variable license fee acquired under amnesty scheme
Payables and non-financial liability
OthersNet deferred tax expense / (credit)

278

March 31, 2023

Integrated Report and Annual Financial Statements 2022-23

279

Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

Notes to Standalone Financial Statements

Notes to Standalone Financial Statements

The movement in deferred tax assets during the year is as follows:

Current(All amounts are in millions of Indian Rupee; unless stated otherwise)(All amounts are in millions of Indian Rupee; unless stated otherwise)

As of

For the year ended
March 31, 2023

March 31, 2022

160,175(13,767)31
146,439

156,252
3,920
3160,175

Opening balanceTax (expense) / credit recognised in profit or loss
Tax credit recognised in OCI

Closing Balance

In line with accounting policy of the Company, deferred tax assets are recognised to the extent that it is probable that taxable
profit will be available against which the deductible temporary differences and carry forward tax losses (including capital
losses) can be utilised and deferred tax asset (net) has been recognised only to the extent of reasonable certainty of available
tax profits in future. Accordingly, the Company has not recognised deferred tax assets in respect of carried forward losses of
H 697,763 and H 723,679 as of March 31, 2023 and March 31, 2022, respectively, as it is not probable that relevant taxable
profits will be available in future due to challenging and uncertain nature of the business and regulatory framework, intensecompetition, constant capital investments and receipt of dividend from investees etc.

Taxes recoverable$
Prepaid expenses
Advances to suppliers (net)@
Deposit with government authorities
Costs to obtain a contract with the customer (refer note 23)
Others*March 31, 2022

62,021
3,205
988
426
24,491
283
91,41463,094
3,133
3,225
301
17,236260
87,249$Taxes recoverable primarily pertains to GST and customs duty.
@Advances to suppliers are disclosed net of allowance of H 1,705 and H 1,731 as of March 31, 2023 and March 31, 2022 respectively.

*It mainly includes advances to staff and earnest money deposit.

13. Trade receivables
As of

The expiry schedule of the above unrecognised losses is as follows:
Expiry date

March 31, 2023

As ofMarch 31, 2023

March 31, 2022

393,333
149,6303,450
151,350
697,763344,553
111,032
144,188
123,906
723,679

Within one - three years
Within three - five years
Above five years
Unlimited

Trade receivables considered good - unsecured*
Trade receivables - credit impaired.
Less: Allowances for doubtful receivables

March 31, 2023

March 31, 2022

48,832
1,411(29,078)
21,165

53,102
1,082(26,467)
27,717*It includes amount due from related parties (refer note 34).

Refer note 36(1)(iv) for credit risk

The movement in allowances for doubtful receivables is as follows:

The above includes business combination losses and unabsorbed depreciation in relation to:

For the year endeda)	TTSL amounting to H 137,929 (including H 70,209 towards unabsorbed depreciation) as of March 31, 2023 and H 155,440(including H 70,209 towards unabsorbed depreciation) as of March 31, 2022, and from Telenor totalling to H 64,280(including H 42,402 towards unabsorbed depreciation) as of March 31, 2023 and H 64,280 (including H 42,402 towards
unabsorbed depreciation) March 31, 2022.
b)

Capital losses of H 351,110 as of March 31, 2023 and H 352,759 as of March 31, 2022.

Closing balancec)	Business losses amounting to H 102,255 as of March 31, 2023 and H 109,011 as of March 31, 2022 on which deferred
tax asset has been reversed based on analysis of recoverability assessment basis the 10 year plan. Further, deferred
tax asset has not been recognised on business losses of H 42,189 as of March 31, 2023 and March 31, 2022 due touncertainty over sufficient taxable profits in future.
Besides above, the Company has also not recorded deferred tax assets in respect of impairment losses of Investment in
subsidiaries / associate / joint venture amounting to H 123,254 as of March 31, 2023 and H 80,490 as of March 31, 2022.

12. Other assets
Non-current
As ofAdvances (net)#
Costs to obtain a contract with the customer (refer note 23)
Prepaid expenses
Taxes recoverable$
Capital advances
Others*Opening balance
AdditionsWrite off (net of recovery)
Adjustments

March 31, 2023

March 31, 2022

18,075
21,843
4,748
12,9052,047
1,733
61,351

17,52518,9985,459
16,75414
1,573
60,323

March 31, 2023

March 31, 2022

26,467
2,741
(139)
9
29,07824,941
1,737
(117)
(94)
26,467

Trade receivables ageing
As of March 31, 2023
Not due(i)	Undisputed Trade receivables —considered good(ii)	Disputed Trade Receivables —considered good(iii)	Disputed Trade Receivables —credit impaired
Less: Allowances for doubtfulreceivables

Outstanding for following periods from due date of payment
Less than
6 months More than
1-2 years
2-3 years
6 months
1 year
3 years

Total

4,964

16,150

2,512

3,140

3,929

17,441

48,136

-

-

-

-

-

696

696

-

-

-

-

-

1,411

1,411
(29,078)

Net Trade receivables

21,165#Advances represent payments made to various Government authorities under protest and are disclosed net of allowance.
$Taxes recoverable primarily pertains to Goods and Services Tax (‘GST’) and customs duty.

*It mainly includes amount given to related party - Bharti Airtel Employees Welfare Trust (refer note 34).

280

Bharti Airtel Limited

Integrated Report and Annual Financial Statements 2022-23

281

Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

Notes to Standalone Financial Statements

Notes to Standalone Financial Statements

As of March 31, 2022

15. Share capital(All amounts are in millions of Indian Rupee; unless stated otherwise)

Not due(i)	Undisputed Trade receivables —considered good(ii)	Disputed Trade Receivables —considered good(iii)	Disputed Trade Receivables —credit impaired
Less: Allowances for doubtfulreceivables(All amounts are in millions of Indian Rupee; unless stated otherwise)

Outstanding for following periods from due date of payment
Less than
6 months More than
1-2 years
2-3 years
6 months
1 year
3 years

As of
Total

8,802

17,607

3,248

4,506

5,148

12,76652,077

-

-

-

-

1

1,024

1,025

-

-

-

-

-

1,082

1,082
(26,467)

Net Trade receivables

27,717

14. Cash and bank balances
Cash and cash equivalents (‘C&CE’)

Interest accured (refer note 10)

March 31, 2023

March 31, 2022

352
13,476168
2
13,998(73)
13,925

658
2,322
139
1
3,120
(18)
3,102

Earmarked bank balances - unpaid dividend
Margin money deposits*

147,7800148,7300147,780

27,876

27,460

1,961

1,961

29,83729,421

27,876

27,460490

490

28,366

27,950Issued Capital
5,575,134,650 (March 31, 2022 - 5,492,027,268) equity shares of H 5 each fully paidup
392,287,662 (March 31, 2022 - 392,287,662) equity shares of H 5 each (H 1.25 partly
paid-up)

5,575,134,650 (March 31, 2022 - 5,492,027,268) equity shares of H 5 each fully paidup
392,287,662 (March 31, 2022 - 392,287,662) equity shares of H 5 each (H 1.25 partly
paid-up)a)

Reconciliation of the shares outstanding at the beginning and at the end of the year
For the year ended
March 31, 2023

Outstanding at the end of the year

As of
March 31, 2023

March 31, 2022

18
487
505

10
302
312

*Margin money deposits represents amount given as collateral for legal cases and / or bank guarantees for disputed matters.

For the purpose of Statement of Cash Flows, C&CE comprise of the following:
As of

C&CE as per balance sheet
Bank overdraft (refer note 17)

148,730

29,746,080,000 (March 31, 2022 - 29,555,980,000)
equity shares of H 5 each (refer note 4(i))
1,000 (March 31, 2022 - 1,000) preference shares of H 100 eachAt the beginning of the year
Issued during the year

Other bank balances
Other bank balances

March 31, 2022

Authorised Share Capital

Subscribed and Paid Up Capital
As ofBalances with banks- On current accounts- Bank deposits with original maturity of 3 months or less
Cheques on hand
Cash on hand

March 31, 2023

March 31, 2023

March 31, 2022

13,925(64)
13,861

3,102
3,102

No. of shares('000')

5,884,315
83,107
5,967,422

March 31, 2022
AmountNo. of shares('000')

Amount27,950416
28,366

5,492,027
392,2885,884,315

27,460490
27,950b) Rights, preferences and restrictions attached to Shares	The Company has only one class of equity shares having par value of H 5 each. The holder of the equity share is entitledto dividend right and voting right in the same proportion as the capital paid-up on such equity share bears to the total
paid-up equity share capital of the Company. The declaration of dividend by the Company is associated with the fulfilmentof interest obligation, if any, on the perpetual securities issued by one of its wholly-owned subsidiaries. In the event ofliquidation of the Company, the holders of equity shares will be entitled to receive the remaining assets of the Company,
after distribution of all preferential amounts, in proportion to the number of equity shares held by the shareholders.

c)Terms of conversion / redemption of FCCBs	The Company has outstanding FCCBs of USD 913.7 Mn and USD 1,000 Mn as of March 31, 2023 andMarch 31, 2022 respectively, bearing coupon rate of 1.50% issued at par, listed on the Singapore Exchange Securities
Trading Limited. As per Offering Circular issued by the Company, FCCBs are convertible into Company’s fullypaid up equity shares of H 5 each at initial conversion price (as adjusted from time to time), at any time on or after
February 27, 2020 and up to the close of business on February 7, 2025, at the option of the FCCB holders. FCCBs, which
are not converted to fully paid-up equity shares during such specified period, are redeemable at 102.66% of their principal
amount on February 17, 2025. The Conversion price is subject to adjustment w.r.t events as mentioned in Offering Circular,
but cannot be below the floor price which is H 452.09.

d)	Details of shareholders (as per the register of shareholders) holding more than 5% shares in the
Company
As ofMarch 31, 2023

Bharti Telecom Limited
Pastel Limited
Indian Continent Investment Limited

282

Bharti Airtel Limited

No. of shares('000')

2,299,875
627,228
355,593

March 31, 2022
% holding

No. of shares('000')% holding

38.54
10.51
5.96

2,109,641
814,327
355,593

35.85
13.84
6.04

Integrated Report and Annual Financial Statements 2022-23

283

Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

Notes to Standalone Financial Statements

Notes to Standalone Financial Statementse)

16. Reserves and surplus(All amounts are in millions of Indian Rupee; unless stated otherwise)(All amounts are in millions of Indian Rupee; unless stated otherwise)

Shareholding of Promoters

Shares held by promoters as of March 31, 2023:
As of
S
No.

Promoter Name

1

Bharti Telecom Limited

March 31, 2023
No. of shares('000')

April 1, 2022

% oftotal shares

2,299,875

No. of shares('000')

38.54

% of
total shares

2,109,641% Changeduring the year

35.85

2.69

Shares held by promoters as of March 31, 2022:
As of
S
No.

Promoter Name

1

Bharti Telecom Limited

March 31, 2022
No. of shares('000')

April 1, 2021

% oftotal shares

2,109,641

35.85

No. of shares('000')% oftotal shares

1,966,236% Changeduring the year

35.80

0.05

f)	Aggregate number of shares issued for consideration other than cash during the period of five
years immediately preceding the reporting date:• During the year ended March 31, 2023, 11,930,543 equity shares of H 5 each were issued to the FCCB holders
pursuant to option exercised in accordance with Offering Circular (refer note 4 (iii)).
• During the year ended March 31, 2021, 36,469,913 equity shares of H 5 each were issued on preferential basis to
Lion Meadow Investment Limited, an affiliate to Warburg Pincus LLC as partial consideration for acquisition of equity
shares of Bharti Telemedia Limited.
• During the year ended March 31, 2020, 970,668 equity shares of H 5 each were issued to the shareholders of TTML
as per the terms of the scheme of arrangement.
• During the year ended March 31, 2019, 5 equity shares of H 5 each were issued to the shareholders of Telenor as per
the terms of the scheme of amalgamation.

g)	Shares held by Bharti Airtel Welfare Trust against employee share-based payment plans (face value:
G5 each)a)	Retained earnings: Retained earnings represent the amount of accumulated earnings of the Company, re-measurement
differences on defined benefits plans, gains / (losses) on common control transactions and any transfer fromgeneral reserve.
b)	Securities premium: Securities premium is used to record the premium on issue of equity shares. The same is utilisedin accordance with the provisions of the Act.
c)	General reserve: The Company had transferred a portion of its profit before declaring dividend in respective prior years
to general reserve, as stipulated under the erstwhile Companies Act, 1956. Mandatory transfer to general reserve is not
required under the Act.
	Further, on exercise of the stock options, the difference between the consideration (i.e. the exercise price and the related
amount of share-based payment reserve) and the cost (viz. related amount of loan provided to Bharti Airtel Welfare Trust)of the corresponding stock options, is transferred to general reserve.
d)	Share-based payment reserve: The Share based payment reserve is used to record the fair value of equity-settled
share based payment transactions with employees.
e)	Capital reserve: It pertains to capital reserve acquired pursuant to the scheme of arrangements under the Companies
Act, 1956 accounted under pooling of interest method and excess of fair value of net assets acquired over consideration
paid in a business combination. This reserve is not available for distribution as dividend.
f)	FVTOCI reserve: The Company has elected to recognise changes in the fair value of certain investments in equity
securities in OCI. These changes are accumulated within the Fair value through OCI reserve within equity.
g)	Equity component of FCCBs: The equity component is the residual amount after deducting the fair value of the financial
liability component from the net proceeds of the FCCBs.

17. Borrowings
Non-current
As of

For the year ended
March 31, 2023

Opening balance
Purchased during the year
Exercised during the year

Closing balance

No. of shares('000')

AmountNo. of shares('000')

Amount

2,943
625
(648)
2,920

1,555
499
(321)
1,733

3,332
1,022
(1,411)
2,943

1,549
598
(592)
1,555

Term loans
Non-convertible debentures
Non-convertible bonds
Liability component of FCCBs
Deferred payment liabilities *^Less: Interest accured (refer note 18)
Less: Current maturities of long-term borrowings

For the year ended

B

March 31, 2023

March 31, 2022

16,984
16,984-

22,696
22,696

16,77016,770Declared and paid during the year
Final dividend for 2021-22: H 3 per share (2020-21: H Nil per share)

Proposed dividend*
Proposed dividend for 2022-23: H 4 per share (2021-22: H 3 per share)

March 31, 2022

67,594
31,485145,250
74,153
1,129,905
1,448,387(42,077)(44,010)
1,362,300

45,10531,034
133,798
73,126
717,468
1,000,531(24,238)(3,065)973,228

Unsecured

March 31, 2022h) Dividend

A

March 31, 2023

* During the year ended March 31, 2022, the Union Cabinet announced major reforms in Telecom Sector in the month of September 2021.
Accordingly, DoT on October 2021 (in pursuance to these reforms), has granted an option to the Company for a moratorium of 4 years towards
the deferred spectrum liability in respect of spectrum purchased through various auctions except for that purchased through 2021 auction. The
Company has opted for the moratorium and the same was granted by DoT during November 2021. The DoT has subsequently shared the revised
payment schedule in respect of these deferred spectrum payment liabilities by revising the instalment amounts without any increase the existingtime period specified for making the installment payments.
^Refer note 4(iv) & 4(vi)*It represents dividend of H 4 per fully paid-up equity share of face value of H 5 each and H 1 per partly paid-up equity share of face value of H 5each (paid-up H 1.25 per equity share) on shares issued till the date these Financial Statements are approved for issue by the Company’s Board of
Directors. The proposed dividend is subject to approval of Shareholders at the Annual General Meeting, accordingly, no corresponding liability has
been recognised.

284

Bharti Airtel Limited

Integrated Report and Annual Financial Statements 2022-23

285

Corporate Overview

Notes to Standalone Financial Statements

Management Discussion & Analysis

Statutory Reports

Notes to Standalone Financial Statements(All amounts are in millions of Indian Rupee; unless stated otherwise)(All amounts are in millions of Indian Rupee; unless stated otherwise)

Current

As of March 31, 2022

Interest rate (range)

Frequency of
instalments

Number of
instalments
outstanding
per facility(range)*Withinone year

Betweenone and
two years

Betweentwo andfive years

Over fiveyears

6.4% to 8.3%
5.5% to 7.2%
8.3%
4.7%
5.4%
3.3% to 4.4%
1.5%

Half yearlyMonthly
One Time
On Demand
One Time
One Time
One Time

1-8
1
1
1
1
1
1

3,149
843
1
3,820
-

3,099
30,000-38,81575,91577,93456,936-

7.3% to 10.0%

Annual5-16--

11,759392,936

8.0%

Annual6--28,397

262,972

4.0% to 4.2%

One Time

1

96,250104,063

33,099232,820712,844

As ofMarch 31, 2023

March 31, 2022

36
64
100
100

4,662
95,28599,947(1)
99,946

9,335
29,9984,677
44,01044,1103,065
3,065
103,011

Unsecured
Term loans*
Commercial papers
Bank overdraft
Less: Interest accured (refer note 18)

Current maturities of long-term borrowings
Unsecured
Term loans
Non-convertible debentures
Deferred payment liabilities

Term Loans

Non Convertible debentures
Non Convertible bonds
Liability component of
FCCBs
Deferred payment Liability
for spectrum
Deferred payment Liability
for adjusted gross revenue
Commercial papers*Including working capital demand loans.
* The instalments amount due are equal / equated per se.

Analysis of borrowings

17.2 Interest rate and currency of borrowings

The details given below are gross of debt origination cost.

Weighted averagerate of interest

17.1 Repayment terms of borrowings
The table below summarises the details of the Company’s borrowings based on contractual undiscounted payments.

Non-convertible bonds
Liability component of
FCCBs
Non-convertible debentures
Deferred payment Liability
for spectrum
Deferred payment Liability
for adjusted gross revenue
Bank Overdraft

Interest rate (range)

Frequency of
instalments

6.4% to 8.3%
7.1% to 8.7%
3.3% to 4.4%
1.5%

Half yearlyMonthly
One time
One time

5.4%
7.2% to 10.0%

One time
Annual8.0%

AnnualNumber of
instalments
outstanding
per facility(range)*

1-8
1
1
1

INR
USD

Total borrowings

Floating rateborrowings

Fixed rateborrowings

1,188,907
217,974
1,406,881
871,077
205,726
1,076,803

62,59962,59940,84440,844

1,126,308
217,974
1,344,282
830,233
205,726
1,035,959

8.0%
3.1%

March 31, 2023

As of March 31, 2023

Term Loans

Financial Statements

Withinone year

Betweenone and
two years

Betweentwo andfive years

Over five
years

9,432
36
-

15,573
77,19842,29882,301-

61,725-1
2-16

30,000
4,677

5,018

20,063743,858

5--

111,190

206,700

NA64
44,20997,789

INR
USD

7.9%
3.0%

March 31, 2022

18. Other financial liabilities
Non-current
As of

Payables against capital expenditure
Interest accured
Others*March 31, 2023

March 31, 2022

416
38,026
13,432
51,874400
21,404
12,397
34,201*It mainly includes committed liability due to a wholly-owned subsidiary.

8.4% to 9.0%

On Demand

255,852 1,012,283

Current
As of

Payables against capital expenditure
Interest accrued
Security deposits*
Employee payables
Payable against business / asset acquisitions
Unpaid / unclaimed dividend$
Others#March 31, 2023

March 31, 2022

105,716
4,051
2,598
2,089
4,104
18
6,009
124,585

55,166
2,834
2,261
2,022
4,104
10
8,105
74,502*It includes deposits received from subscriber / channel partners which are repayable on disconnection after adjusting the outstanding amountthereby, if any.
$No amount is due to be transferred to Investor Education and Protection Fund.
#It mainly includes refund payable to inactive customers and unclaimed liability.

286

Bharti Airtel Limited

Integrated Report and Annual Financial Statements 2022-23

287

Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

Notes to Standalone Financial Statements

Notes to Standalone Financial Statements

19. Provisions
Non-current

20. Other current liabilities(All amounts are in millions of Indian Rupee; unless stated otherwise)(All amounts are in millions of Indian Rupee; unless stated otherwise)

As of
As of
March 31, 2023

March 31, 2022

1,696
95

1,707
139

743
2,534

757
2,603

Provision for employee benefits
Gratuity
Other employee benefit plans^

Other provision
ARO#

Taxes payable*
Others#March 31, 2023

March 31, 2022

787
912

616
856

211,219
212,918

207,62648
209,146

Other provision# Others primarily include advance received from subscribers and advance received on sale of hardware / goods.

#The movement of provisions towards ARO is as below:

For the year ended
March 31, 2023

757
(41)
27
743

The provision for ARO is in relation to the site restoration related obligation arising from the land taken on lease and represent
the management’s best estimate of the costs which will be incurred in the future to meet the Company’s obligation underthese lease arrangements.
@The movement of provisions towards sub-judice matters is as below:

For the year ended
March 31, 2023

Opening balance
Provision / adjustment during the year (net)#
Payment

Closing balance*

Due to micro and small enterprises
Others*207,626
16,044(12,451)
211,219#It includes provision of H 12,004 towards AGR pursuant to merger with TTSL / TTML and provision of H 4,134 towards AGR pertaining to merger
with Telenor.

*Closing balance includes H 158,437 and H 24,653 respectively for TTSL / TTML and Telenor. The Company has recognised an indemnification asset
towards the said provisions.

Bharti Airtel Limited

March 31, 2022

731
259,258
259,989481
255,282
255,763

Micro, Small & Medium Enterprises Development Act, 2006 (‘MSMED’) disclosure
The dues to micro and small enterprises as required under MSMED Act, 2006, based on the information available with theCompany, is given below:
Sr.
No.

1
2

3

4
5

For the year ended

Particulars

March 31, 2023

March 31, 2022

731

481

-

-

-

-

-

-

-

-

Principal amount and the interest due thereon remaining unpaid to any supplieras at the end of each accounting year
Amount of interest paid by the buyer in terms of Section 16 of the MSMED Act,
2006, along with the amounts of the payment made to the supplier beyond theappointed day during each accounting year
Amount of interest due and payable for the period of delay in making payment(which have been paid but beyond the appointed day during the year) but
without adding the interest specified under MSMED Act, 2006
Amount of interest accrued and remaining unpaid at the end of each accounting
year
Amount of further interest remaining due and payable even in the succeeding
years, until such date when the interest dues as above are actually paid to thesmall enterprise for the purpose of disallowance as a deductible expenditure
under Section 23 of the MSMED Act, 2006

Trade payables ageing as of March 31, 2023:(i)	Dues to micro and small
enterprises(ii) Others (A)(iii) Disputed dues – Others (B)Total dues to micro andsmall enterprises
Total Others (A + B)

288

March 31, 2023

*It includes amount due to related parties (refer note 34) and payable towards sub-judice matters.

^Refer note 26.2 for movement of provisions towards various employee benefits.

Closing balance

19,51926
19,545

As ofProvision for employee benefits

Opening balance
Net additions / (reversal)
Net interest costs

22,467
3,342
25,809*Taxes payable mainly pertains to GST and payable towards sub-judice matters related to entry tax and entertainment tax.

As of

Sub-judice matters@
OthersMarch 31, 2022

Current

21. Trade payables

Current

Gratuity
Other employee benefit plans^

March 31, 2023

Outstanding for following periods fromdue date of payment
Less thanMore than
1-2 years
2-3 years
1 year
3 years

Unbilled

Not due

Total

-

529

101

65

9

27

731

96,544
-

9,548
22

1,717
15,315437
14,572316
27,6491,889
91,249110,451
148,807731
259,258

Integrated Report and Annual Financial Statements 2022-23

289

Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

Notes to Standalone Financial Statements

Notes to Standalone Financial Statements

Trade payables ageing as of March 31, 2022:	During the year ended March 31, 2017, the Supreme
Court of India upheld the constitutional validity of entry
tax levied by few States. However, Supreme Court did
not conclude certain aspects such as present levies ineach State is discriminatory in nature or not, leaving them
open to be decided by regular benches of the Courts.

iii.	Demands for the contentious matters in respect of
subscriber verification norms and regulations including
validity of certain documents allowed as proof of address/ identity. TDSAT and High Courts have granted interim
reliefs to the Company and the matters are pending
for adjudication.

e)

iv.	
Penalty for alleged failure to meet cer tain
procedural requirements for EMF radiation selfcertification compliance.

(All amounts are in millions of Indian Rupee; unless stated otherwise)(i)	Dues to micro and small
enterprises(ii) Others (A)(iii) Disputed dues – Others (B)(All amounts are in millions of Indian Rupee; unless stated otherwise)

Outstanding for following periods from due date ofpayment date of payment
Less thanMore than
1-2 years
2-3 years
1 year
3 years

Unbilled

Not due

-

196

230

26

5

24

481

115,371
-

1,564
33

1,382
14,578

1,072
27,665979
63,183

1,375
28,083

121,743
133,539481

Total dues to micro andsmall enterprises
Total Others (A + B)

Total

255,282

22. Contingencies and commitments(I) Contingent liabilities
Claims against the Company not acknowledged as debt:
As of

(i)

March 31, 2022

9,656
7,010
499
80
2,815
407
112,297
143

12,352
7,832
840
80
2,599
352
99,303
119

234
1,208
134,349234
422
124,133

Taxes, duties and other demands (under adjudication / appeal / dispute)- Sales Tax, Service Tax and GST- Income Tax- Customs Duty
- Entertainment tax- Entry Tax- Stamp Duty
- DoT demands- Other miscellaneous demands
Claims under legal cases including arbitration matters- Access charges / Port charges- Others(ii)

The category wise detail of major contingent liabilities has
been given below:a)March 31, 2023

Sales tax, Service tax and GST

	The claims for sales tax comprised of cases relating
to the appropriateness of declarations made by theCompany under relevant sales tax legislations, whichwere primarily procedural in nature and the applicablesales tax on disposals of certain property and equipment
items, ITC eligibility and VAT on value added services.
Pending final decisions, the Company has deposited
amounts under protest with statutory authorities forcertain cases.
	The service tax demands relate to Cenvat claimed on
tower and related material, levy of service tax on SMS
termination and employee talk time, Cenvat credit
disallowed for procedural lapses and usage in excess of
20% limit.
	The GST demand relates to miscellaneous interest,
differences between ITC claimed and as available overportal, claims related to transitional credit.

290

Bharti Airtel Limitedb)

Income Tax demand	Income tax demands mainly include the appeals filedby the Company before various appellate authorities
against the disallowance by income tax authorities ofcertain expenses being claimed and non-deductionof tax at source with respect to pre-paid dealers /distributor’s margin. During the year, the Company
has reassessed the existing possible obligations andaccordingly disclosed for such amounts.
c)

Customs Duty

	There are certain demands related to Non-submissionof Export Obligation Discharge Certificate, classification
issue, valuation of goods imported and levy of antidumping duty on certain products.
d)Entry Tax	In certain states, an entry tax is levied on receipt ofmaterial from outside the state. This position has beenchallenged by the Company in the respective states, on
the grounds that the specific entry tax is ultra vires theConstitution. Classification issues has also been raised,
whereby, in view of the Company, the material proposed
to be taxed is not covered under the specific category.

DoT demands / assessments includesi.	DoT had enhanced the microwave rates by introducing
slab-wise rates based on the number of carriers videcirculars issued in 2006 and 2008 from erstwhilebasis being allocated frequency. The Company had
challenged the matter in Telecom Disputes Settlement
and Appellate Tribunal (‘TDSAT’) and it has set aside
the respective circulars of DoT vide its Judgement
dated April 22, 2010. Thereafter, DoT has challenged
the order of TDSAT before the Supreme Court, which ispending for adjudication. An amount of H 25,682 whichpertains to pre-migration to Unified License (‘UL’) /Unified Access Service License (‘UASL’) is disclosed ascontingent liability as of March 31, 2023.
ii.	In 2013, DoT introduced UL Regime and notified
guidelines which mandates migration to new UL regime
upon expiry of existing licenses. Accordingly, Company
migrated to UL regime in 2014. The Company andInternet Service Provider (‘ISP’) Association challenged
the Guidelines and provisions of UL on the groundthat DoT has discriminated amongst ISP Licensees inviolation of principle of level playing field amongst ISPs.
TDSAT stayed the payment of license fee on revenue
from Pure Internet Service. In October 2019, TDSAT
delivered its judgement in the ISP Association case
(ISPAI Judgement) and set aside the provision to pay
license fee on the revenue from pure internet service
under UL. TDSAT, following ISPAI judgement, allowed
the petition filed by the Company and set aside thedemand notices.
	DoT has filed appeal against ISPAI judgement before
Supreme Court. On January 5, 2021, the Supreme Court
admitted DoT’s appeal, and also allowed the Company’s
intervention application, with a direction that DoT shallnot be required to refund any amounts pursuant to
TDSAT judgement and parties shall be bound by the final
directions as may be passed by the Supreme Court.
	On March 31, 2021, DoT issued amendment to the ISP
Licenses granted under the old regime i.e. under 2002
and 2007 with immediate effect (April 1, 2021). Amongst
others, DoT included the revenue from pure internet
services in the AGR for the purposes of license fees insuch contracts (which was earlier allowed as permissible
deduction under old regime). Accordingly, demand up to
March 31, 2021 has been assessed to be a contingent
liability (March 31, 2023: H 35,551 and March 31, 2022:
H 30,728).

v.	Additional demand received for the period alreadycovered by the AGR judgement which mainly pertains
to spectrum usage charges.
	In addition to the amounts disclosed in the table
above, the contingent liability on DoT matters includes
the following:
1.	In respect of levy of one time spectrum charge(‘OTSC’), the DoT has raised demand on the
Company in January 2013. The Company
challenged the OTSC demand and the High Courtof Bombay vide its order dated January 28, 2013,
stayed enforcement of the demand and directed
DoT not to take any coercive action. The DoT has
filed its reply and this matter is currently pending
before High Court of Bombay. The DoT revised
demands on the Company aggregating H 79,403 inJune 2018, including a retrospective charge and aprospective charge till the expiry of the initial termsof the respective licenses. The said revised demandhas subsequently also been brought within theambit of the earlier order of no coercive action by
the High Court of Bombay. The Company intends
to continue to pursue its legal remedies.
		Further, in a similar matter on a petition filed byanother telecom service provider, the TDSAT, vide
its judgement dated July 4, 2019, has set aside
the DoT order for levy of OTSC with retrospective
effect. Accordingly, as per the said order of the
TDSAT; DoT can levy OTSC on the Spectrum
beyond 6.2 MHz allotted after July 1, 2008, only
from the date of allotment of such spectrum and incase of Spectrum beyond 6.2 MHz allotted before
July 1, 2008, only prospectively i.e. w.e.f. January
1, 2013.
		Further, demand for OTSC on spectrum allottedbeyond start-up and up-to the limit of 6.2 MHz
has been set aside. The TDSAT has asked DoT toissue revise demands, if any, in terms of the above
directions. The said telecom service provider filed
an appeal before the Supreme Court against thejudgement passed by TDSAT. On March 16, 2020,
the Supreme Court dismissed the appeal of theIntegrated Report and Annual Financial Statements 2022-23

291

Corporate Overview

Notes to Standalone Financial Statements

		DoT’s appeal against the said TDSAT Order for thelevy on Spectrum below 6.2 MHz is pending. The
Supreme Court vide order dated August 21, 2020,
stayed the TDSAT judgement July 4, 2019 in a caseof another telecom service provider. The Supreme
Court, vide order dated December 7, 2020, directed
status quo to be maintained in case of anothertelecom service provider.
		On account of prudence, out of the total demandsof H 79,403, the Company had recorded a charge ofH 17,914 during the year ended March 31, 2020 andinterest thereon till March 31, 2023 amounting H
67,015. Balance demand of H 61,489 has continued
to be contingent liability.
2.	DoT had issued notices to the Company (as well asother telecom service providers) to stop provisionof 3G services to its customers (under 3G Intra
Circle Roaming (‘ICR’) arrangements executedwith other service providers) in such service
areas where the service provider has not been

Statutory Reports

Financial Statements

Notes to Standalone Financial Statements(All amounts are in millions of Indian Rupee; unless stated otherwise)(All amounts are in millions of Indian Rupee; unless stated otherwise)

allocated 3G spectrum, and levied a penalty of H
3,500 on the Company. The Company contested
the notices before TDSAT, which in 2014 held
3G ICR arrangements between service providers
to be competent and compliant to the licensing
conditions and quashed the notice imposing
penalty. The DoT has challenged the order of
TDSAT before the Supreme Court which is yet tobe listed for hearing.

telecom service providers and did not interferewith the TDSAT judgement. Thereafter, the telecom
service provider had filed a review petition against
the judgement dated March 16, 2020. The Supreme
Court allowed the review petition and restored thetelecom service providers’ appeal. The matter ispending adjudication before the Supreme Court.

Management Discussion & Analysis

Mobile Services

Airtel Business

Homes Services

March 31,2022

March 31,2023

March 31,2022

March 31,2023

March 31,2022

March 31,2023

March 31,
2022

791

150

39

64

202

240

1,032

454

693,052

579,888

114,175

98,22338,942

29,385846,169

707,496

693,843

580,038

114,214

98,287

39,144

29,625847,201

707,950

Timing of Revenue
Recognition
Products and services
transferred at a point in time
Products and services
transferred over time	Considering the nature of above disputes / litigations, it
is difficult to reliably ascertain the amount or timing ofoutflow on settlement.

Mobile Services: These services cover voice and data telecom services provided through wireless technology (2G / 4G
/ 5G) in India. This includes the captive national long distance networks which primarily provide connectivity to the mobile
services business in India.

Guarantees:

Airtel Business: These services cover end-to-end telecom solutions being provided to large Indian and global corporations byserving as a single point of contact for all telecommunication needs across data and voice (domestic as well as international
long distance), network integration and managed services.

Corporate guarantees outstanding as of March 31, 2023
and March 31, 2022 amounting to H 349,854 and H 362,579
respectively have been issued by Company on behalf of its
subsidiaries. These guarantees primarily relate to loans andbonds taken by these subsidiaries from banks and financial
institutions amounting to H 168,716 and H 226,812 as ofMarch 31, 2023 and March 31, 2022 respectively.

Homes Services: These services cover voice and data communications through fixed-line network and broadband technology
for homes.

Contract Balances
The following table provides information about unbilled revenue and deferred revenue from contract with customers:(II) Commitments
As ofCapital commitments

	The Company has contractual commitments towards
capital expenditure (net of related advances) of
H 191,685 and H 73,681 as of March 31, 2023 andMarch 31, 2022 respectively.

Unbilled Revenue (refer note 10)
Deferred Revenue (non-current)
Deferred Revenue (current)

March 31, 2022

14,12015,31155,305

12,137
17,51450,999For the year ended

For the year ended

Service revenue
Sale of products

March 31, 2023

March 31, 2022

847,17229
847,201

707,88169
707,950Disaggregation of revenue
Revenue is disaggregated by geographical market, major products / service lines and timing of revenue recognition as follows
Airtel Business

Homes Services

March 31, 2023
Unbilled Revenue

Revenue recognised that was included in deferred revenue at the beginning of theyear
Increase due to cash received, excluding amounts recognised as revenue during theyear
Transfers from unbilled revenue recognised at the beginning of the year to receivables

Deferred Revenue

50,99953,102
12,137

Reconciliation of costs to obtain or fulfil contracts with customers

Total

March 31,2023

March 31,2022

March 31,2023

March 31,2022

March 31,2023

March 31,2022

March 31,2023

March 31,2022

691,014
2,829
693,843

578,4221,616
580,038

80,52833,686114,21470,424
27,863
98,287

39,144
39,144

29,62529,625

810,686
36,515847,201

678,471
29,479707,950

688,232
5,611
693,843572,979
7,059
580,038

96,99917,215
114,21483,957
14,33098,28737,901
1,243
39,144

28,840785
29,625823,132
24,069847,201

685,776
22,174
707,950

Geographical markets
India
Outside India

March 31, 2023

Significant changes in the unbilled revenue and deferred revenue balances during the year are as follows:

23. Revenue from operations

Mobile Services

Total

March 31,2023

For the year ended

Opening balance
Costs incurred and deferred
Less: Cost amortised

Closing balance

March 31, 2023

March 31, 2022

36,23432,49322,393
46,334

21,581
27,43812,78536,234

Major Product /Services lines
Data and Voice Services
Others292

Bharti Airtel Limited

Integrated Report and Annual Financial Statements 2022-23

293

Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

Notes to Standalone Financial Statements

Notes to Standalone Financial Statements

24. Other income

The movement in the number of stock options and the related weighted average exercise price are as follows:(All amounts are in millions of Indian Rupee; unless stated otherwise)(All amounts are in millions of Indian Rupee; unless stated otherwise)

For the year ended

Dividend income
Interest income
Net gain on FVTPL investments and derivative financial instruments
Lease rentals
Government grant
Sale of scrap
Miscellaneous income

March 31, 2023

March 31, 2022

15,181
2,499
5,489
396
447
332
1,994
26,338

450
1,427
1,062
245
447
252
2,157
6,040

25. Network operating expenses
For the year ended

Passive infrastructure charges
Power and fuelRepair and maintenanceInternet bandwidth and leased line charges
Others*March 31, 2023

March 31, 2022

49,41979,64037,17012,543
5,085
183,857

45,79374,402
34,474
12,348
4,860
171,877*It mainly includes charges towards managed services, installation, insurance and security.

For the year ended
March 31, 2023

March 31, 2022

15,236
999
1,140
766
961
562
19,664

14,328
876
984
610
617
539
17,954

Vesting period(years)Contractual term
(years)

1-5
1-3

7
7

*It mainly includes recruitment and training expenses.

26.1 Share-based payment plans
The following table provides an overview of all share option plans of the Company:
SchemePlan

Equity settled Plans
Scheme I
Scheme 2005

2006 Plan
Long-term Incentive (LTI) Plan

March 31, 2022

Number of shareoptions ('000)

Weighted average
exercise price (G)Number of shareoptions ('000)

Weighted average
exercise price (G)

-

-

113
(113)
-

5.00
5.00
-

3,223
3,283
(648)
(347)
5,511
1,395

5.00
5.00
5.00
5.00
5.00
5.00

3,048
1,956
(1,297)
(484)
3,223
904

5.00
5.00
5.00
5.00
5.00
5.00

2006 Plan
Outstanding at beginning of year
GrantedExercised
Outstanding at end of year
Exercisable at end of year

LTI Plan
Outstanding at beginning of year
GrantedExercised
Forfeited / expired
Outstanding at end of year
Exercisable at end of year

Range of weighted average remaining contractual life, weighted average fair value and weighted average share price for the
options are as follows:

Remaining contractual life for the options outstanding as of (years)
Fair value for the options granted during the year ended (H)Share price for the options exercised during the year ended (H)26. Employee benefits expense

Salaries and bonus
Contribution to provident and other funds
Staff welfare expenses
Defined benefit plan / other long-term benefits
Share based payment expense
Others*For the year ended
March 31, 2023

The stock options vesting are subject to service and certain performance conditions mainly pertaining to certain
financial parameters.

March 31, 2023

March 31, 2022

0.4 to 6.4
347.7 to 692.8
640.9 to 851.2

0.4 to 6.4
347.7 to 595.1
581.7 to 716.6

The fair value of options is measured using Black-Scholes valuation model. The key inputs used in the measurement of the
grant date fair valuation of equity settled plans is given in the table below:
For the year ended

Risk free interest rates
Expected life
Volatility
Dividend yield
Exercise price (H)Share price on the date of grant (H)March 31, 2023

March 31, 2022

6.9% to 7%
48 to 60 months
28.7%
0.4%
5
709.85

5.5% to 5.8%
48 to 60 months
32.8%
0.3%
5
607.8

The expected life of the stock options is based on the Company’s expectations and is not necessarily indicative of exercise
patterns that may actually occur. The expected volatility reflects the assumption that the historical volatility over a period
similar to the expected life of the options is indicative of future trends, which may not necessarily be the actual outcome.
Further, the expected volatility is based on the weighted average volatility of the comparable benchmark companies.

26.2 Employee benefits
The details of significant employee benefits are as follows:
For the year ended
March 31, 2023

Obligation:

Balance as at beginning of the year
Current service cost
Interest cost
Benefits paid
Transfers
Remeasurements

Present value of obligation

294

Bharti Airtel Limited

March 31, 2022

GratuityCompensatedabsences

GratuityCompensatedabsences

2,327
361
168
(483)
(7)
123
2,489

856
214
62
(176)
4
(48)
912

2,338
303
158
(472)
(13)
13
2,327

912
178
62
(192)
(9)
(95)
856

Integrated Report and Annual Financial Statements 2022-23

295

Corporate Overview

Notes to Standalone Financial Statements
March 31, 2022

GratuityCompensatedabsences

GratuityCompensatedabsences

4
2
6
2,483
787
1,696

912
912
-

4
0
4
2,323
616
1,707

856
856
-

Assets:Fair value of plan assets
Liability recognised in the balance sheet
Current portion
Non-Current portion

As of March 31, 2023, expected contributions for the next annual reporting period is H 545.

Amount recognised in OCI
For the year ended

Experience losses(Gains) / losses from change in demographic assumptions
Gains from change in financial assumptions

March 31, 2023

March 31, 2022

149
(11)
(15)
123

72
11
(70)
13

The above sensitivity analysis is determined based on a method that extrapolates the impact on the net defined benefit
obligations, as a result of reasonable possible changes in the significant actuarial assumptions. Further, the above sensitivity
analysis is based on a reasonably possible change in a particular underlying actuarial assumption, while assuming all otherassumptions to be constant. In practice, this is unlikely to occur, and changes in some of the assumptions may be correlated.
The methods and types of assumptions used in preparing the sensitivity analysis did not change compared to the prior period.
The table below summarises the maturity profile and duration of the gratuity liability:
As ofWithin one year
Within one - three years
Within three - five years
Above five years
Weighted average duration (in years)

Salary risk - The present value of the defined benefits plans liability is calculated by reference to the future salaries of theplan participants. As such, an increase in the salary of the plan participants will increase the plan’s liability.

28. Other expenses

Discount rate
Rate of return on plan assets
Rate of salary increase
Rate of attrition
Retirement age

March 31, 2023

March 31, 2022

7.38%
7.20%
7.00%
19% to 43%
58

7.20%
6.70%
7.00%
12% to 35%
58

Sensitivity analysis
The Company regularly assesses these assumptions with the projected long-term plans and prevalent industry standards.
The impact of sensitivity due to changes in the significant actuarial assumptions on the defined benefits obligations is givenin the table below:

Content costs
Customer care expenses
IT expenses
Collection and recovery expenses
Legal and professional fees^
Allowance for doubtful debts (refer note 13)
Travelling and conveyanceBad debts written off
Cost of good sold
Charity and donation*
Others#Discount Rate
Salary Growth Rate

296

Bharti Airtel Limited

+1%
-1%
+1%
-1%

March 31, 2023

March 31, 2022

32,534
6,835
1,166
5,848
46,383

22,829
5,133
1,103
2,432
31,497

March 31, 2023

March 31, 2022

6,508
3,077
6,114
2,032
927
2,602
1,048
139
4,435
21
3,164
30,067

3,632
3,239
5,343
1,179
901
1,620
656
117
2,531
187
3,280
22,685For the year ended
March 31, 2022

Effect on defined benefits obligations for
gratuity

(69)
74
73
(69)

March 31, 2023

^Details of Auditor’s remuneration (excluding GST) included in legal and professional fees:

As of
Change inassumption

616
694
407
721
4.45

For the year ended

The financial (per annum rates) and demographic assumptions used to determine defined benefits obligations are as follows:
As ofMarch 31, 2022

787
807
403
596
2.90

For the year ended

Changes in bond yields - A decrease in bond yields will increase plan liability.

Due to its defined benefits plans, the Company is exposed to the following significant risks:

March 31, 2023

27. Sales and marketing expenses

Sales commission and distribution
Advertisement and marketing
Business promotion
Other ancillary expenses

Remeasurements on defined benefit plans

Financial Statements(All amounts are in millions of Indian Rupee; unless stated otherwise)

For the year ended

Balance as at beginning of the year
Interest income

Statutory Reports

Notes to Standalone Financial Statements(All amounts are in millions of Indian Rupee; unless stated otherwise)

March 31, 2023

Management Discussion & Analysis

(80)
86
86
(81)

Audit fee
Reimbursement of expenses
Other services (including certification)@

March 31, 2023

March 31, 2022

85
6
12
103

85
6
16
107

@Professional service fee relating to Rights issue amounting to H 10 has been adjusted with security premium during the year ended March 31, 2022.
Hence, the same is not included in above.

Integrated Report and Annual Financial Statements 2022-23

297

Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

Notes to Standalone Financial Statements

Notes to Standalone Financial Statements*Additional information pertaining to Corporate Social Responsibility (CSR)

31. Exceptional items(All amounts are in millions of Indian Rupee; unless stated otherwise)(All amounts are in millions of Indian Rupee; unless stated otherwise)

Exceptional items comprise of the following:

For the year ended
March 31, 2023(i)	amount required to be spent by the Company during the year(ii) amount of expenditure incurred(iii) shortfall at the end of the year(iv) total of previous years shortfall(v) nature of CSR activities(vi) details of related party transactions

March 31, 2022

Nil
Nil
H 6.48H 149.23
Nil
Nil
MCA vide notification dated January 22, 2021 laid down
provisions for mandatory spend of required CSR contribution
applicable for the year ended March 31, 2021 onwards. Owing tolosses in three immediate preceding financial years, the Company
is not under obligation to make any CSR contribution for the
FY 2022-23, resultant there is no shortfall. Thus the shortfall for
financial year ended March 31, 2023 and March 31, 2022 is Nil.
The Company’s CSR activities focus on promoting education for
the underprivileged with special emphasis on girl child, livelihood
enhancement education programmes, eradicating hunger,
promoting preventive health care and sanitation.
Contributed
Contributed
H 6.48 to Bharti Foundation
H 134.93 to Bharti Foundation#It includes short-term and low value lease payments, printing and stationery, security, repairs and maintenance expenses, etc. Further, it includes

political contributions amounting to H 300 and H 720 made under Section 182 of the Act during the year ended March 31, 2023 and March 31, 2022
respectively.

i.

For the year ended March 31, 2023:
a)ii.

Provision on account of impairment of investment in one of the joint ventures H 42,764.

For the year ended March 31, 2022:a)

Net gain of H 7,221 on account of transfer of spectrum right to another telecom operator.

b)

Charge of H 19,920 on account of one-time commercial settlement with a customer.

c)Gain of H 9,525 on account of settlement with a strategic vendor.

d)Charge of H 16,922 on account of impairment of investment and additional committed liability.

Tax expense include:
Nil towards exceptional items for the year ended March 31, 2023.
Net benefit of H 799 towards exceptional items for the year ended March 31, 2022.

32. Earnings per share (‘EPS’)
The details used in the computation of basic and diluted EPS:
For the year ended

29. Depreciation and amortisation expenses
For the year ended

Depreciation on PPE (refer note 5)
Depreciation on ROU (refer note 35)
Amortisation (refer note 6)

March 31, 2023

March 31, 2022

144,20352,482
66,865263,550

136,252
44,46962,577
243,298

30. Finance costs
For the year ended

Interest expense
Interest expense - leases liabilities
Net exchange loss
Other finance charges*

March 31, 2023

March 31, 2022

79,53427,50918,644
19,631
145,318

84,36917,2397,523
23,077132,208*It mainly includes bank charges, trade finance charges, charges relating to derivative instruments and interest charges towards sub judice matters.

Loss attributable to equity shareholders as per Statement of Profit and Loss (A)Weighted average number of equity shares for calculation of basic earnings per share(B) (in thousands)
Weighted average number of equity shares for calculation of diluted earnings per
share (C) (in thousands)
Equity shares of face value H 5 per share
1. Basic (A/B)
2. Diluted (A/C)

March 31, 2023

March 31, 2022

(896)
5,643,644(38,637)
5,549,342

5,643,644

5,549,342(0.16)(0.16)(6.96)(6.96)For the year ended March 31, 2023, FCCBs and unpaid portion of partly paid up shares (March 31, 2022: FCCBs and unpaid
portion of partly paid up shares) were excluded from the calculation of diluted weighted average number of equity shares as
their effect would have been anti-dilutive.

33. Segment reporting he Company publishes these Financial Statements along with the Consolidated Financial Statements. In accordance with Ind AS
T108, ‘Operating Segments’, the Company has disclosed the segment information only in the Consolidated Financial Statements.

34. Related party disclosures
Subsidiaries
IndianBharti Hexacom Limited
Bharti Airtel Services Limited
Bharti Telemedia Limited
Indo Teleports Limited
Nxtra Data Limited
Nettle Infrastructure Investments Limited (amalgamated with the Company w.e.f. February 1, 2023, refer note 4(i))
Telesonic Networks Limited (amalgamated with the Company w.e.f. February 1, 2023, refer note 4(i))
Airtel Digital Limited
Airtel International LLP
Airtel Limited
OneWeb India Communications Private Limited (Acquired w.e.f. April 13, 2021)
Bharti Airtel Employees Welfare Trust

298

Bharti Airtel Limited

Integrated Report and Annual Financial Statements 2022-23

299

Corporate Overview

Notes to Standalone Financial Statements(All amounts are in millions of Indian Rupee; unless stated otherwise)Management Discussion & Analysis

Statutory Reports

Notes to Standalone Financial Statements(All amounts are in millions of Indian Rupee; unless stated otherwise)

Foreign

Airtel Networks Kenya Limited

Airtel Africa plc

Airtel Networks Limited

Airtel Africa Mauritius Limited

Airtel Networks Zambia plc

Airtel (Seychelles) Limited

Airtel Rwanda Limited

Airtel Congo RDC S.A.

Airtel Tanzania plc

Airtel Congo S.A.

Airtel Tchad S.A.

Airtel Gabon S.A.

Airtel Uganda Limited

Gabon Towers S.A. (under liquidation)

Bharti Airtel (France) SAS

Airtel Madagascar S.A.

Bharti Airtel (Hong Kong) Limited

Airtel Malawi plc

Bharti Airtel (Japan) Private Limited

Airtel Mobile Commerce (Kenya) Limited

Bharti Airtel (UK) Limited

Airtel Mobile Commerce (Seychelles) Limited

Bharti Airtel (USA) Limited

Airtel Mobile Commerce (Tanzania) Limited

Network I2I (Kenya) Limited

Airtel Mobile Commerce B.V.

Network i2i (UK) Limited

Airtel Mobile Commerce Holdings B.V.

Bharti Airtel Africa B.V.

Airtel Mobile Commerce Limited

Bharti Airtel Chad Holdings B.V.

Airtel Mobile Commerce Madagascar S.A.

Bharti Airtel Congo Holdings B.V.

Airtel Mobile Commerce (Rwanda) Limited

Bharti Airtel Developers Forum Limited

Airtel Mobile Commerce Tchad S.A.

Bharti Airtel Gabon Holdings B.V.

Airtel Mobile Commerce Uganda Limited

Bharti Airtel International (Mauritius) Limited

Airtel Mobile Commerce Zambia Limited

Bharti Airtel International (Mauritius) Investments Limited

Airtel Mobile Commerce DRC B.V.

Bharti Airtel International (Netherlands) B.V.

Airtel Mobile Commerce Gabon B.V.

Bharti Airtel Kenya B.V.

Airtel Mobile Commerce Niger B.V.

Bharti Airtel Kenya Holdings B.V.

Airtel Money Kenya Limited

Bharti Airtel Lanka (Private) Limited

Airtel Digital Services Holdings B.V.

Bharti Airtel Madagascar Holdings B.V.

Airtel Africa Services (UK) Limited

Bharti Airtel Malawi Holdings B.V.

Airtel Money (RDC) S.A.

Bharti Airtel Mali Holdings B.V.

Airtel Money Niger S.A.

Bharti Airtel Niger Holdings B.V.

Airtel Money S.A.

Bharti Airtel Nigeria B.V.

Airtel Money Trust (Terminated on January 28, 2022)

Bharti Airtel Nigeria Holdings II B.V.

Airtel Money Trust Fund

Bharti Airtel RDC Holdings B.V.

Airtel Money Transfer Limited

Bharti Airtel Rwanda Holdings Limited

Airtel Money Tanzania Limited

Bharti Airtel Services B.V.

Airtel Mobile Commerce Congo B.V.

Bharti Airtel Tanzania B.V.

Airtel Mobile Commerce (Seychelles) B.V.

Bharti Airtel Uganda Holdings B.V.

Airtel Mobile Commerce Madagascar B.V.

Bharti Airtel Zambia Holdings B.V.

Airtel Mobile Commerce Kenya B.V.

Bharti International (Singapore) Pte. Ltd.

Airtel Mobile Commerce Rwanda B.V.

Bharti Airtel Overseas (Mauritius) Limited

Airtel Mobile Commerce Malawi B.V.

Bharti Airtel Holding (Mauritius) Limited

Airtel Mobile Commerce Uganda B.V.

Celtel (Mauritius) Holdings Limited

Airtel Mobile Commerce Tchad B.V.

Celtel Niger S.A.

Airtel Mobile Commerce Zambia B.V.

Channel Sea Management Company (Mauritius) Limited

Airtel Mobile Commerce (Nigeria) Limited

Congo RDC Towers S.A.

Airtel Mobile Commerce Nigeria B.V.

Indian Ocean Telecom Limited

300

Bharti Airtel Limited

Financial Statements

Integrated Report and Annual Financial Statements 2022-23

301

Corporate Overview

Notes to Standalone Financial Statements(All amounts are in millions of Indian Rupee; unless stated otherwise)

Madagascar Towers S.A. (ceased to be a subsidiary w.e.f. November 2, 2021)
Malawi Towers Limited (ceased to be a subsidiary w.e.f. March 24, 2022)
Mobile Commerce Congo S.A.
Montana International
Network i2i Limited
Partnership Investments S.a.r.lSociété Malgache de Téléphone Cellulaire S.A.
Tanzania Towers Limited (liquidated on April 12, 2021)
The Airtel Africa Employee Benefit Trust
The Registered Trustees of Airtel Money Trust Fund
Airtel Mobile Commerce Services Limited
Airtel Africa Telesonic Holdings B.V. (incorporated on June 29, 2021) & (Liquidated on December 6, 2021)
Airtel Africa Telesonic B.V. (incorporated on June 29, 2021) & (Liquidated on December 6, 2021)
SmartCash Payment Service Bank Limited (incorporated on November 30, 2021)
Airtel Africa Telesonic Holdings Limited (incorporated on October 6, 2021)
Airtel Africa Telesonic Limited (incorporated on October 6, 2021)
Airtel Congo Telesonic Holdings (UK) Limited (incorporated on April 11, 2022)
Airtel DRC Telesonic Holdings (UK) Limited (incorporated on April 11, 2022)

Management Discussion & Analysis

Statutory Reports

Financial Statements

Notes to Standalone Financial Statements(All amounts are in millions of Indian Rupee; unless stated otherwise)

Nxtra DRC Data Holdings (UK) Limited (formerly known as Airtel DRC Data Center Holdings (UK) Limited) (incorporate
on November 28, 2022)
Nxtra Gabon Data Holdings (UK) Limited (formerly known as Airtel Gabon Data Center Holdings (UK) Limited) (incorporate
on November 28, 2022)
Nxtra Congo Data Holdings (UK) Limited (formerly known as Airtel Congo Data Center Holdings (UK) Limited) (incorporate
on November 28, 2022)
Airtel Congo RDC Telesonic S.A.U. (incorporated on January 31, 2023)
Nxtra Africa Data (Nigeria) Limited (incorporated on March 16, 2023)
Ultimate controlling entity	Bharti Enterprises (Holding) Private Limited. It is held by private trusts of Bharti family, with Mr. Sunil Bharti Mittal’s family
trust effectively controlling the said company

Entity having control over the Company
IndianBharti Telecom Limited

Entities having significant influence over the Company
Foreign
Pastel Limited
Singapore Telecommunications Limited

Airtel Gabon Telesonic Holdings (UK) Limited (incorporated on April 11, 2022)

Associates

Airtel Kenya Telesonic Holdings (UK) Limited (incorporated on April 11, 2022)

IndianAirtel Madagascar Telesonic Holdings (UK) Limited (incorporated on April 11, 2022)

Airtel Payments Bank Limited

Airtel (M) Telesonic Holdings (UK) Limited (formerly known as Airtel Malawi Telesonic Holdings (UK) Limited) (incorporatedon April 11, 2022)

Juggernaut Books Private Limited
Hughes Communications India Private Limited (w.e.f January 4, 2022)

Airtel Niger Telesonic Holdings (UK) Limited (incorporated on April 11, 2022)

HCIL Comtel Private Limited (w.e.f. January 4, 2022) (subsidiary of Hughes Communications India Private Limited)

Airtel Nigeria Telesonic Holdings (UK) Limited (incorporated on April 11, 2022)

	Hughes Global Education India Private Limited (w.e.f. January 4, 2022) (subsidiary of Hughes Communications India
Private Limited)

Airtel Rwanda Telesonic Holdings (UK) Limited (incorporated on April 11, 2022)
Airtel Seychelles Telesonic Holdings (UK) Limited (incorporated on April 11, 2022)
Airtel Tanzania Telesonic Holdings (UK) Limited (incorporated on April 11, 2022)
Airtel Uganda Telesonic Holdings (UK) Limited (incorporated on April 11, 2022)
Airtel Zambia Telesonic Holdings (UK) Limited (incorporated on April 11, 2022)
Airtel Tchad Telesonic Holdings (UK) Limited (incorporated on April 11, 2022)
Airtel (M) Telesonic Limited (incorporated on August 25, 2022)

Lavelle Networks Private Limited (w.e.f February 10, 2022)
Foreign
Seychelles Cable Systems Company Limited
Robi Axiata Limited
RedDot Digital Limited (Subsidiary of Robi Axiata Limited)

Airtel Kenya Telesonic Limited (incorporated on July 22, 2022)

Joint Ventures

Airtel Nigeria Telesonic Limited (incorporated on August 26, 2022)

IndianAirtel Rwanda Telesonic Limited (incorporated on August 30, 2022)

Indus Towers Limited

Airtel Telesonic Uganda Limited (incorporated on September 9, 2022)

SmarTx Services Limited (subsidiary of Indus Towers Limited)

Airtel Zambia Telesonic Limited (incorporated on September 22, 2022)

FireFly Networks Limited

Airtel (Seychelles) Telesonic Limited (incorporated on September 21, 2022)

Indus Towers Employees Welfare Trust

Airtel Mobile Commerce Tanzania B.V. (incorporated on November 3, 2022)

Foreign

Nxtra Africa Data Holdings Limited (formerly known as Airtel Africa Data Center Holdings Limited) (incorporate on
November 24, 2022)

Bridge Mobile Pte Limited

Nxtra Nigeria Data Holdings (UK) Limited (formerly known as Airtel Nigeria Data Center Holdings (UK) Limited)(incorporate on November 28, 2022)

Airtel Ghana Limited (ceased w.e.f October 12, 2021)

Bharti Airtel Ghana Holdings B.V.

Nxtra Kenya Data Holdings (UK) Limited (formerly known as Airtel Kenya Data Center Holdings (UK) Limited) (incorporate
on November 28, 2022)

302

Bharti Airtel Limited

Integrated Report and Annual Financial Statements 2022-23

303

Corporate Overview

Notes to Standalone Financial Statements(All amounts are in millions of Indian Rupee; unless stated otherwise)

Airtel Mobile Commerce (Ghana) Limited (ceased w.e.f. October 12, 2021)
Millicom Ghana Company Limited (under liquidation)
Mawezi RDC S.A. (incorporated on March 1, 2023)

Management Discussion & Analysis

Statutory Reports

Financial Statements

Notes to Standalone Financial Statements(All amounts are in millions of Indian Rupee; unless stated otherwise)‘Related party disclosures’, have been included by way of a voluntary disclosure, following the best corporate governance.

Key Management Personnel (‘KMP’)
Sunil Bharti Mittal, Chairman

Other entities with whom transactions have taken place during the reporting periods

Gopal Vittal, Managing Director & CEO

Fellow Companies (subsidiaries / associates other than that of the Company)

Badal Bagri, Chief Financial Officer (Upto October 8, 2021)

Subsidiaries

Soumen Ray, Chief Financial Office (India & South Asia) (w.e.f. December 21, 2021)

Bharti Enterprises Limited (formerly known as Bharti Ventures Limited)Pankaj Tewari, Company Secretary	
Bharti Management Services Limited (formerly known as Bharti Axa General Insurance Company Limited)(w.e.f. March 31, 2023)

Non-executive Directors
Chua Sock Koong

Associates

Craig Edward Ehrlich (upto August 3, 2021)

IndianDinesh Kumar Mittal

Bharti Life Ventures Private Limited

Kimsuka Narasimhan

Bharti Axa Life Insurance Company Limited

Manish Kejriwal (upto September 25, 2022)

	
Bharti Management Services Limited (formerly known as Bharti Axa General Insurance Company Limited)(upto March 30, 2023)

Nisaba Godrej (w.e.f. August 4, 2021)
Pradeep Kumar Sinha (w.e.f. May 18, 2022)

Others related parties*

Rakesh Bharti Mittal

Entities where Key Management Personnel and their relatives exercise significant influence

Shyamal Mukherjee (w.e.f. May 18, 2022)

Hike Private Limited

Shishir Priyadarshi (upto October 31, 2022)

Bharti Foundation

Tao Yih Arthur Lang

Bharti (RBM) Holdings Private Limited

V. K. Viswanathan

OthersBeetel Teletech Limited
Del Monte Foods Private Limited
Jersey Airtel Limited
Centum Learning Limited
Bharti Realty Limited
Bharti Land Limited
Guernsey Airtel Limited
Gourmet Investments Private Limited
Oak Infrastructure Developers Limited
Indian School of Business
IFFCO Kisan Sanchar Limited
Bharti Global Limited
Bharti Real Estates Limited
Deber Technologies Private Limited
Alborz Developers Limited
Populus Realty Limited
Vinta Realty Limited
Indian Continent Investment Limited
Viridian Limited
Urbanclap Technologies India Private Limited
Dixon Electro Appliances Private Limited
AMPSolar Evolution Private Limited*‘Other related parties’ though not ‘Related Parties’ as per the definition under Ind AS 24,

304

Bharti Airtel Limited

Integrated Report and Annual Financial Statements 2022-23

305

306

2,014
894
-

(All amounts are in millions of Indian Rupee; unless stated otherwise)

The significant related party transactions are summarised below:

-

5,360
1,540
154
0
9,650
712
-

-

298
-

140
105
-

185
-

105
640
80
567
0
543
188
-

-

-

-

-

-

64

1,148
201
3,719
280

Financial Statements

For the year ended
March 31, 2023

March 31, 2022

839
576

387
152

-

640

39
553

582
601

4,006
5,800
1,023

105
-

13,357
5,855
913
1,197
718

(4,330)
4,970
696
584
716

737

543

10,261
9,326
793
12,184
6,248
7,573
1,530
708

8,885
6,361
344
10,322
4,997
4,676
1,456
512

31,18424,995

4,072

3,708

56,80048,806

4,789

4,295

1,623
1,077
593

1,208
1,318
539

5,130
5,828

3,218
1,078

Sale of fixed assets
Subsidiary
Bharti Hexacom Limited
Bharti Airtel Services Limited

Other related party(ii)

23,69240,167-42
48,812
50

8

-

-

-

24,37889
25,151
9

Beetel Teletech Limited

Purchase of fixed assets
Subsidiaries
Bharti Hexacom Limited
Bharti Airtel Services Limited

2,508
898
450

40
677
4,295

(1,507)
1,166
1,046
172,781
43,243
13,852

Rendering of services
Subsidiaries
Bharti Hexacom Limited
Bharti Airtel (UK) Ltd.
Nxtra Data Limited
Airtel Digital Limited
Bharti International (Singapore) Pte Limited

Entity having significant influence over the Company:

8,325
-

3,820
87
52
56,800--56,65055,526
-

-

49
36

-

6
107
-

-

4,425
187
114
-

-

Beetel Teletech Limited
Bharti Realty Limited
Dixon Electro Appliances Private Limited

(iii)

0
173
4,090
251

737
162
-

10,829
82
446
-

1,182
601
96
4,084
38,383
4,152

Other related party

390
8,106
85
31,3399Singapore Telecommunications Ltd.

(iv)

Receiving of services
Subsidiaries
Bharti Hexacom Limited
Bharti Airtel (UK) Limited
Bharti Airtel Services Limited
Nxtra Data Limited
Network i2i Limited
Airtel Digital Limited
Bharti International (Singapore) Pte Limited
Airtel Uganda Limited

Joint Venture#
Indus Towers Limited
Airtel Payments Bank Limited

3,688
952
654
1,329

392
2,024
4,853

48,50819,025--

Associate
11,042(v)

Reimbursement of energy expenses paid
Joint Venture(vi)

Reimbursement of energy expenses received
Subsidiary

Indus Towers Limited# Other related parties / fellow companies

Associates
Subsidiaries

Joint
ventures

Statutory Reports

Notes to Standalone Financial Statements

(i)

593
1,535
6,834
23,471
49,577
4,482

Subsidiaries
Other relatedparties#
Entities
havingsignificant
influence

Bharti Airtel Limited

Management Discussion & Analysis

Sr.
No.

Purchase of fixed assets / bandwidth
Sale of fixed assets / IRU given
Investments
Rendering of services
Receiving of services
Expenses incurred on behalf ofothersExpenses incurred on behalf of
the Company
Donation
Security deposit given /advances
paid
Advance received/refund of
security deposit given
Loans and advances given
Repayment / adjustment of loans
and advances given
Loans taken
Repayment of loans taken
Interest charged by others
Interest charged by the Company
Reimbursement of energy expenses
Reimbursement of energy
expenses charged to related party
Receiving of assets (ROU)
Repayment of lease liabilities
Dividend paid
Dividend income

Other relatedparties#
Associates

Entities
havingsignificant
influence
Joint
Ventures

March 31, 2022
For the year ended
March 31, 2023

(a) The summary of transactions with the above-mentioned parties is as follows:In the ordinary course of business, there are certain transactions with the related parties, and all these transactions are on arm length basis. The transactions with related parties (otherthan with KMPs which are disclosed in note 34 (c)) for the year ended March 31, 2023 and March 31, 2022 respectively, are described below:(All amounts are in millions of Indian Rupee; unless stated otherwise)

Notes to Standalone Financial Statements

Corporate Overview

Nxtra Data Limited(vii) Expenses incurred on behalf of others
Subsidiaries
Bharti Hexacom Limited
Bharti Telemedia Limited
Airtel Digital Limited(viii) Expenses incurred on behalf of the Company
Subsidiaries
Bharti Airtel Services Limited
Airtel Digital Limited

Integrated Report and Annual Financial Statements 2022-23

307

Corporate Overview

Notes to Standalone Financial Statements

(ix)

(x)

For the year ended
March 31, 2022

Loans and advances given
Subsidiaries

Indus Towers Limited
15,3154,277
3,512
24,75550
0600

13,89932,367
9,526
259
600

Firefly Networks Limited

7,569
4,277
6,041
716
423

12,32632,367
9,955
285
594

-

8

Loan taken
Other related party
Alborz Developers Limited
Populus Realty Limited
Vinta Realty Limited

-

2,150
1,450
1,760

-

9,650

1,240
820
1,760

910
630
-

6,000
834

95
1
-

8,106

24,378

0
-

998
150

549
1,073

207

-

712

Other related party
Alborz Developers Limited
Populus Realty Limited
Vinta Realty Limited(xiii) Purchase of investments
Subsidiaries
Airtel Digital Limited^
OneWeb India Communications Private Limited
Nxtra Data Limited
Indo Teleports Limited^

Associates
Hughes Communications India Pvt. Ltd.
Lavelle Networks Private Limited(xiv) Interest charged by the Company
Subsidiaries
Bharti Airtel Services Limited
Network i2i Limited(xv) Interest charged by the others
Entity having control over the Company
Bharti Telecom Limited(xvi) Receiving of assets (ROU)*#
Subsidiaries
Bharti Airtel Services Limited

308

Bharti Airtel Limited

172,781

23,692(1,507)

2,014

1,329

450

13,852

-

646

898

6,006

-

2,319

-

1,012

-

Other related party
Bharti Realty Limited(xvii) Dividend income
Subsidiaries
Bharti Airtel Services Limited

Joint Venture
Indus Towers Limited

Bharti Airtel Services Limited

Entity having control over the Company
Bharti Telecom Limited

Entities having significant influence over the Company
Pastel Limited

Other related party
Indian Continent Investment Limited# Amount does not include GST* Amount disclosed above is net of termination. During the year ended March 31, 2023, the Company has made payment of H 45,361 in respect of
the lease liabilities.

(b) The outstanding balances of the above-mentioned related parties are as follows:
Subsidiaries

Joint ventures

Associates

Entities having
significant
influence

Other relatedparties#

5,153
654
44,74035,086
-

18
522
-

156
-

1,109
107
-

349,854
78,447
5,675
741

261,454
1,458

91

-

4,304
934

23,107
1,325
12,997

26,056
2
-

66
131
-

192
-

342
42
-

-

-

-

-

3,820

362,579
130,437
2,548
1,167

40
115,161
1,510

117

-

3,266
923

As of March 31, 2023
Trade payables
Trade receivables
Loans and advances(including accrued interest)
Guarantees and collaterals
Unutilized facilities
Lease liabilities@
Other financial assets(amount recoverable from related party)

As of March 31, 2022

Joint Venture
Indus Towers Limited

March 31, 2022

^ Loan conversion into equity amounting H 2,415 and 694 respectively for Airtel Digital Limited and Indo Teleports Limited(xii) Repayment of loan taken
Entity having control over the Company
Bharti Telecom Limited

March 31, 2023

(xviii) Dividend paid
Subsidiaries

Joint Venture(xi)

For the year ended

Sr.
No.

Joint venture

Repayment / adjustment of loans and advances given
Subsidiaries
Bharti Airtel Services Limited
Nxtra Data Limited
Airtel Digital Limited^
Indo Teleports Limited^
Bharti Airtel Employees Welfare Trust

Financial Statements(All amounts are in millions of Indian Rupee; unless stated otherwise)

March 31, 2023

Bharti Airtel Services Limited
Nxtra Data Limited
Airtel Digital Limited
Network i2i Limited
Indo Teleports Limited
Airtel Limited
Bharti Airtel Employees Welfare Trust

Statutory Reports

Notes to Standalone Financial Statements(All amounts are in millions of Indian Rupee; unless stated otherwise)

Sr.
No.

Management Discussion & Analysis

Trade payables
Trade receivables
Loans and advances(including accrued interest)
Borrowings(including accrued interest)
Guarantees and collaterals
Unutilized facilities
Lease liabilities@
Other financial assets(amount recoverable from related party)# Other related parties / fellow companies@ It includes discounted value of future cash payouts.

3,688

2,508

Outstanding balances at year end are un-secured and settlement occurs in cash.

Integrated Report and Annual Financial Statements 2022-23309

Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

Notes to Standalone Financial Statements

Notes to Standalone Financial Statements

	The Company has agreed to ensure appropriate financial support only if and to the extent required by its subsidiaries
namely Bharti Airtel Lanka (Private) Limited, Indo Teleports Limited, Airtel Limited, Bharti International (Singapore)
Pte Limited, Bharti Airtel Holding (Mauritius) Limited, Network i2i Limited, Airtel Africa Mauritius Limited, Bharti Airtel
International (Mauritius) Investments Limited.

35. Leases
Company as a lessee(All amounts are in millions of Indian Rupee; unless stated otherwise)(All amounts are in millions of Indian Rupee; unless stated otherwise)(c) Transactions and balances with Key Management Personnel (‘KMP’) and Directors

ROU he following table presents the reconciliation of changes in the carrying value of ROU assets for the year ended
T
March 31, 2023 and March 31, 2022:

	KMPs are those persons having authority and responsibility for planning, directing and controlling the activities of theCompany, directly or indirectly, including any director, whether executive or otherwise.
Balance at April 1, 2021

Remuneration to KMP and directors were as follows:
For the year ended

Short-Term employee benefits
Performance linked Incentive ('PLI')
Post-employment benefit
Share-based payment
Other benefits

March 31, 2023

March 31, 2022

286
128
22
131
76
643

218
113
21
108
113
573

1.	Value of PLI, as shown above, represents incentive at 100% performance level. However, the same will be paid in thenext year on the basis of actual performance parameters. During the year ended March 31, 2023 and 2022, PLI of H 135
and H 138 respectively has been paid.
2.	As the liabilities for the gratuity and compensated absences are provided on an actuarial basis, and calculated for
the Company as a whole rather than each of the individual employees, the said liabilities pertaining specifically to key
managerial personnel are not known and hence, not included in the above table.
3.

Balance at March 31, 2022
Balance at April 1, 2022

Additions
Depreciation expense
Termination / other adjustments

Balance at March 31, 2023•a)	
H 6 has been paid to one of the KMP during the year ended March 31, 2022 towards post-employment benefits,
upon his resignation from the Company.
b)	
H 4 and H Nil have been paid as dividend to KMP during the year ended March 31, 2023 andMarch 31, 2022 respectively.
4.	"Other Benefits" include commission to Non-Executive Directors (including Independent Directors) and sitting fees paid
to the Independent Directors.

(d)	The details of loans and advances as required by Schedule V of SEBI (Listing Obligation andDisclosure requirements) Regulations, 2015 are given in the table below:
March 31, 2023

March 31, 2022

Outstandingbalance

Maximum amountoutstanding
during the year

Outstandingbalance

Maximum amountoutstanding
during the year

11,01532,007
0
1,718

706
1,093
12,871
3,969
32,007
0
1,983

666
3,207
2,529
5,055
1,540

731
6,065
4,019
3,962
5,055
1,632

44,74052,62912,997

8
21,472

Subsidiaries

Plant andequipment

Building

Land

Total

40,146
5,184(4,001)
163
41,492
41,492
2,055(3,655)39,892

148,929
39,907(36,139)2,338
155,035
155,035
229,936(44,353)(5,814)
334,804

8,699
2,795
(1,885)
(891)
8,718
8,718
4,152
(1,926)(2,268)
8,676

14,626
5,624(2,444)(3,369)14,437
14,4373,469(2,548)(1,704)
13,654

212,400
53,510(44,469)(1,759)219,682
219,682
239,612(52,482)(9,786)
397,026

Bandwidth
The Company’s leases of bandwidth comprise of dark fiber.

•

Plant and equipment

	The Company leases passive infrastructure for providing telecommunication services under composite contracts that
include lease of passive infrastructure and land on which the passive infrastructure is built as well as maintenance,
security, provision of energy and other services.
•

In addition to the above:

Indo Teleports Limited
Nxtra Data Limited
Bharti Airtel Services Limited
Airtel Digital Limited
Network i2i Limited
Airtel Limited
Bharti Airtel Employees Welfare Trust

Additions
Depreciation expense
Termination / other adjustments

Bandwidth

Building
The Company’s leases of building comprise of lease of offices, warehouses and shops.

•

Land
The Company’s leases of land comprise of land taken on lease on passive infrastructure is built and offices.

Amounts recognised in Statement of Profit and Loss
Leases under Ind AS 116
For the year ended

Interest on lease liabilities
Expenses relating to short-term leases
Expenses relating to leases of low value assets, excluding short-term leases of low
value assets

310

Bharti Airtel Limited

March 31, 2022

27,50951
222

17,23935
192

27,782

17,466

Amount recognised in Statement of Cash Flows
For the year ended

Cash outflow for leases

March 31, 2023

March 31, 2022

44,49949,845

The following table sets out a maturity analysis of lease payments, showing the undiscounted lease payments to be paid
after the reporting date.

Joint Venture
Firefly Networks Limited

March 31, 2023

For the year ended

Not later than one year
Later than one year but not later than five years
Later than five years

March 31, 2023

March 31, 2022

90,341
260,089
203,412553,842

63,646140,41084,882288,938

Integrated Report and Annual Financial Statements 2022-23

311

Corporate Overview

Notes to Standalone Financial Statements

further details as to foreign currency borrowings, refer note 17. Further, for the details as to the fair value of various
outstanding derivative financial instruments, refer note 37.

The Company enters into ‘Indefeasible right to use’ (‘IRU’) arrangements wherein the right to use the assets is given over thesubstantial part of the asset life. However, as the title to the assets and the significant risks associated with the operationand maintenance of these assets remains with the Company, such arrangements are recognised as operating lease. The
contracted price is recognised as revenue during the tenure of the agreement. Unearned IRU revenue received in advance ispresented as deferred revenue within liabilities in the Balance Sheet.

Amounts recognised in Statement of Profit and Loss

Foreign currency sensitivity
The impact of foreign exchange sensitivity on profit / (loss) for the year and OCI is given in the table below:

March 31, 2023

March 31, 2022

400

245

The following table sets out a maturity analysis of lease payments, showing the undiscounted lease payments to be received
after the reporting date.
As ofMarch 31, 2023

March 31, 2022

411
402
407
412
424
568
2,624

250
192
5
1
1
2
451

Company has entered into non–cancellable lease arrangements to provide dark fiber on IRU basis and tower assets on sitesharing basis. Due to the nature of these transactions, it is not possible to compute gross carrying amount, depreciation forthe year and accumulated depreciation of the asset given on operating lease as of March 31, 2023 and March 31, 2022 andaccordingly, the related disclosures are not provided.

36. Financial and capital risk
1. Financial risk
	The business activities of the Company expose it to a variety of financial risks, namely market risks (that is, foreignexchange risk, interest rate risk and price risk), credit risk and liquidity risk. The Company’s risk management strategies
focus on the unpredictability of these elements and seek to minimise the potential adverse effects on its financial
performance. Further, the Company uses certain derivative financial instruments to mitigate some of these risk exposures(as discussed below in this note).
	The financial risk management for the Company is driven by the Company’s senior management (‘CSM’), in close coordination with the operating entities' internal / external experts subject to necessary supervision. The Company does
not undertake any speculative transactions either through derivatives or otherwise. The CSM are accountable to theBoard of Directors and Audit Committee. They ensure that the Company’s financial risk-taking activities are governed
by appropriate financial risk governance framework, policies and procedures. The Board of Directors of the respective
operating entities periodically reviews the exposures to financial risks, and the measures taken for risk mitigation andthe results thereof.

US Dollars
Others	Foreign exchange risk arises on all recognised monetary assets and liabilities, and any highly probable forecasted
transactions, which are denominated in a currency other than the functional currency of the Company. The Company
has foreign currency trade payables, receivables and borrowings. However, foreign exchange exposure mainly arises
from borrowings and trade payables denominated in foreign currencies.
	The foreign exchange risk management policy of the Company requires it to manage the foreign exchange risk bytransacting as far as possible in the functional currency. Moreover, the Company monitors the movements in currencies
in which the borrowings / capex vendors are payable and manage any related foreign exchange risk, which inter-alia
include entering into foreign exchange derivative contracts - as considered appropriate and whenever necessary. For

Bharti Airtel Limited

Effect on profit /(loss) before tax

Effect on equity
(OCI)

+5%
-5%
+5%
-5%

(3,628)
3,628
56
(56)

-

+5%
-5%
+5%
-5%

(6,435)
6,435
27
(27)

-

For the year ended March 31, 2022
US Dollars
Others	The sensitivity disclosed in the above table is mainly attributable to, in case of to foreign exchange gains / (losses) on
translation of USD denominated borrowings, derivative financial instruments, trade payables, and trade receivables.
	The above sensitivity analysis is based on a reasonably possible change in the underlying foreign currency against therespective functional currency while assuming all other variables to be constant.
	Based on the movements in the foreign exchange rates historically and the prevailing market conditions as at thereporting date, the Company’s management has concluded that the above mentioned rates used for sensitivity arereasonable benchmarks.
ii.

Interest rate risk

	As the Company does not have exposure to any floating-interest bearing assets, its interest income and related cash
inflows are not affected by changes in market interest rates. Consequently, the Company’s interest rate risk arises mainly
from borrowings.
Borrowings
	Borrowings with floating and fixed interest rates expose the Company to cash flow and fair value interest rate risk
respectively. However, the short-term borrowings of the Company do not have a significant fair value or cash flowinterest rate risk due to their short tenure. Accordingly, the components of the debt portfolio are determined by the
CSM in a manner which enables the Company to achieve an optimum debt-mix basis its overall objectives and future
market expectations.
	The Company monitors the interest rate movement and manages the interest rate risk based on its risk management
policies, which inter-alia include entering into interest swaps contracts - as considered appropriate and whenever necessary.
Interest rate sensitivity of borrowings
The impact of the interest rate sensitivity on profit / (loss) before tax is given in the table below:

Foreign currency risk

312

Change in currency
exchange rate

For the year ended March 31, 2023

For the year endedi.

Financial Statements(All amounts are in millions of Indian Rupee; unless stated otherwise)

Company as a lessor – operating lease

Less than one year
One to two years
Two to three years
Three to four years
Four to five years
More than five years

Statutory Reports

Notes to Standalone Financial Statements(All amounts are in millions of Indian Rupee; unless stated otherwise)

Rental income

Management Discussion & Analysis

Increase / decrease(basis points)

Effect on profit /(loss) before tax

+100
-100

(626)
626

+100
-100

(408)
408

For the year ended March 31, 2023
INR - borrowings

For the year ended March 31, 2022
INR - borrowings

The sensitivity disclosed in the above table is attributable to floating-interest rate borrowings.

Integrated Report and Annual Financial Statements 2022-23

313

Corporate Overview

Notes to Standalone Financial Statements

	Based on the movements in the interest rates historically and the prevailing market conditions as at the reporting date, theCompany’s management has concluded that the above mentioned rates used for sensitivity are reasonable benchmarks.
Price risk

	The Company invests its surplus funds in various mutual funds (debt fund, equity fund, liquid schemes and income fundsetc.), short-term debt funds, government securities and fixed deposits. In order to manage its price risk arising frominvestments, the Company diversifies its portfolio in accordance with the limits set by the risk management policies.
Credit risk

	Credit risk refers to the risk of default on its obligation by the counter-party, the risk of deterioration of credit-worthinessof the counter-party as well as concentration risks of financial assets, and thereby exposing the Company to potential
financial losses.
	The Company is exposed to credit risk mainly with respect to trade receivables, investment in bank deposits / debt
securities / mutual funds and derivative financial instruments.
Trade receivables
	The Trade receivables of the Company are typically non-interest bearing unsecured and derived from sales made to a large
number of independent customers. As the customer base is widely distributed both economically and geographically,
there is no concentration of credit risk.

the Company’s other receivables carry either no or very minimal credit risk. Further, the Company reviews the creditworthiness of the counter-parties (on the basis of its ratings, credit spreads and financial strength) of all the above assets
on an ongoing basis, and if required, takes necessary mitigation measures.
v.

Liquidity risk

	Liquidity risk is the risk that the Company will not be able to meet its financial obligations as they become due. Accordingly,
as a prudent liquidity risk management measure, the Company closely monitors its liquidity position and deploys a robust
cash management system. It maintains adequate sources of financing including bilateral loans, debt, and overdraft fromboth domestic and international banks at an optimised cost. It also enjoys strong access to domestic and international
capital markets across debt and equity.
	Moreover, the CSM regularly monitors the rolling forecasts of the entity’s liquidity reserve (comprising of the amount ofavailable un-drawn credit facilities and cash and cash equivalents) and the related requirements, to ensure they havesufficient cash on an on-going basis to meet operational needs while maintaining sufficient headroom at all times on its
available un-drawn committed credit facilities, so that there is no breach of borrowing limits or relevant covenants on
any of its borrowings. For details as to the borrowings, refer note 17.
	Based on past performance and current expectations, the Company believes that the cash and cash equivalents,
cash generated from operations and available un-drawn credit facilities, will satisfy its working capital needs, capital
expenditure, investment requirements, commitments and other liquidity requirements associated with its existing
operations, through at least the next twelve months.
	The table below summarises the maturity profile of the Company’s financial liabilities based on contractual undiscounted
payments:As of March 31, 2023

	As there is no independent credit rating of the customers available with the Company, the management reviews thecredit-worthiness of its customers based on their financial position, past experience and other factors.
	Credit risk related to the trade receivables is managed / mitigated by each business unit, basis the Company’s establishedpolicy and procedures, by setting appropriate payment terms and credit period, and by setting and monitoring internal
limits on exposure to individual customers. The credit period provided by the Company to its customers generally ranges
from 14-30 days except Airtel business segment wherein it ranges from 7-90 days.
	The Company uses a provision matrix to measure the ECL of trade receivables, which comprise a very large numbers ofsmall balances. Refer note 13 for details on the impairment of trade receivables.
	Based on the industry practices and the business environment in which the entity operates, management considers thatthe trade receivables are impaired if the payments are more than 90 / 120 days past due from due date / invoice date.

Carrying
amountInterest bearing borrowings*#
Other financial liabilities#
Trade payables
Lease liabilities

Financial liabilities(excluding derivatives)
Derivative assets
Derivative liabilities

Net derivatives

Past due but not impaired

Neither past
due nor
impairedLess Than 30days

30 to 60 days

60 to 90 days

4,964
8,785

7,548
7,966

3,868
3,452

2,520
2,801

Above 90
days

2,265
4,713

Total

21,16527,717

Financial instruments and cash deposits	The Company’s treasury, in accordance with the board approved policy, maintains its cash and cash equivalents,
deposits and investment in mutual funds and enters into derivative financial instruments - with banks, financial andother institutions, having good reputation and past track record, and high credit rating. Similarly, counter-parties of
Bharti Airtel Limited

1,448,487
134,382259,989
410,553
2,253,411

64
6,701
6,765

11,953
113,789
259,989
54,138439,869

54,41844
36,20390,665

1,044
(532)
512

-

901
(439)
462

62
(93)
(31)

Carrying
amount	The Company performs ongoing credit evaluations of its customers’ financial condition and monitors the credit-worthinessof its customers to which it grants credit in its ordinary course of business. The gross carrying amount of a financial asset
is written off (either partially or in full) to the extent that there is no realistic prospect of recovery. This is generally the casewhen the Company determines that the debtor does not have assets or sources of income that could generate sufficient
cash flows to repay the amount due. Where the financial asset has been written-off, the Company continues to engage
in enforcement activity to attempt to recover the receivable due. Where recoveries are made, these are recognised in
the Statement of Profit and Loss.

314

On Demand

Less than
6 months

6 to 12months1 to 2 years> 2 years

Total

117,578
8
69,614
187,200

2,260,840
13,840393,8872,668,567

2,444,853
134,382259,989
553,8423,393,066

-

81
81

1,044
(532)
512

As of March 31 , 2022

The ageing analysis of trade receivables as of the reporting date is as follows:

March 31, 2023
March 31, 2022

Financial Statements(All amounts are in millions of Indian Rupee; unless stated otherwise)	The above sensitivity analysis is based on a reasonably possible change in the underlying interest rate of the Company’s
borrowings in INR, USD (being the significant currencies in which it has borrowed funds), while assuming all other variables(in particular foreign currency rates) to be constant.

iv.

Statutory Reports

Notes to Standalone Financial Statements(All amounts are in millions of Indian Rupee; unless stated otherwise)iii.

Management Discussion & Analysis

Interest bearing borrowings*#
Other financial liabilities#
Trade payables
Lease liabilities

Financial liabilities(excluding derivatives)
Derivative assets
Derivative liabilities

Net derivatives

On Demand

Less than
6 months

6 to 12months1,100,478
84,465
255,763
222,811
1,663,517

6,360
6,360

99,32862,862
255,763
40,177458,130

29,9282,446
23,46955,843

316
(176)
140

-

227
(174)
53

89
(2)
87

1 to 2 years> 2 years

Total

72,348400
40,415
113,163

1,683,073
12,397
184,877
1,880,347

1,884,677
84,465
255,763
288,938
2,513,843

-

-

316
(176)
140

	*It includes contractual interest payment based on interest rate prevailing at the end of the reporting period over the tenor of the borrowings.
#Interest accrued has been included in interest bearing borrowings and excluded from other financial liabilities.

	The Company from time to time in its usual course of business guarantees certain indebtedness of its subsidiaries. The
outflow in respect of these guarantees arises only on any default / non-performance of the subsidiary with respect tothe guaranteed debt / advance. Such loans are due for re-payment between 2 to 25 years from the reporting date (refer
note 22).
Integrated Report and Annual Financial Statements 2022-23

315

Corporate Overview

Notes to Standalone Financial Statements

Borrowings*

Interest accrued

Lease liabilities

Statement of cash
flows line item

April 1,
2022

Cash
flows

Proceeds /repaymentsof borrowings(including shortterm)
Interest and otherfinance charges
paid
Payment of leaseliabilities

380,175(80,242)Interest
capitalised--

17,482OthersMarch 31,2023

(2,574)

314,841

24,238(34,878)

14,172

126,674-(88,129)

42,077

222,811(44,499)---

232,241

410,553

The Company monitors capital using a gearing ratio calculated as below:
As of

Non-cash changes

Borrowings*

Interest accrued

Lease liabilities

Statement of cash
flows line item

April 1,
2021

Cash
flows

Proceeds /repaymentsof borrowings(including shortterm)
Interest and otherfinance charges
paid
Payment of leaseliabilities

310,357

60,048Interest
capitalised

Interest
expense

Foreignexchange
movement

OthersMarch 31,
2022

-

-

6,889

2,881

380,175

2,837

124,685-(103,522)

24,238

216,714(49,845)---

55,942

222,811*It does not include deferred payment liabilities, lease liabilities and bank overdraft.

Total capital
Capital and Net Debt (B)Gearing Ratio (A/B)

37. Fair value of financial assets and liabilities
The category wise details as to the carrying value and fair value of the Company’s financial instruments are as follows:

For the year ended

ROU additions during the year by means of lease
Acquisition of intangible assets and IAUD acquired by means of deferred payment
liability
Allotment of 11,930,543 equity shares against the conversion request of FCCBs
Conversion of outstanding unsecured loans (including interest) to Airtel Digital Limited
and Indo Teleports Limited, wholly-owned subsidiaries, into equity investment

2.

March 31, 2023

March 31, 2022

239,612332,495

53,510116,153

6,931
3,109

-

Capital risk

	The Company’s objective while managing capital is to safeguard its ability to continue as a going concern (so that it isenabled to provide returns and create value for its shareholders, and benefits for other stakeholders), support businessstability and growth, ensure adherence to the covenants and restrictions imposed by lenders and / or relevant laws andregulations, and maintain an optimal and efficient capital structure so as to reduce the cost of capital. However, the key
objective of the Company’s capital management is to, ensure that it maintains a stable capital structure with the focus on
total equity, uphold investor; creditor and customer confidence, and ensure future development of its business activities.
In order to maintain or adjust the capital structure, the Company may issue new shares, declare dividends, return capitalto shareholders, etc.
	The Company manages its capital structure and makes adjustments to it, in light of changes in economic conditions or
its business requirements.

316

Bharti Airtel Limited

Carrying value as ofFair Value as ofMarch 31, 2023

March 31, 2022

March 31, 2023

March 31, 2022

Financial Assets
FVTPL

Derivatives- Forward and option contracts
Investments - quoted
Investments - unquoted

Level 2
Level 1
Level 2

1,044
24,907
496

316
7,974
243

1,044
24,907
496

316
7,974
243

Investments - unquoted

Level 2

69

69

69

69

10,292
41,763
21,165
13,925505
218,064
332,230

11,28827,7173,102
312
211,790
262,811

10,292
41,763
21,165
13,925505
218,064
332,230

11,28827,7173,102
312
211,790
262,811

Level 2

532

176

532

176

Level 1
Level 2

247,529
1,091,505
44,784
22,592259,989
176,459
1,843,390

322,085
696,064
17,246
40,844
255,763
108,703
1,440,881

247,180
1,154,715
44,784
22,592259,989
176,459
1,906,251

338,492
732,302
17,246
40,844
255,763
108,703
1,493,526

Investments - quoted
Loans
Trade receivables
Cash and cash equivalents
Other bank balances
Other financial assets

Financial Liabilities
FVTPL

vii. Disclosure of non-cash transactions

1,076,239
3,102
1,073,137
748,705
748,705
1,821,842
58.90%Net debt (A)Amortised cost
(104,427)

March 31, 2022

1,406,410
13,925
1,392,485
789,934
789,934
2,182,419
63.80%

EquityFVTOCI104,665

March 31, 2023

Borrowings (refer note 17)
Less: Cash and cash equivalents

Level

Balance sheet caption

Financial Statements(All amounts are in millions of Indian Rupee; unless stated otherwise)vi.	Reconciliation of liabilities whose cash flow movements are disclosed as part of financing activities in theStatement of Cash Flows:
Balance sheet caption

Statutory Reports

Notes to Standalone Financial Statements(All amounts are in millions of Indian Rupee; unless stated otherwise)

Non-cash changes
ForeignInterest
exchange
expensemovement

Management Discussion & Analysis

Derivatives- Forward and option contracts

Amortised cost

Borrowings - fixed rate
Borrowings - fixed rate
Borrowings - fixed rate
Borrowings - floating rate
Trade payables
Other financial liabilities

The following methods / assumptions were used to estimate the fair values:i.	The carrying value of other bank balances, trade receivables, trade payables, short-term borrowings, floating-rate longterm borrowings, other current financial assets and liabilities approximate their fair value mainly due to the short-term
maturities of these instruments / being subject to floating-rates.
ii.	The fair value of non-current financial assets, other long-term borrowings and other financial liabilities is estimated bydiscounting future cash flows using current rates applicable to instruments with similar terms, currency, credit risk andremaining maturities.
iii.	The fair values of derivatives are estimated by using pricing models, wherein the inputs to those models are based onreadily observable market parameters. The valuation models used by the Company reflect the contractual terms of thederivatives (including the period to maturity), and market-based parameters such as interest rates, foreign exchange
rates, volatility etc. These models do not contain a high level of subjectivity as the valuation techniques used do not
require significant judgement and inputs thereto are readily observable.

Integrated Report and Annual Financial Statements 2022-23

317

Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

Notes to Standalone Financial Statements

Notes to Standalone Financial Statements

The following table describes the key inputs used in the valuation (basis discounted cash flow technique) of the Level 2
financial assets / liabilities as of March 31, 2023 and March 31, 2022:

	Subsequently, basis the demand from DoT in 2001, the Company paid the disputed license fee of H 4,856 for blackout
period under protest. Consequently, the license was restored subject to arbitrator’s adjudication on the dispute. The
arbitrator adjudicated the matter in favour of DoT, which was challenged by the Company before Delhi High Court. In
2012, Delhi High Court passed an order setting aside the arbitrator’s award, which was challenged by DoT and is pending
before its division bench. Meanwhile, the Company had filed a writ petition for recovery of the disputed license fee andinterest thereto. However, the single bench, despite taking the view that the Company is entitled to refund, dismissed thewrit petition. The Company therefore has filed appeal against the said order with division bench and is currently pending.
DoT had also filed an appeal against the single judge order. Both these appeals are tagged together and are listed forfinal hearing.

(All amounts are in millions of Indian Rupee; unless stated otherwise)

Financial assets / liabilities

Inputs used

- Forward and option contracts- Investments- Fixed rate borrowings-

Forward currency exchange rates, interest rates
Prevailing interest rates in the market, future cashflows
Prevailing interest rates in market, future payouts

 uring the year ended March 31, 2023 and year ended March 31, 2022, there were no transfers between Level 1 and Level
D
2 fair value measurements.

38. Title deeds of immovable properties not held in name of the Company
As of March 31, 2023 and March 31, 2022

Relevantline item DescriptionGrossin theof item ofcarrying
Balance property
value
Sheet

PPE
PPE

Land
Land

Total
PPE
PPE
PPE

Building
Building
Building

Total

ROU
ROU

2,630
133

2,763
203
32
251

Title deeds
held in thename of

Whether title
deed holder
is a promoter,director or
relative ofpromoter /director or
employee ofpromoter /director

Property held
since which dateReason for not being held in the name of theCompany

TTSL
No
Amrit
No
Bottlers Pvt.
LimitedJuly 1, 2019
February 12, 2010

TTSL
No
TTML
No
Amrit
No
Bottlers Pvt.
LimitedJuly 1, 2019
July 1, 2019
February 12, 2010

1.	Ownership of land gross block amounting
H 2,630 and building gross block
amounting H 235 is transferred and vested
in the Company through merger schemeof relevant consumer mobile businessesof TTSL and TTML as per the Schemeof arrangement under Section 230 toSection 232 of the Companies Act, 2013
approved by National Company Law
Tribunal. The titles are pending mutation in
the name of the Company.

486

Land
Building

Total

15
235

TTSL
TTSL

No
No

July 1, 2019
July 1, 20192.	The Company is in possession, pending
the comtemplated conveyance of theproperty (land amounting H 133 andbuilding gross block H 251) in favourof it. The conveyance deed is yet to be
executed, owing the certain difference of
opinion between the parties. Parties arepresently engaged in mutual discussions
to resolve the differences.
Right to use of land & building is vested in the
Company through merger scheme of relevant
consumer mobile businesses of TTSL as per
the Scheme of arrangement under Section
230 to Section 232 of the Companies Act,
2013 approved by National Company Law
Tribunal. The duly executed agreements
are pending mutation in the name of theCompany.

250(All amounts are in millions of Indian Rupee; unless stated otherwise)

40. Ratios
Ratio

Numerator

Current ratio - [no. of times]
Debt-equity ratio - [no. oftimes]*

Current assets
Non-current borrowings(+) current borrowings(-) cash and cash
equivalents
Debt service coverage ratio - Profit before[no. of times]
depreciation,amortisation, financecosts, exceptional items
and tax
Return on equity ratio - [no.
Loss for the yearof times]
Trade receivables turnover
Average traderatio - [no. of days]
receivables

March 31, 2023

March 31, 2022

% Variance

Current liabilities
EquityDenominator

0.52
1.76

0.44
1.43

18.7%
23.0%

Interest expenses (+)
principal repaymentsof long-term debt(+) payment of leaseliabilities
Average equity

2.94

0.83

254.0%(0.00)(0.05)

97.8%

11

15

(31.1%)(2.25)(1.65)(36.3%)(0.1%)
7.7%
6.9%(5.5%)
5.5%
5.3%

98.1%
40.6%
29.1%

Revenue from operations/ no. of days for theperiodNet capital turnover ratio Revenue fromWorking capital (i.e.
[no. of times]
operations
Current assets – Current
liabilities)
Net profit ratio (%)
Loss for the year
Revenue from operations
Return on capital employed (%) Adjusted EBIT
Average capital employed#
Return on investment (%)
Income generated from Time weighted average
investments at FVTPL
investments at FVTPL*excluding lease liabilities# Average capital employed = Average of (Equity + Net Debt - Current investments)

Explanation where variance in ratios is more than 25%
Debt service coverage ratio
Increase because of lower dept repayments in current year
Return on equity ratio
Increase in business profits
Trade receivables turnover ratio
Decrease led by increase in revenue
Net capital turnover ratio
Due to improvement in working capital and increase in revenue

Further, PPE includes certain immovable properties having gross carrying value of H 1,222 (net carrying value of H 285) asof March 31, 2023, acquired as part of scheme of arrangements / amalgamations, which are still registered in the name oferstwhile group companies/ pending mutation in the name of the Company.

Net profit ratio

39. Other matters

Increase due to increase in EBIT led by higher business profitsIn 1996, the Company had obtained the permission from DoT to operate its Punjab license through one of its wholly-owned
subsidiary. However, DoT cancelled the permission to operate in April 1996 and subsequently reinstated in March 1998.
Accordingly, for the period from April 1996 to March 1998 ('blackout period') the license fee was disputed and not paid by
the Company.

318

Bharti Airtel Limited

Improvement in business profits
Return on capital employed
Return on investment
Increase in lending rates and associated weighted average cost of capital

Integrated Report and Annual Financial Statements 2022-23

319

320
Bharti Airtel Limited
Name of struck off company

Parim Infocomm Private Limited
Kurtis Technologies Private Limited

Name of struck off company

Sparkle India ISP Private Limited; Spider Prints Private Limited; Spinway International Private Limited; Sss Tech Engineers Private Limited;Super Gems Private Limited; Synergy Technologies Private Limited; Synergy Telecommunications Privatelimited; Technoble Solutions
India Private Limited; Tera Ventura Agro And Textiles Private Limited; Tractors India Ltd; Transact-One Financial Services Private Limited;
Underground Pipeline And Non-Destructive Testing Services Private Limited; Utl Solutions (Opc) Private Limited; Vani Private Limited;
Vewold Technology Private Limited; Vijyanta Dharvi Security Services; Virtual-Masters Private Limited; Visaland Immigration Consultants(Opc) Private Limited; Vision Infocomm Private Limited; Viva Concrete Technologies Private Limited; Vivacura Global Pharmaceuticals
Private Limited; Vkaseptic Nature Private Limited; Vkedutech Info Private Limited; Vls Healthcare Private Limited; Vrbrosis Healthcare
Private Limited; Way2Journey Excursion Private Limited; Webgo Technologies Private Limited; Webhoq Private Limited; Westen Food And
Beverage Private Limited; Xeno Erp Private Limited; Yashoda Hospital Private Limited; Zephyrs Recruiting Solutions PrivateLimited; Nature
Conservancy Consultancy Private Limited; ACL Management Pvt Ltd; Blendz Lifestyle Pvt Ltd; Dynapt Technologies Private Limited; Enmail.
Com Pvt Limited; Getit Infoservices Limited; Market Probe India Pvt Ltd; Nivio Technologies India Pvt; Personnel Decisions International India
Pvt.Limited; Shakti Teleservices (P) Ltd; Sumptuous Eateries Company Pvt Ltd; Safety Training India Pvt. Ltd.; Ravit Infra Private Limited;
Tiedot Technologies Trading And Services Private Limited; Alpha Gateway It Solutions Pvt Ltd; Paras Brand Solutions Private Limited.;
Ahead Communication Pvt Ltd; Alliance Net & Gateway Private Limited; S.S. Telesolutions Pvt. Ltd.; Spider Prints Pvt. Ltd.; Sahu Jain
Services Ltd.; Santrupti Engineers Private Limited; E2E Solutions Private Limited; Elena Management And Services Pvt Ltd; Ainee Infratel
Solutions Pvt Ltd; R R Movers And Logistics Pvt Ltd; Exelence Marketing Services Private Limited; Platinum Holdings Private Limited; Planet
M Retail Ltd; Transact One Financial Services Pvt. Ltd.; Harisha Infratrade & Developer Pvt Ltd; Chemiron Impex Private Limited; Clique
Net India Pvt Ltd; Dyna Hotels And Restaurants Pvt Ltd; Gallivaant Hotels & Resorts Pvt Ltd; Zephyrs Recruiting Solutions Pvt Ltd; Afan
Healthcare And Infotech Pvt Ltd ; Aftis Global Solutions Pvt.Ltd ; Bali Globe Private Limited; Kwals Hospitality Opc Private Limited; Deed
Technologies India Pvt. Ltd; Crowdsourcing Teleservices (Opc) Private Limited; A V Chiptroniks Technology Pvt Ltd; Aadharshila Builders
Pvt Ltd; Aargee Contracts Pvt. Ltd.; Access Computech Private Limited; Aditya Inkjet Technologies Pvt Ltd; Ajay It Solutions Private Limited;
Aka Consultants India Pvt Ltd; Amets Software Private Limited; Anant Concrete Products Pvt Ltd; Apex Auto Limited; Asirix Infotech Private
Limited; Authentic Exports Imports Pvt Ltd; B Lab Pvt Ltd; Chemical Construction Co P Ltd; Datacede Chennai Pvt Ltd; Dream Touch
Trade India Private Limited; Eweels Logistics Services India Private Limited; Ezee Flight; Fralin Energy Pvt Ltd; Gamga Associates Pvi Ltd;Gem Granites Private Limited; Gmessys Smart Systems Private Limited; Hackberry Ind Trading Private Limited; Haldiram Snacks Pvt Ltd;
Henvy Marketing Private Limited; Hitech Events; Ids Increation India Private Limited; Indicure Health Tours Pvt Ltd; Indo British Garments
Pvt L; Infaum Educational Technology Private Limited; Integra Micro System; International Cylinders Pvt Ltd; International Trade Link Pvt
Ltd; J S Fashion International Pvt Ltd; Jyve Geomatics Private Limited; Kanika Investment Limited; Ksk Energy Ventures Limited; Kumbhat
Electricals Pvt Ltd; La Casa Infratech Private Limited; M Venkata Rao Infra Projects Private Limited; Manrochem India Pvt Ltd .; Marriott
Hotels India Private Limited; Mediatrix Advertising Private Limited; Mookh Salons And Academy Private Limited; N N B Services Private
Limited; Nandini Exim Private Limited; Navratan Blue Crete Industries Private Limited; New Asiatic Metal Trading Pvt Ltd; Neway Engineers
Msw Pvt Ltd; Oracle Trading Company Pvt Ltd; Patil Engineering; Pinnacle India; Prescient Technologies Pvt Ltd; Quantum Engineers And
Fabricators Private Limited; R N S Motors Limited; Rcdk Advisory Services Private Limited; Riwara Facilities Management Services (Opc)
Pvt Ltd; S3 Solutions Pvt Ltd; Senator Inns Private Limited; Shubham Properties Pvt Ltd; Spunk Indo Marketing Pvt Ltd; Sri Anjaneya
Agro Tech Private Limited; Sss Engineering; Sumitron Exports Pvt Ltd; Sunray Hospitality Private Limited; Synergy Technologies Pvt Ltd;Ultra Petro Trade Pvt Ltd; Unicheck Analytical Laboratories Pvt Ltd; Vandana Overseas Private Limited; Vineet Securities Pvt Ltd; Xpress
Professional Consultants Pvt Ltd; Zhooyi Media Works India Pvt Ltd; Beaute Lah Products Private Limited; Dbrc Technologies Private
Limited; Khagaraj Impex Private Limited; Kurtis Technologies Private Limited; Nl Info Private Limited; Rajmahal Motels Private Limited;
Shaping Culture Bpo Private Limited

Nature oftransactions

Receivable(All amounts are in millions of Indian Rupee; unless stated otherwise)

Notes to Standalone Financial Statements

4UFormulations Private Limited; Aarshree Works Private Limited; Aaryanram Mart Retail Private Limited; Actisai Foodline Private Limited; Adarsh
Metal Industries Private Limited; Aditya Inkjet Technologies Private limited; Airmaxxx Telecom India Private Limited; Alloevella Medicines And
Wellness Private Limited; Alpha Centauri Online Retail Privatelimited; Amerisafe Financial Solutions (Opc) Private Limited; Anant Cement Co
Private Limited; Anu Electro Controls Private Limited; Asio Technology (Opc) Private Limited; Athithi Bags Private Limited; Athithi Garments
Private Limited; Atmidataware Private Limited; Baani Consultancies Private Limited; Baliglobe Private Limited; Banaswarna Television Private
Limited; Bugshield Infocom (Opc) Private Limited; Burgerwalas Hr Private Limited; C M I Limited; Car & Care Auto Services Private Limited; Celexsa
Technologies Private Limited; Centiventure Technologies India Private Limited; Cheel Exporter And Logistics Private Limited; Chemiron Impex
Pvt. Ltd.; Cloudric Technologies Private Limited; Coexcelinfrasol Private Limited; Connectwell Network Private Limited; Creative Construction
Group (Chennai)Private Limited; Credit Lifesc1Ences Private Limited; Daytoday Technologies (Opc) Private Limited; Dev Motion Pictures Private
Limited; Dhatureahwar Mega Marketing Private Limited; Dhurawat Infra Solutions Private Limited; Discon Sales Pvt Ltd; Dream Casters Marketing
Private Limited; Dyna Hotels & Restaurants Private Limited; Eame Annapoorni Private Limited; Eemot Impex Private Limited (Opc); Eltel Uniagri
Technicals Private Limited; Evermore Trading Private Limited; Eweb A1Professionals Private Limited; Exelence Marketing Services Privatelimited;
Ezee Flights Travel Private Limited; Fiton Healthcare Private Limited; Fly High Aviation Private Limited; Flying Peregrine Falcon Logisticsprivate
Limited; Friends Global Services Private Limited; Gig Galaxy Private Limited; Gr8 Cabs Private Limited; Gw Technologies Private Limited; Gyantech
Research Private Limited; H & T Facilities Management (Opc) Private Limited; Harisha Infratrade & Developers Private Limited; Hometexxfab
India Private Limited; Indcool Electrical Private Limited; Irukkankudi Mariamman Enterprises Private Limited; J.R. Exports (India) Private Limited;
Jbj Television Network Private Limited; Jdexunity Global Private Limited; Jee Lighting System Private Limited; Kaaiser Global Private Limited;
Keonics Magnavision Computers Limited; Khapangi India Services Private Limited; Kiran Computers Private Limited; Knoty Labs Private Limited;
Koolair Systems Private Limited; Kreditin Private Limited; Kumbat Electricals Private Limited; Lifeshreeshakti Corporate Services; Ls Advisory
Private Limited; M R Infrasource Private Limited; M. Venkata Rao Projects Private Limited; Magical Paradise Tech Private Limited; MatchmakerTechnologies Private Limited; Megaaopes Solutions (Opc) Privatelimited; Mgold Marketing Private Limited; Mother Land Hospitality Private
Limited; Myproptree Foundations Private Limited; Naia Designs Private Limited; Nature Conservancy Consultancy Private Limited; New Asiatic
Metal Trading Private Limited; Niles Gold India Private Limited; Nithyam Multi Services Private Limited; Nnb Services Private Limited; Overarching
Solutions Private Limited; Pahuja Law Academy Private Limited; Paras Brand Solutions Private Limited; Patil Engineering Private Limited; Paul
Vision India Private Limited; Pcd Compusoft Private Limited; Perisoft Technologies Private Limited; Pinnacle (India) Private Limited; Prajwalraj
It Solutions Private Limited; Print Express Private Limited; Propstudio Realtors Private Limited; Protinus Infotech Private Limited; Provixo India
Private Limited; Ps Investors Brick Private Limited; Rajveer Tele Store (Opc) Private Limited; Rakuso Teletragic Private Limited; Rxice Events (Opc)
Private Limited; S S Medical Management Consultants Private Limited; S3 Per Square Feet Private Limited; Sausha R&D Private Limited; Schmid
Telecom India Private Limited; Sensational Buildtech Private Limited; Shakun And Company (Services) Pvt Ltd; Shanthi Green Energy Private
Limited; Shrifal Infracon Private Limited; Sltt India Private Limited; Smartifid Technologies Private Limited

Companies with Outstanding Balance of Less than INR 1 Mn

Receivable
PayableCompanies with Outstanding Balance of More than INR 1 Mn

Nature oftransactions

41. Relationship with struck off companies
Struck Off Companies Listing _FY 22-23

Considering the principal activities of the Company, inventory turnover ratio and trade payables turnover ratio are not relevant.

(All amounts are in millions of Indian Rupee; unless stated otherwise)

Notes to Standalone Financial Statements

7

Balanceoutstanding
as ofMarch 31, 2023

1-

Balanceoutstanding
as ofMarch 31, 2023

8

Balanceoutstanding
as ofMarch 31, 2022

1

Balanceoutstanding
as ofMarch 31, 2022

Corporate Overview
Management Discussion & Analysis
Statutory Reports
Financial Statements

Integrated Report and Annual Financial Statements 2022-23

321

Nature oftransactions

322
Bharti Airtel Limited

A V Chiptroniks Technology Private Limited; Abhinav Awas Private Limited; Acecov Private Limited; Achiever World Cars Private Limited; Ad WorldwideTech Co Private Limited; Adysoft Developers And Edutech Private Limited; Aibi Technology Private Limited; Alacare Private Limited; Alertx Intelligence
Private Limited; Amisan Solutions Private Limited; Andi Madam Housing Promoters Private Limited; Aone Vehicles Private Limited; Ar Trans India
Logistics Private Limited; Arth Niti Sallagar Private Limited; Ascentium Management Services Private Limited; Bcc Fuba India Limited; Bhalchandray
Infraengineers Private Limited; Bilmo Solutions Private Limited; Boons Tech Private Limited; Bye Pass Swimming & Resort Ltd; Caliph Foods Private
Limited; Cassiopiea Consultants Private Limited; Cinema Cinema Sale And Service Private Limited; Ckon It Services Private Limited; Claim Easy Policy(Opc) Private Limited; Coalchem Tradelink Private Limited; Connectwell Network Private Limited; Creative Kawach Studio Private Limited; Credency
Enterprises Private Limited; Dentistree Dental Care Private Limited; Dynamicatlastechnologies Privatelimited; Edwind Software Private Limited;
Elewell Private Limited; Faynix Technologies Private Limited; Fifthridge Technology Private Limited; Fivza Trading Private Limited; Fleetkart Logistics
Private Limited; Genesys Technovation Private Limited; Gomtel Technology Private Limited; Graphic Box Private Limited; Halsana Infotech Private
Limited; Hmpl Consulting Private Limited; Hpz Network Private Limited; Hwcc India Private Limited; Icube Business Solutions Private Limited; Intellec
Tech Private Limited; Ishgouri Foods Private Limited; Jiffy Services (India) Private Limited; Kanika Investment Ltd; Kans Builders Private Limited; Karm
Events And Management Privateumited; Key Retail Shopping Private Limited; Koretelecom Technology India Private Limited; Ktel Solutions Private
Limited; Kumar Broadband Services Private Limited; M.N. Consultancy Services Private Limited; Manaswi Minerals Private Limited; Manikya Spirits& Breweries Private Limited; Marques Automotive Private Limited; Mturn Automotive Private Limited; New Gurgaon Consultancy Private Limited;
P C Patel Agro Farm Pvt Ltd ; Pioneer Securities Pvt Ltd; Premiji Hotels Private Limited; Prm Automotives Private Limited; Qathan And Engineering(Opc) Private Limited; Quadratic Consultants Private Limited; Requisite Development Services Private Limited; Risinglane Consulting Private Limited;
Rk Maurya Industries International India Limited; Rmp Infotec Private Limited; Rushi Herbal Pvt Ltd ; S V Electronics Limited; Saan Infratech Private
Limited; Saar Chem-Trade Private Limited; Sahayog Security And Manpower Services Private Limited; Shivashrit Engineers Private Limited; Shriyam
Manufacturers Private Limited; Spaceworx Services Private Limited; Springfield Forestry Private Limited; Spunk Indo Marketings Private Limited; Sri
Chandra Parcel Service Private Limited; Sri Sadhguru Sai Corporate Services Private Limited; Stonlane Private Limited; Super Sound And Vision Pvt
Ltd; Tackle Box Private Limited; Techno Tarts Solutions Private Limited; Technophile (India) Insurance Surveyors & Loss Assessors Private Limited-

Balanceoutstanding
as ofMarch 31, 2022

Integrated Report and Annual Financial Statements 2022-23

ii.	Subsequent to the year ended March 31, 2023, the Company has, in accordance with the terms of the Offering Circular dated January 14, 2020 w.r.t FCCBs, allotted 844,407
equity shares of the face value of H 5 each fully paid up at a conversion price of H 521 per equity share, against the conversion request of FCCBs of USD 6.1 Mn.

i.	Subsequent to the year ended March 31, 2023, the Company has entered into a binding term-sheet to combine operations of Bharti Airtel Lanka (Private) Limited, its wholly-owned
subsidiary, with Dialog Axiata Plc (‘Dialog’). The proposed transaction envisages the Company will be granted a stake in Dialog which is subject to signing of definitive agreements
and necessary closing conditions including applicable regulatory and shareholder approvals.

43. Events after the reporting period	All the Schemes of Arrangements, approved by the Competent Authority under the relevant provisions of the Act, have been accounted for in the books of account of the Company
in accordance with the Scheme and accounting standards.

-

Balanceoutstanding
as ofMarch 31, 2023-

2

Balanceoutstanding
as ofMarch 31, 2022

Statutory Reports

42. Compliance with approved Schemes of Arrangements

Trade4Asia Private Limited; Transmit Telecom Call Center Private Limited; Trinetra Gold Private Limited; Tvmserver Hosting Solutions Private Limited;
Unicheck Analytical Laboratories Private Limited; Unique Compusoft Private Limited; Varsha Logistics Private Limited; Ved Plus Impex Private
Limited; Winmax Leathers Private Limited; Zentian Digi Sol Private Limited; Zintol Fair Price Private Limited; Technoble Solutions India Private Limited;
Aeiquom Ventures Pvt Ltd; Ankur Mercantile Pvt Ltd; Bajaj Brothers Pvt Ltd; Bc To Ad Hyperlink Limited; Bookcab Travels India Private Limited; Boss
Agro Chemicals P Ltd; Cassiopiea Cosultants Pvt Ltd; Cmi Limited; Discom Sales Private Limited; Downtown Technologies Private Limited; Express
Network Private Ltd; Good Guys Ventures Pvt Ltd; Gupta Roadlines Private Limited; Icube Business Solutions Pvt Ltd; Inani Textiles Private Limited;
Ironite Company Of India Lt.; Jiffy Services India Pvt Ltd; Jr Exports Pvt Ltd; Jvs Exports Private Limited; Keld Ellentoft India Pvt Ltd; M/S Prometric
Testing Pvt Ltd; Mas Technocreate Pvt Ltd; Pioneer Securites Pvt Ltd; Premiji Hotels Pvt Ltd; Pyxis Advisory Services Private Limited; R A Agencies
Private Limited; Rmp Infotec Pvt Ltd; Saar Chem Trade Private Limited; Seeds And Grains India Pvt Ltd; Shahi Brothers Private Limited; Shivam Hotels
Private Limited; Sri Vijayaram Chit Funds Pvt Ltd; Stering Enterprises Private Limited; Super Gems India Pvt Ltd; Suviron Products Private Limited; Sv
Electronics Ltd; Fairdeal Motors & Workshop Pvt Ltd.; Opg Securities (Ifsc) Private Limited; M S Option Matrix Infotech Pvt Ltd; Shakun & Company
Services Private Limited; Thermadyne Pvt Ltd; Umang Trading Private Limited; Bengal Stores Ltd; B K Infrastructure Pvt Ltd; Webgo Technologies
Private Ltd-Jammu-Aeo; Commscope Solutions India Pvt Ltd; Rainbow Childerns Medicare Pvt Ltd (Cn-1); Crown Agents (India) Private Limited;
Crs Technologies India Private Limited; Dillinger India Steel Service Centre Private Limited; Elinx Software Private Limited; Flumenlogix Solutions
Private Limited; Hlt Realty (OPC) Private Limited; Laxmifin Advisors Pvt Ltd; C Gate Builders And Developers Private Limited; Enffie Technologies
Private Limited; Gaheli Center Of Researchand Developement Pvt Ltd; Nonagon Trading Private Limited; Rsr India Mercantiles Limited; Sketch And
Build Consultants Pvt Limited; Vinn Bpo Services India Private Ltd-T Dst-Coimbatore; Chanson Hospitality Private Limited; Griebs Web Solutions
Private Ltd; Assent Reference & Direction Pvt Ltd; Gvn Holdings Pvt Limited; M/S Right Doctors Healthcare Technologies Pvt Ltd; Regatta Solution
Pvt Ltd; Print Express Pvt Ltd; Right Drugs Pvt Ltd; Sumangalam Propmart; Panihee Kitchen Pvt Ltd; Phillip Agri Commodities Pvt Ltd; Sterling CryoGases Pvt Ltd; Ak Enterprises Private Limited; Amba Auto Industries Pvt Ltd; Germ Busters Private Limited; Pacific Intelligence Security Private
Limited; Chemene Bombay Private Limited; Cream Packs Private Limited; G I Technology Private Limited; Germ Busters Private Limited; Jwt Mindset
Advertising Private Limited; Kinden India Private Limited
Daksh Finman Consulting Private Limited; Deed Technologies India Private Limited; Earl Grey Hotels Private Limited; Galaxy Mercantile
Limited; Innomark Solutions Private Limited; J.S.P. Mobile Solutions Private Limited; Knorr Bremse Systems(Commercialvehicles)India Pvt.
Ltd.; Magus Estates And Hotels Private Limited; Microland Limited; Multivision Infotech (India) Private Limited ; Piccadily Holiday Resorts
Ltd; United Telecoms E-Services Private Limited; Acube Promotion House Pvt Ltd.; Multivision Infotech India Pvt Ltd; One Management And
Entertainment Private Limited; V Multiply Solutions Pvt Limited

Name of struck off company-

3

Balanceoutstanding
as ofMarch 31, 2023

Management Discussion & Analysis

PayableNature oftransactions(All amounts are in millions of Indian Rupee; unless stated otherwise)

Notes to Standalone Financial Statements

ReceivableCompanies with Nil Outstanding Balance

PayableVoyo Technologies India Private Limited; Webgo Technologies Private Ltd; Chemene Bombay Private Limited; Cream Packs Private Limited;
G I Technology Private Limited; Jwt Mindset Advertising Private Limited; V2B Solutions Private Limited; Vbr Solutions India Private Limited;
Vision Personnel Ventures Private Limited; Pacific Intelligence Security Private Limited; Parim Infocomm Private Limited; F2Connect Private
Limited; Lomafy Networking Private Limited; Aztori Private Limited; Lavaya Care Private Limited; Zippy King Private Limited
Ainee Infratel And Construction Private Limited; Aswanthh Sivanandham Engineering Private Limited; Atharv Infocom Private Limited;
Cpc Net Private Limited; Kanishk Wealth Management Private Limited; Mars Skyways Marketing And Consultancy Private Limited; NitMan Multi Services Private Limited; Octel Cloud Solutions Private Limited; Shiri Sai Balaji Multimedia Private Limited; Indus Software
Technologies Private Limited; Implore Infosolutions Pvt Ltd; Ainee Infratel & Construction Pvt Ltd; United Telecom E Services Pvt Ltd; Mars
Skyways Marketing & Consultancy Pvt Ltd; Shri Sai Balaji Multimedia Pvt Ltd; Daksh Finman Consulting Pvt Ltd; Octel Cloud Solutions Pvt
Ltd; Corporate Solutions And Marketing Services India Private Limited; Kanishk Wealth Management Pvt Ltd; Glittek Granites Ltd; I P A
Private Limited; Impact Agencies Pvt Ltd; Invest Propmart Private Limited; Metro Fab Engineers Pvt Ltd; Peeraj Internat Enterprises Pvt Ltd;
Pooja Castings Private Limited; Rainbow Packaging Pvt Ltd; Rushi Herbal Pvt Ltd; Space Worx Services Pvt Ltd; Unique Compusoft P Ltd;
Vani Pvt Ltd; Kurtis Technologies Private Limited; Amba Auto Industries Pvt Ltd

Name of struck off company(All amounts are in millions of Indian Rupee; unless stated otherwise)

Notes to Standalone Financial Statements

Corporate Overview
Financial Statements

323

Corporate Overview

Independent Auditor’s Report
To The Members of BHARTI AIRTEL LIMITED

Report on the Audit of the Consolidated Financial
Statements
OpinionWe have audited the accompanying consolidated financial
statements of BHARTI AIRTEL LIMITED (“the Parent”) andits subsidiaries, (the Parent and its subsidiaries together
referred to as “the Group”) which includes the Group’s shareof profit in its associates and joint ventures, which comprise
the Consolidated Balance Sheet as at March 31, 2023, andthe Consolidated Statement of Profit and Loss (including
Other Comprehensive Income), the Consolidated Statementof Changes in Equity and the Consolidated Statement of Cash
Flows for the year then ended, and a summary of significant
accounting policies and other explanatory information(hereinafter referred to as the "Consolidated Financial
Statements").
In our opinion and to the best of our information andaccording to the explanations given to us, and based on
the consideration of report of the other auditor on separate
financial statements of the associate referred to in the Other
Matter section below, the aforesaid Consolidated Financial
Statements give the information required by the Companies
Act, 2013 (“the Act”) in the manner so required and givea true and fair view in conformity with Indian AccountingStandards (‘Ind AS’) as notified by the Ministry of Corporate
Affairs (‘MCA’) under section 133 of the Companies Act, 2013(‘Act’), read together with Rule 3 of the Companies (Indian
Accounting Standards) Rules, 2015 (as amended from time
to time)and other accounting principles generally acceptedin India, of the consolidated state of affairs of the Group, its
associates and joint ventures as at March 31, 2023, and theirconsolidated profit, their consolidated total comprehensive
income, their consolidated changes in equity and theirconsolidated cash flows for the year ended on that date.

Basis for Opinion
We conducted our audit of the Consolidated Financial
Statements in accordance with the Standards on Auditing
specified under section 143 (10) of the Act (“SAs”).
Our responsibilities under those Standards are further
described in the Auditor’s Responsibility for the Audit of theConsolidated Financial Statements section of our report.

Our opinion is not modified in respect of this matter.

Key Audit Matters
Key audit matters are those matters that, in our professional
judgement, were of most significance in our audit of theConsolidated Financial Statements of the current period.
These matters were addressed in the context of our auditof the Consolidated Financial Statements as a whole, andin forming our opinion thereon, and we do not provide aseparate opinion on these matters. We have determined thematters described below to be the key audit matters to becommunicated in our report.

Auditor's Response

1

Revenue from operations:

Principal Audit Procedures

We considered accuracy of revenues relating to prepaid
and postpaid Mobile Services, and Digital TV Services
segments as a key audit matter because of the complexityof the IT systems, significance of volumes of dataprocessed by the IT systems and the impact of changing
pricing models (tariff structures, incentive arrangements
and discounts, etc.).

We obtained an understanding, evaluated the design andtested the operating effectiveness of (i) the general IT controls,
automated controls, interfaces, control over plan configurationand system generated reports relevant for revenue recognition
by involving our IT specialist; (ii) controls over recording ofrevenue relating to prepaid and postpaid mobile services, andDigital TV Services segments;

Refer note 2.19 “Revenue recognition” for accounting
policies, note 3.2.a ‘Revenue recognition and presentation’under the head Critical judgements in applying the Group’s
accounting policies’, and note 24 on disclosures related to
Revenue in the consolidated financial statements.

We tested inter se reconciliations between relevant IT systems(such as billing system, prepaid application systems, active
customer database) and with general ledger, and performed
verification of revenue recognised, deferred and unbilled revenue.

Bharti Airtel Limited

We made test calls to determine the accuracy of revenue recorded.
We verified the appropriateness of the accounting policies andthe disclosures related to Revenue in notes 2.19, 3.2.a and 24
respectively in the consolidated financial statements

2

Assessment of recoverability relating to Deferred tax
assets(“DTA’) recognized on carry forward losses:

Principal Audit Procedures

The DTA balance as at March 31, 2023 of H1,89,519 Mn
primarily relates to DTA on carry forward losses.

We obtained an understanding, evaluated the design andtested the operating effectiveness of controls over the process
for determining the recoverability of the DTA relating to carryforward losses which included amongst others controls over theassumptions and judgements used in the projections of futuretaxable income and tax projections.

The Group exercises significant judgement in assessing
the recoverability of DTA relating to carry forward losses inrespect of Bharti Airtel Limited (‘the Parent’). In estimating
the recoverability of DTA on carry forward losses,
management uses inputs such as internal business andtax projections over a 10 year period.
Recoverability of DTA on carry forward losses is considereda key audit matter as it is sensitive to the assumptions
used by management in projecting the future taxable
income, the reversal of deferred tax liabilities which canbe scheduled, and tax planning strategies.
Refer note 2.12 “Taxes” for accounting policies, note
3.1.b ‘Taxes’ under the head “Key sources of estimation
uncertainties”, and note 12 ”Income tax” for disclosuresrelated to taxes in the consolidated financial statements.
3

To assess the Parent management’s ability to estimate futuretaxable income, we compared the previous forecasts to actual
results to determine its reasonableness and examined theconsistency of projections used for assessing DTA recoverability
with business projections used for goodwill impairment
assessment.
We involved our tax specialists in evaluating the tax planning
strategies, opinion obtained by the Parent’s managementfrom its tax advisors and interpretation of tax laws used by the
Parent’s management in the tax projections for supporting therecoverability of DTA.

Provisions and contingencies relating to regulatory
and tax matters:

Principal Audit Procedures:

The Group has recognised provisions for probableoutflows relating to legal, tax and regulatory matters andhave disclosed contingencies for legal, tax and regulatory
matters where the obligations are considered possible.

We obtained an understanding, evaluated the design and tested
the operating effectiveness of internal controls relating to:

The Group in consultation with the legal, tax and otheradvisers assess a likelihood that a pending matter relating
to tax, legal or regulatory will succeed. In performing
this assessment, the Group applies judgement and has
recognised provisions based on whether additionalamounts will be payable and has disclosed contingent
liabilities where economic outflows are considered possible.
We have considered the provisions recorded and thecontingencies relating to tax, legal and regulatory matters
as a key audit matter as there is significant judgement todetermine the possible outcome of matters under disputeand determining the amounts involved, which may varydepending on the outcome of the matters.
Refer note 2.18 “Contingencies” for accounting policies,
3.1.e ‘Contingent liabilities and provisions’ under the head
“Key sources of estimation uncertainties”, note 4(m) on
AGR dues provision, note 20 “Provisions” for disclosure
related to provisions for subjudice matters, and note
23 (i) in respect of details of Contingent liabilities in the
consolidated financial statements.

324

Financial Statements

Key Audit Matter

We draw attention to Note 4(f) of the Consolidated Financial
Statements, which describes the impact on business
operations, receivables, property, plant and equipment
and financial position of the Joint Venture Company on
account of the Joint Venture Company’s one of the largest
customer’s financial condition and its ability to continue asa going concern.
The customer’s assumption of going concern is essentiallydependent on its ability to raise additional funds as required
and successful negotiations with lenders and vendors forcontinued support and generation of cash flow from its
operations that it needs to settle its liabilities as they fall due.

Statutory Reports

Sr.
No

We are independent of the Group, its associates and joint
ventures in accordance with the Code of Ethics issued by theInstitute of Chartered Accountants of India (“ICAI”) together
with the ethical requirements that are relevant to our audit of
the Consolidated Financial Statements under the provisionsof the Act and the Rules made thereunder, and we havefulfilled our other ethical responsibilities in accordance withthese requirements and the ICAI’s Code of Ethics. We believethat the audit evidence obtained by us and the audit evidence
obtained by other auditor in terms of their report referred to in
the Other Matter section below, is sufficient and appropriate
to provide a basis for our audit opinion on the Consolidated
Financial Statements.

Emphasis of Matter
Material uncertainty at one of the largest customerof Indus Towers Limited, a Joint Venture and its
consequential impact on Joint Venture Company’sbusiness operations

Management Discussion & Analysis(1)	identification, evaluation, recognition of provisions, disclosureof contingencies for matters under review or appeal
with relevant adjudicating authorities by considering theassumptions and information used by management in
performing this assessment;(2)	completeness and accuracy of the underlying data /information used in the assessment. For tax matters, with thehelp of our tax specialist, we evaluated the reasonableness ofthe management’s positions by considering tax regulations
and past decisions from tax authorities, new informationand opinions obtained by the component managementfrom its external tax advisors, where applicable. For
regulatory matters, we evaluated the reasonableness of the
management’s positions by considering relevant assessment
orders, court judgements, statutes, interpretations andamendments, circulars and external legal opinion obtainedby the component management, where applicable. We
also evaluated the disclosures provided in the notes to theconsolidated financial statements concerning these matters.

Integrated Report and Annual Financial Statements 2022-23

325

Corporate Overview

Information Other than the Financial Statements
and Auditor’s Report thereon• The Parent’s Board of Directors is responsible for theother information. The other information comprises theinformation included in the Management Discussion
and Analysis, Board’s Report including Annexures to theBoard’s Report, Business Responsibility & Sustainability
Report and Corporate Governance Report, but does notinclude the Consolidated Financial Statements, Standalone
Financial Statements and our auditor’s reports thereon.
• Our opinion on the Consolidated Financial Statements
does not cover the other information and we do not
express any form of assurance conclusion thereon.
• In connection with our audit of the Consolidated Financial
Statements, our responsibility is to read the otherinformation, compare with the financial statements ofassociate audited by the other auditor, to the extent
it relates to this entity and, in doing so, place relianceon the work of the other auditor and consider whether
the other information is materially inconsistent with theConsolidated Financial Statements or our knowledge
obtained during the course of our audit or otherwise
appears to be materially misstated. Other information so
far as it relates to associate, is traced from their financial
statements audited by the other auditor.
• If, based on the work we have performed, we conclude that
there is a material misstatement of this other information,
we are required to report that fact. We have nothing toreport in this regard.

Responsibilities of Management and Those
Charged with Governance for the Consolidated
Financial Statements
The Parent’s Board of Directors is responsible for the mattersstated in section 134(5) of the Act with respect to the preparationof these Consolidated Financial Statements that give a true andfair view of the consolidated financial position, consolidated
financial performance including other comprehensive income/loss, consolidated changes in equity and consolidated cash
flows of the Group including its associates and joint venturesin accordance with the Ind AS and other accounting principles
generally accepted in India. The respective Board of Directorsof the companies included in the Group and of its associates
and joint ventures are responsible for maintenance of adequate
accounting records in accordance with the provisions of the
Act for safeguarding the assets of the Group and its associates
and its joint ventures and for preventing and detecting frauds
and other irregularities; selection and application of appropriate
accounting policies; making judgments and estimates thatare reasonable and prudent; and design, implementation andmaintenance of adequate internal financial controls, that wereoperating effectively for ensuring the accuracy and completenessof the accounting records, relevant to the preparation andpresentation of the financial statements that give a true andfair view and are free from material misstatement, whether
due to fraud or error, which have been used for the purposeof preparation of the Consolidated Financial Statements by the
Directors of the Parent, as aforesaid.

326

Bharti Airtel Limited

In preparing the Consolidated Financial Statements, therespective Board of Directors of the companies includedin the Group and of its associates and joint ventures are
responsible for assessing the ability of the respective entities
to continue as a going concern, disclosing, as applicable,
matters related to going concern and using the going concern
basis of accounting unless the respective Board of Directors
either intends to liquidate their respective entities or to cease
operations, or has no realistic alternative but to do so.
The respective Board of Directors of the companies includedin the Group and of its associates and joint ventures are also
responsible for overseeing the financial reporting process of
the Group and of its associates and joint ventures.

Auditor’s Responsibility for the Audit of theConsolidated Financial Statements
Our objectives are to obtain reasonable assurance about
whether the Consolidated Financial Statements as a whole
are free from material misstatement, whether due to fraud or
error, and to issue an auditor’s report that includes our opinion.
Reasonable assurance is a high level of assurance, but is nota guarantee that an audit conducted in accordance with SAs
will always detect a material misstatement when it exists.
Misstatements can arise from fraud or error and are consideredmaterial if, individually or in the aggregate, they could reasonably
be expected to influence the economic decisions of users takenon the basis of these Consolidated Financial Statements.
As part of an audit in accordance with SAs, we exercise
professional judgment and maintain professional skepticism
throughout the audit. We also:• Identify and assess the risks of material misstatementof the Consolidated Financial Statements, whether due
to fraud or error, design and perform audit procedures
responsive to those risks, and obtain audit evidence that is
sufficient and appropriate to provide a basis for our opinion.
The risk of not detecting a material misstatement resulting
from fraud is higher than for one resulting from error, as
fraud may involve collusion, forgery, intentional omissions,misrepresentations, or the override of internal control.
• Obtain an understanding of internal financial controls
relevant to the audit in order to design audit procedures thatare appropriate in the circumstances. Under section 143(3)(i) of the Act, we are also responsible for expressing our
opinion on whether the Parent, its subsidiary companies, its
associates and joint venture companies which are companies
incorporated in India has adequate internal financial controls
with reference to Consolidated Financial Statements in place
and the operating effectiveness of such controls.
• Evaluate the appropriateness of accounting policies used
and the reasonableness of accounting estimates andrelated disclosures made by the management.
• Conclude on the appropriateness of management’s use of
the going concern basis of accounting and, based on theaudit evidence obtained, whether a material uncertainty
exists related to events or conditions that may cast significant
doubt on the ability of the Group and its associates and joint
ventures to continue as a going concern. If we conclude

Management Discussion & Analysis

Statutory Reportsthat a material uncertainty exists, we are required to draw
attention in our auditor’s report to the related disclosures in
the Consolidated Financial Statements or, if such disclosures
are inadequate, to modify our opinion. Our conclusions are
based on the audit evidence obtained up to the date of ourauditor’s report. However, future events or conditions may
cause the Group and its associates and joint ventures tocease to continue as a going concern.
• Evaluate the overall presentation, structure and content
of the Consolidated Financial Statements, including thedisclosures, and whether the Consolidated Financial
Statements represent the underlying transactions andevents in a manner that achieves fair presentation.
• Obtain sufficient appropriate audit evidence regarding thefinancial information of entities within the Group and its
associates and joint ventures to express an opinion on theConsolidated Financial Statements. We are responsible forthe direction, supervision and performance of the auditof the financial statements of such entities included in
the Consolidated Financial Statements of which we are
the independent auditors. For the other entity includedin the Consolidated Financial Statements, which havebeen audited by the other auditor, such other auditor
remains responsible for the direction, supervision andperformance of the audit carried out by them. We remainsolely responsible for our audit opinion.
Materiality is the magnitude of misstatements in theConsolidated Financial Statements that, individually or inaggregate, makes it probable that the economic decisions of areasonably knowledgeable user of the Consolidated Financial
Statements may be influenced. We consider quantitative
materiality and qualitative factors in (i) planning the scope of
our audit work and in evaluating the results of our work; and(ii) to evaluate the effect of any identified misstatements in
the Consolidated Financial Statements.
We communicate with those charged with governance of the
Parent and such other entities included in the Consolidated
Financial Statements of which we are the independent
auditors regarding, among other matters, the planned scope
and timing of the audit and significant audit findings, including
any significant deficiencies in internal control that we identify
during our audit.
We also provide those charged with governance with astatement that we have complied with relevant ethicalrequirements regarding independence, and to communicate
with them all relationships and other matters that may
reasonably be thought to bear on our independence, andwhere applicable, related safeguards.
From the matters communicated with those charged withgovernance, we determine those matters that were ofmost significance in the audit of the Consolidated Financial
Statements of the current period and are therefore the key
audit matters. We describe these matters in our auditor’sreport unless law or regulation precludes public disclosure
about the matter or when, in extremely rare circumstances,
we determine that a matter should not be communicated in

Financial Statements

our report because the adverse consequences of doing sowould reasonably be expected to outweigh the public interest
benefits of such communication.

Other Matter
The Consolidated Financial Statements also include theGroup’s share of net profit after tax of H 164 Mn and total
comprehensive income of H 183 Mn for the year ended
March 31, 2023, as considered in the Consolidated Financial
Statements, in respect of an associate, whose financial
information have not been audited by us. These financial
information have been audited by other auditor whose
report has been furnished to us by the Management and our
opinion on the Consolidated Financial Statements, in so far as
it relates to the amounts and disclosures included in respectof this associate, and our report in terms of subsection (3) ofSection 143 of the Act, in so far as it relates to the aforesaid
associate is based solely on the report of the other auditor.
Our opinion on the Consolidated Financial Statements above andour report on Other Legal and Regulatory Requirements below,
is not modified in respect of the above matter with respect to ourreliance on the work done and the report of the other auditor.

Report on Other
Requirements

Legal

and

Regulatory

1.	As required by Section 143(3) of the Act, based on
our audit and on the consideration of the report of theother auditor on the separate financial statements of theassociate referred to in the Other Matter section above
we report, to the extent applicable that:a)	We have sought and obtained all the informationand explanations which to the best of ourknowledge and belief were necessary for the
purposes of our audit of the aforesaid Consolidated
Financial Statements.
b)	In our opinion, proper books of account as requiredby law relating to preparation of the aforesaid
Consolidated Financial Statements have been kept
so far as it appears from our examination of thosebooks and the report of the other auditor.
c)	The Consolidated Balance Sheet, the Consolidated
Statement of Profit and Loss including Other
Comprehensive Income, the Consolidated Statementof Changes in Equity and the Consolidated
Statement of Cash Flows dealt with by this Report
are in agreement with the relevant books of accountmaintained for the purpose of preparation of theConsolidated Financial Statements.
d)	In our opinion, the aforesaid Consolidated Financial
Statements comply with the Ind AS specified under
Section 133 of the Act.
e)	On the basis of the written representations received
from the directors of the Parent as on March 31,
2023 taken on record by the Board of Directors of theCompany and the reports of the statutory auditorsof its subsidiary companies, associate companies

Integrated Report and Annual Financial Statements 2022-23

327

Corporate Overview

and joint venture companies incorporated in India
whose audit under section 143 of the Act has been
completed, none of the directors of the aforesaid
Group companies, its associate companies and joint
venture companies incorporated in India is disqualified
as on March 31, 2023 from being appointed as adirector in terms of Section 164 (2) of the Act.

		

iv)

f)	With respect to the adequacy of the internal financial
controls with reference to Consolidated Financial
Statements and ‘the operating effectiveness of suchcontrols, refer to our separate Report in “Annexure A”
which is based on the auditors’ reports of the Parent,
subsidiary companies, associate companies and joint
venture companies incorporated in India whose audit
under section 143 of the Act has been completed andprocedures performed by us (as applicable). Our report
expresses an unmodified opinion on the adequacy andoperating effectiveness of internal financial controls
with reference to Consolidated Financial Statementsof those companies.
g)	With respect to the other matters to be included in the
Auditor’s Report in accordance with the requirementsof section 197(16) of the Act, as amended.
		In our opinion and to the best of our information andaccording to the explanations given to us and basedon the auditor’s reports of subsidiary companies,
associate companies and joint venture companies
incorporated in India whose audit under section 143 of
the Act has been completed, the remuneration paid by
the Parent and such subsidiary companies, associatecompanies and joint venture companies to theirrespective directors during the year is in accordancewith the provisions of section 197 of the Act.

			h)	With respect to the other matters to be includedin the Auditor’s Report in accordance with Rule
11 of the Companies (Audit and Auditors) Rules,
2014, as amended, in our opinion and to the best of
our information and according to the explanations
given to us:
		

		

		

328

i)	
The Consolidated Financial Statements
disclose the impact of pending litigations on the
consolidated financial position of the Group, its
associates and joint ventures (Refer Note 23(i)to the Consolidated Financial Statements).

			ii)	Provision has been made in the Consolidated
Financial Statements, as required under theapplicable law or accounting standards, for material
foreseeable losses, if any, on long-term contracts
including derivative contracts (Refer Note 20 to theConsolidated Financial Statements).
iii)	
There has been no delay in transferring
amounts, required to be transferred, to theInvestor Education and Protection Fund by the
Parent and its subsidiary companies, associatecompanies and joint venture companies
incorporated in India. (Refer Note 19 to theConsolidated Financial Statements).

Bharti Airtel Limited		(a)	The respective Managements of the Parent
and its subsidiaries, associates and joint
ventures which are companies incorporated
in India, whose financial statements/
information have been audited under the
Act or for the purpose of group reporting,have represented to us and other auditor (asapplicable) that, to the best of their knowledge
and belief, no funds have been advanced orloaned or invested (either from borrowed
funds or share premium or any other sources
or kind of funds) by the Parent or any of such
subsidiaries, associates and joint venturesto or in any other person(s) or entity(ies),
including foreign entities (“Intermediaries”),
with the understanding, whether recordedin writing or otherwise, that the Intermediary
shall, directly or indirectly lend or invest inother persons or entities identified in any
manner whatsoever by or on behalf of the
Parent or any of such subsidiaries, associates
and joint ventures (“Ultimate Beneficiaries”)
or provide any guarantee, security or the likeon behalf of the Ultimate Beneficiaries.
(b)	The respective Managements of the
Parent and its subsidiaries, associates
and joint ventures which are companies
incorporated in India, and whose audit offinancial statements/information have been
completed under the Act or for the purposeof group reporting, have represented to us
and other auditors (as applicable) that, tothe best of their knowledge and belief, nofunds have been received by the Parent or
any of such subsidiaries, associates and joint
ventures from any person(s) or entity(ies),
including foreign entities (“Funding Parties”),
with the understanding, whether recordedin writing or otherwise, that the Parent or
any of such subsidiaries, associates and joint
ventures shall, directly or indirectly, lend orinvest in other persons or entities identified
in any manner whatsoever by or on behalf of
the Funding Party (“Ultimate Beneficiaries”)
or provide any guarantee, security or the likeon behalf of the Ultimate Beneficiaries.
(c)	Based on the audit procedures performedthat have been considered reasonable andappropriate in the circumstances performedby us and those performed by the auditors of
the subsidiaries, associates and joint ventures
which are companies incorporated in India
whose financial statements have been
audited under the Act, nothing has come toour or other auditor’s notice that has caused
us or the other auditors to believe that the
representations under sub-clause (i) and (ii)of Rule 11(e), as provided under (a) and (b)above, contain any material misstatement.

v)	The final dividend proposed in the previous
year, declared and paid by the Parent during
the year is in accordance with section 123 of
the Act, as applicable.

Management Discussion & Analysis

Statutory Reports			As stated in note 16(h) to the Consolidated
Financial Statements, the Board of Directorsof the Parent has proposed final dividend forthe year which is subject to the approval of themembers of the Parent at the ensuing Annual
General Meetings. Such dividend proposed isin accordance with section 123 of the Act, asapplicable. No final dividend has been proposed,
declared or paid by any of the subsidiaries,
associates and joint ventures which arecompanies incorporated in India, whose financial
statements have been audited under the Act,
where applicable.
			The interim dividend paid by joint venture, which
is a company incorporated in India, whose
financial statements have been audited underthe Act, during the year in respect of the samedeclared for the previous year is in accordancewith section 123 of the Companies Act 2013 to
the extent it applies to payment of dividend.
		

vi)	
Proviso to Rule 3(1) of the Companies(Accounts) Rules, 2014 for maintaining books

Financial Statementsof account using accounting software which
has a feature of recording audit trail (edit log)
facility is applicable w.e.f. April 1, 2023 to the
Parent and its subsidiaries, associates and joint
ventures which are companies incorporated
in India, and accordingly, reporting under
Rule 11(g) of Companies (Audit and Auditors)
Rules, 2014, as amended, is not applicable forthe financial year ended March 31, 2023.
2.	With respect to the matters specified in clause (xxi) of
paragraph (3) and paragraph 4 of the Companies (Auditor’sReport) Order, 2020 (“the Order”) issued by the Central
Government in terms of Section 143(11) of the Act, according
to the information and explanations given to us, and basedon the CARO reports issued by us and the auditors ofrespective companies included in the Consolidated Financial
Statements to which reporting under CARO is applicable,
as provided to us by the Management of the Parent, wereport that in respect of those companies where audits havebeen completed under section 143 of the Act, there are no
qualifications or adverse remarks by the respective auditors
in the CARO reports of the said companies included in theConsolidated Financial Statements except for the following:S
no.

Name of the company

CIN

Nature ofrelationship1

Bharti Airtel Limited

L74899HR1995PLC095967

Parent2
3

Bharti Telemedia Limited
Bharti Airtel Services Limited

U92200DL2006PLC156075
U64201DL1997PLC091001

Subsidiary
Subsidiary4
5

Airtel Limited
OneWeb India Communications
Private Limited
SmarTx Services Limited
Indo Teleports Limited
Hughes Communications
India Private Limited

U64200HR2021PLC093754
U74999UP2020PTC126575

Subsidiary
Subsidiary

Clause 3(i)(a) (A)1, (b)2 & (c)3, Clause3(ix)(d)4Clause 3(i)(b)2, Clause 3(xix)6
Clause 3(i)(b)2 , (c)3,Clause 3(ix)(d)4, Clause 3(xix)6
Clause 3(xvii)5Clause 3(xvii)5

U64202DL2015PLC285515
U32204DL2008PLC183976
U64202DL1992PTC048053

Joint Venture
Subsidiary
Associate

Clause 3(xvii)5, Clause (xix)6
Clause 3(ix)(d)4, Clause (xix)6
Clause 3(xvii)56
7
8

Clause Number of CARO order withqualification or adverse remark

1 Clause pertains to non-updation of situation details of certain Property, Plant and Equipment (PPE)
2 Clause pertains to physical verification not conducted in respect of CPE, bandwidth and certain PPE
3 Clause pertains to title deeds of certain of immovable properties not held in name of the company
4 Clause pertains to short term funds used for long term purposes
5 Clause pertains to cash losses incurred
6 Clause pertains to going concern based on support from Parent	Further, the statutory audit report on the financial statements for the year ended March 31, 2023, of the following related
entities of the Parent has not been issued until the date of this report:S
no.

Name of the company

CIN

Nature of relationship

1
2
3
4

Bharti Hexacom Limited
Nxtra Data Limited
Juggernaut Books Private Limited
Lavelle Networks Private Limited

U74899DL1995PLC067527
U72200DL2013PLC254747
U22219DL2015PTC280186
U72200KA2015PTC078612

Subsidiary
Subsidiary
Associate
Associate	Accordingly, no comments for the said subsidiaries, associate companies and joint venture companies have been included
for the purpose of reporting under this clause.
For DELOITTE HASKINS & SELLS LLP
Chartered Accountants(Firm‘s Registration No.117366W/W-100018)

Place: New Delhi
Date: May 16, 2023

Vijay Agarwal(Partner)(Membership No. 094468)(UDIN: 23094468BGYIOG8850)

Integrated Report and Annual Financial Statements 2022-23

329

Corporate Overview

Annexure “A” to the Independent Auditor’s Report(Referred to in paragraph 1(f) under ‘Report on Other Legal and Regulatory Requirements’ section of our reportof even date)

Report on the Internal Financial Controls withreference to Consolidated Financial Statements
under Clause (i) of Sub-section 3 of Section 143 of
the Companies Act, 2013 (“the Act”)
In conjunction with our audit of the Consolidated Financial
Statements of the Company as at and for the year ended
March 31, 2023, we have audited the internal financial controls
with reference to Consolidated Financial Statements of
BHARTI AIRTEL LIMITED (hereinafter referred to as “Parent”)
and its subsidiary companies, its associate companies andjoint venture companies, which are companies incorporated
in India, as at that date.

Management’s
Responsibility
Financial Controls

forInternal

The respective Board of Directors of the Parent, its subsidiarycompanies, its associate companies and joint venturecompanies, which are companies incorporated in India,
are responsible for establishing and maintaining internalfinancial controls with reference to Consolidated Financial
Statements based on the internal control with reference
to Consolidated Financial Statements criteria establishedby the respective Companies considering the essential
components of internal control stated in the GuidanceNote on Audit of Internal Financial Controls Over Financial
Reporting issued by the Institute of Chartered Accountantsof India (“the Guidance Note”). These responsibilities include
the design, implementation and maintenance of adequate
internal financial controls that were operating effectively forensuring the orderly and efficient conduct of its business,
including adherence to the respective company’s policies,
the safeguarding of its assets, the prevention and detectionof frauds and errors, the accuracy and completeness of theaccounting records, and the timely preparation of reliablefinancial information, as required under the Companies Act,
2013 (“the Act”).

Auditor’s Responsibility
Our responsibility is to express an opinion on the internalfinancial controls over financial reporting of the Parent, its
subsidiary companies, its associate companies and joint
venture companies, which are companies incorporated
in India, based on our audit. We conducted our audit inaccordance with the Guidance Note and the Standards on
Auditing, prescribed under Section 143(10) of the Act, tothe extent applicable to an audit of internal financial controls
with reference to Consolidated Financial Statements. Those
Standards and the Guidance Note require that we comply
with ethical requirements and plan and perform the audit
to obtain reasonable assurance about whether adequate
internal financial controls with reference to Consolidated
Financial Statements was established and maintained andif such controls operated effectively in all material respects.
Our audit involves performing procedures to obtain audit
evidence about the adequacy of the internal financial with

330

Bharti Airtel Limited

reference to Consolidated Financial Statements and theiroperating effectiveness. Our audit of internal financial controls
with reference to Consolidated Financial Statements included
obtaining an understanding of internal financial controls withreference to Consolidated Financial Statements , assessing
the risk that a material weakness exists, and testing andevaluating the design and operating effectiveness of internal
control based on the assessed risk. The procedures selected
depend on the auditor’s judgement, including the assessmentof the risks of material misstatement of the financial
statements, whether due to fraud or error.
We believe that the audit evidence we have obtained andthe audit evidence obtained by other auditor of the associatecompany which is a company incorporated in India, in termsof their report referred to in the Other Matter paragraphbelow, is sufficient and appropriate to provide a basis for our
audit opinion on the internal financial controls system withreference to Consolidated Financial Statements of the Parent,
its subsidiary companies, its associate companies and its
joint venture companies, which are companies incorporated
in India.

Management Discussion & Analysis

Statutory Reports

are subject to the risk that the internal financial control
with reference to Consolidated Financial Statements may
become inadequate because of changes in conditions, orthat the degree of compliance with the policies or procedures
may deteriorate.

OpinionIn our opinion to the best of our information and according to
the explanations given to us and based on the considerationof the report of other auditor referred to in the Other Matterparagraph below, the Parent, its subsidiary companies, its
associate companies and joint venture companies, which arecompanies incorporated in India, have, in all material respects,
an adequate internal financial controls system with reference
to Consolidated Financial Statements and such internalfinancial controls with reference to Consolidated Financial
Statements were operating effectively as at March 31,
2023, based on the criteria for internal financial control withreference to Consolidated Financial Statements establishedby the respective companies considering the essential
components of internal control stated in the Guidance Note.

Financial Statements

Other Matter
Our aforesaid report under Section 143(3)(i) of the Act on
the adequacy and operating effectiveness of the internalfinancial controls with reference to Consolidated Financial
Statements insofar as it relates to one associate company,
which is a company incorporated in India, is based solely on
the corresponding report of the auditor of such company
incorporated in India.
Our opinion is not modified in respect of the above matter.
For Deloitte Haskins & Sells LLP
Chartered Accountants(Firm‘s Registration No.117366W/W-100018)
Vijay Agarwal(Partner)(Membership No. 094468)(UDIN: 23094468BGYIOG8850)
Place: New Delhi
Date: May 16, 2023

Meaning of Internal Financial Controls withreference to Consolidated Financial Statements
A company's internal financial control with reference toConsolidated Financial Statements is a process designed
to provide reasonable assurance regarding the reliability offinancial reporting and the preparation of financial statements
for external purposes in accordance with generally accepted
accounting principles. A company's internal financial control
with reference to Consolidated Financial Statements
includes those policies and procedures that (1) pertain to themaintenance of records that, in reasonable detail, accurately
and fairly reflect the transactions and dispositions of theassets of the company; (2) provide reasonable assurance thattransactions are recorded as necessary to permit preparationof financial statements in accordance with generally accepted
accounting principles, and that receipts and expendituresof the company are being made only in accordance withauthorisations of management and directors of the company;and (3) provide reasonable assurance regarding prevention
or timely detection of unauthorised acquisition, use, or
disposition of the company's assets that could have a material
effect on the financial statements.

Inherent Limitations of Internal Financial
Controls with reference to Consolidated Financial
Statements
Because of the inherent limitations of internal financial
controls with reference to Consolidated Financial Statements ,including the possibility of collusion or improper management
override of controls, material misstatements due to error or
fraud may occur and not be detected. Also, projections ofany evaluation of the internal financial controls with reference
to Consolidated Financial Statements to future periods
Integrated Report and Annual Financial Statements 2022-23

331

Corporate Overview

Consolidated Balance Sheet

905,725
42,386322,286
338,313874,509
17,161
284,268

9
10
11

656
854
25,963
20,399189,519
103,898
3,891,319

609
218
22,515
17,479199,250
91,562
3,116,281

2,576

3,750

47,045
1,283
39,81571,79462,392
220,865
129,243
575,013
4,466,332

8,614
561
40,562
60,95973,984
214,697
117,152
520,279
3,636,560

28,366
747,263775,629
288,8141,064,443

27,950637,593665,543
253,807919,350

1,515,686
508,295
3,523
97,31130,901
4,744
20,762
1,029
2,182,251

1,135,350
290,562174
90,11630,258
4,639
24,4881,363
1,576,950

139,762
96,4601,117
328,946
241,951
84,995257,292
17,972
51,143
1,219,638
3,401,889
4,466,332

193,795
77,072995
292,741
194,41575,929243,449
20,725
41,1391,140,260
2,717,210
3,636,560

16

18
10
19
24
20
12
21

Current liabilities
Financial liabilities
Borrowings
Lease liabilities
Derivative instruments
Trade payables
Other financial liabilities
Deferred revenue
Provisions
Current tax liabilities (net)Other current liabilities

18
10
22
19
24
20
21

Total liabilities
Total equity and liabilities

The accompanying notes 1 to 44 form an integral part of these Consolidated Financial Statements.
As per our report of even date
For Deloitte Haskins & Sells LLP
Chartered Accountants(Firm's Registration No. 117366W / W-100018)

For and on behalf of the Board of Directors of Bharti Airtel Limited

Vijay Agarwal
PartnerMembership No. 094468

Sunil Bharti Mittal
Chairman
DIN: 00042491

Gopal Vittal
Managing Director & CEO
DIN: 02291778

Date: May 16, 2023
Place: New Delhi

Soumen Ray
Chief Financial Officer(India & South Asia)

Pankaj TewariCompany Secretary332

Bharti Airtel Limited

Notes

March 31, 2022

952,241
110,293546,466
337,741
937,490
383,961
281,838

9
10
14
15
15
11
13

Non-current liabilities
Financial liabilities
Borrowings
Lease liabilities
Derivative instruments
Other financial liabilities
Deferred revenue
Provisions
Deferred tax liabilities (net)Other non-current liabilities

As ofMarch 31, 2023

5
5
36
6
6
6
7

12
13

Total assets
Equity and liabilities
EquityShare capital
Other equity
Equity attributable to owners of the Parent
Non-controlling interests ('NCI')

Financial Statements(All amounts are in millions of Indian Rupee; except per share data)

Notes

Current assets
Inventories
Financial assets
Investments
Derivative instruments
Trade receivables
Cash and cash equivalents
Other bank balances
Other financial assets
Other current assets

Statutory Reports

Consolidated Statement of Profit and Loss

(All amounts are in millions of Indian Rupee)

AssetsNon-current assets
Property, plant and equipment
Capital work-in-progress
Right-of-use assets
Goodwill
Other intangible assets
Intangible assets under development
Investment in joint ventures and associates
Financial assets
Investments
Derivative instruments
Other financial assets
Income tax assets (net)Deferred tax assets (net)Other non-current assets

Management Discussion & Analysis

IncomeRevenue from operations
Other income
Expenses
Network operating expenses
Access charges
License fee / Spectrum charges
Employee benefits expense
Sales and marketing expenses
Other expenses

For the year ended
March 31, 2023

March 31, 2022

24
25

1,391,448
9,366
1,400,814

1,165,469
5,343
1,170,812

26

285,433
76,207
117,517
48,30872,45478,794
678,713722,101

250,205
67,611
110,636
44,33353,03564,310590,130
580,682

364,318
192,999(7,521)
172,305
6,698
165,607

330,907
166,162(24,232)
107,845(16,986)
124,831

34,831
7,902
42,733
122,874

30,331
11,44841,77983,052(8,730)(17,075)
4,365(21,440)

7,687(6,401)
1,269
2,555

27
28
30

Profit before depreciation, amortisation, finance costs, share of profit/ loss of associates and joint ventures, exceptional items and tax
Depreciation and amortisation expenses
Finance costs
Share of profit of associates and joint ventures (net)Profit before exceptional items and tax
Exceptional items (net)Profit before tax
Tax expense
Current tax
Deferred tax

29
31
7
32
12
12

Profit for the year
Other comprehensive income
Items to be reclassified to profit or loss:
Net (loss) / gain due to foreign currency translation differences
Net loss on net investment hedge
Tax credit on above

12

Items not to be reclassified to profit or loss:
Re-measurement loss on defined benefit plans
Tax credit on above
Share of other comprehensive income of associates and joint ventures (net)

27.2
12
7

Other comprehensive (loss) / income for the year
Total comprehensive income for the year
Profit for the year attributable to:
Owners of the Parent
Non-controlling interests
Other comprehensive (loss) / income for the year attributable to:
Owners of the Parent
Non-controlling interests
Total comprehensive income for the year attributable to:
Owners of the Parent
Non-controlling interests
Earnings per share (Face value: K 5 each)
Basic
Diluted

(176)
48
46
(82)
(21,522)
101,352
122,874
83,45939,415(21,522)(28,100)
6,578
101,352
55,35945,993

(44)
10
35
1
2,556
85,60883,052
42,54940,503
2,556(4,526)
7,082
85,60838,02347,585

33
33

14.80
14.57

7.67
7.63

The accompanying notes 1 to 44 form an integral part of these Consolidated Financial Statements.
As per our report of even date
For Deloitte Haskins & Sells LLP
Chartered Accountants(Firm's Registration No. 117366W / W-100018)

For and on behalf of the Board of Directors of Bharti Airtel Limited

Vijay Agarwal
PartnerMembership No. 094468

Sunil Bharti Mittal
Chairman
DIN: 00042491

Gopal Vittal
Managing Director & CEO
DIN: 02291778

Date: May 16, 2023
Place: New Delhi

Soumen Ray
Chief Financial Officer(India & South Asia)

Pankaj TewariCompany Secretary

Integrated Report and Annual Financial Statements 2022-23

333

334
Bharti Airtel Limited-

Total comprehensive income / (loss)-

Transaction with NCI (net of expenses) (refer note 4(q) & 4 (r)Dividend (including tax) to NCI
Impact of common control transaction (refer note 4(g))
Movement on account of court approved schemes-

Transactions with NCI (net of expenses)(refer note 4(b) & (h))

-

-

-

-

416

-

-

-

-

58,756---

581,755

-

-

-

-

-

-

-

51,736

-

-

-

-

-

-

-

-

83,384(75)

83,459(1,429)

(405)

783

-

-

-

-

-

-

42,55910

42,549530,019 (44,366)

Securities Retained
premium earnings

-

(145)

-

-

-

-

-

-

23,142

-

-

-

-

(90)

-

-

-

-

-

-

23,232

Generalreserve-

Impact of common control transaction (refer note 4(g))
Movement on account of court approved schemes

28,366----

Amount640,511---64,497(578)

96

18,227

-

-

-

-

-

-

-

-

1,748 131,602

-

-

-

-

NCI
reserve(132,319)

-

-

-

-

Other
componentsof equity(refer note
17)

-

321

(499)

-

-

(28,025)(28,025)-(104,116)

DIN: 02291778
Pankaj TewariCompany Secretary

Chairman
DIN: 00042491
Soumen Ray
Chief Financial Officer(India & South Asia)

PartnerMembership No. 094468

Date: May 16, 2023
Place: New Delhi

Managing Director & CEO

Sunil Bharti Mittal

Gopal Vittal

For and on behalf of the Board of Directors of Bharti Airtel Limited

22,997----

Generalreserve

ShareCapital
basedreserve payment
reserve

12,594

-

-

-

-

-

-

-

Vijay Agarwal(Firm's Registration No. 117366W / W-100018)

Chartered Accountants

-

(317)

-

1,059

-

-

-

-

-

-

-

-

592

(598)

-

-

(4,536)(4,536)-(99,574)

Other
componentsof equity(refer note
17)

747,263

(578)

96

-

(16,976)

Total

12,594

(141)

(499)

1,059

58,75655,359(28,100)

83,459637,593

(405)

783

-

(14,644)

(89)

(598)

720

51,73638,023(4,526)42,549562,067

Total

(578)

96

(17,100)(16,976)

Total
equity18,683

(154)

(499)

1,097

59,172

101,352(21,522)

122,874

919,350

(405)

783

(16,537)(14,659)

(110)

(598)

776

52,22685,6082,556

83,052812,266

Total
equity288,814 1,064,443--(17,100)-

Noncontrollinginterests('NCI')

6,089

(13)

-

38

-

45,993

6,578

39,415

253,807--(16,537)

(15)

(21)

-

56

-

47,585

7,082

40,503

222,739

Noncontrollinginterests('NCI')

Management Discussion & Analysis

For Deloitte Haskins & Sells LLP

As per our report of even date-

- (16,976)

Securities Retained
premium earnings

-

-

-

1,006 119,008

-

-

-

Other equity
Reserves and surplus

-

-

-

-

-

-

-

- (14,644)

(591)

-

720

-

-

-

-

877 133,652

NCI
reserve

Equity attributable to owners of the Parent

The accompanying notes 1 to 44 form an integral part of these Consolidated Financial Statements.

5,967,422-

Dividend (including tax) to NCI

As of March 31, 2023-

Dividend to Company's shareholders

No. ofshares(in '000)

Equity share capital(All amounts are in millions of Indian Rupee ,unless stated otherwise)

-

-

-

-

-

-

-

-

18,227

-

-

-

-

-

-

-

-

-

-

-

18,227

ShareCapital
basedreserve payment
reserve

Reserves and surplus

Other equity

Equity attributable to owners of the Parent

Consolidated Statement of Changes in Equity-

Purchase of treasury shares
Exercise of share options-

Employee share-based payment expense

Issue of equity shares, net of expenses (refer note 4(a)& (e))

83,107

Total comprehensive income / (loss)
Transactions with owners of equity--

Other comprehensive (loss) / income--

27,950

-

-

-

-

-

-

-

490

-

-

-

27,460

AmountProfit for the year

5,884,315-

Exercise of share options

As of March 31, 2022-

Employee share-based payment expense
Purchase of treasury shares

Issue of equity shares, net of expenses (refer note 4 (l))

392,288-

Other comprehensive income / (loss)

Transactions with owners of equity-

5,492,027

Profit for the year

As of April 1, 2021

No. ofshares(in '000)

Equity share capital(All amounts are in millions of Indian Rupee; unless stated otherwise)

Consolidated Statement of Changes in Equity

Corporate Overview
Statutory Reports
Financial Statements

Integrated Report and Annual Financial Statements 2022-23

335

Corporate Overview

Consolidated Statement of Cash Flows

Management Discussion & Analysis

Statutory Reports

Consolidated Statement of Cash Flows(All amounts are in millions of Indian Rupee)(All amounts are in millions of Indian Rupee)

For the year ended
March 31, 2023

For the year ended

March 31, 2022

165,607

124,831364,318
188,434(2,474)(3,080)3,013(7,521)
6,698
1,115
22
5,664
485
722,281

330,907
165,241(1,067)(2,206)947(24,232)(11,705)
776
74
3,048
(222)
586,392(5,583)
12,671(1,157)
6,494(11,991)(31,554)691,161(37,915)653,246(7,131)(4,877)(1,181)
2,736
11,655(15,674)
571,920(21,754)550,166(260,566)
885(4,819)(123,684)(12,000)
311(323)(8,106)13,992
3,508(390,802)(265,406)
13,791(8,593)(174,482)
10,048998
21,298(89)
5,887(26,208)8
4,052(418,696)

Adjustments for:
Depreciation and amortisation expenses
Finance costs
Net gain on fair value through profit or loss (FVTPL) instruments
Interest income
Net loss on derivative financial instruments
Share of profit of associates and joint ventures (net)
Exceptional items (net)
Employee share based payment expense
Loss on sale of property, plant and equipment
Provision for doubtful debts / bad debts written off
Other non-cash items

Operating cash flows before changes in assets and liabilities
Changes in assets and liabilities
Trade receivables
Trade payables
Inventories
Provisions
Other financial and non-financial liabilities
Other financial and non-financial assets

Net cash generated from operations before tax
Income tax paid (net)Net cash generated from operating activities (a)Cash flows from investing activities
Purchase of property, plant and equipment and capital work-in-progress
Proceeds from sale of property, plant and equipment
Purchase of intangible assets and intangible assets under development
Payment towards spectrum (including deferred payment liability)*
Proceeds from sale of spectrum
Proceeds from sale of business (refer note 4(j))(Purchase of) / proceeds from sale of current investments (net)
Proceeds from sale of non-current investments
Purchase of non-current investments
Proceeds from sale of tower subsidiary (net of cash acquired)
Investment in joint venture / associates
Repayment of loan given to joint venture
Dividend received
Interest received

Net cash used in investing activities (b)336

Bharti Airtel Limited

March 31, 2023

March 31, 2022

52,242
136,077(178,227)(75,986)(70,972)(499)(66,893)3(35,898)(641)(3,901)(244,695)
17,74952,226
254,785(337,212)(76,427)
63,649(598)(131,588)
7(14,438)
10,880(13,523)(704)
40,911(152,032)(20,562)(1,522)73,987
90,214

3,919
90,63073,987

Cash flows from financing activities

Cash flows from operating activities
Profit before tax

Financial Statements

Net proceeds from issue of shares (refer note 4 (a) and (l))
Proceeds from borrowings
Repayment of borrowings
Payment of lease liabilities(Repayment of) / proceeds from short-term borrowings (net)
Purchase of treasury sharesInterest and other finance charges paid
Proceeds from exercise of share options
Dividend paid
Proceeds from issuance of compulsorily convertible preference shares
Purchase of shares from NCI
Payments of maturity of derivatives (net)
Proceeds from sale of shares of subsidiary to NCI

Net cash used in financing activities (c)Net increase / (decrease) in cash and cash equivalents during the year
(a+b+c)Effect of exchange rate on cash and cash equivalents
Cash and cash equivalents as at beginning of the year

Cash and cash equivalents as at end of the year (refer note 15)*Cash flows towards spectrum acquisition are based on the timing of payouts to Department of Telecommunications (‘DoT’) (viz. upfront / deferred).

The above Statement of Cash Flows has been prepared under the ‘indirect method’ as set out in Ind AS 7 'Statement of Cashflows'.
Please refer note 37(1)(vi), for reconciliation of liabilities whose cash flow movements are disclosed as part of financing
activities in the Statement of Cash Flows.
Please refer note 37(1)(vii) for non-cash investing and financing transactions that are excluded from Statement of Cash Flows.
The accompanying notes 1 to 44 form an integral part of these Consolidated Financial Statements.
As per our report of even date

For and on behalf of the Board of Directors of Bharti Airtel Limited

For Deloitte Haskins & Sells LLP
Chartered Accountants(Firm's Registration No. 117366W / W-100018)
Vijay Agarwal

Sunil Bharti Mittal

Gopal Vittal

Partner

ChairmanManaging Director & CEO

Membership No. 094468

DIN: 00042491

DIN: 02291778

Soumen Ray

Pankaj Tewari

Date: May 16, 2023

Chief Financial Officer

Company Secretary

Place: New Delhi(India & South Asia)

Integrated Report and Annual Financial Statements 2022-23

337

Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

Notes to Consolidated Financial Statements

Notes to Consolidated Financial Statements

1.

2.2 Basis of measurement(All amounts are in millions of Indian Rupee; unless stated otherwise)

Corporate information

	Bharti Airtel Limited (‘the Company’ or ‘the Parent’) is
domiciled and incorporated in India as a public limited
company listed on the National Stock Exchange of India
Limited and the BSE Limited. The registered office of theCompany is situated at Airtel Center, Plot no. 16, Udyog
Vihar, Phase – IV, Gurugram – 122015, Haryana, India.
	The Company together with its subsidiaries (hereinafterreferred to as ‘the Group’) has presence primarily in
India, Africa and South Asia. The principal activitiesof the Group, its joint ventures and associates consistof provision of telecommunication services, tower
infrastructure services, Direct-To-Home (DTH) digital
television services and mobile money services. The
details as to the services provided by the Group arefurther provided in note 34 and note 44 respectively.

2. Summary of significant accounting policies
2.1 Basis of preparation
	
These Consolidated Financial Statements (‘Financial
Statements’) have been prepared to comply in all material
respects with the Indian Accounting Standards (‘Ind AS’)as notified by the Ministry of Corporate Affairs (‘MCA’)
under section 133 of the Companies Act, 2013 (‘Act’), read
together with Rule 3 of the Companies (Indian AccountingStandards) Rules, 2015 (as amended from time to time)and other accounting principles generally accepted in India.
	The Financial Statements are approved for issue by theCompany’s Board of Directors on May 16, 2023.
	The Financial Statements are based on the classification
provisions contained in Ind AS 1, ‘Presentation of Financial
Statements’ and Division II of Schedule III (as amended)
to the Act. Further, for the purpose of clarity, various
items are aggregated in the Consolidated Balance Sheet(‘Balance Sheet’) and Consolidated Statement of Profit
and Loss (‘Statement of Profit and Loss’). Nonetheless,these items are disaggregated separately in the notes to
the Financial Statements, where applicable or required.

	The accounting policies, as set out in the following
paragraphs of this note, have been consistently applied,by all the Group entities, to all the periods presented in
the said Financial Statements, except in case of adoptionof any new standards and / or amendments during
the year.
	To provide more reliable and relevant information about
the effect of certain items in the Balance Sheet andStatement of Profit and Loss, the Group has changed
the classification of certain items.
New amendments adopted during the year	MCA vide notification no. G.S.R. 255(E) dated March
23, 2022 has issued the Companies (Indian AccountingStandards) Amendment Rules, 2022 which amends
following Ind AS (as applicable to the Group):• Ind AS 103, Business Combinations• Ind AS 109, Financial Instruments• Ind AS 16, Property, Plant and Equipment• Ind AS 37, Provisions, Contingent Liabilities andContingent Assets
	The amendments are applicable for annual periods
beginning on or after April 1, 2022, however, these do
not have material impact on the Financial Statementsof the Group.
Amendments to Ind AS issued but not yet effective
	MCA vide notification no. G.S.R. 242(E) dated March
31, 2023 has issued the Companies (Indian AccountingStandards) Amendment Rules, 2023 which amends
following Ind AS (as applicable to the Group):• Ind AS 102, Share-based Payments• Ind AS 103, Business Combinations• Ind AS 107, Financial Instruments: Disclosures• Ind AS 109, Financial Instruments	
The preparation of the said Financial Statements
requires the use of certain critical accounting estimatesand judgements. It also requires the management
to exercise judgement in the process of applying theGroup’s accounting policies. The areas where estimates
are significant to the Financial Statements, or areas
involving a higher degree of judgement or complexity,
are disclosed in note 3.

• Ind AS 8, Accounting Policies, Changes in Accounting
Estimates and Errors

Bharti Airtel Limited

	The Financial Statements have been prepared on the accrualand going concern basis, and the historical cost convention
except where the Ind AS requires a different accounting
treatment. The principal variations from the historical costconvention relate to financial instruments classified as fairvalue through profit or loss (‘FVTPL’) or fair value throughother comprehensive income (‘FVTOCI’) (refer note 2.10(b)), liability for cash-settled awards (refer note 2.16 (d)), thecomponent of carrying values of recognised liabilities thatare designated in fair value hedges (refer note 2.10 (d)) which are measured at fair value.

Amendments to Ind AS	All the amounts included in the Financial Statements
are reported in million of Indian Rupee (‘Rupee’ or ‘H’)and are rounded off to the nearest million, except per
share data and unless stated otherwise. Further, due torounding off, certain amounts are appearing as '0'.

338

(All amounts are in millions of Indian Rupee; unless stated otherwise)• Ind AS 115, Revenue from Contracts with Customers• Ind AS 1, Presentation of Financial Statements• Ind AS 12, Income Taxes• Ind AS 34, Interim Financial Reporting	The amendments are applicable for annual periods
beginning on or after April 1, 2023. The Group has
evaluated the amendments and the impact is notexpected to be material.

Fair value measurement
	Fair value is the price at the measurement date, at which
an asset can be sold or a liability can be transferred, inan orderly transaction between market participants.
The Group’s accounting policies require measurementof certain financial instruments at fair values (either ona recurring or non-recurring basis).
	The Group is required to classify the fair valuation methodof the financial / non-financial assets and liabilities, either
measured or disclosed at fair value in the Financial
Statements, using a three level fair-value-hierarchy(which reflects the significance of inputs used in themeasurement). Accordingly, the Group uses valuation
techniques that are appropriate in the circumstancesand for which sufficient data is available to measure fairvalue, maximising the use of relevant observable inputs
and minimising the use of unobservable inputs.
	
The three levels of the fair-value-hierarchy aredescribed below:	Level 1: Quoted (unadjusted) prices for identical assets
or liabilities in active markets
	Level 2: Significant inputs to the fair value measurement
are directly or indirectly observable	Level 3: Significant inputs to the fair value measurement
are unobservable

2.3 Basis of consolidationa.

Subsidiaries

	Subsidiaries include all the entities over which theGroup has control. The Group controls an entity when
it is exposed or has right to variable return from its
involvement with the entity, and has the ability to affectthose returns through its power (that is, existing rightsthat give it the current ability to direct the relevant
activities) over the entity. The Group re-assesses whether
or not it controls the entity, in case the underlying facts
and circumstances indicate that there are changes
to above-mentioned parameters that determine theexistence of control. The Financial Statements of allentities used for the purpose of consolidation are drawn
upto the same reporting date as that of Parent Company
i.e. year ended on March 31.
	Subsidiaries are fully consolidated from the date on
which control is acquired by the Group, and they aredeconsolidated from the date that control ceases. NCI
is the equity in a subsidiary not attributable to the Parent
and presented separately from the Parent’s equity. Profit
or loss and OCI are attributed to the controlling and NCI
in proportion to their ownership interests, even if thisresults in the NCI having a deficit balance. However, incase where there are binding contractual arrangementsthat determine the attribution of the earnings, theattribution specified by such arrangement is considered.
	The profit or loss on disposal (associated with loss ofcontrol) is recognised in the Statement of Profit and loss
being the difference between (i) the aggregate of thefair value of consideration received and the fair valueof any retained interest, and (ii) the previous carrying
amount of the assets (including goodwill) and liabilitiesof the subsidiary less any NCI. In addition, any amounts
previously recognised in the OCI in respect of that
deconsolidated entity, are accounted for as if the Group
had directly disposed of the related assets or liabilities.
This may mean that amounts previously recognised in
the OCI are reclassified to the Statement of Profit and
Loss. Any retained interest in the entity is remeasured toits fair value with the resultant change in carrying value
being recognised in Statement of Profit and Loss.
	A change in the ownership interest of a subsidiary,
without a change of control, is accounted for asa transaction with equity holders. Any difference
between the amount of the adjustment to NCI and any
consideration exchanged is recognised in ‘NCI reserve’,
a component of equity.
b.

Joint ventures and associates	A joint venture is a type of joint arrangement whereby
the parties that have joint control of the arrangement
have rights to the net assets of the joint venture. Joint
control is the contractually agreed sharing of control ofan arrangement, which exists only when decisions about
the relevant activities require unanimous consent of theparties sharing control.
	An associate is an entity over which the Group hassignificant influence. Significant influence is the power toparticipate in the financial and operating policy decisionsof the investee but is not control or joint control overthose policies.
	Investment in joint ventures and associates are accounted
for using equity method from the date on which theGroup obtains joint control over the joint venture / starts

Integrated Report and Annual Financial Statements 2022-23

339

Corporate Overview

Notes to Consolidated Financial Statements(All amounts are in millions of Indian Rupee; unless stated otherwise)

having significant influence over the associate. The
said investments are tested for impairment whenevercircumstances indicate that their carrying values may
exceed the recoverable amount (viz. higher of the fairvalue less costs to sell and the value-in-use).
c.

Method of consolidation	Accounting policies of the respective individual subsidiary,
joint venture and associate are aligned wherevernecessary to ensure consistency with the accounting
policies that are adopted by the Group under Ind AS andother generally accepted accounting principles.
	The Standalone Financial Statements of subsidiaries are
fully consolidated on a line-by-line basis, after adjustingfor business combination adjustments (refer note 2.4).
Intra-group balances and transactions, and income andexpenses arising from intra-group transactions, areeliminated while preparing the said Financial Statements.
The unrealised gains resulting from intra-grouptransactions are also eliminated. Similarly, the unrealised
losses are eliminated, unless the transaction provides
evidence as to impairment of the asset transferred.
	The Group’s investments in its joint ventures andassociates are accounted for using the equity method.
Accordingly, the investments are carried at cost lessany impairment losses, as adjusted for post-acquisitionchanges in the Group’s share of the net assets ofinvestees. Any excess of the cost of the investment overthe Group’s share of net assets in its joint ventures /associates at the date of acquisition is recognised as
goodwill. The goodwill is included within the carrying
amount of the investment. The unrealised gains / losses
resulting from transactions with joint ventures andassociates are eliminated against the investment to theextent of the Group’s interest in the investee. However,unrealised losses are eliminated only to the extent that
there is no evidence of impairment. If as a result of equity
method accounting, the Group’s interest in its joint
venture and / or associate is reduced to zero, additional
losses are provided for, and a liability is recognised,
only to the extent that the entity has incurred legal orconstructive obligations or made payments on behalfof the associate or joint venture. In such a case, if theassociate or joint venture subsequently reports profits,
the Group resumes recognising its share of those profits
only after its share of the profits equals the share oflosses not recognised.
	At each reporting date, the Group determines whether
there is objective evidence that the investment isimpaired. If there is such evidence, the Group calculates
the amount of impairment as the difference between therecoverable amount of investment and its carrying value.

340

Bharti Airtel Limited	The consideration transferred also includes thefair value of any asset or liability resulting from acontingent consideration arrangement. Any contingent
consideration to be transferred by the acquirer
is recognised at fair value at the acquisition date.
Contingent consideration classified as an asset or
liability is subsequently measured at fair value withchanges in fair value recognised in Statement of Profit
and Loss. Contingent consideration that is classified as
equity is not re-measured and its subsequent settlement
is accounted for within equity.
	The excess of the consideration transferred, alongwith the amount of any NCI in the acquiree and theacquisition-date fair value (with the resulting difference
being recognised in Statement of Profit and Loss) of
any previous equity interest in the acquiree, over thefair value of the identifiable net assets of the acquiree isrecorded as goodwill.
	Acquisition-related costs are expensed in the period inwhich the costs are incurred.
	If the initial accounting for a business combination isincomplete as at the reporting date in which the combination
occurs, the identifiable assets and liabilities acquired in abusiness combination are measured at their provisional fairvalues at the date of acquisition. Subsequently adjustments
to the provisional values are made retrospectively within
the measurement period, if new information is obtained
about facts and circumstances that existed as of theacquisition date and, if known, would have affected themeasurement of the amounts recognised as of that date

Statutory Reports

Financial Statements

Notes to Consolidated Financial Statements(All amounts are in millions of Indian Rupee; unless stated otherwise)

2.4 Business combinations
	The Group accounts for business combinations using
the acquisition method of accounting. Accordingly, theidentifiable assets acquired and the liabilities assumedof the acquiree are recorded at their acquisition datefair values (except certain assets and liabilities which arerequired to be measured as per the applicable standard).
The interest of non-controlling shareholders is initiallymeasured either at fair value or at the non-controllinginterests’ proportionate share of the acquiree’s
identifiable net assets. The choice of measurement
basis is made on an acquisition-by-acquisition basis.
Subsequent to acquisition, the carrying amount of noncontrolling interests is the amount of those interests
at initial recognition plus the non-controlling interests’share of subsequent changes in equity of subsidiaries.
The consideration transferred for the acquisition of
a subsidiary is aggregation of the fair values of theassets transferred, the liabilities incurred and the equity
interests issued by the Parent in exchange for control of
the acquiree.

Management Discussion & Analysis

or would have resulted in the recognition of those assets
and liabilities as of that date; otherwise the adjustments arerecorded in the period in which they occur.
	
A contingent liability recognised in a businesscombination is initially measured at its fair value.
Subsequent to initial recognition, it is measured at thehigher of:(i)	the amount that would be recognised in accordancewith Ind AS 37, ‘Provisions, Contingent Liabilities
and Contingent Assets’, and(ii)	
the amount initially recognised less, whereappropriate, cumulative amount of income
recognised in accordance with Ind AS 115 ‘Revenue
from Contracts with Customers’.

2.5 Foreign currency transactionsa.

Functional and presentation currency

	The Financial Statements are presented in Indian Rupees,
which is the functional, and presentation currency of
the Company.
	The items included in Financial Statements of each of
the Group’s entities are measured using the currencyof primary economic environment in which the entity
operates (i.e. ‘functional currency’).
b.

Transactions and balances	Transactions in foreign currencies are initially recordedin the relevant functional currency at the exchange rate
prevailing at the date of the transaction.
	Monetary assets and liabilities denominated in foreign
currencies are translated into the functional currency at
the closing exchange rate prevailing as at the reporting
date with the resulting foreign exchange differences,on subsequent re-statement / settlement, recognisedin the Statement of Profit and Loss. Non-monetary
assets and liabilities denominated in foreign currencies
are translated into the functional currency using theexchange rate prevalent, at the date of initial recognition(in case they are measured at historical cost) or at thedate when the fair value is determined (in case they aremeasured at fair value) – the resulting foreign exchange
difference, on subsequent re-statement / settlement,
recognised in the Statement of Profit and Loss, except
to the extent that it relates to items recognised in the OCI
or directly in equity.
	The equity items denominated in foreign currencies aretranslated at historical cost.
c.

Foreign operations

	The assets and liabilities of foreign operations (including
the goodwill and fair value adjustments arising on theacquisition of foreign entities) are translated into Rupees
at the exchange rates prevailing at the reporting datewhereas their Statements of Profit and Loss are translated
into Rupees at monthly average exchange rates and theequity is recorded at the historical rate. The resulting
exchange differences arising on the translation arerecognised in OCI and held in foreign currency translation
reserve (‘FCTR’), a component of equity. On disposal ofa foreign operation (that is, disposal involving loss ofcontrol), the component of OCI relating to that particularforeign operation is reclassified to profit or loss.

2.6 Current versus non-current classification
	The Group presents assets and liabilities in the Balance
Sheet based on current / non-current classification.
	Deferred tax assets and liabilities, and all assets andliabilities which are not current (as discussed in the
below paragraphs) are classified as non-current assets
and liabilities.
	An asset is classified as current when it is expected
to be realised or intended to be sold or consumed innormal operating cycle, held primarily for the purposeof trading, expected to be realised within twelve months
after the reporting period, or cash and cash equivalent
unless restricted from being exchanged or used tosettle a liability for at least twelve months after thereporting period.
	A liability is classified as current when it is expected to
be settled in normal operating cycle, it is held primarily
for the purpose of trading, it is due to be settled withintwelve months after the reporting period, or there is no
unconditional right to defer the settlement of the liability
for at least twelve months after the reporting period.
	The derivatives designated in hedging relationship andseparated embedded derivatives are classified basis thehedged item and host contract respectively.

2.7 Property, plant and equipment (‘PPE’)	An item is recognised as an asset, if and only if, it isprobable that the future economic benefits associatedwith the item will flow to the Group and its cost can bemeasured reliably. PPE are initially recognised at cost. The
initial cost of PPE comprises its purchase price (including
non-refundable duties and taxes but excluding any trade
discounts and rebates), assets retirement obligations(‘ARO’) (refer note 2.17 (b)) and any directly attributable
cost of bringing the asset to its working condition andlocation for its intended use. Further, it includes assets
installed on the premises of customers as the associatedrisks, rewards and control remain with the Group.
	Subsequent to initial recognition, PPE are stated at costless accumulated depreciation and impairment losses,

Integrated Report and Annual Financial Statements 2022-23

341

Corporate Overview

Notes to Consolidated Financial Statements

	Cost of assets not ready for use, as on the Balance Sheetdate, is shown as capital work-in-progress (‘CWIP’),advances given towards acquisition of PPE outstandingat each Balance Sheet date are disclosed under othernon- current assets.
	The expenditures that are incurred after the item of
PPE has been available for use, such as repairs andmaintenance, are normally charged to the Statementof Profit and Loss in the period in which such costs
are incurred. However, in situations where the said
expenditure can be measured reliably and is probablethat future economic benefits associated with it will flow
to the Group, it is included in the asset’s carrying value
or as a separate asset, as appropriate.
	Depreciation on PPE is computed using the straightline method over the estimated useful lives. The
management basis its past experience and technicalassessment has estimated the useful lives, which is atvariance with the life prescribed in Part C of Schedule II
to the Act and has accordingly, depreciated the assets
over such useful lives.

Categories

Lease improvements

Aircraft
Buildings
Building on leased land

Plant and equipment-	Network equipment (including
passive infrastructure)-	Customer premise equipments
Other equipment, operating andoffice equipment

342

Bharti Airtel Limited

Categories

Years- Computers and servers-	Furniture & fixtures and officeequipments- Vehicles

3-5
1-5
3-5

	
The useful lives, residual values and depreciation
method of PPE are reviewed, and adjusted appropriately,atleast, as at each financial year-end to ensure that themethod and period of depreciation are consistent withthe expected pattern of economic benefits from theseassets. The effect of any change in the estimated useful
lives, residual values and / or depreciation method
are accounted prospectively, and accordingly, thedepreciation is calculated over the PPE’s remaining
revised useful life. The cost and the accumulated
depreciation for PPE sold, scrapped, retired or otherwise
disposed of are derecognised from the Balance Sheetand the resulting gains / losses are included in theStatement of Profit and Loss within other income /other expenses.

2.8 Intangible assets	Intangible assets are recognised when the Group
controls the asset, it is probable that future economic
benefits attributed to the asset will flow to the Groupand the cost of the asset can be measured reliably.

Years

Lease term or 20
years, whichever is
less
20
20
Lease term or 20
years, whichever isless	The intangible assets that are acquired in a businesscombination are recognised at its fair value. Other
intangible assets are initially recognised at cost. Those
assets having finite useful life are carried at cost lessaccumulated amortisation and impairment losses, if any.
Amortisation is computed using the straight-line method
over the expected useful life of intangible assets.

	The Group has established the estimated range of useful
lives for different categories of PPE as follows:

3 - 25
3-7

Financial Statements(All amounts are in millions of Indian Rupee; unless stated otherwise)	Goodwill represents the cost of the acquired businesses
in excess of the fair value of identifiable net assets
purchased (refer note 2.4). Goodwill is not amortised;however it is tested annually for impairment andwhenever there is an indication that the unit may be
impaired (refer note 2.9), and carried at cost less any
accumulated impairment losses. The gains / (losses) on
the disposal of a cash-generating-unit (‘CGU’) include
the carrying amount of goodwill relating to the CGU sold(in case goodwill has been allocated to group of CGUs;
it is determined on the basis of the relative fair value ofthe operations sold).

	Freehold land is not depreciated as it has an unlimited
useful life.

Statutory Reports

Notes to Consolidated Financial Statements(All amounts are in millions of Indian Rupee; unless stated otherwise)

if any. When significant parts of PPE are required to be
replaced at regular intervals, the Group recognises suchparts as separate component of assets. When an item of
PPE is replaced, then its carrying amount is derecognisedfrom the Balance Sheet and cost of the new item of PPE
is recognised. Further, in case the replaced part was not
being depreciated separately, the cost of the replacement
is used as an indication to determine the cost of thereplaced part at the time it was acquired.

Management Discussion & Analysis

	
Subsequent expenditure on intangible assets is
capitalised only when it increases the future economic
benefits embodied in the specific asset to which it
relates. All other expenditure, is recognised in profit orloss as incurred.

between the net disposal proceeds and thecarrying amount of the asset and are recognisedin the Statement of Profit and Loss when the asset
is derecognised.

	The Group has established the estimated useful lives ofdifferent categories of intangible assets as follows:a.

Software		Software are amortised over the period of license,
generally not exceeding five years.
b.

a.

Licenses (including spectrum)		Acquired licenses and spectrum are amortisedcommencing from the date when the related
network is available for intended use in the relevant
jurisdiction. The useful life of acquired licenses andspectrum ranges up to twenty five years.
		The revenue-share based fee on licenses / spectrum
is charged to the Statement of Profit and loss in the
period such cost is incurred.
c.

Other acquired intangible assets

		
Other acquired intangible assets include
the following:		Rights acquired for unlimited license access:Over the period of the agreement, which ranges
upto five years		
N on-compete fee: Over the period of theagreement, which ranges upto five years		The useful lives and amortisation method arereviewed, and adjusted appropriately, at least at
each financial year-end to ensure that the method
and period of amortisation are consistent with the
expected pattern of economic benefits from theseassets. The effect of any change in the estimateduseful lives and / or amortisation method is
accounted for prospectively, and accordingly,
the amortisation is calculated over the remaining
revised useful life.
		
Further, the cost of intangible assets underdevelopment (‘IAUD’) includes the following:				

2.9 Impairment of non-financial assets(a)	the amount of spectrum allotted to the Groupand related costs (including borrowing costs)
that are directly attributable to the acquisition
or construction of qualifying assets (refer
note 6), if any, for which services are yet to berolled out and are presented separately in the
Balance Sheet.
(b)	the amount of software / IT platform
under development.

		Gains or losses arising from derecognition of an
intangible asset are measured as the difference

Goodwill	Goodwill is tested for impairment, atleast annually
and whenever circumstances indicate that it may be
impaired. For the purpose of impairment testing, thegoodwill is allocated to a CGU or group of CGUs (‘CGUs’),
which are expected to benefit from the acquisitionrelated synergies and represent the lowest level within
the entity at which the goodwill is monitored for internalmanagement purposes, within an operating segment.
A CGU is the smallest identifiable group of assets thatgenerates cash inflows that are largely independent of
the cash inflows from other assets or group of assets.
	Impairment occurs when the carrying value of a CGU/ CGUs including the goodwill, exceeds the estimatedrecoverable amount of the CGU / CGUs. The recoverable
amount of a CGU / CGUs is the higher of its fair valueless costs to sell and its value in use. Value-in-use is
the present value of future cash flows expected to be
derived from the CGU / CGUs.
	The total impairment loss of a CGU / CGUs is allocatedfirst to reduce the carrying value of goodwill allocatedto that CGU / CGUs and then to the other assets of that
CGU / CGUs - on pro-rata basis of the carrying value ofeach asset.
	Further detail including the key assumptions adopted
to determine the recoverable amount of goodwill aredetailed in note 6.
b.	PPE, Right-of-use-assets (‘ROU’), intangible assets
and IAUD	PPE (including CWIP), ROU and intangible assets withdefinite lives, are reviewed for impairment, whenever
events or changes in circumstances indicate that theircarrying values may not be recoverable. IAUD aretested for impairment, atleast annually and whenevercircumstances indicate that it may be impaired.
	For the purpose of impairment testing, the recoverable
amount (that is, higher of the fair value less costs to sell
and the value-in-use) is determined on an individual asset
basis, unless the asset does not generate cash flows thatare largely independent of those from other assets, inwhich case the recoverable amount is determined at
the CGU level to which the said asset belongs. If suchindividual assets or CGU are considered to be impaired,
the impairment to be recognised in the Statement ofIntegrated Report and Annual Financial Statements 2022-23

343

Corporate Overview

Notes to Consolidated Financial Statements(All amounts are in millions of Indian Rupee; unless stated otherwise)transaction costs that are attributable to the acquisitionof the financial asset. However, trade receivables that
do not contain a significant financing component aremeasured at transaction price. All financial liabilities arerecognised initially at fair value and, in the case of loans
and borrowings and payables, net of directly attributabletransaction costs. Other transaction costs are expensed
as incurred in the statement of Profit and Loss.

Profit and Loss is measured by the amount by which
the carrying value of the asset / CGU exceeds theirestimated recoverable amount and allocated on prorata basis.
Reversal of impairment losses	Impairment loss in respect of goodwill is not reversed.
Other impairment losses are reversed in the Statementof Profit and Loss and the carrying value is increased
to its revised recoverable amount provided that thisamount does not exceed the carrying value that would
have been determined had no impairment loss beenrecognised for the said asset / CGU previously.

2.10 Financial instrumentsa.

	The transaction price is generally the best evidence ofthe financial instrument’s initial fair value. However, it ispossible for an entity to determine that the instrument’s
fair value is not the transaction price. The difference
between the transaction amount and the fair value (ifany) is accounted for as follows:

Recognition, classification and presentation• The difference is recognised as a gain or loss inthe statement of Profit and Loss only if fair value isevidenced by a quoted price in an active market for
an identical asset or liability (that is, a Level 1 input)
or based on a valuation technique that uses only datafrom observable markets.

	
The financial instruments are recognised in the
Balance Sheet when the Group becomes a party to thecontractual provisions of the financial instrument.
	The Group determines the classification of its financial
instruments at initial recognition.
	The Group classifies its financial assets in the following
categories: a) those to be measured subsequently atfair value (either through OCI, or through profit or loss),and b) those to be measured at amortised cost. The
classification depends on the entity’s business model
for managing the financial assets and the contractual
terms of the cash flows.
	The Group has classified all the non-derivative financial
liabilities to measured at amortised cost.
	The entire hybrid contract, financial assets withembedded derivatives, are considered in their entirety
for determining the contractual terms of the cash flow
and accordingly, the embedded derivatives are notseparated. However, derivatives embedded in nonfinancial instrument / financial liabilities (measured atamortised cost) host contracts are classified as separate
derivatives if their economic characteristics and risks are
not closely related to those of the host contracts.
	Financial assets and liabilities arising from different
transactions are offset against each other and theresultant net amount is presented in the Balance Sheet,
if and only when, the Group currently has a legally
enforceable right to set off the related recognised
amounts and intends either to settle on a net basis or to
realise the assets and settle the liabilities simultaneously.
b.

Measurement - Non-derivative financial instruments

I.

Initial measurement	All financial assets are recognised initially at fair valueplus, in the case of financial assets not recorded at FVTPL,

344

Bharti Airtel Limited• In all other cases, an entity recognises the instrument
at fair value and defers the difference between the fairvalue at initial recognition and the transaction price inthe statement of financial position.
	The liability component of a compound financial
instrument is initially recognised at the fair value of asimilar liability that does not have an equity conversion
option. The equity component is initially recognised at
the difference between the fair value of the compound
financial instrument as a whole and the fair value of theliability component. Any directly attributable transaction
costs are allocated to the liability and equity components
in proportion to their initial carrying amounts.
II.

Subsequent measurement - financial assets

	The subsequent measurement of the non-derivative
financial assets depends on their classification as follows:i.

Financial assets measured at amortised cost		Assets that are held for collection of contractual
cash flows where those cash flows represent solely
payments of principal and interest are measured
at amortised cost using the effective interest
rate (‘EIR’) method (if the impact of discounting/ any transaction costs is significant). Interest
income from these financial assets is included inother income.
ii.

Financial assets at FVTOCI		Equity investments which are not held for trading
and for which the Group has elected to present thechange in the fair value in OCI and debt instrumentsthat are held for collection of contractual cash flows

Management Discussion & Analysis

Statutory Reports

Financial Statements

Notes to Consolidated Financial Statements(All amounts are in millions of Indian Rupee; unless stated otherwise)and for selling the financial assets, where the assets’cash flow represent solely payment of principal andinterest, are measured at FVTOCI.
		The changes in fair value are taken through OCI,
except for the impairment (on debt instruments),
interest (basis EIR method), dividend and foreignexchange differences which are recognised in theStatement of Profit and Loss.
		When the financial asset is derecognised, the related
accumulated fair value adjustments in OCI as at thedate of derecognition are reclassified from equity
and recognised in the Statement of Profit and Loss.
However, there is no subsequent reclassification offair value gains and losses to Statement of Profit
and Loss in case of equity instruments.
iii.

Financial assets at FVTPL

		All equity instruments and financial assets that do
not meet the criteria for amortised cost or FVTOCI
are measured at FVTPL. Interest (basis EIR method)and dividend income from financial assets at FVTPL
is recognised in the Statement of Profit and Loss
within other income separately from the other gains/ losses arising from changes in the fair value.
		Impairment

		
The Company assesses on a forward-looking
basis the expected credit losses associated with
its assets carried at amortised cost and debt
instrument carried at FVTOCI. The impairment
methodology applied depends on whether there
has been a significant increase in credit risk sinceinitial recognition. If credit risk has not increased
significantly, twelve month expected credit loss(‘ECL’) is used to provide for impairment loss,
otherwise lifetime ECL is used.
		However, only in case of trade receivables, theCompany applies the simplified approach which
requires expected lifetime losses to be recognisedfrom initial recognition of the receivables.
III. Subsequent measurement - financial liabilities
	
Financial liabilities are subsequently measured atamortised cost using the EIR method (if the impact
of discounting / any transaction costs is significant),
except for contingent consideration and financial liability
under option arrangements recognised in a businesscombination which is subsequently measured at FVTPL.
For trade and other payables maturing within one year
from the Balance Sheet date, the carrying amounts
approximate the fair value due to the short maturity ofthese instruments.

	Subsequent to initial recognition, the liability componentof a compound financial instrument is measured atamortised cost using the effective interest method. The
equity component of a compound financial instrument is
not re-measured. Interest related to the financial liability
is recognised in profit or loss under finance cost. On
conversion at maturity, the financial liability is reclassified
to equity and no gain or loss is recognised.
	At the time of conversion of FCCB, the Groupderecognised the liability component and recognised
it as equity. The original equity component remains as
equity (which may be transferred from one-line item
within equity to another). No gain / loss on conversion
is recognised in the statement of profit and loss.
c.

Measurement - derivative financial instruments

	Derivative financial instruments, including separated
embedded derivatives, that are not designated as
hedging instruments in a hedging relationship areclassified as financial instruments at FVTPL - held
for trading. Such derivative financial instruments are
initially recognised at fair value. They are subsequently
measured at their fair value, with changes in fair value
being recognised in the Statement of Profit and Loss.
d.

Hedging activities

I.

Fair value hedge	Some of the Group entities use derivative financial
instruments (e.g. interest rate / currency swaps) to
manage / mitigate their exposure to the risk of change
in fair value of the borrowings. The Group designates
certain interest swaps to hedge the risk of changes infair value of recognised borrowings attributable to thehedged interest rate risk. The effective and ineffective
portion of changes in the fair value of derivatives that aredesignated and qualify as fair value hedges are recordedin the Statement of Profit and Loss, together with any
changes in the fair value of the hedged liability that is
attributable to the hedged risk. If the hedge no longer
meets the criteria for hedge accounting, the adjustment
to the carrying amount of the hedged item is amortised
to the Statement of Profit and Loss over the period toremaining maturity of the hedged item.
II.

Cash flow hedge	Some of the Group’s entities use derivative financial
instruments (e.g. foreign currency forwards, options,swaps) to manage their exposure to foreign exchange
and price risk. Further, the Group designates certain
derivative financial instruments (or its components)
as hedging instruments for hedging the exchange rate
fluctuation risk attributable to either a recognised item
or a highly probable forecast transaction (‘Cash flow

Integrated Report and Annual Financial Statements 2022-23

345

Corporate Overview

Notes to Consolidated Financial Statements(All amounts are in millions of Indian Rupee; unless stated otherwise)

hedge’). The effective portion of changes in the fair valueof derivative financial instruments (or its components)that are designated and qualify as cash flow hedges,
are recognised in OCI and held as cash flow hedge
reserve (‘CFHR’) – within other components of equity.
Any gains / (losses) relating to the ineffective portion,
are recognised immediately in the Statement of Profit
and Loss. The amounts accumulated in equity arereclassified to the Statement of Profit and Loss in the
periods when the hedged item affects profit / (loss).
	When a hedging instrument expires or is sold, or when acash flow hedge no longer meets the criteria for hedge
accounting, any cumulative gains / (losses) existing inequity at that time remains in equity and is recognised(on the basis as discussed in the above paragraph)when the forecast transaction is ultimately recognisedin the Statement of Profit and Loss. However, at any
point of time, when a forecast transaction is no longer
expected to occur, the cumulative gains / (losses) thatwere reported in equity is immediately transferred to theStatement of Profit and Loss.
III. Net investment hedge

use of an identified asset, the Group assesses whether
the contract involves the use of an identified asset, theGroup has the right to obtain substantially all of theeconomic benefits from use of the asset throughout theperiod of use; and the Group has the right to direct theuse of the asset.
Group as a lessee
	The Group recognises a ROU and a corresponding
lease liability with respect to all lease agreements inwhich it is the lessee in the Balance Sheet. The leaseliability is initially measured at the present value of thelease payments that are not paid at the commencement
date, discounted by using the incremental borrowing
rate (as the rate implicit in the lease cannot be readily
determined). Lease liabilities include the net present
value of fixed payments (including any in-substance
fixed payments), any variable lease payments that are
based on consumer price index (‘CPI’), the exercise priceof a purchase option if the lessee is reasonably certain
to exercise that option, and payments of penalties forterminating the lease, if the lease term reflects the lessee
exercising that option.

	The Group hedges its net investment in certain foreignsubsidiaries which are accounted for similar to cash
flow hedges and accordingly, any foreign exchange
differences on the hedging instrument (e.g. borrowings)
relating to the effective portion of the hedge is recognisedin OCI as foreign currency translation reserve (‘FCTR’) –within other components of equity, so as to offset thechange in the value of the net investment being hedged.
The ineffective portion of the gain or loss on thesehedges is immediately recognised in the Statement ofProfit and Loss. The amounts accumulated in equity areincluded in the Statement of Profit and Loss when theforeign operation is disposed or partially disposed.

	Subsequently, the lease liability is measured at amortised
cost using the effective interest method. It is remeasured
when there is a change in future lease payments
including due to changes in CPI or if the Group changes
its assessment of whether it will exercise a purchase,
extension or termination option or when the lease
contract is modified and the lease modification is notaccounted for as a separate lease. The corresponding
adjustment is made to the carrying amount of the ROU,
or is recorded in profit or loss if the carrying amountof the related ROU has been reduced to zero andthere is a further reduction in the measurement of thelease liability.

e.

	ROU are measured at cost, comprising the amount of theinitial measurement of lease liability, any lease payments
made at or before the commencement date and any
initial direct costs less any lease incentives received.

Derecognition

	The financial assets are derecognised from the Balance
Sheet when the rights to receive cash flows from thefinancial assets have expired, or have been transferred
and the Group has transferred substantially all risks
and rewards of ownership. The financial liabilities
are derecognised from the Balance Sheet when theunderlying obligations are extinguished, discharged,
lapsed, cancelled, expires or legally released. The
resultant impact of derecognition is recognised in theStatement of Profit and Loss.

2.11 Leases
	The Group, at the inception of a contract, assesses thecontract as, or containing, a lease if the contract conveys
the right to control the use of an identified asset for aperiod of time in exchange for consideration. To assess
whether a contract conveys the right to control the346

Bharti Airtel Limited

	Subsequent to initial recognition, ROU are stated atcost less accumulated depreciation and any impairment
losses and adjusted for certain remeasurements of
the lease liability. Depreciation is computed using thestraight-line method from the commencement dateto the end of the useful life of the underlying asset orthe end of the lease term, whichever is shorter. The
estimated useful lives of ROU are determined on thesame basis as those of the underlying asset.
	In the Balance Sheet, the ROU and lease liabilities arepresented separately. In the Statement of Profit and
Loss, interest expense on lease liabilities are presented
separately from the depreciation charge for the ROU.

Management Discussion & Analysis

Statutory Reports

Financial Statements

Notes to Consolidated Financial Statements(All amounts are in millions of Indian Rupee; unless stated otherwise)Interest expense on the lease liability is a componentof finance costs, which are presented separately in
the Statement of Profit or Loss. In the Statement of
Cash Flows, cash payments for the principal portionof lease payments and the interest portion of leaseliability are presented as financing activities, and shortterm lease payments and payments for leases of lowvalue assets and variable lease payments not includedin the measurement of the lease liability, if any, as
operating activities.
	
When a contract includes lease and non-lease
components, the Group allocates the consideration in
the contract on the basis of the relative stand-alone
prices of each lease component and the aggregate
stand-alone price of the non-lease components.
Short-term leases and leases of low-value assets
	The Group has elected not to recognise ROU and leaseliabilities for short term leases that have a lease term of
twelve months or less and leases of low value assets.
The Group recognises lease payments associated withthese leases as an expense on a straight-line basis overthe lease term.
Sale and lease back	In case of sale and leaseback transactions, the Group firstconsiders whether the initial transfer of the underlying
asset to the buyer-lessor is a sale by applying therequirements of Ind AS 115. If the transfer qualifies as asale and the transaction is on market terms, the Groupeffectively derecognises the asset, recognises a ROU
asset (and lease liability) and recognises a portion of thetotal gain or loss on the sale. The amount recognised is
calculated by splitting the total gain or loss into:• an amount recognised in Statement of Profit and Lossrelating to the buyer-lessor’s rights in the underlying
asset, and• an unrecognised amount relating to the rights
retained by the seller-lessee which is deferred by wayof reducing the ROU initially recognised.
Group as a lessor	Whenever the terms of the lease, transfer substantially
all the risks and rewards of ownership to the lessee, thecontract is classified as a finance lease. All other leases
are classified as operating leases.
	Amounts due from lessees under a finance lease arerecognised as receivables at an amount equal to the net
investment in the leased assets. Finance lease income
is allocated to the periods so as to reflect a constantperiodic rate of return on the net investment outstanding
in respect of the finance lease.

	Rental income from operating leases is recognised ona straight-line basis over the term of the relevant lease.
Initial direct costs incurred in negotiating and arranging
an operating lease are added to the carrying amount of
the leased asset and recognised on a straight line basis
over the lease term.
	When a contract includes lease and non-lease
components, the Group applies Ind AS 115 ‘Revenue
from Contracts with Customers’ to allocate theconsideration under the contract to each component.
	The Group enters into ‘Indefeasible right to use’ (‘IRU’)arrangements wherein the right to use the assets is given
over the substantial part of the asset life. However, as thetitle to the assets and the significant risks associated withthe operation and maintenance of these assets remains
with the Group, such arrangements are recognised as
operating lease. The contracted price is recognised asrevenue during the tenure of the agreement. Unearned
IRU revenue received in advance is presented asdeferred revenue within liabilities in the Balance Sheet.

2.12 Taxes
	The income tax expense comprises of current anddeferred income tax. Income tax is recognised in theStatement of Profit and Loss, except to the extent thatit relates to items recognised in the OCI or directly inequity, in which case the related income tax is also
recognised accordingly.
a.

Current tax

	The current tax is calculated on the basis of the tax
rates, laws and regulations, which have been enacted
or substantively enacted as at the reporting date in therespective countries where the Group entities operate
and generate taxable income. The payment made inexcess / (shortfall) of the respective Group entities’
income tax obligation for the period are recognised in the
Balance Sheet under non-current assets as income tax
assets / under current liabilities as current tax liabilities.
	Any interest, related to accrued liabilities for potential tax
assessments are not included in income tax charge or(credit), but are rather recognised within finance costs.
	The Group periodically evaluates positions taken in the
tax returns with respect to situations in which applicabletax regulations are subject to interpretation. The Groupconsiders whether it is probable that a taxation authority
will accept an uncertain tax treatment. If the Group
concludes, it is probable that the taxation authority will
accept an uncertain tax treatment, it determines thetaxable profit (tax loss), tax bases, unused tax losses,
unused tax credits or tax rates consistently with the tax
treatment used or planned to be used in its income tax
filings. If the Group concludes it is not probable that the

Integrated Report and Annual Financial Statements 2022-23

347

Corporate Overview

Notes to Consolidated Financial Statements(All amounts are in millions of Indian Rupee; unless stated otherwise)

taxation authority will accept an uncertain tax treatment,
the entity reflects the effect of uncertainty in determining
the related taxable profit (tax loss), tax bases, unused tax
losses, unused tax credits or tax rates.
	Current tax assets and tax liabilities are offset where
the entity has a legally enforceable right to offset andintends either to settle on a net basis, or to realise theasset and settle the liability simultaneously.
b.

Deferred tax

	Deferred tax is recognised on temporary differences
arising between the tax bases of assets and liabilities
and their carrying values in the Financial Statements.
Deferred tax is also recognised in respect of carriedforward tax losses and tax credits. Deferred tax assets/ liabilities recognised for temporary differences arisingfrom a business combination, affect the amount of
goodwill or the bargain purchase gain that the Group
recognises. However, deferred tax liabilities are notrecognised if they arise from the initial recognition of
goodwill. Deferred tax is not recognised if it arises frominitial recognition of an asset or liability in a transaction
other than a business combination that at the time of thetransaction affects neither accounting nor taxable profit
or loss.
	The measurement of deferred tax liabilities and assets
reflects the tax consequences that would follow fromthe manner in which the Group expects, at the end of
the reporting period, to recover or settle the carrying
amount of its assets and liabilities.
	Deferred tax assets are recognised only to the extent
that it is probable that future taxable profit will beavailable against which the temporary differences canbe utilised. The Group considers the projected futuretaxable income and tax planning strategies in making
this assessment.
	Moreover, deferred tax is recognised on temporary
differences arising on investments in subsidiaries,
joint ventures and associates - unless the timing of thereversal of the temporary difference can be controlled
and it is probable that the temporary difference will notreverse in the foreseeable future.
	The unrecognised deferred tax assets / carrying amountof deferred tax assets are reviewed at each reporting
date for recoverability and adjusted appropriately.
	Deferred tax is determined using tax rates (and laws)that have been enacted or substantively enacted by thereporting date and are expected to apply when the asset
is realised or the liability is settled.
	Deferred tax assets include Minimum Alternate Tax(MAT) paid in accordance with the tax laws in respective

348

Bharti Airtel Limited

2.13 Inventories
	Inventories are stated at the lower of cost (determinedusing the first-in-first-out method) and net realisablevalue. The costs comprise its purchase price and any
directly attributable cost of bringing the inventories to
its present location and condition. Net realisable value
is the estimated selling price in the ordinary course ofbusiness, less the estimated costs of completion and theestimated costs necessary to make the sale.

2.14 Cash and cash equivalents	Cash and cash equivalents include cash in hand,wallet balance (included with in balance with bank on current account), bank balances and any deposits
with original maturities of three months or less (thatare readily convertible to known amounts of cash andcash equivalents and subject to an insignificant riskof changes in value). However, for the purpose of theStatement of Cash Flows, in addition to above items, anybank overdrafts / cash credits that are integral part of
the Group’s cash management and balances held undermobile money trust are also included as a component ofcash and cash equivalents.

2.15 Share capital / Treasury shares

Statutory Reports(All amounts are in millions of Indian Rupee; unless stated otherwise)

defined benefit plans, compensated absences,deferred compensation and share-based payments.
The employee benefits are recognised in the year inwhich the associated services are rendered by theGroup employees. Short-term employee benefits
are recognised in Statement of Profit and Loss at
undiscounted amounts during the period in which therelated services are rendered.
a.

Defined contribution plans

	The contributions to defined contribution plans arerecognised in profit or loss as and when the services
are rendered by employees. The Group has nofurther obligations under these plans beyond its
periodic contributions.
b.

Defined benefit plans	In accordance with the local laws and regulations, all
the employees in India are entitled for the Gratuity plan.
The said plan requires a lump-sum payment to eligible
employees (meeting the required vesting service
condition) at retirement or termination of employment,
based on a pre-defined formula. Some of the entities
outside India has defined benefit plans in form of‘Retirement Benefits’ and ‘Severance Pay’.
	The Group provides for the liability towards the saidplans on the basis of actuarial valuation carried out
quarterly as at the reporting date, by an independent
qualified actuary using the projected-unit-credit method.
	The obligation towards the said benefits is recognisedin the Balance Sheet, at the present value of the defined
benefit obligations less the fair value of plan assets(being the funded portion). The present value of the said
obligation is determined by discounting the estimatedfuture cash outflows, using appropriate discount rate.

	When the Company purchases its ordinary sharesthrough Bharti Airtel Employees' Welfare Trust, they aretreated as treasury shares, and the consideration paid
is deducted from the Equity. When the treasury shares
are subsequently re-issued, any difference between
its carrying amount and consideration received isrecognised in share-based-payment reserve.

	The interest income / (expense) are calculated byapplying the above mentioned discount rate to theplan assets and defined benefit obligations. The netinterest income / (expense) on the net defined benefit
obligation is recognised in the Statement of Profit and
Loss. However, the related re-measurements of the
net defined benefit obligation are recognised directlyin the OCI in the period in which they arise. The said
re-measurements comprise of actuarial gains andlosses (arising from experience adjustments andchanges in actuarial assumptions), the return on plan
assets (excluding interest). Re-measurements are notreclassified to the Statement of Profit and Loss in any of
the subsequent periods.

2.16 Employee benefitsc.

	
The Group’s employee benefits mainly include
wages, salaries, bonuses, defined contribution plans,	The employees of the Group are entitled tocompensated absences as well as other long-term
benefits. Compensated absences benefit comprises	Ordinary shares are classified as Equity when the
Company has an unconditional right to avoid delivery ofcash or another financial asset, that is, when the dividend
and repayment of capital are at the sole and absolute
discretion of the Company and there is no contractual
obligation whatsoever to that effect.

Financial Statements

Notes to Consolidated Financial Statements

countries where the group entities operate and generatetaxable income, which is likely to give future economic
benefits in the form of availability of set off against
future income tax liability. MAT is recognised as deferred
tax assets in the Balance Sheet to the extent that it isprobable that future taxable profit will be available
against which MAT credit can be utilised.
	Deferred tax assets and liabilities are offset where there
is a legally enforceable right to offset current tax assets
and liabilities and where the deferred tax balances relate
to the same taxation authority.

Management Discussion & Analysis

Other long-term employee benefitsof encashment and availment of leave balances thatwere earned by the employees over the period ofpast employment.
	The Group provides for the liability towards the said
benefits on the basis of actuarial valuation carried out
quarterly as at the reporting date, by an independent
qualified actuary using the projected-unit-credit method.
The related re-measurements are recognised in theStatement of Profit and Loss in the period in which
they arise.
d.

Share-based payments

	The Group operates equity-settled and cash-settled
employee share-based compensation plans, underwhich the Group receives services from employees as
consideration for stock options either towards shares of
the Company or cash settled units.
	In case of equity-settled awards, the fair value of stock
options (at grant date) is recognised as an expense in theStatement of Profit and Loss within employee benefits
as employee share-based payment expenses over thevesting period, with a corresponding increase in sharebased payment reserve (a component of equity).
	The total amount so expensed in case of equity settledawards is determined by reference to the grant datefair value of the stock options granted, which includes
the impact of any market performance conditions andnon-vesting conditions but excludes the impact of any
service and non-market performance vesting conditions.
However, the non-market performance vesting andservice conditions are considered in the assumption as
to the number of options that are expected to vest. The
forfeitures are estimated at the time of grant and reduce
the said expense rateably over the vesting period.
	The fair value of the amount payable to employees inrespect of share-based payments which are settled in
cash, is recognised as an expense on a straight-line basiswith a corresponding increase in liabilities, over the period
during which the employees become unconditionallyentitled to payment. The liability is remeasured at eachreporting date and at settlement date based on the fairvalue of such instruments. Any changes in the liability
are recognised in profit or loss.
	The expense so determined is recognised over therequisite vesting period, which is the period overwhich all of the speciﬁed vesting conditions are to besatisfied. As at each reporting date, the Group revises its
estimates of the number of options that are expected tovest, if required.
	It recognises the impact of any revision to original
estimates in the period of change. Accordingly, no

Integrated Report and Annual Financial Statements 2022-23

349

Corporate Overview

Notes to Consolidated Financial Statements(All amounts are in millions of Indian Rupee; unless stated otherwise)

expense is recognised for awards that do not ultimately
vest, except for which vesting is conditional upon amarket performance / non-vesting condition. These
are treated as vested irrespective of whether or not themarket / non-vesting condition is satisfied, provided that
service conditions and all other non-market performanceare satisfied.
	Where the terms of an award are modified, in addition
to the expense pertaining to the original award, anincremental expense is recognised for any modificationthat results in additional fair value, or is otherwise
beneficial to the employee as measured at the dateof modification.
	Where an equity-settled award is cancelled (including
due to non-vesting conditions not being met), it istreated as if it is vested thereon, and any un-recognised
expense for the award is recognised immediately. In
case of cancellation of cash-settled award, change in thevalue of the liability, if any, is recognised in Statement ofProfit and Loss.

2.17 Provisionsa.

General	Provisions are recognised when the Group has a present
obligation (legal or constructive) as a result of a past
event, it is probable that an outflow of resources will be
required to settle the said obligation, and the amountsof the said obligation can be reliably estimated.
	Provisions are measured at the present value of theexpenditures expected to be required to settle therelevant obligation (if the impact of discounting issignificant), using a pre-tax rate that reflects current
market assessments of the time value of money andthe risks specific to the obligation. The increase in theprovision due to unwinding of interest over passage oftime is recognised within finance costs.
	The Group is involved in various legal and taxation
matters, and the matters are in legal course.
Management, in consultation with legal, tax and otheradvisers, assesses the likelihood that a pending claim
will succeed. The Group recognises a provision incases where it is probable that an outflow of resources
embodying economic benefits will be required to settle
the obligations arising from such claims.
b.

Asset retirement obligations (‘ARO’)	ARO are recognised for those lease arrangements where
the Group has an obligation at the end of the lease
period to restore the leased premises in a condition
similar to inception of lease. ARO are provided at thepresent value of expected costs to settle the obligation
and are recognised as part of the cost of that particular350

Bharti Airtel Limited

asset. The estimated future costs of decommissioning
are reviewed annually and any changes in the estimatedfuture costs or in the discount rate applied are adjusted
from the cost of the asset.

2.18 Contingencies	A disclosure for a contingent liability is made when there
is a possible obligation or a present obligation that may,
but probably will not, require an outflow of resources.
When there is a possible obligation or a present
obligation in respect of which the likelihood of outflow ofresources is remote, no provision or disclosure is made.
Contingent assets are not recognised and are disclosed
only where an inflow of economic benefits is probable.

2.19 Revenue recognition	Revenue is recognised upon transfer of control ofpromised products or services to the customer at
the amount of transaction price (net of variableconsideration) which the Group has received or expects
to receive in exchange of those products or services, netof any taxes / duties, discounts and process waivers.
When determining the consideration to which the Groupis entitled for providing promised products or services
via intermediaries, the Group assesses whether it isprimarily responsible for fulfilling the performanceobligation and whether it controls the promised service
before transfer to customers. To the extent that theintermediary is considered a principal, the consideration
to which the Group is entitled is determined to be thatreceived from the intermediary.
	
Revenue is recognised when, or as, each distinct
performance obligation is satisfied. The main categories
of revenue and the basis of recognition are as follows:a.

Service revenues	Service revenues mainly pertain to usage, subscription
and customer onboarding charges for voice, data,
messaging, other value added services and DTH
services. It also includes revenue from interconnection/ roaming charges for usage of the Group’s network byother operators for voice, data, messaging and signaling
services. Service revenues also include rental revenue
for use of sites and energy revenue for the provision ofenergy for operation of sites.
	Telecommunication services (comprising voice, data andSMS) are considered to represent a single performanceobligation as all are provided over the Group’s networkand transmitted as data representing a digital signal
on the network. The transmission consumes network
bandwidth and therefore, irrespective of the nature of
the communication, the customer ultimately receives
access to the network and the right to consume
network bandwidth.

Management Discussion & Analysis

Statutory Reports

Financial Statements

Notes to Consolidated Financial Statements(All amounts are in millions of Indian Rupee; unless stated otherwise)	The Group recognises revenue from these services
as they are provided. Revenue is recognised basedon actual units of telecommunication services
provided during the reporting period as a proportionof the total units of telecommunication services to beprovided. Subscription charges are recognised over thesubscription pack validity period. Customer onboarding
revenue is recognised upon successful onboarding ofcustomer i.e. upfront except for ‘Digital TV services’business, in which case the customer onboarding
revenue is deferred over the average expected customer
life. Revenues in excess of invoicing are classified as
unbilled revenue while invoicing / collection in excess
of revenue are classified as deferred revenue / advancefrom customers.
	The Group collects Goods and Services Tax (‘GST’)
on behalf of the government and therefore, it is not an
economic benefit flowing to the Company, hence it is
excluded from revenue.
	Service revenues also includes revenue frominterconnection / roaming charges for usage of theGroup’s network by other operators for voice, data,
messaging and signaling services. These are recognised
upon transfer of control of services over time.
	Certain business services revenues include revenue
from registration and installation, which are amortisedover the period of agreement since the date of activationof service.
	Revenues from long distance operations compriseof voice services and bandwidth services (including
installation), which are recognised on provision ofservices over the period of respective arrangements.
	Rental revenue is recognised as and when services are
rendered on a monthly basis as per the contractual termsprescribed under master service agreement entered withcustomer. Exit Charges are recognised when uncertainty
relating to the amounts receivable on exit is resolved
and it is probable that a significant reversal relating to
the amounts receivable on exit will not occur. Energy
revenue is recognised over the period on a monthly
basis upon satisfaction of performance obligation as
per contracts with the customers. The transaction priceis the consideration received from customers based on
prices agreed as per the contract with the customers. The
determination of standalone selling prices is not requiredas the transaction prices are stated in the contract basedon the identified performance obligation.
	As part of the mobile money services, the Group earns
commission from merchants for facilitating recharges,
bill payments and other merchant payments. It also earns
commissions on transfer of money from one customer

wallet to another. Such commissions are recognised asrevenue at a point in time on fulfillment of these services
by the Group.
b.

Multiple element arrangements

	The Company has entered into certain multiple-element
revenue arrangements which involve the delivery or
performance of multiple products, services or rights
to use assets and other value added services. At the
inception of the arrangement, all the deliverables therein
are evaluated to determine whether they represent
distinct performance obligations, and if so, they areaccounted for separately. Total consideration related tothe multiple element arrangements is allocated to eachperformance obligation based on their standalone selling
prices. The stand-alone selling prices are determinedbased on the list prices at which the Company sells
equipment and network services separately.
c.

Equipment sales	
Equipment sales mainly per tain to sale oftelecommunication equipment and related accessories
for which revenue is recognised when the control ofequipment is transferred to the customer, i.e. transferred
at a point in time. However, in case of equipment saleforming part of multiple-element revenue arrangements
which is not a distinct performance obligation, revenue
is recognised over the customer relationship period.
d.

Interest income

	The interest income is recognised using the EIR method.
For further details, refer note 2.10.
e.

Costs to obtain or fulfil a contract with a customer

	The Group incurs certain costs to obtain or fulfill
contracts with customers viz. intermediary commission,etc. Where based on Group’s estimate of historic
average customer life derived from customer churn rate
is longer than 12 months, such costs are deferred andare recognised over the average expected customer life.
f.

Dividend income	Dividend income is recognised when the Company’s
right to receive the payment is established. For further
details, refer note 2.10.

2.20 Government grants	Grants from the government are recognised where
there is a reasonable assurance that the grant will
be received and the Company will comply with all
attached conditions.
	Government grants relating to income are deferred andrecognised in the Statement of Profit and Loss over theperiod necessary to match them with the costs that they
are intended to compensate.

Integrated Report and Annual Financial Statements 2022-23

351

Corporate Overview

Notes to Consolidated Financial Statements(All amounts are in millions of Indian Rupee; unless stated otherwise)ordinated plan to dispose of such a line of business orarea of operations, or is a subsidiary acquired exclusively
with a view to resale. The results of discontinued
operation are presented separately in the Statement ofProfit and Loss for all the periods presented.

	Government grants relating to the purchase of property,
plant and equipment are included in non-current liabilities
as deferred income and are credited to Statement ofProfit and Loss on a straight-line basis over the expected
lives of the related assets.

2.21 Borrowing costs	Borrowing costs consist of interest and other ancillarycosts that the Group incurs in connection with theborrowing of funds. The borrowing costs directly
attributable to the acquisition or construction of any
asset that takes a substantial period of time to get
ready for its intended use or sale are capitalised. Allother borrowing costs are recognised in the Statementof Profit and Loss within finance costs in the period inwhich they are incurred.

2.22 Exceptional items
	Exceptional items refer to items of income or expense
within the Statement of Profit and Loss from ordinary
activities which are non-recurring and are of such size,
nature or incidence that their separate disclosure isconsidered necessary to explain the performance of
the Group.

2.23 Dividends paid	Dividend to shareholders is recognised as a liabilityon the date of approval by the shareholders. However,interim dividend is recorded as a liability on the date of
declaration by the Company’s Board of Directors.

2.24 Earnings per share (‘EPS’)
The Company presents the Basic and Diluted EPS.
	Basic EPS is computed by dividing the profit for theperiod attributable to the shareholders of the Parent by
the weighted average number of shares outstanding
during the period excluding the treasury shares.
	Diluted EPS is computed by adjusting, the profit for theyear attributable to the shareholders and the weighted
average number of shares considered for deriving Basic
EPS, for the effects of all the shares that could havebeen issued upon conversion of all dilutive potential
shares. The dilutive potential shares are adjusted forthe proceeds receivable had the shares been actually
issued at fair value. Further, the dilutive potential sharesare deemed converted as at beginning of the period,
unless issued at a later date during the period.

2.25 Discontinued operation	A discontinued operation is a component of the Group
that has been disposed off or is classified as held for saleand that represents a separate major line of business orgeographical area of operations, is part of a single co-352

Bharti Airtel Limited

3.	Key sources of estimation uncertainties andcritical judgements
	The estimates and judgements used in the preparation of
the said Financial Statements are continuously evaluatedby the Group, and are based on historical experienceand various other assumptions and factors (including
expectations of future events), that the Group believes
to be reasonable under the existing circumstances. The
said estimates and judgements are based on the facts
and events, that existed as at the reporting date, or that
occurred after that date but provide additional evidence
about conditions existing as at the reporting date.
	Although the Group regularly assesses these estimates,
actual results could differ materially from theseestimates - even if the assumptions underlying such
estimates were reasonable when made, if these results
differ from historical experience or other assumptions do
not turn out to be substantially accurate. The changes
in estimates are recognised in the Financial Statementsin the year in which they become known.

Management Discussion & Analysis

Statutory Reports

Notes to Consolidated Financial Statements(All amounts are in millions of Indian Rupee; unless stated otherwise)

ten-year information for management reporting
purpose, the Group uses ten-year plans for the purposeof impairment testing.
b.

Taxes

	Uncertainties exist with respect to the interpretationof complex tax regulations and the amount andtiming of future taxable income. Given the wide range
of international business relationships and the longterm nature and complexity of existing contractual
agreements, differences arising between the actual
results and the assumptions made, or future changes tosuch assumptions, could necessitate future adjustments
to tax income and expense already recorded. The Groupestablishes provisions, based on reasonable estimates,for possible consequences of audits by the tax authoritiesof the respective countries in which it operates. The
amount of such provisions is based on various factors,
such as experience of previous tax audits and differinginterpretations of tax regulations by the taxable entity
and the relevant tax authority.

	The estimates and assumptions that have a significant
risk of causing a material adjustment to the carrying
values of assets and liabilities are discussed below:

	Deferred tax assets are recognised for the unused tax
losses for which there is probability of utilisation against
the future taxable profit. Significant management
judgement is required to determine the amount ofdeferred tax assets that can be recognised, based
upon the likely timing and the level of future taxable
profits, future tax planning strategies and recent
business performances and developments. For detailas to provisions and contingencies, refer note 20 and
23 respectively.

a.

c.

3.1 Key sources of estimation uncertainties

Impairment reviews

	Property, plant and equipment (including capital workin-progress) and intangible assets with definite lives,
are reviewed for impairment, whenever events orchanges in circumstances indicate that their carrying
values may not be recoverable. Goodwill and IAUD aretested for impairment, atleast annually and whenevercircumstances indicate that it may be impaired. For
details as to the impairment policy, refer note 2.9.
	In calculating the value in use, the Group is required
to make significant judgements, estimates andassumptions inter-alia concerning the growth in earnings
before interest, taxes, depreciation and amortisation(‘EBITDA’) margins, capital expenditure, long-term
growth rates and discount rates to reflect the risks
involved. Also, judgement is involved in determining the
CGU / grouping of CGUs for allocation of the goodwill.
	The Group mainly operates in developing markets
and in such markets, the plan for shorter duration is
not indicative of the long-term future performance.
Considering this and the consistent use of such robust

Financial Statements

PPE	As described at note 2.7 above, the Group reviewsthe estimated useful lives of PPE at the end of eachreporting period. After considering market conditions,industry practice, technological developments and otherfactors, the Group determined that the current useful
lives of its PPE remain appropriate. However, changes
in economic conditions of the markets, competition
and technology, among others, are unpredictable andthey may significantly impact the useful lives of PPE
and therefore the depreciation charges. Refer note 2.7
and 5 for the estimated useful life and carrying value of
PPE respectively.
d.

Allowance for impairment of trade receivables

	The expected credit loss is mainly based on the ageingof the receivable balances and historical experience.
The receivables are assessed on an individual basis orgrouped into homogeneous groups and assessed for
impairment collectively, depending on their significance.
Moreover, trade receivables are written off on acase-to-case basis if deemed not to be collectible on theassessment of the underlying facts and circumstances.

e.

Contingent liabilities and provisions

	The Group is involved in various legal, tax and regulatory
matters, the outcome of which may not be favorable
to the Group. Management in consultation with thelegal, tax and other advisers assess the likelihood thata pending claim will succeed. The Group has applied
its judgement and has recognised liabilities based onwhether additional amounts will be payable and has
included contingent liabilities where economic outflows
are considered possible but not probable.

3.2	Critical judgements in applying the Group’s
accounting policies
	The critical judgements, which the management has
made in the process of applying the Group’s accounting
policies and have the most significant impact on theamounts recognised in the said Financial Statements,
are discussed below:a.

Revenue recognition and presentation

	The Group assesses its revenue arrangements in orderto determine if it is acting as a principal or as an agent
by determining whether it has primary obligation basis
pricing latitude and exposure to credit / inventory risks
associated with the sale of goods / rendering of services.
	
In the said assessment, both the legal form andsubstance of the agreement are reviewed to determine
each party’s role in the transaction.
b.

Separating lease and non-lease components

	The consideration paid by the Group in telecommunication
towers lease contracts include the use of land and passive
infrastructure as well as maintenance, security, provisionof energy etc. Therefore, in determining the allocation of
consideration between lease and non-lease components,
for the additional services that are not separately priced,
the Group performs analysis of cost split to arrive at
relative stand-alone prices of each of the components.
The bifurcation of the consideration paid (excluding
energy) between lease versus non-lease component
across the Group has been accordingly considered at55-78% as lease component on an overall basis.
c.

Determining the lease term	Under Ind AS 116 if it is reasonably certain that a lease
will be extended / will not be early terminated, theGroup is required to estimate the expected lease period
which may be different from the contractual tenure. The
Group has various tower lease agreements with a rightto extend / renew / terminate wherein it considers thenature of the contractual terms and economic factors
to determine the lease term. After assessing suchfactors, the lease liability has been calculated using theremaining - contractual lease period / lease period until
which significant exit penalties are payable.

Integrated Report and Annual Financial Statements 2022-23

353

Corporate Overview

Notes to Consolidated Financial Statements(All amounts are in millions of Indian Rupee; unless stated otherwise)d.	Determining the incremental borrowing rate forlease contracts
	The initial recognition of lease liabilities at present value
requires the identification of an appropriate discountrate. The Group has determined the incremental
borrowing rate based on considerations specific to theleases by taking consideration of the risk free borrowing
rates as adjusted for country / Company specific risk
premiums (basis the readily available data points).
e.

Determination of functional currency

	The Group has determined the functional currency of
the Group entities by identifying the primary economic
environment in which the entity operates, based onunderlying facts / circumstances. However, in respect ofcertain intermediary foreign operations of the Group, thedetermination of functional currency is not very obvious due
to mixed indicators and the extent of autonomy enjoyed by
the foreign operation. In such cases, management uses its
judgement to determine the functional currency that mostfaithfully represents the economic effects of the underlying
transactions, events and conditions.
f.

Taxes

	The identification of temporary differences pertaining
to the investment in subsidiaries that are expected toreverse in the foreseeable future and the determinationof the related deferred income tax liabilities after
considering the requisite tax credits require the Groupto make significant judgements.

4.

Significant transactions / new developmentsa)	During the year ended March 31, 2023, the Company
has allotted 71,176,839 equity shares of the facevalue of H 5 each fully paid up, on preferential basis to
Google International LLC at an issue price of H 734 perequity share (including a premium of H 729 per share)
aggregating to H 52,244, upon receipt of all applicablestatutory/ regulatory approvals including the approval
from the Competition Commission of India.
b)	During the year ended March 31, 2023, the compulsorily
convertible preference shares (‘CCPS’) of Nxtra Data
Limited, a subsidiary of the company, have been
converted into equity shares pursuant to the termsof Investment Agreement with CA Cloud Investments(‘Carlyle’). Upon conversion of 17,880,000 CCPS of facevalue of H 1,000 each into 2,854,461 equity shares of H
10 each, Carlyle holds 24.04% equity stake in Nxtra Data
Limited. The excess of CCPS liability derecognised overthe carrying value of minority interest of H 12,213 hasbeen recognised in the transaction with NCI reserve, acomponent of equity.
c)	During the year ended March 31, 2023, the Group has
participated in the latest spectrum auction conducted

354

Bharti Airtel Limitedby the Department of Telecommunications (‘DoT’),
Government of India and acquired 19,867.8 MHz
spectrum of 3.5 & 26 GHz bands and selective mid andlow band spectrum. This entire spectrum bank was
secured for a total consideration of H 430,396 for 20
years. The Group has paid 4 years of spectrum dues
upfront amounting to H 83,124 for all circles except North
East and Rajasthan circles where first instalment is paid
amounting to H 1,321. The said spectrum has been
allocated by the DoT on August 17, 2022. Payment forremaining spectrum dues shall begin from August 2026
for all circles except for North East and Rajasthan circles
where group will continue to pay instalment every year.
d)	During the year ended March 31, 2023, upon approvalof National Company Law Tribunal, Chandigarh Bench,
vide its order received on January 25, 2023 in certified
copy, the composite scheme of arrangement between
Nettle Infrastructure Investments Limited (‘Nettle’),Telesonic Networks Limited (‘Telesonic’), their respective
shareholders and the Company, under sections 230
to 232 along with other applicable provisions of theCompanies Act, 2013 for amalgamation of Nettle andTelesonic, wholly-owned subsidiaries, with the Company(‘Scheme’) has become effective from February 1, 2023,
with an appointed date of April 1, 2022 in accordancewith the Scheme.
	Consequently, the authorised share capital of Nettle
and Telesonic has been added to the authorised sharecapital of the Company. Accordingly, as on effective
date of scheme, the authorised equity share capital of
the Company is H 148,730 divided into 29,746,080,000
equity shares of H 5 each.
e)	During the year ended March 31, 2023, the Company
has, in accordance with the terms of the offering circular
dated (‘Offering Circular’) January 14, 2020 w.r.t. USD
1,000 Mn (approx. H 72,017) 1.50% Convertible Bonds
due 2025 (‘FCCBs’), allotted 11,903,000 equity sharesof the face value of H 5 each fully paid up at a conversion
price of H 521 per equity share and 27,543 equity
shares of the face value of H 5 each fully paid up at aconversion price of H 523 per equity share, against theconversion request of FCCBs of USD 86.1 Mn and USD
0.2 Mn respectively.
f)	On April 26, 2023, Indus Towers Limited, a Joint
Venture Company (‘JVC’) of the Company, in its Audited
Consolidated Financial Statement for year ended
March 31, 2023 reported certain matters relating
to one of its large customers (‘customer’), which issummarised below:
	The said customer accounts for substantial part ofrevenue from operations for the year ended March
31, 2023 and constitutes a significant part of trade

Management Discussion & Analysis

Statutory Reports

Financial Statements

Notes to Consolidated Financial Statements(All amounts are in millions of Indian Rupee; unless stated otherwise)

receivables outstanding and unbilled revenue as at
March 31, 2023. The said customer has indicated in its
latest published unaudited results for the quarter andnine months ended December 31, 2022, that its ability
to continue as a going concern is dependent on raising
additional funds, negotiations with lenders & vendors
and generation of cash flows from operations. The said
customer had informed the JVC that a funding plan wasunder discussion with its lenders and had agreed to apayment plan with the JVC to pay part of the monthly
billing till December 2022 and 100% of the amounts
billed from January 2023 onwards. As regards the dues
outstanding as on December 31, 2022, it had agreed to
pay the dues between January 2023 and July 2023.
	However, during the current quarter, the funding planof the said customer did not materialise and the said
customer has indicated challenges in making thecommitted payments pertaining to the outstanding
amount due as at December 31, 2022. Although, thesaid customer has been paying an amount equivalent
to monthly billing from January 2023.
	The JVC, subject to the terms and conditions agreed
between the parties, has a secondary pledge overpromoter’s remaining shares held in the JVC and acorporate guarantee provided by said customer’s
promoter which could be triggered in certain situations
and events in the manner agreed between the parties.
However, this is not adequate to cover the total
outstanding with the said customer.
	The potential loss of the said customer due to its ability
to continue as a going concern or the failure to attract
new customers could have an adverse effect on thebusiness, results of operations and financial positionof the JVC and amounts receivable (including unbilled
revenue) and carrying amount of property, plant andequipment related to the said customer.
g)	During the year ended March 31, 2022, the CCPS of
Airtel Payments Bank Limited (‘APBL’), an associateof the Company, have been converted into equity
shares which has resulted in dilution of Company’s
shareholding from 80.1% to 73.9%. On the same date,the Board of APBL has approved issuance of partly paid
up 129,622,090 equity shares at H 14.74/- (Face valueof H 10 and premium of H 4.74) per share on rights basis
to its equity shareholders as on September 30, 2021.
The shareholders were required to pay H 1 per shareat the time of the application towards the subscriptionof the Rights equity share. Further, the partly paid up
rights equity shares to other subscribers were allottedby APBL and Bharti Airtel Limited has chosen not to
subscribe to the rights equity shares which has resulted
in dilution of Company’s shareholding from 73.9% to73.4% (effective).

	Further, during the year ended March 31, 2023, on
receipt of first call money on partly paid up rights equity
shares from other subscribers has resulted in dilution ofCompany’s shareholding from 73.4% to 72.61%.
h)	In April 2022, one of the Airtel Mobile Commerce BV’s(‘AMC BV’) subsidiaries, SMARTCASH Payment Service
Bank Limited (‘SMARTCASH’), received the final approval
from the Central Bank of Nigeria for a full Payment
Service Bank license affording it the opportunity todeliver a full suite of mobile money services in Nigeria.
	Later in August 2022, in line with the directions of theCentral Bank of Nigeria, SMARTCASH was transferredto Airtel Networks Limited (a subsidiary of Airtel Africa
Group, outside the perimeter of AMC BV Group). Airtel
Africa Group has agreed with non-controlling investors
to compensate them for their respective potential
loss of value by way of transferring additional AMC
BV shares equivalent to the value of SMARTCASH on
the prescribed trigger event date (subject to a cap of
5% of the value of AMC BV Group), which will only bepayable in the event that SMARTCASH does not again
form part of the AMC BV Group perimeter or the noncontrolling investors do not own a direct shareholdingin SMARTCASH based on regulatory approvals, by theprescribed trigger event date.
	
Given that the proposal to compensate the noncontrolling investors is agreed, for their economic value
loss due to exclusion of SMARTCASH (which they
were entitled to before the transfer of SMARTCASH to
Airtel Nigeria Limited) based on the future fair value of
SMARTCASH on the prescribed trigger event date, Airtel
Africa Group continues to recognise non-controllinginterest w.r.t. net assets of SMARTCASH.
i)	On July 7 2022, Bharti Airtel International (Netherlands)
B.V. (‘BAIN’) (one of the Group’s subsidiaries)
completed the early redemption of USD 450 Mn of its
USD 1,000 Mn of 5.35% Guaranteed Senior Notes
due in 2024 for a consideration of USD 463 Mn. The
consideration included accrued interest up to the dateof redemption and early redemption cost.
j)	During the year ended March 31, 2021, the National
Company Law Tribunal, New Delhi, subject to theapplicable sectoral approval, approved the composite
Scheme of arrangement under Sections 230 to 232of the Companies Act, 2013 (‘Scheme’) for transfer ofVery Small Aperture Terminal (‘VSAT’) business of theCompany and Bharti Airtel Services Limited, a wholly
owned subsidiary of the Company, on a going concern
basis by way of slump sale and vesting of the same with
Hughes Communications India Private Limited (‘Hughes
India’) and HCIL Comtel Private Limited against theconsideration of H 663 and H 334 respectively. During

Integrated Report and Annual Financial Statements 2022-23355

Corporate Overview

Notes to Consolidated Financial Statements(All amounts are in millions of Indian Rupee; unless stated otherwise)

the year ended March 31, 2022, the Scheme had
become effective on January 4, 2022 upon fulfillmentof conditions and receipt of requisite approval(s).
Furthermore, the Company had invested approximately
H 998 in Hughes India and holds its 33.33% equity
shareholding w.e.f. January 4, 2022.

without changing the overall payment period of 10 years
as fixed by the Supreme court (i.e. the last of the yearly
instalment payment to be made by March 31, 2031). The
revised amount of instalment of the AGR dues is to be paid
within this time frame only. The Group vide its letter dated
October 22, 2021 has confirmed DoT to avail the offer.

k)	During the year ended March 31, 2022, the Company
had paid H 155,191 and H 88,145 to the DoT (Governmentof India) towards prepayment of the entire deferredliabilities pertaining to spectrum acquired by theCompany in 2014 auction (including acquired spectrum)and towards prepayment of the first two installmentsof deferred liabilities pertaining to spectrum acquiredby the Company in 2015 auction (including acquired
spectrum) respectively.

n)	During the year ended March 31, 2022, the Company
has transferred spectrum rights and related future
liabilities of H 4,693 to another telecom operator for
the Company’s 800 MHz spectrum in Andhra Pradesh(3.75 MHz), Delhi (1.25 MHz) and Mumbai (2.5 MHz) for
consideration of H 10,048 (Refer note 31(ii)(b)).

l)	During the year ended March 31, 2022, the Company
had allotted 392,287,662 partly paid-up equity shares at
an issue price of H 535 per share (with H 133.75 paid on
application and balance to be paid in two more additionalcalls as may be decided by the Board / Committee of theBoard of the Company from time to time) to the eligible
applicants under the rights issue.
m)	On October 24, 2019, the Supreme Court delivered ajudgement in relation to a long outstanding industrywide case upholding the view of the DoT in respectof the definition of Adjusted Gross Revenue (‘AGR’).
Further, in its judgement dated September 1, 2020(‘AGR September judgement’), the Supreme Court
reaffirmed that the demand raised by the DoT stated inits modification application. In addition, Supreme Court
directed that the Telecom Service Providers (‘TSPs’) shallmake a payment of 10% of the total dues as demanded
by DoT by March 31, 2021 and remaining dues in yearly
instalments commencing April 1, 2021 till March 31,
2031, payable by March 31 of every succeeding financial
year. Considering the above Supreme Court’s judgment,
the Group accounted for provision for license fee andspectrum charges based on the demand raised by
the DoT and paid part dues in the previous years. On
July 19, 2021, the Group confirmed its compliance to
the Supreme Court with the directions to pay 10% of
total dues by March 31, 2021. The matter is pending
adjudication before the Supreme Court. Further, on July23, 2021 the Supreme Court pronounced its judgment,
whereby the applications filed by the TSPs for correctionof errors in the computation of demand amount by DoT
were dismissed. The Group has filed a review petition
against the order dated July 23, 2021 before theSupreme Court and the same is pending adjudication.
	In the meanwhile, DoT vide letter dated October 14, 2021
has offered a one-time opportunity to opt for deferment of
AGR related dues determined by the Supreme Court in the
AGR case, by a period of four years with immediate effect356

Bharti Airtel Limitedo)	Pursuant to Telecom Regulatory Authority of India's
tariff order in relation to broadcasting services, Bharti
Telemedia Limited, a Company’s subsidiary, had enteredinto revised agreements with the broadcasters. With
effect from April 1, 2019, basis such revised agreements
and the provisions of the new tariff order, Bharti Telemedia
Limited had re-assessed its performance obligations,extent of control over broadcasted content and various
other responsibilities and liabilities. Consequently,
the subsidiary had considered network capacity fee
and commission and incentives from broadcasters as
to subscription services, as part of its revenue fromoperations. Further, the Telecom Regulatory Authority
of India had implemented second and third amendment
to the tariff order effective from March 1, 2020 and
February 1, 2023 respectively and Bharti Telemedia
Limited had implemented the same to the extent isapplicable and is in control of Bharti Telemedia Limited,as a distributor.

Management Discussion & Analysis

Statutory Reports

Financial Statements

Notes to Consolidated Financial Statements(All amounts are in millions of Indian Rupee; unless stated otherwise)q)	During the year ended March 31, 2022, Airtel Nigeria
completed the buyback of 8.22% non-controllinginterest (out of existing 8.26%) from its non-controllingshareholders at a total cost of NGN 67.6 Bn (approx.
H 12,173) including directly attributable transaction
costs. The difference between such cost and thecarrying value of such non-controlling interest, has beenrecorded in ‘NCI reserve’ a component of equity.
r)	In March 2021, the Group had entered into agreementswith TPG’s The Rise Fund and Mastercard for the sale of
NCI in one of the Group’s subsidiaries (AMC BV) by wayof the secondary sale of AMC BV’s shares.
	On August 2, 2021, the Group completed the first close of
the transaction, whereby The Rise Fund and Mastercard
invested USD 150 Mn (approx. H 11,108) and USD 75 Mn(approx. H 5,554) respectively.
	On July 30, 2021, the Group further entered into anagreement with Qatar Holdings LLC for the sale offurther NCI in AMC BV and completed the first close of
the transaction on August 19, 2021, to receive USD 150
Mn (approx. H 11,108) from Qatar Holdings LLC.
	On November 16, 2021, the Group completed the second
close of the above transactions whereby The Rise Fundand Qatar Holdings LLC each invested a further USD 50
Mn (approx. H 3,734), and Mastercard a further USD 25
Mn (approx. H 1,867).

	On December 15, 2021, the Group further entered into
an agreement with Chimetech Holding Limited for thesale of further NCI in AMC BV and received USD 50 Mn(approx. H 3,734) from Chimetech Holding Limited.
	While the Group continues to control AMC BV, for all theabove-mentioned investments, the Group has recorded
a NCI including shares held within Escrow. These shares
may transfer to the investors at the end of a restructuring
period as per the terms of the agreements. The Grouphas concluded that it does not control the shares placedin Escrow and hence has recorded these shares as partof the Group’s NCI.
	Under the terms of the transaction, and in very limited
circumstances (including in the event that there is no
Initial Public Offering of shares in AMC BV within four
years of first close), The Rise Fund and Mastercard would
have the option, so as to provide liquidity to them, tosell its shares in AMC BV to Airtel Africa or its affiliates
at fair market value (determined by a mutually agreed
merchant bank using an agreed internationally acceptedvaluation methodology). The Group has determined thatsuccessfully executing the IPO is not within complete
control of the Group and has thus recorded a put option
liability at the present value of the expected buy-backamount which is also the maximum amount, by debiting‘NCI reserve’. Subsequent re-measurement of this liability
has been recognised as a finance cost.

	On March 31, 2021, Ministry of Information andBroadcasting (‘MIB’) has granted provisional licencefor providing DTH services to Bharti Telemedia Limited
w.e.f. April 1, 2021. As per the amended guidelines,
amongst other conditions, the validity of license which
will be issued subsequently, would be 20 years and theLicense fee (LF) prescribed is @ 8% of AGR, calculated
by excluding GST from gross revenue and the LF is to be
paid on quarterly basis to MIB.
p)	The Code on Social Security, 2020 (‘Code’) relating
to employee benefits during employment and postemployment benefits received Presidential assent in
September 2020. The Code has been published in theGazette of India. The Ministry of Labour and Employment(‘Ministry’) has issued draft of the Code on Social
Security (Central) Rules, 2020 on November 13, 2020and has invited suggestions from stakeholders which
are under active consideration by the Ministry. However,the date on which the Code will come into effect has notbeen notified. The Group is assessing the impact of theCode and will record any related impact in the period theCode becomes effective.
Integrated Report and Annual Financial Statements 2022-23

357

358
Property, plant and equipment (‘PPE’)

Bharti Airtel Limited

1,751
1,741

8,464
361
(45)
(19)
8,761
8,761
345
(2)
35
9,139

10,357202(49)
2
10,512
10,512335
8
25
10,8808,354
11,975

4,799
568
(2)
48
5,413
5,413
866
(5)
(97)
6,177

10,731
2,897
(11)
150
13,767
13,7674,455(70)
18,152

Buildings

5,798
8,238

874,586
908,497

1,094,375
182,766(42,402)(3,930)1,230,809
1,230,809
196,737(41,394)(9,758)1,376,394
2,643
2,925

3,417
764
(164)
41
4,058
4,058
1,069
(230)
(68)
4,829

4,653
2,134
(151)
65
6,701
6,701
1,451
(272)
(126)
7,754

1,926,716
231,788(51,121)(1,988)2,105,395
2,105,395
231,784(43,150)(9,138)2,284,891

5,843
145
(185)
(5)
5,798
5,798
2,355
85
8,238
0
0
0
0

Furnitureand fixtures

Plant andequipment

Land

158
208

1,916
24
(231)
25
1,734
1,734
24
(40)
56
1,774

2,047
57
(231)
19
1,892
1,892
36
(41)
95
1,982

Vehicles

2,682
2,946

9,753
11,76883,078
6,177
(265)
300
89,29089,290
6,415
(464)
389
95,63091,616
7,240
(131)
318
99,043
99,043
8,569
(450)
236
107,398

9,449
1,491
(354)
121
10,707
10,707
1,721
(308)
(215)
11,905
7,317
986
(272)
(6)
8,025
8,025
1,366
(206)
(226)
8,959

Computerand servers

Officeequipments

3,943

17
17

3,960
3,960

Aircrafts

905,725952,241

1,203,366
191,646(43,381)(3,541)
1,348,090
1,348,090
206,839(42,341)(9,669)1,502,919

2,061,412
245,954(52,233)(1,318)2,253,815
2,253,815
254,666(44,213)(9,108)2,455,160

Total

The Company has capitalised borrowing cost of H Nil and H 118 during the year ended March 31, 2023 and March 31, 2022 respectively. The rate used to determine the amount ofborrowing costs eligible for capitalisation is Nil and 4.85 % for the year ended March 31, 2023 and March 31, 2022 respectively, which is the weighted average interest rate applicableto the Group’s general borrowings.

*It includes an impairment charge of K 3,810 on plant and equipment (part of Mobile Services South Asia segment) pertaining to one of its subsidiary. The impairment charge has been recorded under exceptional itemsin the Statement of Profit and Loss (refer note 32(ii)(f)).

As of March 31, 2023
Net carrying value
As of March 31, 2022
As of March 31, 2023

Depreciation
Disposals / adjustments
Exchange differences

As of March 31, 2022
As of April 1, 2022

Depreciation
Disposals / adjustments
Exchange differences

As of March 31, 2023
Accumulated depreciation
As of April 1, 2021

Additions
Disposals / adjustments
Exchange differences

As of March 31, 2022
As of April 1, 2022

Additions
Disposals / adjustments*
Exchange differences

Gross carrying value
As of April 1, 2021

Leaseholdimprovements

The following table presents the reconciliation of changes in the carrying value of PPE for the year ended March 31, 2023 and March 31, 2022:

5.

(All amounts are in millions of Indian Rupee; unless stated otherwise)

Notes to Consolidated Financial Statements

Corporate Overview

6.

Amortisation
Disposals / adjustments
Exchange differences

As of March 31, 2022
As of April 1, 2022
Amortisation
Disposals / adjustments
Exchange differences

As of March 31, 2023
Net carrying value
As of March 31, 2022
As of March 31, 2023

Management Discussion & Analysis

Particulars

Projects in progress (net of provision)

Projects in progress (net of provision)

Goodwill #As of April 1, 2021
Additions
Disposals / adjustments
Exchange differences

As of March 31, 2022
As of April 1, 2022
Additions
Disposals / adjustments
Exchange differences

As of March 31, 2023
Accumulated amortisation
As of April 1, 2021

Statutory Reports
Financial Statements

Notes to Consolidated Financial Statements(All amounts are in millions of Indian Rupee; unless stated otherwise)

The carrying value of CWIP as of March 31, 2023 and March 31, 2022 is H 110,293 and H 42,386 respectively, which mainlypertains to plant and equipment.

For details towards pledge of the above assets refer note 18.2.

CWIP ageing schedule as of March 31, 2023:
Amount in CWIP for a period ofLess than 1 year
1-2 years
2-3 years
More than 3
years
Total

106,615
106,615
3,428
3,428
189
189
61
61
110,293
110,293

CWIP ageing schedule as of March 31, 2022:
Amount in CWIP for a period ofLess than 1 year
1-2 years
2-3 years
More than 3
years
Total

40,97540,975
1,233
1,233
56
56
122
122
42,38642,386

Goodwill and other intangible assets

The following table presents the reconciliation of changes in the carrying value of goodwill and other intangible assets for theyear ended March 31, 2023 and March 31, 2022:
Other intangible assets

Gross carrying value
SoftwareLicenses(including
spectrum)
Other acquired
intangibles
Total

331,701
9,249
340,950
340,950(572)
340,378
31,024
6,554(11,255)
4
26,32726,327
3,249
(481)
19
29,114
1,099,397
188,158(20,629)(174)
1,266,752
1,266,752
137,380(3,308)(1,505)
1,399,319
12,029490(7,505)
(18)
4,996
4,996
763
(1,011)(10)
4,738
1,142,450
195,202(39,389)(188)
1,298,075
1,298,075
141,392(4,800)(1,496)
1,433,171

24,967
4,166(11,243)
13
17,903
17,903
4,669
(466)
20
22,126
346,473
70,137(14,515)(997)
401,098
401,098
73,940(3,329)(2,117)
469,592
11,441622(7,474)
(24)
4,565
4,565
396
(1,011)
13
3,963
382,881
74,925(33,232)(1,008)423,566
423,566
79,005(4,806)(2,084)495,681

338,313337,7418,424
6,988
865,654929,727431
775
874,509937,490#Net carrying value of goodwill includes accumulated impairment of K 2,637 as of March 31, 2023 and March 31, 2022.

Integrated Report and Annual Financial Statements 2022-23359

Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

Notes to Consolidated Financial Statements

Notes to Consolidated Financial Statements

The carrying value of IAUD as of March 31, 2023 and March 31, 2022 is H 383,961 and H 17,161 respectively, which pertains
to spectrum and software / IT platform.

	The carrying value of Goodwill as of December 31,
2022 was USD 901 Mn (approx. H 74,588), USD 951
Mn (approx. H 78,728), USD 497 Mn. (approx. H 41,144)
and USD 1,200 Mn (approx. H 99,341) for Nigeria
Mobile Services, East Africa Mobile Services andFrancophone Africa Mobile Services and Mobile Money
Services, respectively.

(All amounts are in millions of Indian Rupee; unless stated otherwise)(All amounts are in millions of Indian Rupee; unless stated otherwise)

During the year ended March 31, 2023 and March 31, 2022, the Group has capitalised borrowing cost of H 14,752 andH 2,840 respectively. The weighted average rate used to determine the amount of borrowing costs eligible for capitalisationis 7.17 % (Specific borrowing), 3.34% (general borrowing) and 7.30% (specific borrowing), 3.34% (general borrowing) for
the year ended March 31, 2023 and March 31, 2022 respectively.
Weighted average remaining amortisation period of licenses as of March 31, 2023 and March 31, 2022 is 13.38 years and13.49 years respectively.

IAUD ageing as of March 31, 2023:
Amount in IAUD for a period ofParticulars

Less than 1 year

1-2 years

2-3 years

More than 3
years

Total

383,826
383,826

94
94

0
0

41
41

383,961
383,961

Projects in progress

IAUD ageing as of March 31, 2022:
Amount in IAUD for a period of

Projects in progress

Less than 1 year

1-2 years

2-3 years

More than 3
years

Total

17,07817,078

12
12

33
33

38
38

17,161
17,161

Impairment review - Goodwill
The carrying value of Group’s goodwill has been allocated to the following seven group of CGUs, whereby Nigeria, East Africa,
Francophone mobile services and Mobile money services, Group of CGUs pertain to Airtel Africa plc. (Airtel Africa) operations.
As of
March 31, 2023

March 31, 2022

Airtel Africa Operations
Nigeria Mobile Services
East Africa Mobile Services
Francophone Africa Mobile Services
Mobile Money Services
Africa Mobile Services

74,071
76,293
41,397
97,614

96,792
139,276
54,431
289,375

290,499

40,4137,609
344
337,741

40,413
7,057
344
338,313

Operation other than Africa
India Mobile Services
Airtel Business
Homes Services

The change in total goodwill is on account of foreign exchange differences.
The group test goodwill for impairment annually on December 31.

	Whilst the Board performed a long-term viability
assessment over a three-year period, for the purposesof assessing liquidity, the Group has adopted a ten-yearplan for the purpose of impairment testing due to thefollowing reasons:• The Group operates in emerging markets where
the telecommunications and mobile money market
is underpenetrated when compared to developed
markets. In these emerging markets, short-term plans(for example, five years) are not indicative of the longterm future prospects and performance of the Group.
• The life of the Group’s regulatory telecom licences
and network assets are at an average of ten years, thespectrum renewals happen for a period of ten years
or more and in general the replacement of technology
happens after a similar duration, and• The potential opportunities of the emerging
African telecom and mobile money sector, which
is mostly a two-three player market with lower
smartphone penetration.
	Accordingly, the Board approved that this planninghorizon reflects the assumptions for medium to longterm market developments, appropriately covers market
dynamics of emerging markets and better reflects the
expected performance in the markets in which theGroup operates.
	While using the ten-year plan, the Group also considers
external market data to support the assumptions usedin such plans, which is generally available only for the
first five years. Considering the degree of availability of
external market data beyond year five, the Group has
performed sensitivity analysis to assess the impact

on impairment of using a five-year plan. The resultsof this sensitivity analysis demonstrate that the initial
five-year plan with appropriate changes including longterm growth rates applied at the end of this period
does not result in any impairment and does not impact
the headroom by more than 6% in any of the group of
CGUs as compared to the headroom using the ten-year
plan. Further, the Group is confident that projections
for years six to ten are reliable and can demonstrate
its ability, based on past experience to forecast cash
flows accurately over a longer period. Accordingly, theBoard has approved and the Group continues to follow
a consistent policy of using an initial forecast period often years for the purpose of impairment testing.
	In assessing the Group’s prospects, the directors
considered 5G cellular network potential in the markets
in which the Group operates. The Group’s first endeavour
is to secure spectrum for 5G launch and roll out 5G
network in key markets. During the financial year, theGroup secured 5G spectrum in Nigeria, Kenya, Zambia
and Tanzania and will selectively launch 5G services inthese markets. Given the relatively low 4G customer
penetration in the countries where it operates, the Groupwill continue to focus on its strategy to expand its dataservices and increase data customer penetration byleveraging and expanding its leading 4G network.
	The nominal cash flows used in the impairment tests
reflect the Group’s current assessment of the impact ofclimate change and associated commitments the Grouphas made. Based on the analysis conducted so far, theGroup is satisfied that the impact of climate change does
not lead to an impairment as at December 31, 2022
and is adequately covered as part of the sensitivities
disclosed below.
	The nominal cash flows beyond the planning period
are extrapolated using appropriate long term terminal
growth rates. The long term terminal growth rates used
do not exceed the long term average growth rates of
the respective industry and country in which the entity
operates and are consistent with internal / externalsources of information.

	The inputs used in performing the impairment assessment at December 31, 2022 were as follows:

Details of impairment testing for the Group are as follows:A.

Impairment review of goodwill pertaining to Airtel Africa operations

	During the year, the Group re-assessed its operating segments which resulted in Mobile Money Services becoming a
new operating segment of the Group. In line with this change, for the purposes of impairment testing, Mobile Money
Services was identified an additional new group of CGUs. The new group of CGUs for impairment testing purposes are
Nigeria Mobile Services, East Africa Mobile Services, Francophone Africa Mobile Services and Mobile Money Services(previously Nigeria, East Africa and Francophone). Goodwill was reallocated to the four group of CGUs based on therelative values of each group of CGUs, this resulted in goodwill being reallocated from Nigeria Mobile Services, East Africa
Mobile Services and Francophone Africa Mobile Services to the Mobile Money services group of CGUs. Consequently, as
at April 1, 2022 USD 1,295 Mn (approx. 98,310) was reallocated to the new group of CGUs i.e., Mobile Money Services.

360

Bharti Airtel Limited

Assumptions

Pre tax Discount Rate
Capital expenditure (as a % ofrevenue)Long term growth Rate

Nigeria Mobile
Services

East Africa Mobile
services

Francophone Africa
Mobile Services

Mobile Money
services

33.38%
6% - 23%23.01%
8% - 20%

21.07%
9% - 26%

26.10%
1% - 5%

7.64%

7.30%

7.35%

7.47%

	At December 31, 2022 the impairment testing did not result in any impairment in the carrying amount of goodwill in anygroup of CGUs.

Integrated Report and Annual Financial Statements 2022-23

361

Corporate Overview

Notes to Consolidated Financial Statements

Assumptions

Basis of assumptions

Discount Rate

Nominal discount rate reflects the market assessment of the risks specific to the group of
CGUs and estimated based on the weighted average cost of capital for respective CGUs.
The cash flow forecasts of capital expenditure are based on experience after considering
the capital expenditure required to meet coverage and capacity requirements relating
to voice, data and mobile money services.
The growth rates into perpetuity used are in line with the nominal long-term average
growth rates of the respective industry and country in which the entity operates and areconsistent with the internal / external sources of information.

	At December 31, 2022 the impairment testing did not result in any impairment in the carrying amount of goodwill inany group of CGUs. The results of the impairment tests using these rates show that the recoverable amount exceeds
the carrying amount by USD 1,342 Mn (approx. H 110,096) for Nigeria Mobile Services (54%), USD 1,593 Mn (approx.
H 131,875) for East Africa Mobile Services (66%), USD 1,512 Mn (approx. H 125,170) for Francophone Africa Mobile
Services (105%) and USD 2,688 Mn (approx. H 222,524) for Mobile Money Services (198%). The group therefore
concluded that no impairment was required to the Goodwill held against each groups of CGUs.
Sensitivity in discount rate and capital expenditure	Management believes that no reasonably possible change in any of the key assumptions would cause the difference
between the carrying value and recoverable amount for any cash generating unit to be materially different from therecoverable value in the base case. The table below sets out the breakeven pre-tax discount rate for each group of CGUs,
which will result in the recoverable amount being equal with the carrying amount for each group of CGUs:

Pre tax Discount Rate

Nigeria Mobile
Services

East Africa Mobile
services

Francophone Africa
Mobile Services

46.89%

32.34%

33.37%

Mobile Money
services

55.00%

	The table below presents the increase in isolation in absolute capital expenditure as a percentage of revenue (across all
years of the impairment review) which will result in equating the recoverable amount with the carrying amount for eachgroup of CGUs:

Capital expenditure (as a % ofrevenue)

Nigeria Mobile
Services

East Africa Mobile
services

Francophone Africa
Mobile Services

6.21%

8.15%

8.89%

Mobile Money
services

20.24%

	No reasonably possible change in the terminal growth rate would cause the carrying amount to exceed therecoverable amount.
Impairment assessment for the year ended March 31, 2022:
The inputs used in performing the impairment assessment at December 31, 2021 were as follows:
Assumptions

Pre tax Discount Rate
Capital expenditure (as a % of revenue)
Long term growth Rate

Nigeria

East Africa

Francophone Africa

24.35%
8% - 15%
2.65%

16.17%
7% - 15%5.31%

15.43%
7% - 12%
5.46%

The key assumptions in performing the impairment assessment are as follows:
Assumptions

Basis of assumptions

Discount rate

Discount rate reflects the market assessment of the risks specific to the group of CGUs andestimated based on the weighted average cost of capital for each respective group of CGUs.
The cash flow forecasts of capital expenditure are based on experience after considering
the capital expenditure required to meet coverage and capacity requirements relating
to voice, data and mobile money services.
The growth rates used are in line with the long-term average growth rates of therespective industry and country in which the entity operates and are consistent withinternal / external sources of information

Capital expenditures

Growth rates

362

Bharti Airtel Limited

Financial Statements(All amounts are in millions of Indian Rupee; unless stated otherwise)

The key assumptions in performing the impairment assessment are as follows:

Growth rates

Statutory Reports

Notes to Consolidated Financial Statements(All amounts are in millions of Indian Rupee; unless stated otherwise)

Capital expenditures

Management Discussion & Analysis

	At December 31, 2021 the impairment testing did not result in any impairment in the carrying amount of goodwill in anygroup of CGUs. The results of the impairment tests using these rates show that the recoverable amount exceeds the
carrying amount by USD 5,579 Mn (approx. H 423,530) for East Africa (173%) and USD 2,559 Mn (approx. H 194,266)
for Francophone Africa (160%). For Nigeria, the recoverable amount exceeds the carrying amount by USD 2,842 Mn(approx. H 215,750) (104%) including the cash flows of PSB licence which was received subsequent to the impairment
testing date. Excluding such cash-flows did not result in any impairment in Nigeria. The Group therefore concluded thatno impairment was required to the Goodwill held against each group of CGUs.
Sensitivity in discount rate and capital expenditure	Management believes that no reasonably possible change in any of the key assumptions would cause the difference
between the carrying value and recoverable amount for any cash-generating unit to be materially different from therecoverable value in the base case. The table below sets out the breakeven pre-tax discount rate for each group of CGUs,
which will result in the recoverable amount being equal with the carrying amount for each group of CGU’s:

Pre tax Discount Rate

Nigeria

East Africa

Francophone Africa

43.70%

34.34%

32.63%

	The table below presents the increase in isolation in absolute capital expenditure as a percentage of revenue (across all
years of the impairment review) which will result in equating the recoverable amount with the carrying amount for eachgroup of CGUs:

Capital expenditure (as a % of revenue)

Nigeria

East Africa

Francophone Africa

9.64%

13.99%

11.06%

	No reasonably possible change in the terminal growth rate would cause the carrying amount to exceed therecoverable amount.

B.

Impairment review of goodwill pertaining to operations other than Airtel Africa

	The recoverable amounts of the above group of CGUs are based on value-in-use, which are determined based on tenyear business plans.
The Group has adopted a ten-year plan for the purpose of impairment testing due to the following reasons:• The Group operates in growing markets where the telecommunications market is continuously converging towards
adoption of smartphone devices. In these markets, short-term plans (for example, five years) are not indicative of thelong-term future prospects and performance of the Group.
• The life of the Group’s spectrum bandwidth has remaining useful life of more than ten years.
	Accordingly, the management believes that this planning horizon reflects the assumptions for medium to long-term
market developments, appropriately covers market dynamics and better reflects the expected performance in themarkets in which the Group operates.
	The testing carried out during December 2022, did not result in any impairment in the carrying amount of goodwill. While,for the previous year testing (December 2021), the Group, in line with para 99 of Ind AS 36 ‘Impairment of Assets’, used themost recent detailed calculation made in the year preceding the previous year (December 31, 2020 - the annual goodwill
impairment assessment date) of the recoverable amount of Mobility, Airtel Business and Homes CGUs to which goodwill
has been allocated. Accordingly, the disclosures made in the year preceding the previous year’s financial statements(March 31, 2021) relating to recoverable value are carried forward and disclosed as comparative information.

Integrated Report and Annual Financial Statements 2022-23

363

Corporate Overview

Notes to Consolidated Financial Statements

Statutory Reports

Financial Statements

Notes to Consolidated Financial Statements(All amounts are in millions of Indian Rupee; unless stated otherwise)(All amounts are in millions of Indian Rupee; unless stated otherwise)

As part of such testing, the key assumptions used in value-in-use calculations were as follows:

The summarised financial information of joint venture and associates that are material to the Group are as follows:

Assumptions

Basis of assumptions

Summarised balance sheet

EBITDA Margins

The margins have been estimated based on past experience after considering
incremental revenue arising out of adoption of value added and data services from theexisting and new customers. Margins will be positively impacted from the efficiencies
and cost rationalisation / others initiatives driven by the Group; whereas, factors likehigher churn, increased cost of operations may impact the margins negatively.
Discount rate reflects the current market assessment of the risks specific to a CGU
or group of CGUs and estimated based on the weighted average cost of capital for
respective CGU / group of CGUs. Pre-tax discount rates used are 13.36 % for the year
ended March 31, 2023 and 11.60% for the year ended March 31, 2021.
The growth rates used are in line with the long-term average growth rates of therespective industry and country in which the entity operates and are consistent with theinternal / external sources of information. The average growth rate used in extrapolating
cash flows beyond the planning period is 3.5% for March 31, 2023 and 3.5% forMarch 31, 2021.
The cash flow forecasts of capital expenditure are based on past experience after
considering the additional capital expenditure required for roll out of incremental
coverage and capacity requirements and to provide enhanced voice and data services.

Discount rate

Growth rate

Capital expenditures

Sensitivity to changes in assumptions
	With regard to the sensitivity assessment of value-in-use for Mobile Services India, Homes Services and Airtel Business,no reasonably possible change in any of the above key assumptions would have caused the carrying amount of theseunits to exceed their recoverable amount.

7.

Management Discussion & Analysis

Investment in joint ventures and associates

The amounts recognised in the Balance Sheet are as follows:
As of

Joint ventures
Associates

March 31, 2023

March 31, 2022

250,340
31,498281,838

248,920
35,348284,268

As ofMarch 31,
2023

Joint venture

March 31,2022

Associates

378,648356,563

152,648

164,312

7,481

5,226

224
86,852

9,802
113,311

5,963
6,393

5,024
9,184

3,758
19,073

1,684
14,31487,076

123,113

12,356

14,20822,831

15,99824,340148,661

23,739146,163

35,86823,62439,547
17,289160

139

Total non-current liabilities
Current liabilities

173,001

169,90259,492

56,836160

139

22,786
58,842

31,12957,1408,089
45,5899,955
53,091

850
25,260575
16,972

Total current liabilities
Equity81,628211,095
47.95%

88,269221,505
46.49%

53,67851,83428.18%

63,046
58,63828.18%

26,1104,042
72.61%

17,5473,538
73.41%

101,220
148,981

102,978
145,813

14,607
7,177

16,524
8,791

2,935
5,574

2,597
5,998

250,201
184,793248,791
278,191

21,78433,97525,31543,657

8,509
-

8,595
-

March 31,2023

March 31,2022

AssetsNon-current assets
Current assets

Cash and cash equivalents ('C&CE')
Other current assets (excluding'C&CE')

Total current assets
Liabilities
Non-current liabilities

Borrowings
Other liabilities (excluding'Borrowings')

Borrowings
Other liabilities (excluding'Borrowings')

Percentage of Group's ownershipinterest
Interest in joint venture / associate
Consolidation adjustment(including goodwill)

Carrying amount of investment
Quoted market value ofinvestment

Airtel Payments Bank Limited

For the year ended

March 31, 2023

March 31, 2022

7,371
150
7,521

24,258(26)
24,232

(4)
50
46

38
(3)
35

March 31,2023

March 31,2022

March 31,2023

March 31,
2022

Joint venture

Recognised in OCI

Associates

Indus Towers Limited

Robi Axiata Limited

283,818
54,410277,172
54,222

73,083
21,166

71,16021,157

12,781
571

9,326
227

2,165
16,704
7,193
20,400(8)

1,060
16,033
20,576
63,731
93

78
5,215
2,377
1,467
110

75
3,599
2,578
1,617
17

32
325
226
(22)

39
247
104
(11)

Total comprehensive income
for the year

20,392

63,824

1,577

1,634

204

93

Percentage of Group's ownershipinterest
Group's share in profit for the year
Group's share in other comprehensive(loss) / income for the year
Consolidation adjustments

47.95%

46.49%

28.18%

28.18%

72.61%

73.41%

9,711(4)

26,656
38

414
31

456
5

164
18

65
(8)

(2,347)
7,364
13,852(2,414)24,242
-

414
-

456
-

(364)
(200)
-

(549)
(484)
-

Revenue
Depreciation and amortisation
expensesFinance income
Finance cost
Income tax expense

Profit for the year
Other comprehensive (loss) /income for the year

Group's share in profit / (loss)
Dividend received
Bharti Airtel Limited

March 31,2023

Robi Axiata Limited

Recognised in profit and loss

364

March 31,2022

Indus Towers Limited

For the year ended

Joint ventures
Associates

March 31,2023

Summarised information on statement of profit and loss

The amounts recognised in the Statement of Profit and Loss are as follows:

Joint ventures
Associates

March 31,2022

Airtel Payments Bank Limited

Integrated Report and Annual Financial Statements 2022-23

365Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

Notes to Consolidated Financial Statements

Notes to Consolidated Financial Statements

The aggregate information of joint ventures that are individually immaterial is as follows:

Details of associates:(All amounts are in millions of Indian Rupee; unless stated otherwise)(All amounts are in millions of Indian Rupee; unless stated otherwise)

As ofCarrying amount of investments

March 31, 2023

March 31, 2022

139

129

For the year ended

Group's share in joint ventures

Net profit
Total comprehensive income

March 31, 2023

March 31, 2022

7
7

16
16

March 31, 2023

March 31, 2022

1,205

1,438

March 31, 2023

March 31, 2022

(64)
(64)

2
2

1

Indus Towers Limited @Principal place ofbusiness

India
Netherlands

3
4

Firefly Networks Limited

India

5

MAWEZI RDC S.A.*

Singapore

Democratic Republicof Congo

Principal activities

14.56

14.56

Bangladesh
India
India

Telecommunication services
Mobile commerce services
Digital books publishing
services
Telecommunication
services
Information technology
services

28.18
72.61
18.75

28.18
73.41
18.75

33.33

33.33

25.00

25.00

India
India

* Airtel Africa plc, in which the Group has 56.01 % equity interest (56.01% as of March 31, 2022), owns 26% of Seychelles Cable Systems Company Limited.
***The associate has two subsidiary namely Hughes Global Education India Private Limited & HCIL Comtel Private Limited. For details, refer note 44.

Refer note 23 for Group’s share of joint venture’s and associate’s commitments and contingencies.

Investments in subsidiaries

As ofMarch 31, 2023

March 31, 2022

Passive infrastructureservices
Investment company

47.95

46.49

50.00

50.00

Provision of regional mobile
services
Telecommunication
services
Construction and operationof a landing station

10.00

10.00

50.00

50.00

27.58

-

@ The joint venture has a subsidiary Smartx Services Limited. For details, refer note 44.
$ The joint venture has one subsidiary namely Millicom Ghana Company Limited (under liquidation). For details, refer note 44.

* Airtel Africa plc, in which the Group has 56.01 % equity interest (56.01% as of March 31, 2022), owns effectively 49.25% of MAWEZI RDC S.A.

S.no. Principal activity

1
2
3
4
5
6
7
8
9
10
11
12
13

Telecommunication services
Telecommunication services
Telecommunication services
Direct to home services
Data center and managed services
Uplinking channels for broadcasters
Content Procurement and Selling
Submarine cable
Submarine cable
Investment company
Investment company
OthersOthersS. no. Principal activity

1
2
3
4
5
6
7
8
9
10
11
12

Bharti Airtel Limited

Submarine cable system

Ownership interest %# Investments in joint ventures are unquoted except investment in Indus Towers Limited.

366

March 31, 2022

Seychelles

Information as to the subsidiaries which are part of the Group is as follows:

Bharti Airtel Ghana
Holdings B.V.$
Bridge Mobile Pte. Ltd.

2

Hughes Communication India Private
Limited***Lavelle Networks Private Limited

As ofMarch 31, 2023

# Investments in associates are unquoted except investment in Robi Axiata Limited.

8.

Details of joint ventures:
S.no. Name of joint ventures #Seychelles Cable Systems Company
Limited*Robi Axiata Limited**
Airtel Payments Bank Limited
Juggernaut Books Private Limited

Ownership interest %Principal place ofPrincipal activities
business**The associate has a subsidiary RedDot Digital Limited. For details, refer note 44.

For the year ended

Net profit
Total comprehensive income

2
3
4

6

As of

Group's share in associates

1

5

The aggregate information of associates that are individually immaterial is as follows:

Carrying amount of investments

S.no. Name of associates #Telecommunication services
Telecommunication services
Data center and managed services
Mobile commerce services
Infrastructure services
Investment company
Investment company
Investment company
Investment company
OthersOthersOthersPrincipal place ofbusiness

India
South Asia
Others
India
India
India
India
Mauritius
Africa
Mauritius
India
India
OthersPrincipal place ofbusiness

India
AfricaIndia
AfricaAfricaAfrica
Mauritius
Netherlands
OthersIndia
AfricaOthersNumber of wholly-owned subsidiaries
As ofMarch 31, 2023

March 31, 2022

2
1
6
1
1
1
1
1
5
1
1
21

2
1
6
1
1
1
1
1
1
5
1
2
1
24

Number of non-wholly-owned subsidiaries
As ofMarch 31, 2023

March 31, 2022

1
23
1
20
2
2
5
35
23
1
1
2
116

1
14
20
2
2
5
34
3
1
1
2
85

Integrated Report and Annual Financial Statements 2022-23

367

Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

Notes to Consolidated Financial Statements

Notes to Consolidated Financial Statements

Additionally, the Group also controls the employee stock option plan trusts as mentioned here below:

9.

(All amounts are in millions of Indian Rupee; unless stated otherwise)

Principal place ofbusiness

S. no. Principal activity

12(All amounts are in millions of Indian Rupee; unless stated otherwise)

Bharti Airtel Employees' Welfare Trust
The Airtel Africa Employee Benefit Trust

India
AfricaInvestments
As ofGovernment securities
Equity instruments
Preference shares

Summarised balance sheet

Equity instruments
Bharti Hexacom Limited

Airtel Africa Plc.*^

India

India

Africa

As of

As of
March 31, 2022

March 31, 2023

March 31, 2022

29,792
4,311

153,553
28,976

126,520
40,223762,905
156,172

635,206
151,740

4,639
4,141
25,32324.04%
6,088

79,013
61,42142,09530.00%
12,62968,34861,79036,60530.00%
10,982

311,366
294,009313,70243.99%
130,490

275,790
233,460
277,696
43.99%
116,049

AssetsLiabilities

Equity% of ownership interest held by NCI
Accumulated NCI

Corporate deposits
Commercial paper

Non-current
Current
Non-current
Current

Airtel Africa Plc.*

AssetsFor the year
ended

For the year ended

For the year ended

Currency swaps, forward and option contracts
Interest swaps

March 31, 2023

March 31, 2023

March 31, 2022

March 31, 2023

March 31, 2022

16,0112,201(2)65,7905,492(2)54,052
16,746(1)422,664
52,915(5,026)350,61246,626
7,988

2,199
418

5,490
1,647

16,7455,024

47,88923,27554,61520,509Nxtra Data
Limited #Bharti Hexacom Limited

Airtel Africa Plc.*

For the year
ended

For the year ended

For the year ended

March 31, 2023

March 31, 2023

March 31, 2022

March 31, 2023

March 31, 2022

6,409

51,084

12,580177,569

148,178(8,795)(20,309)(13,825)(82,416)(41,314)598(31,114)

1,831(89,669)(119,650)

(339)
-

586
-

# refer note 4(b)* Based on consolidated financial statements of the entity.
**It represents dividend being paid by Airtel Africa plc. to its shareholders other than Airtel Africa Mauritius Limited.

368

Bharti Airtel Limited

4,497
5,795
47,0458,614

47,045

8,614

656
-

609
-

Aggregate book value of unquoted investments

Bharti Hexacom Limited

Summarised statement of cash flows

Dividend paid to NCI (including tax)**

8,614

Aggregate book / market value of quoted investments

Nxtra Data
Limited #(1,788)-36,753As of@represents respective entities owner’s share.

Net cash (outflow) / inflow

69
609

Investments carried at amortised cost

Summarised statement of profit and loss

Net cash inflow from operating
activities
Net cash outflow from investing
activities
Net cash inflow / (outflow) fromfinancing activities

69
656

10. Derivative financial instruments^Equity includes NCI of H 14,269 as of March 31, 2023 and H 11,160 as of March 31, 2022 respectively within Airtel Africa Plc. structure.

Revenue
Net profit@
Other comprehensive (loss) /income@Total comprehensive income@
Profit allocated to NCI

2
253
285

Investment carried at FVTOCI

Mutual funds

As ofMarch 31, 2023

Non-current liabilities
Current liabilities

2
585
-

Current
Investments carried at FVTPL

March 31, 2023

Non-current assets
Current assets

March 31, 2022

Non-Current
Investments carried at FVTPL

The summarised financial information of subsidiaries (including acquisition date fair valuation and adjustments thereto, andaccounting policies alignment) having material NCI is as follows:

Nxtra Data
Limited #March 31, 2023

5,484
6,840

(12,786)
5,550

March 31, 2023

March 31, 2022

1,406
731
2,137

561
218
779

4,617
23
4,640
854
1,283
3,523
1,117

945
224
1,169
218
561
174
995

Liabilities
Currency swaps, forward and option contracts
Embedded derivatives
Non-current derivative financial assets
Current derivative financial assets
Non-current derivative financial liabilities
Current derivative financial liabilities

The Group holds derivatives which are accounted for as FVTPL. In some of these derivatives, on recognition, since the fairvalue of these derivatives could neither be evidenced by a quoted price in an active market nor data from any observable
markets was available, the difference between the fair value at initial recognition and the transaction price is deferred andrecognised on a straight-line basis over the tenure of such derivatives. The fair value of the derivatives are determined basedon a valuation report by the derivative issuer.
A reconciliation of day 1 aggregate difference not recognised at the beginning and end of the period of changes in the balanceof this difference is as follows:
For the year ended

Opening balance
Differences between fair value on initial recognition and transactions priceLess: Aggregate difference recognised in Statement of profit and loss

Closing balance

March 31, 2023

March 31, 2022

75
2,401
(738)
1,738

298
(223)
75

Refer note 37 for details of the financial risk management of the Group.
Integrated Report and Annual Financial Statements 2022-23

369

Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

Notes to Consolidated Financial Statements

Notes to Consolidated Financial Statements

11. Other financial assets
Non-current

The reconciliation between the amount computed by applying the statutory income tax rate to the profit before tax and theincome tax charge is summarised below:(All amounts are in millions of Indian Rupee; unless stated otherwise)(All amounts are in millions of Indian Rupee; unless stated otherwise)

As ofIndemnification asset*
Margin money deposits
Claims recoverable**
Security deposits#
OthersMarch 31, 2023

March 31, 2022

12,052
136
3,890
7,730
2,155
25,963

12,052
224
3,073
7,139
27
22,515* primarily includes indemnification assets pursuant to merger with Tata Teleservices (Maharashtra) Limited (‘TTML’) / Tata Teleservices Limited(‘TTSL’) and Telenor (India) Communications Private Limited (‘Telenor’).
**claims recoverable majorly include Universal Service Obligation Fund (‘USOF’) subsidy.
# Security deposits primarily include deposits given towards rented premises, cell sites and interconnect ports and is disclosed net of allowance

for impairment of H 2,210 and H 2,044 as of March 31, 2023 and March 31, 2022, respectively. It also includes amount due from related party (refer
note 35).

Current
As ofUnbilled revenue (refer note 24)
Indemnification assets*
Claims recoverable
Interest accrued on deposits
Others#March 31, 2023

March 31, 2022

20,923
191,248
4,389
375
3,930
220,865

19,051
187,311
4,536
220
3,579
214,697* primarily includes indemnification assets pursuant to merger with TTML / TTSL and Telenor.

12. Income tax
Amounts recognised in Statement of Profit and Loss:
For the year ended
March 31, 2023

March 31, 2022

34,550281
34,831

30,765(434)
30,331

7,904
(2)
7,902
42,733

11,602(154)
11,44841,779Current tax

Deferred tax-

Origination and reversal of temporary differences
Adjustments for prior periods

Income tax expense

Amounts recognised in OCI:
For the year ended
March 31, 2023

March 31, 2022

4,365
48
4,413

1,269
10
1,279

Deferred tax-

Tax credit on net investment hedge
Tax credit on re-measurement of defined benefit plans

Deferred Tax credit recorded in OCI

370

Bharti Airtel Limited

Income tax expense

March 31, 2022

165,60725.168%41,680124,831
25.168%31,418(2,933)
870
279
1,747
3,060
(9,534)
2,912
5,210
(717)
19
140
42,733(6,093)
1,913
(420)
158
2,594
6,823
8,745
(2,866)385(878)
41,779The analysis of deferred tax assets and liabilities is as follows:
As ofMarch 31, 2023

March 31, 2022

(30,995)(42,309)

(494)

(802)

12,282
181,069
223
2,035
4,163
5,688
1,052
14,886(390)
189,519

10,135
200,697
163
1,650
5,612
8,139
973
14,372620
199,250

Deferred tax assets (net)a) Deferred tax liability due tob) Deferred tax asset arising out of

The major components of the income tax expense are:

For the year
Adjustments for prior periods

Profit before tax
Enacted tax rates in India
Tax expense @ Company's domestic tax rate 25.168%
Effect of:
Share of profits in associates and joint ventures
Tax holiday
Adjustments in respect of previous years
Additional taxes / taxes for which no credit is allowed
Difference in tax rate applicable to group companies
Recognition of previously unrecognised tax losses
Expense / (income) not deductible / (taxable) (net)Tax on undistributed retained earnings of subsidiaries / joint venture
Items for which no deferred tax has been recognised
Settlement of various disputes
Others	Depreciation of PPE / ROU, amortisation of intangible assets and interest on leaseliabilities
Fair valuation of FCCBs# It includes amounts due from related party (refer note 35).

-

For the year ended
March 31, 2023

Allowance for impairment of debtors / advances
Carry forward losses
Unearned income
Employee benefits
Claim for variable license fee acquired under amnesty scheme
Fair valuation of financial instruments and exchange differences
Government grantRates and taxes
OthersAs ofMarch 31, 2023

March 31, 2022

19,965

9,352

14,375(142)

16,902511(5,601)(1,080)(6,208)(342)(205)
20,762(243)(1,537)
(50)
(328)
(119)
24,488Deferred tax liabilities (net)a) Deferred tax liability due to	Depreciation of PPE / ROU, amortisation of intangible assets and interest on leaseliabilities
Undistributed retained earnings
Othersb) Deferred tax asset arising out of
Fair valuation of financial instruments and exchange differences
Allowance for impairment of debtors / advances
Carry forward losses
Unearned income
Employee benefits

Integrated Report and Annual Financial Statements 2022-23

371

Corporate Overview

Notes to Consolidated Financial Statements

Factors affecting the tax charge in future years

March 31, 2023

March 31, 2022

1,498
(13,301)(7)323(1,449)
2,197
308
517
4,587

973
(402)
328
86
(4,072)
1,666
265
2,629
(4,831)79
2,225(4,879)(7,902)(233)(6,549)(1,308)(11,448)

Deferred tax expense

The movement in deferred tax assets and liabilities during the year is as follows:
For the year ended

Opening balanceTax expense recognised in statement of Profit or LossTax income / (expense) recognised in OCI:
- on net investments hedge- Re-measurement loss on defined benefit plans
Exchange differences and others
Deferred tax as Assessment order / Return actualisation impact

Closing balance

March 31, 2023

March 31, 2022

174,762(7,902)

184,757(11,448)

4,365
48
245
(2,761)
168,757

1,269
10
199
(25)
174,762

In line with accounting policy of the Group, Deferred tax assets are recognised to the extent that it is probable that taxable
profit will be available against which the deductible temporary differences, carry forward of unabsorbed depreciation andunused tax losses can be utilised. Accordingly, the Group has not recognised deferred tax assets in respect of deductible
temporary differences, carry forward of unabsorbed depreciation and unused tax losses of H 781,963 and H 737,055 as ofMarch 31, 2023 and March 31, 2022, respectively as it is not probable that taxable profits will be available in future due tochallenging and uncertain nature of the business and regulatory framework, intense competition, constant capital investments
and receipt of dividend from investees etc.
The expiry schedule of above unrecognised losses is as follows:
As ofMarch 31, 2023

March 31, 2022

564,085
6,814
211,064
781,963

377,318
151,976
207,761
737,055

Expiry dateWithin five years
Above five years
Unlimited

Financial Statements(All amounts are in millions of Indian Rupee; unless stated otherwise)

For the year ended

Net deferred tax (expense)

Statutory Reports

Notes to Consolidated Financial Statements(All amounts are in millions of Indian Rupee; unless stated otherwise)

Allowance for impairment of debtors / advances
Carry forward losses
Unearned income
Employee benefits
Claim for variable license fees acquired under amnesty scheme
Fair valuation of financial instruments and exchange differences
Fair valuation of FCCB
Rates and taxes
Depreciation on PPE / amortisation on intangible assets / ROU / interest on leaseliabilities
Government grantUndistributed retained earnings
OthersManagement Discussion & Analysis

The Group has not recognised deferred tax liability with respect to unremitted retained earnings and associated foreign
currency translation reserve with respect to certain of its subsidiaries and joint ventures where the Group is in a position
to control the timing of the distribution of profits and it is probable that the subsidiaries will not distribute the profits in theforeseeable future. The taxable temporary difference associated with respect to unremitted retained earnings and associatedforeign currency translation reserve is H 45,215 and H 98,427 as of March 31, 2023 and March 31, 2022, respectively. The
distribution of the same is expected to attract tax in the range of NIL to 20% depending on the tax rates applicable as ofMarch 31, 2023 in the jurisdiction in which the respective Group entity operates.

The Group’s future tax charge and effective tax rate, could be affected by the following factors:• Change in income tax rate in any of the jurisdictions in which Group operates• Overall profit mix between profit and loss making entities• Withholding tax on distributed and undistributed retained earnings of subsidiaries• Recognition of deferred tax assets in any of the Group entities meeting the criteria
The Group is routinely subject to audit by tax authorities in the jurisdictions in which the Group entities operate. The Group
recognises tax provisions based on reasonable estimates for those matters where tax determination is uncertain but it isconsidered probable that there will be a future outflow of funds to tax authorities. The amount of such provisions are based on
various factors, such as experience of previous tax audits and different interpretations of tax regulations by the tax authority injurisdictions in which the Group operates; the amount ultimately paid in these kind of uncertain tax cases may differ materiallyand could therefore affect the Group’s overall profitability and cash flows in future.
The tax impact of a transaction disclosed as contingent liability can also be uncertain until a conclusion is reached with therelevant tax authority or through a legal process. Refer note 23 for details of the contingencies pertaining to income tax.

13. Other assets
Non-current
As of

Costs to obtain a contract with the customer (refer note 24)
Advances (net)#
Capital advances
Prepaid expenses
Taxes recoverable
Others*March 31, 2023

March 31, 2022

30,377
21,374
5,861
32,04812,3401,898
103,898

24,214
19,954
1,544
26,89916,2192,732
91,562#Advances (net) represent payments made to various government authorities under protest and are disclosed net of allowance.

*It mainly includes refund recoverable of custom duty.

Current
As of

Costs to obtain a contract with the customer (refer note 24)
Taxes recoverable#
Advances to suppliers (net)@
Prepaid expenses
Others*March 31, 2023

March 31, 2022

35,716
77,2693,504
11,758996
129,243

22,747
77,224
5,714
10,487980
117,152#Taxes recoverable primarily include Goods and Services Tax and customs duty.
@Advances to suppliers are disclosed net of allowance of H 2,684 and H 2,751 as of March 31, 2023 and March 31, 2022 respectively.

*It includes employee receivables which principally consist of advances given for business purpose.

14. Trade receivables
As of

Trade receivables considered good - unsecured*
Trade receivables - credit impaired
Less: allowance for doubtful receivables

March 31, 2023

March 31, 2022

88,141
1,771(50,097)
39,81584,076
1,442(44,956)
40,562*It includes amount due from related party (refer note 35).

Refer note 37 (iv) for credit risk.

372

Bharti Airtel Limited

Integrated Report and Annual Financial Statements 2022-23

373

Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

Notes to Consolidated Financial Statements

Notes to Consolidated Financial Statements

The movement in allowance for doubtful receivables is as follows:

Other bank balances(All amounts are in millions of Indian Rupee; unless stated otherwise)(All amounts are in millions of Indian Rupee; unless stated otherwise)

For the year ended

Opening balance
AdditionsWrite off (net of recovery)
Exchange differences

Closing balance

As ofMarch 31, 2023

March 31, 2022

44,956
5,664(1,402)879
50,09743,524
3,048(1,179)(437)
44,956(i)	Undisputed Trade
receivables — considered
good(ii)	Disputed Trade
Receivables — considered
good(iii)	Disputed Trade
Receivables — credit
impairedNot due

Outstanding for following periods from due date of payment
Less than 6 months toMore than
1-2 years
2-3 years
6 months
1 year
3 years

29,202

4,955

5,169

5,964

32,57687,358

-

-

-

21

1

761

783

-

-

-

-

-

1,771

1,771

The details of interest accrued on above items (which is included within ‘interest accrued on deposits’ under other financial
assets - current, refer note 11) is as below:
As ofMarch 31, 2023

March 31, 2022

343
343

146
146

32
32
375

74
74
220

Cash and cash equivalents-

Bank deposits with original maturity 3 months or less

Other bank balance
29,202

4,955

5,190

5,965

35,108Less: allowance for doubtfulreceivables

89,912(50,097)
39,815-

Term deposits with bank

For the purpose of Statement of Cash Flows, cash and cash equivalents comprise of the following:

Trade Receivables Ageing as of March 31, 2022:(i)	Undisputed Trade
receivables — considered
good(ii)	Disputed Trade
Receivables — considered
good(iii)	Disputed Trade
Receivables — credit
impaired

38,97812
22,31912,67573,984#Margin money deposits represents amount given as collateral for legal cases and / or bank guarantees for disputed matters.
Total

9,492

9,492

Particulars

March 31, 2022

50,729
21
9,595
2,047
62,392*It represents balance held under mobile money trust on behalf of mobile money customers relating to Group’s subsidiaries in Africa which is notavailable for use by the Group.

Trade Receivables Ageing as of March 31, 2023:
Particulars

Balance held under mobile money trust*
Earmarked bank balances - unpaid dividend
Term deposits with bankMargin money deposits#

March 31, 2023

Not due

As of

Outstanding for following periods from due date of payment
Less than 6 months toMore than
1-2 years
2-3 years
6 months
1 year
3 years

Total

8,915

28,177

4,840

6,514

6,803

27,702

82,951

-

-

21

1

113

990

1,125

-

-

-

-

-

1,442

1,442

Cash and cash equivalents as per balance sheet
Balance held under mobile money trust*Bank overdraft

March 31, 2023

March 31, 2022

71,79450,729(32,309)
90,21460,95938,978(25,950)
73,987*It represents balance held under mobile money trust on behalf of mobile money customers relating to Group’s subsidiaries in Africa which is notavailable for use by the Group.

16. Share capital
As of

8,915

28,177

4,861

6,515

6,916

30,134

Less: allowance for doubtfulreceivables

85,518(44,956)
40,562

15. Cash and bank balances
Cash and cash equivalents

March 31, 2022

148,730

147,7800148,7300147,780

27,876
1,961

27,4601,961

29,83729,421

27,876490

27,460490

28,366

27,950

Authorised share capital
29,746,080,000 (March 31, 2022 - 29,555,980,000) equity shares of H 5 each (refer
note 4(d))
1,000 (March 31, 2022 - 1000) preference shares of H 100 eachIssued capital
As ofBalances with banks- On current accounts*- Bank deposits with original maturity of 3 months or less
Cheques on hand
Cash on hand

March 31, 2023

March 31, 2023

March 31, 2022

29,10742,166293
228
71,79430,86329,719203
174
60,9595,575,134,650 (March 31,2022 - 5,492,027,268) equity shares of H 5 each fully paid up
392,287,662 (March 31, 2022- 392,287,662) equity shares of H 5 each (H 1.25 partly
paid up)

Subscribed and paid up capital
5,575,134,650 (March 31,2022 - 5,492,027,268) equity shares of H 5 each fully paid up
392,287,662 (March 31, 2022- 392,287,662) equity shares of H 5 each (H 1.25 partly
paid up)*It includes balance held under mobile money wallet in group subsidiaries.

374

Bharti Airtel Limited

Integrated Report and Annual Financial Statements 2022-23

375

Corporate Overview

Notes to Consolidated Financial Statements• During the year ended March 31, 2020, 970,668 equity shares of H 5 each were issued to the shareholders of TTML
as per the terms of the scheme of arrangement.

For the year ended

At the beginning of the year
Issued during the year

Outstanding at the end of the yearb.

No. of shares('000')

5,884,315
83,107
5,967,422

March 31, 2022
AmountNo. of shares('000')

Amount27,950416
28,366

5,492,027
392,2885,884,315

27,460490
27,950g.

Treasury shares
For the year ended

Rights, preferences and restrictions attached to Shares
Opening balance
Purchased during the year
Exercised during the year

Closing balanceh.

No. of shares('000')

2,943
625
(648)
2,920

AmountAmount

1,555
499
(321)
1,733

3,332
1,022
(1,411)
2,943

1,549
598
(592)
1,555

For the year endedd.	Details of shareholders (as per the register of shareholders) holding more than 5% shares in the Company
As ofMarch 31, 2023

Bharti Telecom Limited
Pastel Limited
Indian Continent Investment Limited

March 31, 2022
No. of shares('000')

Dividend

Terms of conversion / redemption of FCCBs	The Company has outstanding FCCBs of USD 913.7 Mn and USD 1,000 Mn as of March 31, 2023 and March 31, 2022
respectively, bearing coupon rate of 1.50% issued at par, listed on the Singapore Exchange Securities Trading Limited.
As per Offering Circular issued by the Company, FCCBs are convertible into Company’s fully-paid up equity shares of
H 5 each at initial conversion price (as adjusted from time to time), at any time on or after February 27, 2020 and up to the close ofbusiness on February 7, 2025, at the option of the FCCB holders. FCCBs, which are not converted to fully paid-up equity shares
during such specified period, are redeemable at 102.66% of their principal amount on February 17, 2025. The Conversion priceis subject to adjustment w.r.t events as mentioned in Offering Circular, but cannot be below the floor price which is H 452.09.

e.

• During the year ended March 31, 2019, 5 equity shares of H 5 each were issued to the shareholders of Telenor as per
the terms of the scheme of amalgamation.

March 31, 2023

	The Company has only one class of equity shares having face value of H 5 each. The holder of the equity share is entitledto dividend right and voting right in the same proportion as the capital paid-up on such equity share bears to the total
paid-up equity share capital of the Company. The declaration of dividend by the Company is associated with the fulfilmentof interest obligation, if any, on the perpetual securities issued by one of its wholly-owned subsidiary. In the event ofliquidation of the Company, the holders of equity shares will be entitled to receive the remaining assets of the Company,
after distribution of all preferential amounts, in proportion to the number of equity shares held by the shareholders.

c.

Financial Statements(All amounts are in millions of Indian Rupee; unless stated otherwise)

Reconciliation of the shares outstanding at the beginning and at the end of the year
March 31, 2023

Statutory Reports

Notes to Consolidated Financial Statements(All amounts are in millions of Indian Rupee; unless stated otherwise)a.

Management Discussion & Analysis

No. of shares('000')

2,299,875
627,228
355,593

March 31, 2022
% holding

No. of shares('000')% holding

38.54
10.51
5.96

2,109,641
814,327
355,593

35.85
13.84
6.04

March 31, 2023

March 31, 2022

16,976
8
16,984-

22,696
22,696

16,77016,770A. Declared and paid during the year:
Final dividend for 2021-22: H 3 per share (2020-21: H Nil per share)
Dividend on treasury shares

B. Proposed dividend*
Proposed dividend for 2022-23: H 4 per share (2021-22: H 3 per share)*It represents dividend of H 4 per fully paid-up equity share of face value H 5 each and H 1 per partly paid-up equity share of face value
H 5 each (paid-up H 1.25 per equity share) on shares issued till the date of these Financial Statements are approved for issue by company’s Boardof Directors. The proposed dividend is subject to approval of Shareholders at the Annual General Meeting, accordingly, no corresponding liability
has been recognised.

17. Other equitya.	Securities premium: It is used to record the premium on issue of equity shares. The reserve is utilised in accordancewith the provisions of the Act.
b.	Retained earnings: Retained earnings represent the amount of accumulated earnings of the Group, re-measurement
differences on defined benefit plans, any transfer from general reserve and the reserves arising due to court scheme
accounting and adjustments thereto (as explained below for significant Scheme of Arrangements).

Shareholding of Promoters

Shares held by Promoters as of March 31, 2023:
As of
Promoter Name

Bharti Telecom Limited

March 31, 2023

April 1, 2022

No. of shares('000')% oftotal shares

No. of shares('000')% oftotal shares

2,299,875

38.54

2,109,641

35.85% Changeduring the year

2.69

Shares held by Promoters as of March 31, 2022:
As ofPromoter Name

Bharti Telecom Limited

March 31, 2022

April 1, 2021

No. of shares('000')% oftotal shares

No. of shares('000')% oftotal shares

2,109,641

35.85

1,966,236

35.80% Changeduring the year

0.05

f.	Aggregate number of shares issued for consideration other than cash during the period of five
years immediately preceding the reporting date:• During the year ended March 31, 2023, 11,930,543 equity shares of H 5 each were issued to the FCCB holders
pursuant to option exercised in accordance with the offering circular (refer note 4 (e)).
• During the year ended March 31, 2021, 36,469,913 equity shares of H 5 each were issued on preferential basis to
Lion Meadow Investment Limited, an affiliate to Warburg Pincus LLC as partial consideration for acquisition of equity
shares of Bharti Telemedia Limited.

376

Bharti Airtel Limited

	The Scheme of Arrangement under Section 391 to 394 of the Companies Act, 1956 for transfer of all assets andliabilities at their respective fair values from Bharti Infratel Ventures Limited (erstwhile subsidiary company), Vodafone
Infrastructure Limited, Idea Cellular Tower Infrastructure Limited to its joint venture Indus Towers Limited, was approvedby the High Court of Delhi vide order dated April 18, 2013 and filed with the Registrar of Companies on June 11, 2013
with appointed date April 1, 2009 and hence was accounted retrospectively with effect from April 1, 2009. Similarly,
pursuant to the Scheme of Arrangement of the Company under sections 391 to 394 of the Companies Act, 1956, thetelecom infrastructure undertaking of the Company was transferred to one of its subsidiary Bharti Infratel Limited during
the year ended March 31, 2008.
	Further, pursuant to the said schemes, mainly the excess of the fair value over the original book value of the assets
transferred to them and the periodic depreciation thereto is adjusted in retained earnings.
	In absence of any specific provision under Ind AS with respect to court schemes, and the fact that the court schemes arepart of the law, accounting prescribed therein (as explained above) will continue to prevail even in the Ind AS Financial
Statements of the Group after being adjusted for intra-group eliminations / equity accounting, as required.
c.	General reserve: The Company had transferred a portion of its profit before declaring dividend in respective prior years
to general reserve, as stipulated under the erstwhile Companies Act, 1956. Mandatory transfer to general reserve is not
required under the Act.
Integrated Report and Annual Financial Statements 2022-23

377

Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

Notes to Consolidated Financial Statements

Notes to Consolidated Financial Statements

	Further, on exercise of the stock options, the difference between the consideration (i.e. the exercise price and the related
amount of share-based payment reserve) and the cost of the related treasury shares, is transferred to general reserve.

*During the year ended March 31, 2022, the Union Cabinet announced major reforms in Telecom Sector in the month of September 2021.
Accordingly, DoT in October 2021 (in pursuance to these reforms), has granted an option to the Company for a moratorium of 4 years towards
the deferred spectrum liability in respect of spectrum purchased through various auctions except for that purchased through 2021 auction. The
Company has opted for the moratorium and the same was granted by DoT during November 2021. The DoT has subsequently shared the revised
payment schedule in respect of these deferred spectrum payment liabilities by revising the instalment amounts without any increase in the existingtime period specified for making the installment payments.

(All amounts are in millions of Indian Rupee; unless stated otherwise)(All amounts are in millions of Indian Rupee; unless stated otherwise)d.	Capital reserve: The excess of fair value of net assets acquired over consideration paid in a business combination isrecognised as capital reserve. This reserve is not available for distribution as dividend.
e.	
Share-based payment reserve: The Share based payment reserve is used to record the fair value of equity-settled
share based payment transactions with employees.

^Refer note 4(c) and 4(k)Current
As off.	
NCI reserve: A change in the ownership interest of a subsidiary, without a change of control, is accounted for as atransaction with equity holders. Any difference between the amount of the adjustment to NCI and any considerationexchanged is recognised in ‘NCI reserve’, a component of equity.

Securedg.	F VTOCI reserve: The Company has elected to recognise changes in the fair value of certain investments in equity
securities in OCI. These changes are accumulated within FVTOCI within equity.

Unsecuredh.

 quity component of FCCB: The Equity component is the residual amount after deducting the fair value of the financial
E
liability component from the net proceeds of the FCCB.

Other components of equity

As of April 1, 2021
Net gain due to foreign currencytranslation differences
Net loss on net investment hedge
Purchase of treasury shares
Exercise of share options

As of March 31, 2022
Net loss due to foreign currencytranslation differences
Net loss on net investment hedge
Purchase of treasury shares
Exercise of share options

As of March 31, 2023

FCTR

FVTOCI reserve

Treasury shares

Equitycomponent of
FCCB

Total

(101,536)
301

(31)
-

(1,549)-3,542-(99,574)
301(4,837)(106,072)(16,205)

(31)
-

(598)
592
(1,555)-

3,542-(4,837)(598)
592(104,116)(16,205)(11,820)(134,097)

(31)

(499)
321
(1,733)

3,542(11,820)(499)
321(132,319)

82
82

-

21,02332,30953,33253,41425,508
121,492
25,950172,950(7)
172,943

628
628

3,796
3,796

35,682
44,9685,070
85,72086,348
139,762

17,056
17,056
20,852
193,795

Term loans

Term loans*
Commercial papers
Bank overdraft

Current maturities of long term borrowings
SecuredTerm loan

Unsecured
Term loan
Non-convertible debentures
Deferred payment liabilities*includes working capital demand loans.

18.1 Analysis of borrowings
The details given below are gross of debt origination cost and fair valuation adjustments with respect to the hedged risk.
18.1.1 Repayment terms of borrowings
The table below summarises the maturity profile of the Group’s borrowings:

As ofMarch 31, 2023

March 31, 2022

3,516
3,516
(628)
2,888

3,796
3,796
(3,796)-74,153
151,108
193,430
67,712
1,158,204
1,644,607(85,720)(46,089)
1,512,798
1,515,686

73,12695,554
213,576
66,858730,6121,179,726(17,056)(27,320)
1,135,350
1,135,350

As of March 31, 2023

SecuredTerm loans
Less: Current portion

Unsecured
Liability component of FCCBs
Term loans
Non-convertible bonds
Non-convertible debentures
Deferred payment liabilities*^
Less: Current maturities of long term borrowings
Less: Interest accrued (refer note 19)

Bharti Airtel Limited

March 31, 2022

Less: Interest accrued (refer note 19)

18. Borrowings
Non-current

378

March 31, 2023

Term Loans

Liability component of FCCBs
Non Convertible bonds
Non Convertible debentures

Interest rate (range)

Frequency of
instalments

5.1% to 16.3%
6.4% to 18.0%
6.3% to 15.5%
3.2% to 14.0%
12.9%
1.5%
3.3% to 5.4%
5.4% to 6.0%

Quarterly
Half yearlyMonthly
One Time
AnnualOne Time
One Time
One Time

Number of
instalments
outstanding
per facility(range)*Withinone year

Betweenone and
two years

Betweentwo andfive years

Over fiveyears

3 to 13
1 to 12
1 to 60
1
2
1
1
1

7,645
10,301
2,316
37,25345,0006,146
19,991
1,484
10,233
1,633
77,19845,26020,0004,913
64,403
2,083
1,633
82,301-

5,119
46
61,725-Integrated Report and Annual Financial Statements 2022-23

379

Corporate Overview

Notes to Consolidated Financial Statements

Deferred payment Liability
for spectrum
Deferred payment Liability
for adjusted gross revenue
Bank Overdraft

18.2 Security details

Number of
instalments
outstanding
per facility(range)*Withinone year

Betweenone and
two years

Betweentwo andfive years

Over fiveyears

7.2% to 10.0%

Annual2 to 19

5,070

5,440

21,519756,202

8.0%

Annual5--

115,764

215,203NA

32,309139,894

187,385

5.2% to 19.0%

On Demand he Group has taken borrowings in various countries mainly for working capital, capital expenditure and refinancing of existingTborrowings. The details of security provided by the Group in various countries are as follows:
EntityRelation

Airtel Networks Limited
Airtel Tanzania plc

Subsidiary
Subsidiary

As of March 31, 2022

Liability component of
FCCBs
Non-convertible bonds
Non-convertible debentures
Deferred payment liabilities
for spectrum
Deferred payment liabilities
for adjusted gross revenue
Commercial papers
Bank overdraft

Number of
instalments
outstanding
per facility(range)*Withinone year

Betweenone and
two years

Betweentwo andfive years

Over fiveyears

Interest rate (range)

1.97% to 13.9%
5.5% to 15.00%
4.59% to 18.00%
6.4% to 15.25%
1.50%

One time
Monthly
Quarterly
Half yearly
One time

1
1 to 48
7 to 12
1 to 81

36,325
3,376
2,834
3,906
-

17,236
1,724
5,984
3,904
-

3,037
1,752
4,148
40,15577,934-

3.3% to 5.4%
5.4% to 6.0%
7.3% to 10.0%

One time
One time
Annual1
1
5 to 16-45,000-151,813
20,00011,86156,936393,915

8.00%

Annual6--29,573273,8571
NANA

123,100
22,294
3,656
195,491

73,848340,273

724,708

One time
On demand
NA

82
3,539

3,796
-

3,621

3,796

Security detail

Fixed and floating charge over all assets.
First Pari-Passu security in the form of
fixed and floating charge over all assets,with certain agreed exclusions, for theoutstanding amount with a maximum
amount of up to 125% of the facility.

Africa operations acquisition related borrowings:

Frequency of
instalments

4.0% to 5.3%
5.20% to 18.00%
4.85% to 5.20%

Outstanding loan amountMarch 31, 2023
March 31, 2022

292,616 1,038,295*The instalments amount due are equal / equated per se.

Term loans

Financial Statements(All amounts are in millions of Indian Rupee; unless stated otherwise)

As of March 31, 2023

Interest rate (range)

Statutory Reports

Notes to Consolidated Financial Statements(All amounts are in millions of Indian Rupee; unless stated otherwise)

Frequency of
instalments

Management Discussion & Analysis

Borrowings include certain loans, which have been taken to refinance the Africa acquisition related borrowing. These loan
agreements prevent the Group (excluding Bharti Airtel Africa B.V and their respective subsidiaries) to pledge any of its assets
without prior written consent of the majority lenders except in certain agreed circumstances.
 he USD bonds due in 2024 is guaranteed by the Company. Such guarantee is considered an integral part of the bonds andTtherefore accounted for as part of the same unit of account.

19. Other financial liabilities
Non-current
As ofMarch 31, 2023

March 31, 2022

412
46,84938,026218
11,806
97,311729
43,961
21,407
17,706173
6,140
90,116

Payables against capital expenditure
Put option liability^
Interest accrued
Compulsorily convertible preference shares@Security deposits
Others*The instalments amount due are equal / equated per se.

^represents put option liability related to mobile money minority investment transactions (refer note 4(r))

18.1.2 Interest rate and currency of borrowings@refer note 4(b)Weighted averagerate of interest

INR
USD
Euro
UGX
KES
XAF
XOF
Others

8.0%
3.9%
6.2%
12.8%
11.7%
6.5%
6.0%
7.24% to 19.00%

March 31, 2023
INR
USD
Euro
XAF
XOF
Others

7.70%
3.73%
2.79%
6.70%
7.17%
7.50% to 16.64%

March 31, 2022

380

Bharti Airtel Limited

Total borrowings

Floating rateborrowings

Fixed rateborrowings

1,255,144
338,179
5,766
11,175
10,527
11,641
6,337
16,1701,654,939
946,914342,655
5,447
8,905
6,926
16,814
1,327,661

66,143
61,228
5,766
9,533
7,317
11,279161,266
42,42237,945
5,447
9,147
94,961

1,189,001
276,951
1,642
3,210
11,641
6,337
4,891
1,493,673
904,492
304,710
8,905
6,926
7,667
1,232,700

Current
As ofMarch 31, 2023

March 31, 2022

153,759
47,879
8,063
4,104
5,962
4,645
18
17,521
241,951

81,86937,638
5,920
4,104
6,322
4,150
10
54,402
194,415

Payables against capital expenditure
Mobile money wallet balance
Interest accrued
Payable against business / asset acquisition
Employees payables
Security deposits^
Unclaimed Dividend$
Others#^It pertains to deposits received from subscriber / channel partners, which are repayable on demand after adjusting the outstanding amount, if any.
$No amount is due to be transferred to Investor Education and Protection Fund (‘IEPF’).
#It mainly includes refund payable to inactive customers, unclaimed liability and other statutory dues payable.

Integrated Report and Annual Financial Statements 2022-23

381

Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

Notes to Consolidated Financial Statements

Notes to Consolidated Financial Statements

20. Provisions
Non-current

Other sub-judice matters(All amounts are in millions of Indian Rupee; unless stated otherwise)(All amounts are in millions of Indian Rupee; unless stated otherwise)

For the year ended
March 31, 2023

As ofMarch 31, 2023

March 31, 2022

2,801
764

2,725
759

1,179
4,744

1,155
4,639

Provision for employee benefits
Gratuity
Other employee benefit plans

Other provision
ARO

As of

1,394
870
509

872
1,066
296

254,519257,292

241,215
243,449

Other provision
Sub-judice matters*

Closing balance

As ofMarch 31, 2022

Provision for employee benefits
Gratuity
Other employee benefit plans
Others

2,927
563
(836)
(402)
250
2,502

21. Other liabilities
Non-current

Current
March 31, 2023

Opening balance
Addition during the year
Reversal during the year
Utilization during the year
Exchange difference during the year

March 31, 2023

March 31, 2022

1,029
1,029

1,363
1,363

Income received in advance

Current
As ofMarch 31, 2023

March 31, 2022

46,738
4,405
51,14340,513626
41,139Refer note 27 for movement of provision towards various employee benefits.

Taxes payable*
Others#The movement of provision towards ARO is as below:*Taxes payable mainly pertains to GST and payable towards sub-judice matters related to entry tax and entertainment tax.
For the year ended
March 31, 2023

Opening balance
Net deletion
Interest cost

Closing balance

1,155
(50)
74
1,179

# Others primarily include advance received from subscribers and advance received on sale of hardware / goods.

22. Trade payables
As of

Trade payables*

The provision for ARO is in relation to the site restoration related obligation arising from the land taken on leases and represent
the management’s best estimate of the costs, which will be incurred in the future to meet the Group’s obligation under theselease arrangements.

*It includes amount due to related parties (refer note 35) and payable towards sub judice matters.

*The movement of provision towards sub-judice matters is as below:

Particulars

Unbilled

Not due(i) Undisputed dues(ii) Disputed dues

136,325
78
136,403

15,28922
15,311

AGR matter (refer note 4(m)):
For the year ended
March 31, 2023

Opening balance
Net addition during the year
Utilization / reversal of provision

Closing balance

238,288
26,181(12,452)
252,017

Net addition includes provision of H 12,623 towards AGR pursuant to merger with TTSL / TTML and H 4,134 towards AGR
pertaining to merger with Telenor and closing balance includes H 166,728 and H 24,653 respectively for TTSL / TTML and
Telenor. The Company has recognised an indemnification asset towards the said provisions.

382

Bharti Airtel Limited

March 31, 2023

March 31, 2022

328,946
328,946

292,741
292,741

Trade Payables Ageing as of March 31, 2023:
Outstanding for following periods fromdue date of payment
Less thanMore than
1-2 years
2-3 years
1 year
3 years

16,226
15,48731,713

3,593
14,98918,582

1,570
28,81530,385

Total

2,736
93,81696,552

175,739
153,207328,946

Outstanding for following periods fromdue date of payment
Less thanMore than
1-2 years
2-3 years
1 year
3 years

Total

Trade payables ageing as of March 31, 2022:
Particulars

Unbilled

Not due(i) Undisputed dues(ii) Disputed dues

133,8870133,887

5,158
34
5,192

9,472
14,99524,4672,807
28,79731,604

1,714
63,96965,683

2,033
29,87531,908155,071
137,670
292,741

Integrated Report and Annual Financial Statements 2022-23

383

Corporate Overview

Notes to Consolidated Financial Statementsf)	DoT and other regulatory
assessments includes

Contingent liabilities

		

Claims against the Company not acknowledged as debt:
As of

(ii)

	The category wise detail of major contingent liabilities
has been given below:
Sales Tax, Service Tax and GST		The claims for sales tax comprised of cases relating
to the appropriateness of declarations made by
the Group under relevant sales tax legislations,which were primarily procedural in nature and theapplicable sales tax on disposals of certain property
and equipment items, ITC eligibility and VAT onvalue added services. Pending final decisions, theGroup has deposited amounts under protest withstatutory authorities for certain cases.
		The service tax demands relate to Cenvat claimed
on tower and related material, levy of service tax on
SMS termination and employee talk time, Cenvat
credit disallowed for procedural lapses.
		The GST demand relates to miscellaneous interest,
differences between ITC claimed and as available
over portal, claims related to transitional credit.
b)

Income Tax demand		Income tax demands mainly include the appeals
filed by the Group before various appellate
authorities against the disallowance by income
tax authorities of certain expenses being claimed
and non-deduction of tax at source with respect

384

March 31, 2022

12,231
8,949
1,477
3,264
407
114,877
281
571

15,466
9,830
1,727
3,018
352
100,475
425
562

299
7,233
149,589

299
6,723
138,877

to pre-paid dealers / distributor’s margin. During
the year, the Company has reassessed the existing
possible obligations and accordingly disclosed forsuch amounts.

	In addition to the above, the Group’s share of joint
ventures and associates contingent liabilities is
H 59,090 and H 59,256 as of March 31, 2023 andMarch 31, 2022 respectively.

a)March 31, 2023

Taxes, duties and other demands(under adjudication / appeal / dispute)- Sales Tax, Service Tax and GST- Income Tax- Customs Duty
- Entry Tax- Stamp Duty
- DoT, other regulatory demands and assessments- Entertainment Tax- Other miscellaneous demands
Claims under legal cases including arbitration matters- Access charges / Port charges- Others

Bharti Airtel Limitedc)

Customs Duty		
There are certain demands related to nonsubmission of export obligation discharge
certificate, classification issue, valuation of goods
imported and levy of anti-dumping duty on
certain products.
d)Entry Tax		In certain states, an entry tax is levied on receipt ofmaterial from outside the state. This position has
been challenged by the Group in the respective
states, on the grounds that the specific entry tax
is ultra vires the Constitution. Classification issues
have also been raised, whereby, in view of theGroup, the material proposed to be taxed is notcovered under the specific category.
		During the year ended March 31, 2017, the Supreme
Court upheld the constitutional validity of entry
tax levied by few States. However, Supreme Court
did not conclude certain aspects such as present
levies in each State is discriminatory in nature ornot, leaving them open to be decided by regularbenches of the Courts.
e)Financial Statements(All amounts are in millions of Indian Rupee; unless stated otherwise)

23. Contingencies and commitments(i)

Statutory Reports

Notes to Consolidated Financial Statements(All amounts are in millions of Indian Rupee; unless stated otherwise)(i)Management Discussion & Analysis

Entertainment tax		
The contingent liability for entertainment tax
comprise of cases for levying entertainment tax on
activation charges and interest on disputed dues.

		demands

March 31, 2021 has been assessed to be acontingent liability (March 31, 2023: H 35,551
and March 31, 2022: H 30,728).

/(i)	DoT had enhanced the microwave rates byintroducing slab-wise rates based on thenumber of carriers vide circulars issued
in 2006 and 2008 from erstwhile basis
being allocated frequency. The Group had
challenged the matter in Telecom Disputes
Settlement and Appellate Tribunal ('TDSAT')
and it has set aside the respective circularsof DoT vide its Judgement dated April 22,
2010. Thereafter, DoT has challenged theorder of TDSAT before the Supreme Court,
which is pending for adjudication. An amountof H 26,277 which pertains to pre-migration to
Unified License (‘UL’) / Unified Access Service
Licence (‘UASL’) is disclosed as contingent
liability as of March 31, 2023.
(ii)	
In 2013, DoT introduced UL Regime andnotified guidelines which mandates migration
to new UL regime upon expiry of existing
licenses. Accordingly, the Company migrated
to UL regime in 2014. The Company andInternet Service Provider ('ISP') Association
challenged the Guidelines and provisions of
UL on the ground that DoT has discriminatedamongst ISP Licensees in violation of principleof level playing field amongst ISPs. TDSAT
stayed the payment of license fee on revenue
from Pure Internet Service. In October 2019,
TDSAT delivered its judgement in the ISP
Association case (ISPAI Judgement) and set
aside the provision to pay license fee on therevenue from pure internet service under UL.
TDSAT, following ISPAI judgement, allowed thepetition filed by the Company and set aside
the demand notices.

			DoT has filed appeal against ISPAI Judgement
before Supreme Court. On January 5, 2021, theSupreme Court admitted DoT’s appeal, and also
allowed Company’s intervention application, witha direction that DoT shall not be required to refund
any amounts pursuant to TDSAT judgement andparties shall be bound by the final directions as
may be passed by the Supreme Court.
			On March 31, 2021, DoT issued amendment
to the ISP Licenses granted under the oldregime i.e. under 2002 and 2007 withimmediate effect (April 1, 2021). Amongst
others, DoT included the revenue from pureinternet services in the AGR for the purposesof license fees in such contracts (which was
earlier allowed as permissible deduction
under old regime). Accordingly, demand up to		(iii)	Demands for the contentious matters in
respect of subscriber verification norms
and regulations including validity of certain
documents allowed as proof of address /identity. TDSAT and High Courts have granted
interim reliefs to the Company and one of its
subsidiaries and the matters are pending
for adjudication.

		(iv)	Penalty for alleged failure to meet certain
procedural requirements for EMF radiation
self-certification compliance.

		(v)	Additional demand received for the period
already covered by the AGR judgement whichmainly pertains to spectrum usage charges.

			The matters stated above are being contestedby the Company and one of its subsidiaries
and based on legal advice, the Company andone of its subsidiaries believes that it hascomplied with all license related regulations
and does not expect any financial impact due
to these matters.
		In addition to the amounts disclosed in the table
above, the contingent liability on DoT matters
includes the following:		(i)	In respect of levy of one time spectrum charge(‘OTSC’), the DoT had raised demand on theGroup in January 2013. The Group challenged
the OTSC demand and the High Court ofBombay vide its order dated January 28,
2013, stayed enforcement of the demand anddirected DoT not to take any coercive action.
The DoT had filed its reply and this matter
is currently pending before High Court ofBombay. The DoT had issued revised demandson the Group aggregating to H 84,140 in June
2018, including a retrospective charge anda prospective charge till the expiry of theinitial terms of the respective licenses. The
said revised demand has subsequently also
been brought within the ambit of the earlier
order of no coercive action by the High Courtof Bombay. The Group intends to continue topursue its legal remedies.

			Further, in a similar matter on a petition filed byanother telecom service provider, the TDSAT,
vide its judgement dated July 4, 2019, has
set aside the DoT order for levy of OTSC withretrospective effect. Accordingly, as per the

Integrated Report and Annual Financial Statements 2022-23

385

386

Bharti Airtel Limited

1,165,469
1,391,448
31,45629,31530,34840,430140,302960,456

963,363

1,154,305

1,158,066

163,637

1,158,187
1,381,548
31,45629,31529,81839,652

530
778
3,845
2,907
3,761

5,361

136,457

9,900-

29,31529,315
29,137
1,211
30,34838,766
1,664
40,430115,422
24,880140,302
133,707
29,930163,637
799,094
164,269
963,363
948,815
209,251
1,158,066

158,276

7,282

943,653
221,816
1,165,469
1,121,288
270,160
1,391,448
31,456
31,456

31,456
31,45629,31529,31530,34830,34840,43040,430101,562
38,740140,302
119,450
44,187
163,637
614,0363,716
345,611
963,363

Total

March 31,2023
March 31,2022

Digital TV Services

March 31,2023
March 31,2022

Homes Services

March 31,2023
March 31,2022

Airtel Business

March 31,2023
March 31,2022

Financial Statements*Basis location of entity.

1,159,616
5,853
1,165,469

Products and services transferred
at a point in time
Products and services transferredover time

March 31, 2022

1,384,304
7,144
1,391,448

Statutory Reports

Timing of revenue
recognition

Service revenue
Sale of products

Data and voice services
OthersFor the year ended
March 31, 2023

Major products / services
lines

24. Revenue from operations

739,373
2,669
416,024
1,158,066

	In addition to the above, the Group’s share of capitalcommitments of joint ventures and associates is H
4,837 and H 2,213 as of March 31, 2023 and March 31,
2022 respectively.

Geographical markets*(ii)	DoT had issued notices to the Company (as well asother telecom service providers) to stop provisionof 3G services to its customers (under 3G Intra
Circle Roaming (‘ICR’) arrangements executedwith other service providers) in such service
areas where the service provider has not been	
The Group has contractual commitments towards
capital expenditure (net of related advance) of H 263,035
and H 143,958 as of March 31, 2023 and March 31, 2022
respectively.

Mobile Services

		(ii) Commitments
Capital commitments

Revenue is disaggregated by primary geographical market; major products / service lines and timing of revenue recognition as follows:			On account of prudence, out of the total
demands of H 84,140, the Group had recorded
a charge of H 18,075 during the year ended
March 31, 2020 and interest charge thereon
till March 31, 2023 amounting to H 67,638.
Balance demand amount of H 66,065 hascontinued to be contingent liability.

(g) Others		Airtel Bangladesh Limited was amalgamated with
Robi Axiata Limited vide merger agreement dated
January 28, 2016 and as a result the Company
acquired 25% shareholding in Robi via its stepdown subsidiary, Bharti International (Singapore)
Pte. Limited, which latterly has changed to 28.18%.
On November 16, 2016, a ‘Tax Offset’ Agreement
was entered into between Robi Axiata Limited,
Axiata Investments (Labuan) Limited and BhartiInternational (Singapore) Pte. Limited. Based on theterms of the tax offset arrangement, if Robi Axiata
Limited is able to effect any tax offset of an amountattributable to Airtel Bangladesh Limited’s tax relief(in form of carried forward tax losses and unabsorbed
depreciation) following the issuance of a final order by
Bangladesh tax authorities, Robi Axiata Limited shalltransfer an amount equal to 40% of the tax relief tothe Group. The Group believes that at this stage, it is
not possible to ascertain the probability of such future
benefits considering uncertainties around timing andamount of future cash inflows.

Disaggregation of Revenue

			DoT’s appeal against the said TDSAT Order forthe levy on Spectrum below 6.2 MHz is pending.
The Supreme Court vide order dated August 21,
2020, stayed the TDSAT judgement July 4, 2019in a case of another telecom service provider.
The Supreme Court, vide order dated December
7, 2020, directed status quo to be maintained incase of another telecom service provider.

			Considering the nature of above disputes /litigations, it is difficult to reliably ascertain theamount or timing of outflow on settlement.

(All amounts are in millions of Indian Rupee; unless stated otherwise)			
Further, demand for OTSC on spectrum
allotted beyond start-up and up-to the limit of
6.2 MHz has been set aside. The TDSAT has
asked DoT to issue revise demands, if any, interms of the above directions. The said telecom
service providers filed an appeal before
the Supreme Court against the judgement
passed by TDSAT. On March 16, 2020, theSupreme Court dismissed the appeal of thetelecom service provider and did not interferewith the TDSAT judgement. Thereafter, theTelecom service providers had filed a review
petition against the judgement dated March
16, 2020. The Supreme Court allowed thereview petition and restored the telecom
service provider appeal. The matter is pending
adjudication before the Supreme Court.

allocated 3G spectrum, and levied a penalty of H
3,500 on the Company. The Company contested
the notices before TDSAT, which in 2014 held 3G
ICR arrangements between service providers
to be competent and compliant to the licensing
conditions and quashed the notice imposing
penalty. The DoT has challenged the order of
TDSAT before the Supreme Court, which is yet
to be listed for hearing.

Notes to Consolidated Financial Statements

said order of the TDSAT; DoT can levy OTSC on
the Spectrum beyond 6.2 MHz allotted after
July 1, 2008, only from the date of allotmentof such spectrum and in case of Spectrum
beyond 6.2 MHz allotted before July 1, 2008,
only prospectively i.e. w.e.f. January 1, 2013.

March 31,2023

(All amounts are in millions of Indian Rupee; unless stated otherwise)

928,5682,669
416,024
44,187
1,391,448

March 31,2022

Notes to Consolidated Financial Statements

777,402
3,716
345,61138,7401,165,469

Management Discussion & Analysis

India
South Asia
AfricaOthersCorporate Overview

Integrated Report and Annual Financial Statements 2022-23

387

Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

Notes to Consolidated Financial Statements

Notes to Consolidated Financial Statements

Contract Balances

27. Employee benefits expense(All amounts are in millions of Indian Rupee; unless stated otherwise)(All amounts are in millions of Indian Rupee; unless stated otherwise)

The following table provides information about unbilled revenue and deferred revenue from contract with customers:
As ofUnbilled revenue (refer note 11)
Deferred revenue- current
Deferred revenue- non current

March 31, 2023

March 31, 2022

20,92384,99530,901

19,05175,92930,258Significant changes in the unbilled revenue and deferred revenue balances during the year are as follows:
For the year ended March 31, 2023
Unbilled revenue

Revenue recognised that was included in the deferred revenue at the beginning of the year
Increase due to cash received, excluding amounts recognised as revenue during the year
Transfers from unbilled revenue recognised at the beginning of the year to receivables

For the year ended
March 31, 2023

March 31, 2022

39,711
2,271
2,661
1,543

37,214
2,086
2,403
958

1,115
1,007
48,308776
17879
44,333

Vesting period(years)Contractual term
(years)2006 PlanLong Term Incentive (LTI) Plan
Nxtra Employee Stock Option Plan
Replacement stock awards
IPO Awards
IPO share options
IPO executive share options
Restricted share awards
One-off award
Performance share awards
Replacement awards
Deferred bonus shares

1-5
1-3
1-4
1-2
1-3
1-3
1-3
3
1-3
3
1-2
2

7
7
7
2
3
10
10
3
3
3
2
2

Shadow Stock Plan

1-2

2

Salaries and bonus
Contribution to provident and other funds
Staff welfare expenses
Defined benefit plan / other long term benefits
Employee share-based payment expense- Equity-settled plans- Cash-settled plans
Others*Deferred revenue

75,92985,63819,051*It mainly includes recruitment and training expenses.

27.1 Share based payment plans
The following table provides an overview of all share option plans of the Group:

Reconciliation of costs to obtain or fulfil contracts with customers
SchemeFor the year ended
March 31, 2023

March 31, 2022

46,961
52,37733,24566,09335,71630,37728,60438,42920,072
46,961
22,747
24,214

Costs to obtain a contract with a customer
Opening balance
Costs incurred and deferred
Less: Cost amortised

Closing balance
Current
Non-current

25. Other income
For the year ended

Interest income
Net gain on FVTPL investments and derivative financial instruments
Government grant
Sale of scrap
Miscellaneous income

March 31, 2023

March 31, 2022

3,080
2,474
1,431
736
1,645
9,366

2,206
120
1,187
823
1,007
5,343

Plan

Equity settled Plans
Scheme I
Scheme 2005
Scheme 2021
Africa Plan
Africa Plan
Africa Plan
Africa Plan
Africa Plan
Africa Plan
Africa Plan
Africa Plan
Africa Plan

Cash settled Plans
Africa Plan

The stock options vesting is subject to service and certain performance conditions mainly pertaining to certain
financial parameters.
The movement in the number of stock options and the related weighted average exercise prices are given in the table below:

26. Network operating expenses
For the year ended

Passive infrastructure charges^
Power and fuelRepair and maintenanceInternet, bandwidth and leased line charges
Others*^ It includes short term and low value lease payments.
*It mainly includes charges towards managed services, installation, insurance and security.

For the year ended

March 31, 2023

March 31, 2022

55,637130,882
55,93015,247
27,737285,433

51,925
104,898
52,195
14,593
26,594250,205

March 31, 2023

March 31, 2022

Number ofshare options('000)

Weighted
average
exercise price(K)

Number ofshare options('000)

Weighted
average
exercise price
(K)

-

-

113
(113)
-

5
5
-

3,223
3,283
(648)
(347)
5,511
1,395

5
5
5
5
5
5

3,048
1,956
(1,297)
(484)
3,223
904

5
5
5
5
5
5

2006 Plan
Outstanding at beginning of year
Granted during the year
Exercised
Outstanding at end of year
Exercisable at end of year

LTI Plans
Outstanding at beginning of year
Granted during the year
Exercised
Forfeited / expired
Outstanding at end of year
Exercisable at end of year

388

Bharti Airtel Limited

Integrated Report and Annual Financial Statements 2022-23

389

Corporate Overview

Notes to Consolidated Financial Statements

Management Discussion & Analysis

Statutory Reports

Notes to Consolidated Financial Statements(All amounts are in millions of Indian Rupee; unless stated otherwise)(All amounts are in millions of Indian Rupee; unless stated otherwise)

For the year ended
March 31, 2023

For the year ended
March 31, 2022

March 31, 2023

Number ofshare options('000)

Weighted
average
exercise price(K)

Number ofshare options('000)

Weighted
average
exercise price
(K)

15
24
(1)
38
3

5,780
5,780
5,780
5,780
5,780

16
(1)
15
-

5,780
5,780
5,780
-

-

-

299
135
(434)
-

-

80
53
(133)
-

-

566
63
(511)
(38)
80
-

-

751
751
751

77
84
84

3,132
(2,381)
751
250

75
77
77

8,842
(2,187)
(265)
6,390
6,390

77
84
84

10,594(717)(1,035)
8,842
2,815

75
77
77

-

-

688
261
(884)
(65)
(0)
-

-

1,523
788
2,311
-

-

1,373
1,126
(299)
(677)
1,523
-

-

708
356
1,064
-

-

633
509
(133)
(301)
708
-

-

Nxtra Employee Stock Option Plan
Outstanding at beginning of year
GrantedExercised
Forfeited / expired
Outstanding at end of year
Exercisable at end of year

IPO Awards*
Outstanding at beginning of year
Granted during the year
Exercised
Forfeited / expired
Outstanding at end of year
Exercisable at end of year

IPO share options*
Outstanding at beginning of year
Forfeited / expired
Outstanding at end of year
Exercisable at end of year

Number ofshare options('000)

Number ofshare options('000)

Weighted
average
exercise price
(K)

301
(60)
241
-

-

361
(60)
301
-

-

661
(330)
331
-

-

271
271
-

-

661
661
-

-

Outstanding at beginning of year
Granted during the year
Exercised
Outstanding at the end of the year
Exercisable at the end of the year

Replacement awards
Outstanding at beginning of year
Granted during the year
Exercised
Outstanding at the end of the year
Exercisable at the end of the year

Deferred Bonus Shares
Outstanding at beginning of year
Granted during the year
Exercised during the year
Outstanding at the end of the year
Exercisable at the end of the year

*On IPO in one of subsidiary company, these PUPs have been replaced with ‘shadow stock plan’ awards and replacement stock awards’ and thebenefits under the new replaced plans are based on share price of Airtel Africa plc. For IPO awards, Replacement Stock Awards and Shadow Stockawards, vesting is subject to service, total shareholder return (‘TSR’) and financial performance conditions while for IPO share options and IPO
executive share options, vesting is subject to service condition only.

The fair value of options is measured using Black-Scholes / Binomial valuation model. The key inputs used in the measurementof the grant date fair valuation of equity settled plans and fair value of cash settled plans are given in the table below:

IPO executive share options*
Outstanding at beginning of year
Exercised
Forfeited / expired
Outstanding at end of year
Exercisable at end of year

For the year ended

Shadow Stock Plan
Outstanding at beginning of year
Granted during the year
Exercised
Forfeited / expired
Outstanding at end of year
Exercisable at end of year

Performance share awards
Outstanding at beginning of year
Granted during the year
Exercised
Forfeited / expired
Outstanding at the end of the year
Exercisable at the end of the year

Restricted share awards
Outstanding at beginning of year
Granted during the year
Exercised
Forfeited / expired
Outstanding at the end of the year
Exercisable at the end of the year390

Bharti Airtel Limited

March 31, 2022

Weighted
average
exercise price(K)

One-off award

Replacement stock awards*
Outstanding at beginning of year
Granted during the year
Exercised
Outstanding at end of year
Exercisable at end of year

Financial Statements

Risk free interest rates
Expected life
Volatility
Dividend yield
Exercise price (H)Share price on the date of grant (H)March 31, 2023

March 31, 2022

2.1% to 7.1%
24 to 66 months
28.7% to 58.4%
0.0% to 3.0%
5.00 to 5,780
133.46 to 4,574.84

0.1% to 6.2%
24 to 84 months
23.9% to 35.6%
0.0% to 3.7%
5.00 to 5,780
80.60 to 4,231.81

The expected life of the stock options is based on the Group’s expectations and is not necessarily indicative of exercise
patterns that may actually occur. The expected volatility reflects the assumption that the historical volatility over a period
similar to the expected life of the options is indicative of future trends, which may not necessarily be the actual outcome.
Further, the expected volatility is based on the weighted average volatility of the comparable benchmark companies.
For details as to exercise price, refer table above.
The details of weighted average remaining contractual life, weighted average fair value and weighted average share price forthe options are as follows: -Remaining contractual life for the options outstanding as of (years)
Fair value for the options granted during the year ended (H)Share price for the options exercised during the year ended (H)March 31, 2023

March 31, 2022

0 to 698.9 to 1,466.9
125 to 851.2

0 to 752.05 to 990.5
112.67 to 716.6

The carrying value of cash settled plans liability is H Nil as of March 31, 2023 and March 31, 2022.

Integrated Report and Annual Financial Statements 2022-23

391

Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

Notes to Consolidated Financial Statements

Notes to Consolidated Financial Statements

27.2 Employee benefits

The impact of sensitivity due to changes in the significant actuarial assumptions on the defined benefit obligations is givenin the table below:(All amounts are in millions of Indian Rupee; unless stated otherwise)(All amounts are in millions of Indian Rupee; unless stated otherwise)

The details of significant employee benefits are as follows:
For the year ended March 31, 2023

As of

For the year ended March 31, 2022

Retirement
benefits

Compensatedabsence

Retirement
benefits

Compensatedabsence

3,602
676
324
(676)
(6)
176
105
4,201

1,794
442
132
(362)
(1)
(30)
40
2,015

3,685
203
296
(588)
(14)
44
(24)
3,602

1,645
384
126
(417)
(3)
(52)
111
1,794

5
1
6
4,195

2,015

5
0
5
3,597

1,794

1,394
2,801

1,418
597

872
2,725

1,273
521

Obligation:
Balance as at beginning of the year
Current service cost
Interest cost
Benefits paid
Transfers
Remeasurements
Exchange Difference

Present value of employee benefits
obligation
Assets:Balance as at beginning of year
Interest income

Fair value of plan assets
Net liability recognised in the
Balance Sheet

Change inassumption

Discount Rate
Salary Growth Rate

247
(13)
(58)
176
176

92
23
(71)
44
44

Experience loss
(Gain) / loss from change in demographic assumptions
Gain from change in financial assumptions

Remeasurements on liability

Return on the plan assets, excluding interest income

Remeasurements on plan assets
Net remeasurements recognised in OCI

The above mentioned plan assets are entirely represented by funds invested with LIC.

858
1,320
987
2,258
5,423
6.67

For the year ended

Sales commission and distribution
Advertisement and marketing
Business promotion
Other ancillary expenses

March 31, 2023

March 31, 2022

47,39812,5392,062
10,45572,45437,238
10,274
1,699
3,824
53,035For the year ended

Salary risk - The present value of the defined benefit plans liability is calculated by reference to the future salaries of the plan
participants. As such, an increase in the salary of the plan participants will increase the plan’s liability.

Depreciation on property, plant and equipment (refer note 5)
Depreciation on ROU (refer note 36)
Amortisation on intangible asset (refer note 6)

The financial (per annum rates) and demographic assumptions used to determine defined benefit obligations are as follows:

March 31, 2023

March 31, 2022

206,839
78,47479,005364,318

191,646
64,33674,925
330,907

30. Other expenses

As ofMarch 31, 2023

March 31, 2022

9.39%
7.20%
6.50%
5.40% - 43%
58 to 60

9.46%
3.40%
5.65%
5.20% - 23%
58 to 60

The Group regularly assesses these assumptions with the projected long-term plans and prevalent industry standards.

Bharti Airtel Limited

March 31, 2022

1,389
1,378
1,129
2,374
6,270
5.69

29. Depreciation and amortisation expenses

Changes in bond yields - A decrease in bond yields will increase plan liability.

392

March 31, 2023

28. Sales and marketing expenses

Due to its defined benefit plans, the Group is exposed to the following significant risks:

Discount rate
Rate of return on plan assets
Rate of salary increase
Rate of attrition
Retirement age

(127)
118
116
(127)

As of

Weighted average duration (in years)
March 31, 2022

(185)
33
30
(185)

The table below summarises the maturity profile and duration of the gratuity liability:

Amount recognised in OCI for the above plans
For the year ended

+1%
-1%
+1%
-1%

The methods and types of assumptions used in preparing the sensitivity analysis did not change compared to the prior period.

As of March 31, 2023, expected contributions for defined benefit plans for the next annual reporting period is H 1,020.

March 31, 2023

March 31, 2022

Effect on defined benefits obligation for
retirement benefits

The above sensitivity analysis is determined based on a method that extrapolates the impact on the net defined benefit
obligations, as a result of reasonable possible changes in the significant actuarial assumptions. Further, the above sensitivity
analysis is based on a reasonably possible change in a particular underlying actuarial assumption, while assuming all otherassumptions to be constant. In practice, this is unlikely to occur, and changes in some of the assumptions may be correlated.

Within one year
Within one-three years
Within three-five years
above five years

Current portion
Non-current portion

March 31, 2023

For the year ended

Content cost
Cost of sales *IT expenses
Customer care expenses
Legal and professional fees
Allowance for doubtful receivables (refer note 14)
Collection and recovery expenses
Travelling and conveyance

March 31, 2023

March 31, 2022

8,557
33,569
6,579
4,827
4,245
4,262
2,563
2,654

7,247
25,597
5,358
5,106
4,062
1,869
1,814
1,681

Integrated Report and Annual Financial Statements 2022-23

393

Corporate Overview

Notes to Consolidated Financial Statements

Statutory Reports

Financial Statements

Notes to Consolidated Financial Statements(All amounts are in millions of Indian Rupee; unless stated otherwise)(All amounts are in millions of Indian Rupee; unless stated otherwise)

33. Earnings per share (‘EPS’)

For the year ended
March 31, 2023

March 31, 2022

1,402
483
9,653
78,794

1,179
640
9,757
64,310Bad debts written off
Charity and donation
Others#Management Discussion & Analysis*It includes cost of goods sold, mobile money distribution and gateway charges.
#It includes short term and low value lease payments, printing and stationery, security, repair and maintenance expenses, etc. Further, it includes
political contributions amounting to H 300 and H 1,025 made under Section 182 of the Act, during the year ended March 31, 2023 and March 31,
2022 respectively.

The details used in the computation of basic and diluted EPS:
For the year ended

Profit attributable to equity shareholders as per Statement of Profit and Loss
Weighted average number of equity shares for calculation of basic earnings per share(in thousands)
Weighted average number of equity shares for calculation of diluted earnings per
share (in thousands)

March 31, 2023

March 31, 2022

83,4595,640,723

42,5495,546,320

5,728,459

5,579,534

14.80
14.57

7.67
7.63

Earnings per share

31. Finance costs

Equity shares of face value H 5 per share
For the year ended
March 31, 2023

March 31, 2022

98,043
44,912
21,475
3,013
25,556
192,999

102,646
29,8558,160
25,501
166,162Interest expense
Interest expense - lease liabilities
Net foreign exchange loss
Net loss on derivative financial instruments
Other finance charges##It mainly includes bank charges, trade finance charges, charges relating to derivative instruments and interest charges towards sub-judice matters.

32. Exceptional items
Exceptional items comprise of the following:(i)

For the year ended March 31, 2023:
a.	Charge on account of provision for license fee related to earlier periods in one of group wholly- owned subsidiaryof H 6,698.

(ii)

For the year ended March 31, 2022:a.

Gain of H 9,923 on account of settlement with a strategic vendor.

b.

Net gain of H 7,221 on account of transfer of spectrum rights to another telecom operator.

c.

Gain of H 8,296 on account of sale of telecommunication tower assets.

d.

Charge of H 1,428 on account of prepaying bonds.

e.

Charge of H 3,216 on account of provision of levies.

f.

Charge of H 3,810 on account of impairment of property, plant and equipment.

Tax expense / (credit) include:• Net credit of H 14,825 relating to above exceptional item and due to deferred tax asset recognised on account of carriedforward losses, temporary differences and trued up of deferred tax assets in Group’s subsidiary which was not recognisedin the past during the year ended March 31, 2023.
• Net charge of H 1,033 relating to above exceptional items and gain due to deferred tax asset recognised on account ofcarried forward losses in a subsidiary recognised during the year ended March 31, 2022.
The net impact for NCI is charge and benefit of H 6,222 and H 8,681 during the year ended March 31, 2023 andMarch 31, 2022 respectively, relating to the above exceptional items.

1) Basic2) Diluted

The following is a reconciliation of the equity shares used in the computation of basic and diluted EPS:
As ofMarch 31, 2023

March 31, 2022

In thousands

Weighted average shares outstanding for basic EPS
Effect of dilution due to employee share options
Effect of dilution due to partly paid-up equity shares

Weighted average shares outstanding for diluted EPS

5,640,723
2,328
85,4085,728,459

5,546,320
2,478
30,736
5,579,534

For the year ended March 31, 2023, FCCBs (March 31, 2022: FCCBs) were excluded from the calculation of diluted weighted
average number of equity shares as their effect would have been anti-dilutive.

34. Segment reporting
The Group’s operating segments are organised and managed separately through the respective business managers,
according to the nature of products and services provided and geographies in which services are provided, with each segment
representing a strategic business unit. These business units are reviewed by the Chairman of the Group (Chief Operating
Decision Maker - ‘CODM’).
The amounts reported to CODM are based on the accounting principles used in the preparation of Financial Statements
as per Ind AS. Segment’s performance is evaluated based on segment revenue and segment result viz. profit or loss fromoperating activities before exceptional items and tax, after excluding charity and donation cost but including share of resultof joint ventures and associates. Accordingly, finance costs / income, non-operating (income) / expenses and exceptional
items are not allocated to individual segment.
Inter-segment pricing and terms are reviewed and changed by the management to reflect changes in market conditions andchanges to such terms are reflected in the period in which the changes occur. Inter-segment revenues are eliminated upon
consolidation of segments / Group accounting policy alignments are reflected in the ‘Eliminations / Adjustments’ column.
Segment assets / liabilities comprise assets / liabilities directly managed by each segment. Segment assets primarily includes
receivables, ROU, PPE, capital work-in-progress, intangible assets, IAUD, non-current investments, inventories and cash andcash equivalents. Segment liabilities primarily include operating and lease liabilities. Segment capital expenditure comprisesof additions to PPE, CWIP, intangible assets, and IAUD, ROU and capital advances.
The reporting segments of the Group are as below:
Mobile Services India: These services cover voice and data telecom services provided through wireless technology (2G /4G / 5G) in India. This includes the captive national long distance networks which primarily provide connectivity to the mobile
services business in India. This also includes intra-city fibre networks.
Mobile Services Africa: These services cover provision of voice and data telecom services provided through wirelesstechnology (2G / 3G / 4G) in Africa. This also includes corporate headquarter costs of the Group's Africa operations.

394

Bharti Airtel Limited

Integrated Report and Annual Financial Statements 2022-23

395

396
Bharti Airtel Limited

Total revenue

886,068
394,369358

60,40062,95865,836

8,530
4,356
-

1,059
78
1,264

(1,782)

227,093
113,712847

34,435396
19,40754,324

163,637
22,294
185,931(90)

250,201
250,201

-

7,365

7,365

56,32943,23860

21,826491
11,5998,901

40,43042
40,472
5

48,524
59,778-13,555
13,3483,996

29,315135
29,450-41,548830
30,290

-

292

855
855
214

251,453
1,748,172-

866(1,971)-

Total(61,122)(70,511)
-

(302)

(515)

4,466,332
3,401,889
281,838

776,211315,369
364,318

187,445
783
6,698
165,607360,533- 1,391,448(50,114)(50,114) 1,391,448
7,521

Eliminations /Adjustments

Statutory Reports*This is net of income / gain from dividend, interest, FVTPL investments and derivative financial instruments.

Segment assets
2,757,708
Segment liabilities
1,107,945
Investment in joint ventures and associates
82(included in segment assets above)

As of March 31, 2023

644,936
251,446
252,300

141,471

148,452

2,669
275
2,944
-

UnallocatedManagement Discussion & Analysis

Capital expenditure
Addition to ROU
Depreciation and amortisation expenses

Profit before tax
Other segment items

Net finance costs*
Charity and Donation
Exceptional items (net) (refer note 32)

Less:

Share of results of joint ventures andassociates
Segment results

416,0246,640
422,66426

739,373
19,873759,246
1

Digital TV Services: This includes digital broadcasting services provided under the DTH platform.
OthersHomes Services: These services cover voice and data communications through fixed-line network and broadband technology
for homes.

Revenue from external customers
Inter-segment revenue

Others: It includes certain other strategic investment in joint venture / associates and administrative / support services
provided to other segments.
Digital TV
Services

Unallocated: It includes expenses / results, assets and liabilities primarily of corporate headquarters of the Group, noncurrent investment, current taxes, deferred taxes, borrowings and certain financial assets and liabilities, not allocated to theoperating segments.
Homes
Services

Tower Infrastructure Services: These services include setting up, operating and maintaining wireless communication
towers in India.

Tower
Infrastructure
Services

Airtel Business: These services cover end-to-end telecom solutions being provided to large Indian and global corporations byserving as a single point of contact for all telecommunication needs across data and voice (domestic as well as international
long distance), network integration and managed services.

AirtelBusiness

Mobile Services South Asia: These services cover voice and data telecom services provided through wireless technology(2G / 3G / 4G) in Sri Lanka.

MobileServices
South Asia

(All amounts are in millions of Indian Rupee; unless stated otherwise)

MobileServices
AfricaNotes to Consolidated Financial Statements

MobileServices
India

Summary of the segmental information for the year ended and as of March 31, 2023 is as follows:(All amounts are in millions of Indian Rupee; unless stated otherwise)

Notes to Consolidated Financial Statements

Corporate Overview
Financial Statements

Integrated Report and Annual Financial Statements 2022-23

397

398
Bharti Airtel Limited

9,313
3,497
-

3,408
318
1,801

(2,422)

3,716
153
3,869
-

MobileServices
South Asia

211,548
151,993998

28,507
1,698
17,45944,705140,30220,400160,702(18)

AirtelBusiness

248,791
248,791-

24,242

24,242

Tower
Infrastructure
Services*This is net of income / gain from dividend, interest, FVTPL investments and derivative financial instruments.

764,965
307,299
442

48,891
40,38755,323

116,769

78,549267,538
56,008233,215345,6115,001
350,612
21

MobileServices
Africa614,036
15,113
629,149
2

Segment assets
2,098,755
Segment liabilities
804,125
Investment in joint ventures and associates
76(included in segment assets above)

As of March 31, 2022

Capital expenditure
Addition to ROU
Depreciation and amortisation expenses

Profit before tax
Other segment items

Net finance costs*
Non-operating expense (net)Charity and donation
Exceptional items (net) (refer note 32)

Less:

Share of results of joint ventures andassociates
Segment results

Total revenue

Revenue from external customers
Inter-segment revenue

MobileServices
India

Summary of the segmental information for the year ended and as of March 31, 2022 is as follows:(All amounts are in millions of Indian Rupee; unless stated otherwise)

Notes to Consolidated Financial Statements

41,58826,212
53

17,217763
10,174

5,729

30,34842
30,39014

HomesServices

41,30847,325-

13,073
1,116
12,0838,923

31,456
82
31,538-

Digital TV
Services

35,078409
33,908

-

(1)

355
355
(29)

Others235,794
1,425,399-

1,014(2,002)-

UnallocatedTotal

378,634
100,290
330,9073,636,560
2,717,210
284,268(50,580)(49,049)-

163,836
1,082
1,665(16,986)
124,831274,428

(162)

(64)

- 1,165,469(41,146)(41,146) 1,165,469
24,232Eliminations /Adjustments

Corporate Overview
Management Discussion & Analysis

India
AfricaOthersIndia
AfricaOthersStatutory Reports
Financial Statements

Notes to Consolidated Financial Statements(All amounts are in millions of Indian Rupee; unless stated otherwise)

Geographical information*:(a) Revenue from external customers:
March 31, 2023

For the year ended
March 31, 2022

928,568
416,024
46,856
1,391,448
777,402345,61142,456
1,165,469(b) Non-current assets#
March 31, 2023

As ofMarch 31, 2022

2,521,224
719,964
32,865
3,274,053
1,873,498
606,507
21,9192,501,924#Non-current operating assets for this purpose consist of PPE, CWIP, ROU, intangible assets, IAUD, capital advances and goodwill.

*Basis location of entity

Integrated Report and Annual Financial Statements 2022-23

399

Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

Notes to Consolidated Financial Statements

Notes to Consolidated Financial Statements

35. Related party disclosures(a) List of related parties		Century Metal Recycling Private Limited		Urbanclap Technologies India Private Limited		Indian Continent Investment Limited
		Viridian Limited		
Dixon Electro Appliances Private Limited
		
Ampsolar Evolution Private Limited(All amounts are in millions of Indian Rupee; unless stated otherwise)i.

Ultimate controlling entity	Bharti Enterprises (Holding) Private Limited. It is held by private trusts of Bharti family, with Mr. Sunil Bharti Mittal’s family
trust effectively controlling the said company.
ii.	Entity having control over the Company (‘Controlling entity’)
Bharti Telecom Limited
iii.	For list of subsidiaries, joint venture and associates refer note no. 44.
iv.	Other entities with whom transactions have taken place during the reporting periods
-

Entities having significant influence over the Company (‘Significant influence entities’)
Pastel Limited
Singapore Telecommunications Limited-

Fellow companies (subsidiaries / joint ventures / associates other than that of the Company)a)Subsidiaries

		
Bharti Enterprises Limited		Bharti Management Services Limited (Formerly known as Bharti AXA General Insurance Company Limited) (w.e.f.
March 31, 2023)b)

Associates		
Bharti Life Ventures Private Limited		
Bharti Axa Life Insurance Company Limited		Bharti Management Services Limited (formerly known as Bharti Axa General Insurance Company Limited) (upto
March 30, 2023)-

Others related parties*a)	Entities where Key Management Personnel and their relatives exercise significant influence		Bharti Foundation
		
Hike Private Limited		
Bharti RBM Holdings Private Limitedb)(All amounts are in millions of Indian Rupee; unless stated otherwise)		* ‘Other related parties’ though not ‘Related Parties’ as per the definition under Ind AS 24, Related party disclosures have been
included by way of a voluntary disclosure, following the best corporate governance practices.

v.

Key Management Personnel (‘KMP’)

Sunil Bharti Mittal, Chairman
Gopal Vittal, Managing Director and CEO	Badal Bagri, Chief Financial Officer (Upto October 8, 2021)
Soumen Ray, Chief Financial Officer (India & South Asia) (w.e.f. December 21, 2021)
Pankaj Tewari, Company Secretary
Segun Ogunsanya (w.e.f. October 1, 2021)
	Raghunath Venkateswarlu Mandava (Upto September 30, 2021)
Non-executive Directors
Chua Sock Koong
Craig Edward Ehrlich (upto August 3, 2021)
Dinesh Kumar Mittal
Kimsuka Narasimhan
Manish Kejriwal (upto September 25, 2022)
Nisaba Godrej (w.e.f. August 4, 2021)
Pradeep Kumar Sinha (w.e.f. May 18, 2022)
Rakesh Bharti Mittal
Shyamal Mukherjee (w.e.f. May 18, 2022)
Shishir Priyadarshi (upto October 31, 2022)
Tao Yih Arthur Lang
V. K. Viswanathan

Others

		
		
		
		
		
		
		
		
		
		
		
		
		
		
		
		
		
		
		
		

Del Monte Foods Private Limited
Bharti Land Limited
Alborz Developers Limited
Vinta Realty Limited
Populus Realty Limited
Bharti Realty Limited
Beetel Teletech Limited
Centum Learning Limited
IFFCO Kisan Sanchar Limited
Bharti Global Limited
Bharti Real Estates Limited
Aban Green Power Private Limited
Greenergy Wind Corporation Private Limited
Deber Technologies Private Limited
Oak Infrastructure Developers Limited
Indian School of Business
Guernsey Airtel Limited
CA Cloud Investments
Gourmet Investments Private Limited
Jersey Airtel Limited

400

Bharti Airtel Limited

Integrated Report and Annual Financial Statements 2022-23

401

402

113
321
154

The significant related party transactions are summarised below:-

Singapore Telecommunications Limited

7,819
5,800
1,023

5,955
-

771

602

880

343

747

807

4,706

4,224

33,464

26,975-

1,258

61,15752,499182,316

24,985(1,507)

2,733

13,852

-

255

383

6,006
2,319

-

1,012

-

8,106

24,378

-

150
998

-

2,150
1,450
1,760

Associate(iii) Receiving of services
Entity having significant influence over the Company

712

-

-

9,650
-

-

Airtel Payment Bank Limited

Singapore Telecommunications Limited

Associate
Airtel Payments Bank Limited
Indus Towers Limited

72
61
87

187

1,050
16

3,820
(1,507)

389

Joint ventures#(iv) Sale of fixed assets/IRU
Other related party(v) Reimbursement of energy expenses paid
Joint Ventures

36
-

-

13,852
98,106182,316

61,157404
168
33,620Beetel Teletech Limited

Indus Towers Limited(vi) Receiving / (termination) of assets (ROU)#**
Joint ventures
Other related party

-

123

255
251

-

-

916
4,916

Associates

Bharti Realty Limited(vii) Dividend received/income
Joint ventures--

Robi Axiata Limited

Bharti Telecom Limited
Pastel Limited

-

-

2,319
6,006
-

-

-

(32)
771
747
-

Associate(viii) Dividend paid
Entities having control over the Company / entities having significant
influence over the Company

Other related party#Amount disclosed is net of termination*Other related parties / fellow companies

Indian Continent Investment Limited
Purchase of assets
Sale / rendering of services
Purchase of goods / receiving ofservices
Reimbursement of energy
expenses
Purchase of investments
Loans taken
Repayment of loans taken
Receiving of assets (related to
ROU)#
Dividend paid
Dividend received / income
Sale of fixed assets / IRU
Fund transferred / expenses
incurred on behalf of others
Fund received / expenses incurredon behalf of the Company
Security deposit given
Repayment of loans given
Refund of security deposit given
Interest charged by others

Controlling
entitySignificant
influence
entities

March 31, 2022(ii) Rendering of services
Entity having significant influence over the Company

-

64
-

388
283

Beetel Teletech Limited
Bharti Realty Limited*
Dixon Electro Appliances Private Limited

Indus Towers Limited

Relationship

March 31, 2023

Purchase of fixed assets
Other related party

Indus Towers Limited ^March 31, 2023

Financial Statements

For the year ended

-

1,148
-

-

357
4,245
106
602
807
14,642
275
519

Statutory Reports(All amounts are in millions of Indian Rupee; unless stated otherwise)

8
42

245
-

1,258
0
9

5,360
1,540
2,733
27,07724,985376
52,506

6,020
140
679
223
27,132

ORP / FC*
Joint
ventures
Associates
Controlling
entityJoint
ventures

ORP / FC*

March 31, 2022

Significant
influence
entities
For the year ended

Bharti Airtel Limited

Management Discussion & Analysis

Notes to Consolidated Financial Statements(i)(b)	The summary of transactions with the above mentioned parties is as follows:In the ordinary course of business, there are certain transactions among the Group entities, and all these transactions are on arm length basis. However, the intra-group transactions
and balances, and the income and expenses arising from such transactions, are eliminated on consolidation. The transactions with related parties (other than with KMPs which aredisclosed in note 35 (d)) for the year ended March 31, 2023 and March 31, 2022 respectively, are described below:(All amounts are in millions of Indian Rupee; unless stated otherwise)

Notes to Consolidated Financial Statements

Corporate Overview(ix) Investment madeJoint venture
Indus Towers Limited

Associates
Lavelle Networks Private Limited
Hughes Communications India Pvt. Ltd.

(x) Loans taken
Other related parties
Alborz Developers Limited
Populus Realty Limited
Vinta Realty Limited

Integrated Report and Annual Financial Statements 2022-23

403

Corporate Overview

Notes to Consolidated Financial Statements

Statutory Reports

Financial Statements

Notes to Consolidated Financial Statements(All amounts are in millions of Indian Rupee; unless stated otherwise)(All amounts are in millions of Indian Rupee; unless stated otherwise)(d) Transactions and balances with Key Management Personnel and Directors

For the year ended
March 31, 2023

March 31, 2022

-

9,650

1,240
820
1,760

910
630
-

-

712

(xi) Loans repayment
Entity having control over the Company
Bharti Telecom Limited

Management Discussion & Analysis

	KMPs are those persons having authority and responsibility for planning, directing and controlling the activities of theGroup, directly or indirectly, including any director, whether executive or otherwise. Remuneration to key management
personnel were as follows:

Other related parties

For the year ended

Alborz Developers Limited
Populus Realty Limited
Vinta Realty Limited

Short-term employee benefits
Performance linked incentive ('PLI')#
Post-employment benefits
Other long-term benefits
Other awards & benefits
Share-based payment(xii) Interest charged by other
Entity having control over the Company
Bharti Telecom Limited#Amount does not include GST*During the year ended March 31, 2023, the Company has acquired business undertaking as a going concern on a slump sale basis comprising ofcertain immovable property in Chennai and Manesar along with related assets and liabilities under a business transfer agreement for a considerationof H 5,800.
**Amount disclosed is net of termination.

(c) The outstanding balances of the above mentioned related parties are as follows:Significant
influence
entities

Associates

-

410
1
-

5
794
90
-

37,7101,557
277,885
-

1,149
130
956
4,304
-

-

393
1
-

73
401
117
-

28,224
1,609
124,038
-

1,859
53
1,059
3,820
4,156
17,879

Joint ventures

In addition to above,

ORP / FC*

As of March 31, 2022
Trade payables
Trade receivables
Other financial assets
Loans
Lease liability#
Other financial liabilities

295
164
21
22
300
174
976

#Value of PLI, as shown above, represents incentive at 100% performance level. However, the same will be paid in the next year on the basis of	
actual performance parameters. During the year ended March 31, 2023 and March 31, 2022, PLI of H 241 and H 236 respectively has been paid.

As of March 31, 2023
Trade payables
Trade receivables
Other financial assets
Loans
Lease liability#
Other financial liabilities

March 31, 2022

369
183
22
24
290
202
1,090

	As the liabilities for the gratuity and compensated absences are provided on an actuarial basis, and calculated for theCompany as a whole rather than each of the individual employees, the said liabilities pertaining specifically to KMP are
not known and hence, not included in the above table.

^During the year ended March 31, 2023, the Group has made payment of H 46,324 and H 43,825 in respect of the lease liabilities.

Controlling
entityMarch 31, 2023•

H Nil and H 28 has been paid to one of the key managerial personnel during the year ended March 31, 2023 towards
post-employment benefits, upon his resignation from the Company.

•

H 4 and H Nil have been paid as dividend to key management personnel during the year ended March 31, 2023 andMarch 31, 2022 respectively.

	"Other awards & benefits" include commission to Non-Executive Directors (including Independent Directors) and sitting
fees paid to the Independent Directors.

36. Leases
Group as a lessee
ROU he following table presents the reconciliation of changes in the carrying value of ROU assets for the year ended
T
March 31, 2023 and March 31, 2022:*Other related parties / fellow companies#It includes discounted value of future cash payouts(1)	Outstanding balances at period end are unsecured and settlement occurs in cash. There have been no guarantees
provided or received for any related party receivables or payables.
(2)	In addition to the above, H 59 and H 236 donation has been given to Bharti Foundation during the year ended March 31,
2023 and March 31, 2022 respectively.

Balance at April 1, 2021
Additions
Depreciation
Termination / other adjustments
Exchange differences

Balance at March 31, 2022
Balance at April 1, 2022
Additions
Depreciation
Termination / other adjustments
Exchange differences

Balance at March 31, 2023

404

Bharti Airtel Limited

Bandwidth

Plant andequipment

Building

Land

Transponder

VehicleTotal

45,463
6,195(4,564)(77)(24)
46,993

213,995
79,157(53,297)
2,418
1,127
243,400

10,155
3,952(2,417)(1,065)(6)
10,61918,117
8,556(2,830)(3,887)(115)
19,841320
2,235(1,181)
(149)
1,225

67
195
(47)
(7)
208

288,117100,290(64,336)(2,760)975
322,286

46,993
4,679(4,298)(9)(64)
47,301

243,400
298,559(66,939)(6,238)(1,379)467,403

10,6195,464(2,448)(3,077)(4)
10,554

19,841
4,197(2,987)(1,962)
8
19,0971,225
2,470(1,772)
1,923

208
(30)
10
188

322,286
315,369(78,474)(11,286)(1,429)546,466

Integrated Report and Annual Financial Statements 2022-23405

Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

Notes to Consolidated Financial Statements

Notes to Consolidated Financial Statements• BandwidthGroup has entered into non–cancellable lease arrangements to provide dark fiber on IRU basis and tower assets on sitesharing basis. Due to the nature of these transactions, it is impractical to segregate & compute gross carrying amount,depreciation for the year and accumulated depreciation of the asset given on operating lease as of March 31, 2023 andMarch 31, 2022 and accordingly, the related disclosures are not provided.

(All amounts are in millions of Indian Rupee; unless stated otherwise)(All amounts are in millions of Indian Rupee; unless stated otherwise)

The Group’s leases of bandwidth comprise of dark fiber taken on lease.
• Plant and equipment
The Group leases passive infrastructure for providing telecommunication services under composite contracts that include
lease of passive infrastructure and land on which the passive infrastructure is built as well as maintenance, security,
provision of energy and other services.

	The business activities of the Group expose it to a variety of financial risks, namely market risks (that is, foreign exchangerisk, interest rate risk and price risk), credit risk and liquidity risk. The Group’s risk management strategies focus on theunpredictability of these elements and seek to minimise the potential adverse effects on its financial performance.
Further, the Group uses certain derivative financial instruments to mitigate some of these risk exposures (as discussed
below in this note).

• Building
The Group’s leases of building comprise of lease of offices, warehouses and shops.
• LandThe Group’s leases of land comprise of land taken on lease on which passive infrastructure and office is built.
• Transponder
The Group’s leases comprise of capacity in the space segment in satellite system in DTH business.

Amounts recognised in Statement of Profit and Loss
For the year ended

Interest on lease liabilities
Expenses relating to short-term leases
Expenses relating to leases of low-value assets, excluding short-term leases of low-value assets

March 31, 2023

March 31, 2022

44,912
210
265

29,855731
236

Amounts recognised in Statement of Cash Flows
For the year ended

Principle payment of lease liabilities

March 31, 2023

March 31, 2022

75,98676,427

The following table sets out a maturity analysis of lease payments, showing the undiscounted lease payments to be paid
after the reporting date.
As of

Not later than one year
Later than one year but not later than five years
Later than five years

Total

March 31, 2023

March 31, 2022

143,637
393,853
261,121798,611

103,893239,513134,059
477,465

Group as a lessor- operating lease
Amounts recognised in Statement of Profit and Loss
For the year ended

Lease income

March 31, 2023

March 31, 2022

901

2,527

The following table sets out a maturity analysis of lease payments, showing the undiscounted lease payments to be received
after the reporting date.
Operating leases under Ind AS 116

Total

406

Bharti Airtel Limited

	The financial risk management for the Group is driven by the Group’s senior management (‘GSM’), in close co-ordination
with the operating entities and internal / external experts subject to necessary supervision. The Group does not undertake
any speculative transactions either through derivatives or otherwise. The GSM are accountable to the Board of Directors(‘the BoD’) and Audit Committee. They ensure that the Group’s financial risk-taking activities are governed by appropriate
financial risk governance frame work, policies and procedures. The BoD of the respective operating entities periodicallyreviews the exposures to financial risks, and the measures taken for risk mitigation and the results thereof.
	The Group policy allows for material translation exposure to be established under effective hedge relationships by
ensuring that the critical terms of the hedging instruments match with the terms of the hedged item so as maintainthe hedge ratio to be 1:1. The Group uses prospective effectiveness assessment (dollar offset / hypothetical derivative
method) to ensure that an economic relationship exists between the hedged item and hedging instrument.
(i)March 31, 2023

March 31, 2022

491
387
168
118
78
240
1,482

693
451
357
143
96
302
2,042

Foreign currency risk

	Foreign exchange risk arises on all recognised monetary assets and liabilities, and any highly probable forecasted
transactions, which are denominated in a currency other than the functional currency of the transacting Group entity.
The Group, through the Parent, several intermediary entities and subsidiaries; operates across multiple geographiesin the Africa and Asia continent. Accordingly, the Group is exposed to translation risk on the net investment in foreignsubsidiaries. The Group has foreign currency trade payables, receivables and borrowings (internal as well as external).
However, foreign exchange exposure mainly arises from borrowings and trade payables denominated in foreign currencies
and certain net investment in foreign currency. Consequently, the Group is mainly exposed to foreign exchange risks
related to USD / Euro vis-à-vis the functional currencies and the translation risk related to USD to INR and USD to XAF XOF (pegged to Euro).
	The foreign exchange risk management policy of the Group requires it to manage the foreign exchange risk either
through derivatives or reducing the exposure by transacting as far as possible in the functional currency. Moreover, theGroup monitors the movements in currencies in which the borrowings / capex vendors are payable and manage any
related foreign exchange risk, which inter-alia include entering into foreign exchange derivative contracts - as consideredappropriate and whenever necessary. For further details, as to foreign currency borrowings, refer note 18. Further, forthe details as to the fair value of various outstanding derivative financial instruments designated in a hedge relationshipor otherwise refer note 10.
	As per the Group’s hedging policy certain foreign currency liability, highly probable forecast transactions and material
net investment of the Group in foreign subsidiaries have been designated under net investment hedge respectively. The
following table analyses the movement in the net investment hedging in FCTR due to said hedges and details thereto.
a)

As of

Less than one year
One to two years
Two to three years
Three to four years
Four to five years
More than five years

37. Financial and Capital risk
1. Financial risk

Net investment hedge
March 31, 2023

Currency exchange risk hedged
Nominal amount hedged as at the end of the year
Nominal amount hedged during the year
Maturity date-

Carrying value of hedging instruments(borrowings)-

USD to INR
USD 1,910 Mn
USD 1,910 Mn
February 2025 June 2031
157,194

March 31, 2022

Euro to USD
NilEuro 160 Mn
May 2021
14,827

USD to INR
USD 2,788 Mn
USD 2,788 Mn
June 2025 February 2028
211,651

Integrated Report and Annual Financial Statements 2022-23407

Corporate Overview

Notes to Consolidated Financial Statements

Statutory Reports(All amounts are in millions of Indian Rupee; unless stated otherwise)

The following table analyses the financial impact of fair value hedge and details thereto.

March 31, 2022

Change in fair value during the year:
Hedged item
Hedging instrument
FCTR loss for continuing hedge(net of tax and NCI)
Hedging loss recognised during the year
Loss reclassification during the year to Statementof Profit and loss under exceptional items-

17,075(17,075)(40,331)567(567)(2,727)

5,834(5,834)(28,510)-(17,075)
-

(567)
-

(5,834)-Foreign currency sensitivity

The impact of foreign exchange sensitivity on profit for the year and OCI is given in the table below:
Change in currency
exchange rate

Effect on profit
before tax

Effect on equity
(OCI)

+5%
-5%
+5%
-5%
+5%
-5%

(1,662)
1,662
37
(37)
14
(14)

(10,900)
10,900
-

+5%
-5%
+5%
-5%
+5%
-5%

(2,086)
2,086
1
(1)
(54)
54

(13,163)
13,163-For the year ended March 31, 2023
US Dollar
Euro
OthersEuro
OthersMarch 31, 2023

March 31, 2022

(1,465)(3,229)

Increase / decrease(basis points)

Effect on profit
before tax

+100
-100
+25
-25
+100
-100

(661)
661
(153)
153
(339)
339

+100
-100
+25
-25
+100
-100

(424)
424
(95)
95
(146)
146

Interest rate risk covered for currency
Nominal amount of Hedging instruments
Maturity date
Carrying value of hedging instruments (derivative assets)
Carrying value of hedging instruments (derivative liabilities)
Carrying value of hedged item (borrowings)
Change in fair value during the year
Hedged item
Hedging instrument
Hedge ineffectiveness recognised in finance income/cost during the year
Cumulative change in fair value of hedged item
Unamortised portion of fair value hedge adjustment

Interest rate sensitivity of borrowings
The impact of the interest rate sensitivity on profit before tax is given in the table below:
Interest rate sensitivity

For the year ended March 31, 2023

For the year ended March 31, 2022
US Dollar

Financial Statements

Notes to Consolidated Financial Statements(All amounts are in millions of Indian Rupee; unless stated otherwise)

March 31, 2023

Management Discussion & Analysis

	The sensitivity disclosed in the above table is mainly attributable to, in case of to foreign exchange gains / (losses) on
translation of USD / Euro denominated borrowings, derivative financial instruments, trade and other payables, andtrade receivables.
	The above sensitivity analysis is based on a reasonably possible change in the underlying foreign currency against therespective functional currency while assuming all other variables to be constant.
	Based on the movements in the foreign exchange rates historically and the prevailing market conditions as at thereporting date, the Group’s Management has concluded that the above mentioned rates used for sensitivity arereasonable benchmarks.
(ii) Interest rate risk
	As the Group does not have exposure to any floating-interest bearing assets, its interest income and related cash
inflows are not affected by changes in market interest rates. Consequently, the Group’s interest rate risk arises mainly
from borrowings.
Borrowings

INR - borrowings
USD -borrowings
Other currency -borrowings

For the year ended March 31, 2022
INR - borrowings
USD -borrowings
Other currency -borrowings

The sensitivity disclosed in the above table is attributable to floating-interest rate borrowings.
	The above sensitivity analysis is based on a reasonably possible change in the underlying interest rate of the Group’s
borrowings in INR and USD (being the significant currencies in which it has borrowed funds), while assuming all othervariables (in particular foreign currency rates) to be constant.
	Based on the movements in the interest rates historically and the prevailing market conditions as at the reporting date,the Group’s management has concluded that the above mentioned rates used for sensitivity are reasonable benchmarks.
(iii) Price risk	Borrowings with floating and fixed interest rates expose the Group to cash flow and fair value interest rate risk respectively.
However, the short-term borrowings of the Group do not have a significant fair value or cash flow interest rate risk due
to their short tenure. Accordingly, the components of the debt portfolio are determined by the GSM in a manner whichenables the Group to achieve an optimum debt-mix basis its overall objectives and future market expectations.

	The Group invests its surplus funds in various fixed income products, including but not limited to debt mutual funds, shortterm debt funds, corporate debt, government securities and fixed deposits. In order to manage its price risk arising frominvestments, the Group diversifies its portfolio in accordance with the limits set by the risk management policies. The
Group has exposure across debt securities, mutual fund and money market instruments.

	The Group monitors the interest rate movement and manages the interest rate risk based on its risk, management policies,
which inter-alia include entering into interest swaps contracts - as considered appropriate and whenever necessary.

	Debt investments are susceptible to market price risk, mainly arising from changes in the interest rates or market
yields which may impact the return and value of such investments. However due to the very short tenure of money
market instruments and the underlying portfolio in liquid schemes, these do not pose any significant price risk. On the
duration investment balance, an increase / decrease of 25 basis points in market yields (parallel shift of the yield curves),
will result in decrease / increase in the mark to market value of the investments by H Nil as on March 31, 2023 andMarch 31, 2022.

	The Group has designated the interest rate components (which is separately identifiable from other components) of
certain fixed interest rate bonds under the hedge relationship since historically it accounts for substantial portions of
the total fair value change of the bonds.

408

Bharti Airtel Limited

Integrated Report and Annual Financial Statements 2022-23409

Corporate Overview

Management Discussion & Analysis

Statutory Reports

Financial Statements

Notes to Consolidated Financial Statements

Notes to Consolidated Financial Statements(iv) Credit risk

	Moreover, the GSM regularly monitors the rolling forecasts of the entities’ liquidity reserve (comprising of the amountof available undrawn credit facilities and cash and cash equivalents) and the related requirements, to ensure they havesufficient cash on an on-going basis to meet operational needs while maintaining sufficient headroom at all times on its
available undrawn committed credit facilities, so that there is no breach of borrowing limits or relevant covenants on anyof its borrowings. For details as to the borrowings, refer note 18.

(All amounts are in millions of Indian Rupee; unless stated otherwise)(All amounts are in millions of Indian Rupee; unless stated otherwise)	Credit risk refers to the risk of default on its obligation by the counter-party, the risk of deterioration of credit-worthinessof the counter-party as well as concentration risks of financial assets, and thereby exposing the Group to potential
financial losses.
	The Group is exposed to credit risk mainly with respect to trade receivables, investment in bank deposits, debt securities,
mutual funds and derivative financial instruments.
Trade receivables
	The Trade receivables of the Group are typically non-interest bearing unsecured and derived from sales made to a large
number of independent customers. As the customer base is widely distributed both economically and geographically,
there is no concentration of credit risk.

	Based on past performance and current expectations, the Group believes that the cash and cash equivalents, cash
generated from operations and available undrawn credit facilities, will satisfy its working capital needs, capital expenditure,investment requirements, commitments and other liquidity requirements associated with its existing operations, throughat least the next twelve months.
	
The table below summarises the maturity profile of the Group’s financial liabilities based on contractual
undiscounted payments:

	As there is no independent credit rating of the customers available with the Group, the management reviews the creditworthiness of its customers based on their financial position, past experience and other factors.
	Credit risk related to the trade receivables is managed / mitigated by each business unit, basis the Group’s establishedpolicy and procedures, by setting appropriate payment terms and credit period, and by setting and monitoring internal
limits on exposure to individual customers. The credit period provided by the Group to its customers generally ranges
from 14-30 days except Airtel business segment wherein it ranges from 7-90 days.
	The Group uses a provision matrix to measure the expected credit loss of trade receivables, which comprise a very large
numbers of small balances. Refer note 14 for details on the impairment of trade receivables.
	Based on the industry practices and the business environment in which the entity operates, management considers thatthe trade receivables are impaired if the payments are more than 270 days past due in case of interconnect debtors in
Africa Mobile Segment and 90/120 days from due/invoice date in all other cases.
The ageing analysis of trade receivables as of the reporting date is as follows:
Neitherpast
due nor
impairedLess than
30 days

30 to 60days

60 to 90days

Above 90
days

Total

9,492
8,894

13,076
9,325

6,683
5,607

4,950
3,980

5,614
12,75639,81540,562

March 31, 2023
March 31, 2022

Past due but not impaired	The Group performs on-going credit evaluations of its customers’ financial condition and monitors the credit worthinessof its customers to which it grants credit in its ordinary course of business. The gross carrying amount of a financial asset
is written of (either partially or in full) to the extent that there is no realistic prospect of recovery. This is generally the casewhen the Group determines that the debtor does not have assets or sources of income that could generate sufficient
cash flows to repay the amount due. Where the financial asset has been written-off, the Group continues to engage
in enforcement activity to attempt to recover the receivable due. Where recoveries are made, these are recognised instatement of profit and loss.
Financial instruments and cash deposits	The Group’s treasury, in accordance with the board approved policy, maintains its cash and cash equivalents, deposits
and investment in mutual funds & debt securities, and enters into derivative financial instruments with banks, financial
and other institutions, having good reputation and past track record, and high / sovereign credit rating. Similarly, counterparties of the Group’s other receivables carry either no or very minimal credit risk. Further, the Group reviews the creditworthiness of the counter-parties (on the basis of its ratings, credit spreads and financial strength) of all the above assets
on an on-going basis, and if required, takes necessary mitigation measures.
(v) Liquidity risk
	Liquidity risk is the risk that the Group will not be able to meet its financial obligations as they become due. Accordingly,
as a prudent liquidity risk management measure, the Group closely monitors its liquidity position and deploys a robust
cash management system. It maintains adequate sources of financing including bilateral loans, debt, and overdraft fromboth domestic and international banks at an optimised cost. It also enjoys strong access to domestic and international
capital markets across debt and equity.

410

Bharti Airtel Limited

As of March 31 , 2023

Interest bearing
borrowings*#
Lease liabilities
Other financial liabilities#
Trade payables

Financial liabilities(excluding derivatives)
Derivative liabilities

Carrying
amountOn Demand

Less than
6 months

6 to 12months1 to 2years> 2 years

Total

1,701,537

32,30958,70983,174

214,876

2,352,792

2,741,860

604,755
293,173
328,9462,928,411

55,58987,89882,757
176,154
328,946646,566

60,886
3,319
147,379

117,878
537,063798,584
2,075
63,685300,822
328,946
334,829 2,953,540 4,170,212

4,640

-

934

183

Carrying
amountOn Demand

Less than
6 months

1,356,472

22,294

367,634
239,498
292,741
2,256,345
995

3,405

118

4,640

6 to 12months1 to 2years> 2 years

Total

154,592

54,629121,251

1,814,216

2,166,982

46,831
69,12562,228
138,607292,741
648,168

41,665
3,784
100,078

74,561
299,017477,471
1,969
52,240243,431
292,741
197,781 2,165,473 3,180,625

-

385

610

As of March 31 , 2022

Interest bearing
borrowings*#
Lease liabilities
Other financial liabilities#^
Trade payables

Financial liabilities(excluding derivatives)
Derivative liabilities

-

-

995

	*It includes contractual interest payment based on interest rate prevailing at the end of the reporting period after adjustment for the impact
of interest swaps, over the tenor of the borrowings.
#Interest accrued has been included in interest bearing borrowings and excluded from other financial liabilities.

^Compulsorily convertible preference shares are excluded from other financial liabilities.

vi)	Reconciliation of liabilities whose cash flow movements are disclosed as part of financing activities in theStatement of Cash Flows:
Balancesheet
captionStatement of cash
flows line item

April 1,
2022

Borrowings* Proceeds /593,991
repayments ofborrowings (including
short-term)
Interest
Interest and other
27,327
accruedfinance charges paid
Lease
Payment of lease
367,634
liabilities
liabilities

Cash flows

Non-cash movements
Interest
Foreign Fair value
FCTR
expense exchange changes

OthersMarch 31,2023

(113,123)-

16,884

(887)

2,029

5,047

503,941(66,893)

168,511--(4,772)(78,084)

46,089(75,986)---

16,516

296,591

604,755

Integrated Report and Annual Financial Statements 2022-23

411

Corporate Overview

Notes to Consolidated Financial Statements

Borrowings*

Interest
accruedLeaseliabilities

Proceeds /repaymentsof borrowings(including shortterm)
Interest andother financecharges paid
Payment of leaseliabilities

April 1,
2021

Cash flows

593,459(18,778)

Non-cash movements
Interest
Foreign Fair value
FCTR
expense exchange changes

-

9,210

(380)

6,685

329,953(131,588)

158,002(76,427)

-

670

-

48

-

OthersMarch 31,
2022

3,795

593,991(454) (109,277)

2,567

111,541

27,327

367,634*It does not include deferred payment liabilities and bank overdraft.

vii) Disclosure of non-cash transactions
For the year ended

ROU additions during the year by means of lease
Acquisition of intangable assets and IAUD acquired by means of deffered
payments liability
Allotment of 11,930,543 equity share against the conversion request of FCCBs

2.

March 31, 2023

March 31, 2022

315,369
354,951

100,290
117,160

6,931-

Capital risk

	The Group’s objective while managing capital is to safeguard its ability to continue as a going concern (so that it isenabled to provide returns and create value for its shareholders, and benefits for other stakeholders), support businessstability and growth, ensure adherence to the covenants and restrictions imposed by lenders and / or relevant laws andregulations, and maintain an optimal and efficient capital structure so as to reduce the cost of capital. However, the key
objective of the Group’s capital management is to, ensure that it maintains a stable capital structure with the focus on
total equity, uphold investor; creditor and customer confidence, and ensure future development of its business activities.
In order to maintain or adjust the capital structure, the Group may issue new shares, declare dividends, return capital toshareholders, etc.
	The Group manages its capital structure and makes adjustments to it, in light of changes in economic conditions or its
business requirements.
The Group monitors capital using a gearing ratio calculated as below:
As ofBorrowings
Less: cash and cash equivalents
Less: term deposits with bank

Net debt (A)EquityTotal capital
Capital and net debt (B)Gearing ratio (A/B)

Financial Statements(All amounts are in millions of Indian Rupee; unless stated otherwise)

38. Fair value of financial assets and liabilities
The category wise details as to the carrying value, fair value and the level of fair value measurement hierarchy of the Group’s
financial instruments are as follows:Level

109,926

Statutory Reports

Notes to Consolidated Financial Statements(All amounts are in millions of Indian Rupee; unless stated otherwise)Statement of
Balance sheet
cash flows line
captionitem

Management Discussion & Analysis

March 31, 2023

March 31, 2022

1,655,448
71,794
9,595
1,574,059
775,629775,629
2,349,688
67.0%

1,329,145
60,95922,3191,245,867
665,543665,543
1,911,410
65.2%

Carrying value as ofFair value as ofMarch 31, 2023

March 31, 2022

March 31, 2023

March 31, 2022

Level 2

1,406

498

1,406

498

Level 2
Level 3
Level 2
Level 1
Level 2731
327
36,753
587

218
63
1,210
8,614
540

731
327
36,753
587

218
63
1,210
8,614
540

Level 2

69

69

69

69

10,29239,81571,79462,065
246,828
470,667

40,562
60,95972,774
237,212422,719

10,29239,81571,79462,065
246,828
470,667

40,562
60,95972,774
237,212422,719

Level 2

1,048

676

1,048

676

Level 3
Level 2

3,569
23

269
224

3,569
23

269
224

Level 1
Level 2
Level 3332,708
1,137,845
46,849469,885
729,498
43,961

328,227
1,198,927
46,849485,529
765,466
43,96144,796140,099
328,946
292,4132,328,296

7,855
121,907292,741
240,570
1,907,586

44,796140,099
328,946
292,413
2,384,897

7,855
121,907292,741
240,570
1,959,748

Financial assets
FVTPL
Derivatives-	Currency swaps, forward and option
contracts- Interest swaps- Cross currency swaps
Other bank balances
Investments - quoted
Investments - unquoted

FVTOCI
Investments - unquoted

Amortised cost
Investments - quoted
Trade receivables
Cash and cash equivalents
Other bank balances
Other financial assets

Financial liabilities
FVTPL
Derivatives-	Currency swaps, forward and option
contracts- Cross currency swaps- Embedded derivatives

Amortised cost
Borrowings - fixed rate
Borrowings - fixed rate
Other financial liabilities- Put option
liability
Borrowings - fixed rate
Borrowings - floating rate
Trade payables
Other financial liabilities

The following methods / assumptions were used to estimate the fair values:i.	The carrying value of other bank balances, trade receivables, trade payables, short-term borrowings, floating-rate longterm borrowings, other current financial assets and liabilities approximate their fair value mainly due to the short-term
maturities of these instruments / being subject to floating-rates.
ii.

Fair value of quoted financial instruments is based on quoted market price at the reporting date.

iii.	The fair value of non-current financial assets, other long-term borrowings and other financial liabilities is estimated bydiscounting future cash flows using current rates applicable to instruments with similar terms, currency, credit risk andremaining maturities.
iv.	The fair values of derivatives and other bank balance (measured at FVTPL) are estimated by using pricing models, wherein
the inputs to those models are based on readily observable market parameters. The valuation models used by the Group

412

Bharti Airtel Limited

Integrated Report and Annual Financial Statements 2022-23

413

Corporate Overview

Notes to Consolidated Financial Statementsv.	The fair value of the put option liability (included in other financial liabilities) to buy back the stake held by non-controllinginterest in AMC BV is measured at the present value of the redemption amount (i.e. expected cash outflows). Since, theliability will be based on fair value of the equity shares of AMC BV (subject to a cap) at the end of 48 months, the expectedcash flows are estimated by determining the projected equity valuation of the AMC BV at the end of 48 months andapplying cap thereon.
The following table describes the key inputs used in the valuation (basis discounted cash flow technique) of the Level 2 andLevel 3 financial assets / liabilities as of March 31, 2023 and March 31, 2022:
Financial assets / liabilities

Inputs used-	Currency swaps, forward and options contracts and otherbank balances- Interest rate swaps- Embedded derivatives- Investments-	Other financial assets / Fixed rate borrowings / otherfinancial liabilities

Forward, foreign currency exchange rates, Interest rates
Prevailing / forward interest rates in market, Interest rates
Prevailing interest rates in market, inflation rates
Prevailing interest rates in market, future cashflows
Prevailing interest rates in market, future payouts, Interest rates

During the year ended March 31, 2023 and March 31, 2022 there were no transfers between Level 1 and Level 2 fair value
measurements, and no transfer into and out of Level 3 fair value measurements.

Level 3 financial instruments
The following table provides the details as to changes in value of financial instruments categorised within level 3 of the fairvalue hierarchy:

Increase in fair value (net): recognised in finance costs / other income(1)Derivative Settled during the period
Exchange difference

Closing balance

For the year ended
March 31, 2023

March 31, 2022

(206)
(5,402)
2,451(412)(3,569)

(201)
(5)
(206)

(1) T hese amounts represent the amounts recognised in the financial statements during the year excluding the initial recognition deferment impact.

Put option liability

Opening balance
Liability recognised by debiting NCI reserve
Recognised in finance costs in Statement of Profit and Loss (unrealised)
Liability de-recognised by crediting transaction with NCI reserve following dividend
payment to put option holders
Exchange difference

Closing balance

Financial Statements(All amounts are in millions of Indian Rupee; unless stated otherwise)reflect the contractual terms of the derivatives (including the period to maturity), and market-based parameters suchas interest rates, foreign exchange rates, volatility etc. These models do not contain a high level of subjectivity as thevaluation techniques used do not require significant judgement and inputs thereto are readily observable.

Opening balance

Statutory Reports

Notes to Consolidated Financial Statements(All amounts are in millions of Indian Rupee; unless stated otherwise)

Cross currency swaps ('CCS')Management Discussion & Analysis

39. Other matters
	In 1996, the Company had obtained the permission from DoT to operate its Punjab license through one of its wholly
owned subsidiary. However, DoT cancelled the permission to operate in April 1996 and subsequently reinstated in March,
1998. Accordingly, for the period from April 1996 to March 1998 ('blackout period') the license fee was disputed and not
paid by the Company.
	Subsequently, basis the demand from DoT in 2001, the Company paid the disputed license fee of H 4,856 for blackout
period under protest. Consequently, the license was restored subject to arbitrator’s adjudication on the dispute. The
arbitrator adjudicated the matter in favour of DoT, which was challenged by the Company before Delhi High Court. In
2012, Delhi High Court passed an order setting aside the arbitrator’s award, which was challenged by DoT and is pending
before its division bench. Meanwhile, the Company had filed a writ petition for recovery of the disputed license fee andinterest thereto. However, the single bench, despite taking the view that the Company is entitled to refund, dismissed
the writ petition. The Company therefore has filed appeal against the said order with division bench and the appeal iscurrently pending adjudication. DoT had also filed an appeal against the single judge order. Both these appeals are tagged
together and are listed for final hearing.

40. Jointly controlled operations
	The Group has participated in various consortium towards supply, construction, maintenance and providing long term
technical support with regards to following Cables Systems. The details of the same are as follows and already included
in property, plant and equipment and capital work-in-progress. Refer note 5:
Cable project

AAG-Project
EASSY Project
Unity Project
EIG Project
IMEWE Project
SMW-4 Project
SMW-6 Project-Core
SMW-6 Co-Build

March 31, 2023

March 31, 2022

AmountShare %

AmountShare %

1,555
116
937
2,698
3,378
1,332
3,914
5,324

7.86%
1.15%
10.00%
8.43%
14.31%
9.68%
10.00%
100.00%

1,577
116
873
2,312
2,748
1,109
795
938

7.88%
1.19%
10.00%
8.43%
14.31%
9.68%
10.00%
100.00%41. Compliance with approved Schemes of Arrangement	All the Schemes of Arrangements, approved by the Competent Authority under the relevant provisions of the Act, havebeen accounted for in the books of account of the Company in accordance with the Scheme and in accordance withaccounting standards.

42. Events after the reporting period

For the year ended
March 31, 2023

March 31, 2022

43,961521(1,319)42,704306-

3,686
46,849951
43,961i.	Subsequent to the year ended March 31, 2023, the Company has entered into a binding term-sheet to combine operationsof Bharti Airtel Lanka (Private) Limited, its wholly-owned subsidiary, with Dialog Axiata Plc (‘Dialog’). The proposedtransaction envisages the Company will be granted a stake in Dialog which is subject to signing of definitive agreements
and necessary closing conditions including applicable regulatory and shareholder approvals.
ii.	Subsequent to the year ended March 31, 2023, the Company has, in accordance with the terms of the Offering Circular
dated January 14, 2020 w.r.t FCCBs, allotted 844,407 equity shares of the face value of H 5 each fully paid up at aconversion price of H 521 per equity share, against the conversion request of FCCBs of USD 6.1 Mn.

The Group engages external, independent and qualified valuers to determine the fair value of the Group's embedded derivative
categorised within level 3.

414

Bharti Airtel Limited

Integrated Report and Annual Financial Statements 2022-23

415

416
Name of struck off company

Bharti Airtel Limited

Parim Infocomm Private Limited; Sparkle India Isp Private Limited
Kurtis Technologies Private Limited

Virtual-Masters Private Limited; Visaland Immigration Consultants (Opc) Private Limited; Vision Infocomm Private Limited; Viva Concrete
Technologies Private Limited; Vivacura Global Pharmaceuticals Private Limited; Vkaseptic Nature Private Limited; Vkedutech Info Private
Limited; Vls Healthcare Private Limited; Vrbrosis Healthcare Private Limited; Way2Journey Excursion Private Limited; Webgo Technologies
Private Limited; Webhoq Private Limited; Westen Food And Beverage Private Limited; Xeno Erp Private Limited; Yashoda Hospital Private
Limited; Zephyrs Recruiting Solutions Private Limited; Nature Conservancy Consultancy Private Limited; ACL Management Pvt Ltd; Blendz
Lifestyle Pvt Ltd; Dynapt Technologies Private Limited; Enmail.Com Pvt Limited; Getit Infoservices Limited; Market Probe India Pvt Ltd; Nivio
Technologies India Pvt. Ltd; Personnel Decisions International India Pvt.Limited; Shakti Teleservices (P) Ltd; Sumptuous Eateries Company
Pvt Ltd; Safety Training India Pvt. Ltd.; Ravit Infra Private Limited; Tiedot Technologies Trading And Services Private Limited; Alpha Gateway
It Solutions Pvt Ltd; Paras Brand Solutions Private Limited.; Ahead Communication Pvt Ltd; Alliance Net & Gateway Private Limited; S.S.
Telesolutions Pvt. Ltd.; Spider Prints Pvt. Ltd.; Sahu Jain Services Ltd.; Santrupti Engineers Private Limited; E2E Solutions Private Limited; ElenaManagement And Services Pvt Ltd; Ainee Infratel Solutions Pvt Ltd; R R Movers And Logistics Pvt Ltd; Exelence Marketing Services Private
Limited; Platinum Holdings Private Limited; Planet M Retail Ltd; Transact One Financial Services Pvt. Ltd.; Harisha Infratrade & Developer Pvt Ltd;
Chemiron Impex Private Limited; Clique Net India Pvt Ltd; Dyna Hotels And Restaurants Pvt Ltd; Gallivaant Hotels & Resorts Pvt Ltd; Zephyrs
Recruiting Solutions Pvt Ltd; Afan Healthcare And Infotech Pvt Ltd ; Aftis Global Solutions Pvt. Ltd ; Bali Globe Private Limited; Kwals Hospitality
Opc Private Limited; Deed Technologies India Pvt. Ltd; Crowdsourcing Teleservices (Opc) Private Limited; A V Chiptroniks Technology Pvt
Ltd; Aadharshila Builders Pvt Ltd; Aargee Contracts Pvt. Ltd.; Access Computech Private Limited; Aditya Inkjet Technologies Pvt Ltd; Ajay
It Solutions Private Limited; Aka Consultants India Pvt Ltd; Amets Software Private Limited; Anant Concrete Products Pvt Ltd; Apex Auto
Limited; Asirix Infotech Private Limited; Authentic Exports Imports Pvt Ltd; B Lab Pvt Ltd; Chemical Construction Co P Ltd; Datacede Chennai
Pvt Ltd; Dream Touch Trade India Private Limited; Eweels Logistics Services India Private Limited; Ezee Flight; Fralin Energy Pvt Ltd; Gamga
Associates Pvi Ltd; Gem Granites Private Limited; Gmessys Smart Systems Private Limited; Hackberry Ind Trading Private Limited; Haldiram
Snacks Pvt Ltd; Henvy Marketing Private Limited; Hitech Events; Ids Increation India Private Limited; Indicure Health Tours Pvt Ltd; Indo British
Garments Pvt L; Infaum Educational Technology Private Limited; Integra Micro System; International Cylinders Pvt Ltd; International Trade
Link Pvt Ltd; J S Fashion International Pvt Ltd; Jyve Geomatics Private Limited; Kanika Investment Limited; Ksk Energy Ventures Limited;
Kumbhat Electricals Pvt Ltd; La Casa Infratech Private Limited; M Venkata Rao Infra Projects Private Limited; Manrochem India Pvt Ltd .; Marriott
Hotels India Private Limited; Mediatrix Advertising Private Limited; Mookh Salons And Academy Private Limited; N N B Services Private Limited;
Nandini Exim Private Limited; Navratan Blue Crete Industries Private Limited; New Asiatic Metal Trading Pvt Ltd; Neway Engineers Msw Pvt Ltd;
Oracle Trading Company Pvt Ltd; Patil Engineering; Pinnacle India; Prescient Technologies Pvt Ltd; Quantum Engineers And Fabricators Private
Limited; R N S Motors Limited; Rcdk Advisory Services Private Limited; Riwara Facilities Management Services (Opc) Pvt Ltd; S3 Solutions
Pvt Ltd; Senator Inns Private Limited; Shubham Properties Pvt Ltd; Spunk Indo Marketing Pvt Ltd; Sri Anjaneya Agro Tech Private Limited; SssEngineering; Sumitron Exports Pvt Ltd; Sunray Hospitality Private Limited; Synergy Technologies Pvt Ltd; Ultra Petro Trade Pvt Ltd; Unicheck
Analytical Laboratories Pvt Ltd; Vandana Overseas Private Limited; Vineet Securities Pvt Ltd; Xpress Professional Consultants Pvt Ltd; Zhooyi
Media Works India Pvt Ltd; Beaute Lah Products Private Limited; Dbrc Technologies Private Limited; Khagaraj Impex Private Limited; Kurtis
Technologies Private Limited; Nl Info Private Limited; Rajmahal Motels Private Limited; Shaping Culture Bpo Private Limited; Voyo Technologies
India Private Limited; Webgo Technologies Private Ltd; Chemene Bombay Private Limited; Cream Packs Private Limited; G I Technology Private
Limited; Jwt Mindset Advertising Private Limited; V2B Solutions Private Limited; Vbr Solutions India Private Limited; Vision Personnel Ventures
Private Limited; Pacific Intelligence Security Private Limited; Parim Infocomm Private Limited; Online Manoj Private Limited; Solrad (Opc) Private
Limited; Trueblue Tours And Taxi Private Limited; Workolex Services (Opc) Private Limited; Rakuso Teletragic Private Limited; P C Patel Agro
Farm Pvt. Ltd.; Cpc Net Private Limited; NIT-MAN Multi Services Private Limited; Helpsure Multi-Trade Pvt Ltd.;F2Connect Private Limited;Lomafy
Networking Private Limited; Aztori Private Limited; Zippy King Private Limited; Lavaya Care Private Limited

Name of struck off company

8Balanceoutstanding
as of March
31, 2023

8

3-

Balanceoutstanding
as of March
31, 2023

8

Balanceoutstanding
as of March
31, 2022

8

1

Balanceoutstanding
as of March
31, 2022

Management Discussion & Analysis

Receivable

Nature oftransactions(All amounts are in millions of Indian Rupee; unless stated otherwise)

Notes to Consolidated Financial Statements

Receivable

4UFormulations Private Limited; Aarshree Works Private Limited; Aaryanram Mart Retail Private Limited; Actisai Foodline Private Limited; Adarsh Metal
Industries Private Limited; Aditya Inkjet Technologies Private limited; Airmaxxx Telecom India Private Limited; Alloevella Medicines And Wellness Private
Limited; Alpha Centauri Online Retail Private Limited; Amerisafe Financial Solutions (Opc) Private Limited; Anant Cement Co Private Limited; Anu
Electro Controls Private Limited; Asio Technology (Opc) Private Limited; Athithi Bags Private Limited; Athithi Garments Private Limited; Atmidataware
Private Limited; Baani Consultancies Private Limited; Baliglobe Private Limited; Banaswarna Television Private Limited; Bugshield Infocom (Opc) Private
Limited; Burgerwalas Hr Private Limited; C M I Limited; Car & Care Auto Services Private Limited; Celexsa Technologies Private Limited; Centiventure
Technologies India Private Limited; Cheel Exporter And Logistics Private Limited; Chemiron Impex Pvt. Ltd.; Cloudric Technologies Private Limited;
Coexcelinfrasol Private Limited; Connectwell Network Private Limited; Creative Construction Group (Chennai)Private Limited; Credit Lifesc1Ences
Private Limited; Daytoday Technologies (Opc) Private Limited; Dev Motion Pictures Private Limited; Dhatureahwar Mega Marketing Private Limited;
Dhurawat Infra Solutions Private Limited; Discon Sales Pvt Ltd; Dream Casters Marketing Private Limited; Dyna Hotels & Restaurants Private Limited;
Eame Annapoorni Private Limited; Eemot Impex Private Limited (Opc); Eltel Uniagri Technicals Private Limited; Evermore Trading Private Limited; Eweb
A1Professionals Private Limited; Exelence Marketing Services Private Limited; Ezee Flights Travel Private Limited; Fiton Healthcare Private Limited; Fly
High Aviation Private Limited; Flying Peregrine Falcon Logisticsprivate Limited; Friends Global Services Private Limited; Gig Galaxy Private Limited; Gr8
Cabs Private Limited; Gw Technologies Private Limited; Gyantech Research Private Limited; H & T Facilities Management (Opc) Private Limited; Harisha
Infratrade & Developers Private Limited; Hometexxfab India Private Limited; Indcool Electrical Private Limited; Irukkankudi Mariamman Enterprises
Private Limited; J.R. Exports (India) Private Limited; Jbj Television Network Private Limited; Jdexunity Global Private Limited; Jee Lighting System
Private Limited; Kaaiser Global Private Limited; Keonics Magnavision Computers Limited; Khapangi India Services Private Limited; Kiran Computers
Private Limited; Knoty Labs Private Limited; Koolair Systems Private Limited; Kreditin Private Limited; Kumbat Electricals Private Limited; Lifeshreeshakti
Corporate Services; Ls Advisory Private Limited; M R Infrasource Private Limited; M. Venkata Rao Projects Private Limited; Magical Paradise Tech
Private Limited; Matchmaker Technologies Private Limited; Megaaopes Solutions (Opc) Private Limited; Mgold Marketing Private Limited; MotherLand Hospitality Private Limited; Myproptree Foundations Private Limited; Naia Designs Private Limited; Nature Conservancy Consultancy Private
Limited; New Asiatic Metal Trading Private Limited; Niles Gold India Private Limited; Nithyam Multi Services Private Limited; Nnb Services Private
Limited; Overarching Solutions Private Limited; Pahuja Law Academy Private Limited; Paras Brand Solutions Private Limited; Patil Engineering Private
Limited; Paul Vision India Private Limited; Pcd Compusoft Private Limited; Perisoft Technologies Private Limited; Pinnacle (India) Private Limited;
Prajwalraj It Solutions Private Limited; Print Express Private Limited; Propstudio Realtors Private Limited; Protinus Infotech Private Limited; Provixo
India Private Limited; Ps Investors Brick Private Limited; Rajveer Tele Store (Opc) Private Limited; Rakuso Teletragic Private Limited; Rxice Events (Opc)
Private Limited; S S Medical Management Consultants Private Limited; S3 Per Square Feet Private Limited; Sausha R&D Private Limited; Schmid
Telecom India Private Limited; Sensational Buildtech Private Limited; Shakun And Company (Services) Pvt Ltd; Shanthi Green Energy Private Limited;
Shrifal Infracon Private Limited; Sltt India Private Limited; Smartifid Technologies Private Limited; Sparkle India ISP Private Limited; Spider Prints Private
Limited; Spinway International Private Limited; Sss Tech Engineers Private Limited; Super Gems Private Limited; Synergy Technologies Private Limited;
Synergy Telecommunications Private Limited; Technoble Solutions India Private Limited; Tera Ventura Agro And Textiles Private Limited; Tractors India
Ltd; Transact-One Financial Services Private Limited; Underground Pipeline And Non-Destructive Testing Services Private Limited; Utl Solutions (Opc)
Private Limited; Vani Private Limited; Vewold Technology Private Limited; Vijyanta Dharvi Security Services;

Companies with Outstanding Balance of Less than INR 1 Mn

Receivable
PayableCompanies with Outstanding Balance of More than INR 1 Mn

Nature oftransactions

43. Relationship with struck off companies(All amounts are in millions of Indian Rupee; unless stated otherwise)

Notes to Consolidated Financial Statements

Corporate Overview
Statutory Reports
Financial Statements

Integrated Report and Annual Financial Statements 2022-23

417

Name of struck off company

Ainee Infratel And Construction Private Limited; Aswanthh Sivanandham Engineering Private Limited; Atharv Infocom Private Limited; Cpc
Net Private Limited; Kanishk Wealth Management Private Limited; Mars Skyways Marketing And Consultancy Private Limited; Nit-Man Multi
Services Private Limited; Octel Cloud Solutions Private Limited; Shiri Sai Balaji Multimedia Private Limited; Indus Software Technologies Private
Limited; Implore Infosolutions Pvt Ltd; Ainee Infratel & Construction Pvt Ltd; United Telecom E Services Pvt Ltd; Mars Skyways Marketing &Consultancy Pvt Ltd; Shri Sai Balaji Multimedia Pvt Ltd; Daksh Finman Consulting Pvt Ltd; Octel Cloud Solutions Pvt Ltd; Corporate Solutions
And Marketing Services India Private Limited; Kanishk Wealth Management Pvt Ltd; Glittek Granites Ltd; I P A Private Limited; Impact Agencies
Pvt Ltd; Invest Propmart Private Limited; Metro Fab Engineers Pvt Ltd; Peeraj Internat Enterprises Pvt Ltd; Pooja Castings Private Limited;Rainbow Packaging Pvt Ltd; Rushi Herbal Pvt Ltd; Space Worx Services Pvt Ltd; Unique Compusoft P Ltd; Vani Pvt Ltd; Kurtis Technologies
Private Limited; Amba Auto Industries Pvt Ltd; Nature Conservancy Consultancy Private limited; Alpha Gateway It Solutions Pvt. Ltd.

Nature oftransactions

Payable418
Bharti Airtel Limited

Zentian Digi Sol Private Limited; Zintol Fair Price Private Limited; Technoble Solutions India Private Limited; Aeiquom Ventures Pvt Ltd; Ankur
Mercantile Pvt Ltd; Bajaj Brothers Pvt Ltd; Bc To Ad Hyperlink Limited; Bookcab Travels India Private Limited; Boss Agro Chemicals P Ltd;
Cassiopiea Cosultants Pvt Ltd; Cmi Limited; Discom Sales Private Limited; Downtown Technologies Private Limited; Express Network Private
Ltd; Good Guys Ventures Pvt Ltd; Gupta Roadlines Private Limited; Icube Business Solutions Pvt Ltd; Inani Textiles Private Limited; Ironite
Company Of India Lt.; Jiffy Services India Pvt Ltd; Jr Exports Pvt Ltd; Jvs Exports Private Limited; Keld Ellentoft India Pvt Ltd; M/S Prometric
Testing Pvt Ltd; Mas Technocreate Pvt Ltd; Pioneer Securites Pvt Ltd; Premiji Hotels Pvt Ltd; Pyxis Advisory Services Private Limited; R A
Agencies Private Limited; Rmp Infotec Pvt Ltd; Saar Chem Trade Private Limited; Seeds And Grains India Pvt Ltd; Shahi Brothers Private
Limited; Shivam Hotels Private Limited; Sri Vijayaram Chit Funds Pvt Ltd; Stering Enterprises Private Limited; Super Gems India Pvt Ltd; Suviron
Products Private Limited; Sv Electronics Ltd; Fairdeal Motors & Workshop Pvt Ltd.; Opg Securities (Ifsc) Private Limited; M S Option Matrix
Infotech Pvt Ltd; Shakun & Company Services Private Limited; Thermadyne Pvt Ltd; Umang Trading Private Limited; Bengal Stores Ltd; B K
Infrastructure Pvt Ltd; Webgo Technologies Private Ltd-Jammu-Aeo; Commscope Solutions India Pvt Ltd; Rainbow Childerns Medicare Pvt Ltd(Cn-1); Crown Agents (India) Private Limited; Crs Technologies India Private Limited; Dillinger India Steel Service Centre Private Limited; Elinx
Software Private Limited; Flumenlogix Solutions Private Limited; Hlt Realty (OPC) Private Limited; Laxmifin Advisors Pvt Ltd; C Gate Builders
And Developers Private Limited; Enffie Technologies Private Limited; Gaheli Center Of Researchand Developement Pvt Ltd; Nonagon Trading
Private Limited; Rsr India Mercantiles Limited; Sketch And Build Consultants Pvt Limited; Vinn Bpo Services India Private Ltd-T Dst-Coimbatore;
Chanson Hospitality Private Limited; Griebs Web Solutions Private Ltd; Assent Reference & Direction Pvt Ltd; Gvn Holdings Pvt Limited; M/SRight Doctors Healthcare Technologies Pvt Ltd; Regatta Solution Pvt Ltd; Print Express Pvt Ltd; Right Drugs Pvt Ltd; Sumangalam Propmart;
Panihee Kitchen Pvt Ltd; Phillip Agri Commodities Pvt Ltd; Sterling Cryo Gases Pvt Ltd; Ak Enterprises Private Limited; Amba Auto Industries Pvt
Ltd; Germ Busters Private Limited; Pacific Intelligence Security Private Limited; Chemene Bombay Private Limited; Cream Packs Private Limited;
G I Technology Private Limited; Germ Busters Private Limited; Jwt Mindset Advertising Private Limited; One World Enterprise Private Limited;
Climax Technologies Private Limited; Sarvcon Training And Consultants Private Limited; Shree Sanware Organic Private Limited; Solars4u
Infratech Private Limited; Helpsure Multi-Trade Pvt Ltd; MS Svhtech Pvt. Ltd.; One World Enterprise Private Limited; Climax Technologies Private
Limited; Sarvcon Training And Consultants Private Limited; Shree Sanware Organic Private Limited; Solars4u Infratech Private Limited; Kinden
India Private Limited
Daksh Finman Consulting Private Limited; Deed Technologies India Private Limited; Earl Grey Hotels Private Limited; Galaxy Mercantile Limited;
Innomark Solutions Private Limited; J.S.P. Mobile Solutions Private Limited; Knorr Bremse Systems(Commercialvehicles)India Pvt. Ltd.; Magus
Estates And Hotels Private Limited; Microland Limited; Multivision Infotech (India) Private Limited ; Piccadily Holiday Resorts Ltd; United
Telecoms E-Services Private Limited; Acube Promotion House Pvt Ltd.; Multivision Infotech India Pvt Ltd; One Management And Entertainment
Private Limited; V Multiply Solutions Pvt Limited

Name of struck off company--

Balanceoutstanding
as of March
31, 2023-

3

Balanceoutstanding
as of March
31, 2023--

Balanceoutstanding
as of March
31, 2022-

2

Balanceoutstanding
as of March
31, 2022

Management Discussion & Analysis

PayableReceivable

Nature oftransactions(All amounts are in millions of Indian Rupee; unless stated otherwise)

Notes to Consolidated Financial Statements

Receivable

A V Chiptroniks Technology Private Limited; Abhinav Awas Private Limited; Acecov Private Limited; Achiever World Cars Private Limited; Ad
Worldwide-Tech Co Private Limited; Adysoft Developers And Edutech Private Limited; Aibi Technology Private Limited; Alacare Private Limited;
Alertx Intelligence Private Limited; Amisan Solutions Private Limited; Andi Madam Housing Promoters Private Limited; Aone Vehicles Private
Limited; Ar Trans India Logistics Private Limited; Arth Niti Sallagar Private Limited; Ascentium Management Services Private Limited; Bcc Fuba
India Limited; Bhalchandray Infraengineers Private Limited; Bilmo Solutions Private Limited; Boons Tech Private Limited; Bye Pass Swimming& Resort Ltd; Caliph Foods Private Limited; Cassiopiea Consultants Private Limited; Cinema Cinema Sale And Service Private Limited; Ckon It
Services Private Limited; Claim Easy Policy (Opc) Private Limited; Coalchem Tradelink Private Limited; Connectwell Network Private Limited;
Creative Kawach Studio Private Limited; Credency Enterprises Private Limited; Dentistree Dental Care Private Limited; Dynamicatlastechnologies
Private Limited; Edwind Software Private Limited; Elewell Private Limited; Faynix Technologies Private Limited; Fifthridge Technology Private
Limited; Fivza Trading Private Limited; Fleetkart Logistics Private Limited; Genesys Technovation Private Limited; Gomtel Technology Private
Limited; Graphic Box Private Limited; Halsana Infotech Private Limited; Hmpl Consulting Private Limited; Hpz Network Private Limited; Hwcc
India Private Limited; Icube Business Solutions Private Limited; Intellec Tech Private Limited; Ishgouri Foods Private Limited; Jiffy Services (India)
Private Limited; Kanika Investment Ltd; Kans Builders Private Limited; Karm Events And Management Privateumited; Key Retail Shopping
Private Limited; Koretelecom Technology India Private Limited; Ktel Solutions Private Limited; Kumar Broadband Services Private Limited; M.N.
Consultancy Services Private Limited; Manaswi Minerals Private Limited; Manikya Spirits & Breweries Private Limited; Marques Automotive
Private Limited; Mturn Automotive Private Limited; New Gurgaon Consultancy Private Limited; P C Patel Agro Farm Pvt Ltd ; Pioneer Securities
Pvt Ltd; Premiji Hotels Private Limited; Prm Automotives Private Limited; Qathan And Engineering (Opc) Private Limited; Quadratic Consultants
Private Limited; Requisite Development Services Private Limited; Risinglane Consulting Private Limited; Rk Maurya Industries International
India Limited; Rmp Infotec Private Limited; Rushi Herbal Pvt Ltd ; S V Electronics Limited; Saan Infratech Private Limited; Saar Chem-Trade
Private Limited; Sahayog Security And Manpower Services Private Limited; Shivashrit Engineers Private Limited; Shriyam Manufacturers
Private Limited; Spaceworx Services Private Limited; Springfield Forestry Private Limited; Spunk Indo Marketings Private Limited; Sri Chandra
Parcel Service Private Limited; Sri Sadhguru Sai Corporate Services Private Limited; Stonlane Private Limited; Super Sound And Vision Pvt Ltd;
Tackle Box Private Limited; Techno Tarts Solutions Private Limited; Technophile (India) Insurance Surveyors & Loss Assessors Private Limited;
Trade4Asia Private Limited; Transmit Telecom Call Center Private Limited; Trinetra Gold Private Limited; Tvmserver Hosting Solutions Private
Limited; Unicheck Analytical Laboratories Private Limited; Unique Compusoft Private Limited; Varsha Logistics Private Limited; Ved Plus Impex
Private Limited; Winmax Leathers Private Limited;

Companies with Nil Outstanding Balance(All amounts are in millions of Indian Rupee; unless stated otherwise)

Notes to Consolidated Financial Statements

Corporate Overview
Statutory Reports
Financial Statements

Integrated Report and Annual Financial Statements 2022-23

419

420
Bharti Airtel Limited

Bharti Airtel Limited

Bharti Hexacom Limited
Airtel Limited
OneWeb India Communications Private Limited
Nxtra Data Limited
Airtel Digital Limited
Bharti Telemedia Limited
Bharti Airtel Services Limited
Airtel International LLP
Indo Teleports Limited
Bharti Airtel Employees' Welfare Trust

Congo RDC Towers S.A.
Gabon Towers S.A. #Airtel Mobile Commerce B.V.
Airtel Mobile Commerce Holdings B.V.

1.08%
0.01%

(0.10%)
0.00%

0.01%

0.01%

0.08%
0.04%

(0.49%)

0.44%

3.27%

5.43%
0.00%
0.01%

101.84%

As % ofconsolidated N A

8,405
54

(813)
(3)

3
4
5
6
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34

Airtel Africa Mauritius Limited
Airtel Africa Plc
Airtel Mobile Commerce Nigeria B.V.
Airtel Mobile Commerce (Seychelles) B.V.
Airtel Mobile Commerce Congo B.V.
Airtel Mobile Commerce Kenya B.V.
Airtel Mobile Commerce Madagascar B.V.
Airtel Mobile Commerce Malawi B.V.
Airtel Mobile Commerce Rwanda B.V.
Airtel Mobile Commerce Tchad B.V.
Airtel Mobile Commerce Uganda B.V.
Airtel Mobile Commerce Zambia B.V.
Bharti Airtel Africa B.V.
Bharti Airtel Chad Holdings B.V.
Bharti Airtel Congo Holdings B.V.
Bharti Airtel Developers Forum Limited
Bharti Airtel Holding (Mauritius) Limited
Bharti Airtel Overseas (Mauritius) Limited
Bharti Airtel Gabon Holdings B.V.
Bharti Airtel International (Mauritius) Limited
Bharti Airtel International (Netherlands) B.V.
Bharti Airtel Kenya B.V.
Bharti Airtel Kenya Holdings B.V.
Bharti Airtel Madagascar Holdings B.V.
Bharti Airtel Malawi Holdings B.V.
Bharti Airtel Mali Holdings B.V.
Bharti Airtel Niger Holdings B.V.
Bharti Airtel Nigeria B.V.
Bharti Airtel Nigeria Holdings II B.V.
Bharti Airtel RDC Holdings B.V.
Bharti Airtel Rwanda Holdings Limited
Bharti Airtel Services B.V.

Name of the entity / Principal activities(All amounts are in millions of Indian Rupee; unless stated otherwise)

48

106

603
329

(3,817)

3,446

25,32342,095(0)86

789,934

Amount17.53%
38.39%(0.02%)
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.00%
0.10%
0.00%
12.72%(0.12%)
0.61%
0.00%
0.00%
0.00%
1.31%
2.84%
36.40%(6.50%)(0.53%)(0.72%)
0.24%(0.02%)
2.41%(10.84%)(0.02%)
0.03%
0.00%
0.05%

As % ofconsolidated N A

135,993297,774(172)
1
799
98,667
(956)
4,697
(0)
10
10,12622,036282,325(50,403)(4,078)(5,566)
1,895(141)
18,678(84,108)
(129)
227
(38)
360

AmountNet Assets ('N A'), i.e., total assets
minus total liabilities

Notes to Consolidated Financial Statements

1
2

Investment Company

1
2

B. Foreign
Infrastructure sharing services

1

Employees Trust

1

Uplinking channels for broadcasters

1
2

Other

1

Direct To Home services

1

Content Procurement

1

Data Center and Managed Services

123

Subsidiaries
A. IndianTelecommunication services

1

ParentTelecommunication services

Name of the entity / Principal activities

Net Assets ('N A'), i.e., total assets
minus total liabilities

March 31, 2023
Share in profit or loss('P&L')

9.30%
22.41%
0.00%
0.00%
0.00%
0.00%
0.22%
0.00%
0.00%
0.00%
5.62%
0.00%
(6.65%)
0.00%
0.47%
0.00%
(0.10%)
0.00%
0.00%
0.88%
36.76%(6.00%)(0.25%)
0.01%
2.11%(0.04%)
0.28%
37.76%
11.32%
0.00%(0.01%)(0.02%)

As % ofconsolidated P&L

Share in profit or loss('P&L')March 31, 2023

15.00%
0.05%(0.02%)
0.00%

0.01%

(0.04%)

0.97%
0.11%

(4.19%)

0.15%

2.64%

6.58%
0.00%
(0.01%)(1.07%)

As % ofconsolidated P&L

44. Additional information as required under Schedule III to the Act.
Table 1 - Details pertaining to share in net assets, profit or loss and total comprehensive income(All amounts are in millions of Indian Rupee; unless stated otherwise)

Notes to Consolidated Financial Statements

7,764
18,704181
4,687(5,549)
390
(87)
(1)
735
30,676(5,004)
(206)
7
1,759
(34)
236
31,517
9,448
1
(11)
(17)

Amount12,521
40

(16)
-

5

(33)

817
94

(3,494)

129

2,201

5,492
(0)
(4)

(896)

Amount12,52140(16)-

14.02%
33.79%
0.00%
0.00%
0.00%
0.00%
0.33%
0.00%
0.00%
0.00%
8.47%
0.00%
(10.02%)
0.00%
0.70%
0.00%
(0.16%)
0.00%
0.00%
1.33%
55.41%(9.04%)(0.37%)
0.01%
3.18%(0.06%)
0.43%
56.93%
17.07%
0.00%(0.02%)(0.03%)

As % of TCI

5

(33)

815
94

(3,499)

119

2,199

5,490
(0)
(4)

(988)

Amount7,764
18,704181
4,687(5,549)
390
(87)
(1)
735
30,676(5,004)
(206)
7
1,759
(34)
236
31,517
9,448
1
(11)
(17)

AmountShare in total
comprehensive income ('TCI')

22.62%
0.07%(0.03%)
0.00%

0.01%

(0.06%)

1.46%
0.17%

(6.32%)

0.23%

3.98%

9.92%
0.00%
(0.01%)(1.78%)

As % of TCI

Share in total
comprehensive income ('TCI')

Corporate Overview
Management Discussion & Analysis
Statutory Reports
Financial Statements

Integrated Report and Annual Financial Statements 2022-23

421

Bharti Airtel Tanzania B.V.
Bharti Airtel Uganda Holdings B.V.
Bharti Airtel Zambia Holdings B.V.
Celtel (Mauritius) Holdings Limited
Channel Sea Management Company (Mauritius) Limited
Indian Ocean Telecom Limited
Montana International *Partnership Investments Sarlu
Société Malgache de Téléphone Cellulaire S.A.*
Bharti Airtel International (Mauritius) Investments Limited
Airtel Mobile Commerce DRC B.V.
Airtel Mobile Commerce Gabon B.V.
Airtel Mobile Commerce Niger B.V.
Airtel Digital Services Holdings B.V.
Airtel Africa Telesonic Holdings Limited
Airtel Tchad Telesonic Holdings (UK) Limited (Incorporated on April
11, 2022)
Airtel Madagascar Telesonic Holdings (UK) Limited (Incorporated on
April 11, 2022)
Airtel DRC Telesonic Holdings (UK) Limited (Incorporated on April 11,
2022)
Airtel Uganda Telesonic Holdings (UK) Limited (Incorporated on April
11, 2022)
Airtel Zambia Telesonic Holdings (UK) Ltd (Incorporated on April 11,
2022)
Airtel Nigeria Telesonic Holdings (UK) Ltd (Incorporated on April 11,
2022)
Airtel Kenya Telesonic Holdings (UK) Ltd (Incorporated on April 11,
2022)
Airtel (M) Telesonic Holdings (UK) Limited (Incorporated on April 11,
2022)
0.00%

0.00%

0.00%

0.00%

0.00%

0.00%

0.00%

(1.33%)
0.23%
1.52%
0.41%
0.00%
0.15%
0.00%
0.00%
0.00%
0.00%
0.32%
0.01%
0.00%
0.00%
0.00%
0.00%

1
2
3
4
5
6
7

Airtel Mobile Commerce (Kenya) Limited
Airtel Mobile Commerce (Seychelles) Limited
Airtel Mobile Commerce (Tanzania) Limited
Airtel Mobile Commerce Limited
Airtel Mobile Commerce Madagascar S.A.
Airtel Mobile Commerce Rwanda Limited
Airtel Mobile Commerce Tchad S.A

Mobile commerce services

70

69

0.00%
0.00%
0.00%
0.31%
0.04%
(0.01%)
0.00%

0.00%

0.00%

0.00%

0.00%

0.00%

0.00%

0.00%

0.00%

0.00%

0.00%

0.00%

0.00%

0.00%

(36)
2,368
342
(93)
(3)

-

-

-

-

-

-

-

-

-

-

-

-

-

Amount

0.00%
0.00%
0.00%
2.37%
0.14%
(0.03%)(0.07%)

0.00%

0.00%

0.00%

0.00%

0.00%

0.00%

0.00%

0.00%

0.00%

0.00%

0.00%

0.00%

0.00%

As % ofconsolidated P&L

Share in profit or loss('P&L')March 31, 2023

0.00%

0.00%

0.00%

0.00%

0.00%

0.00%

0.00%

0.59%
8.89%
4.23%
(0.04%)
0.00%
0.43%
0.00%
0.00%
0.00%
0.00%
2.84%
0.99%
0.00%
0.00%
0.00%
0.00%

As % ofconsolidated P&L

1
1,978
113
(23)
(59)

-

-

-

-

-

-

-

-

-

-

-

-

-

Amount

-

-

-

-

-

-

-

492
7,418
3,527
(30)
(1)
358
(1)
(1)
2,373
823
(1)
(1)

Amount

0.00%
0.00%
0.00%
3.57%
0.20%
(0.04%)(0.11%)

0.00%

0.00%

0.00%

0.00%

0.00%

0.00%

0.00%

0.00%

0.00%

0.00%

0.00%

0.00%

0.00%

As % of TCI

1
1,978
113
(23)
(59)

-

-

-

-

-

-

-

-

-

-

-

-

-

Amount

-

-

-

-

-

-

-

492
7,418
3,527
(30)
(1)
358
(1)
(1)
2,373
823
(1)
(1)

AmountShare in total
comprehensive income ('TCI')

0.00%

0.00%

0.00%

0.00%

0.00%

0.00%

0.00%

0.89%
13.40%
6.37%(0.05%)
0.00%
0.65%
0.00%
0.00%
0.00%
0.00%
4.29%
1.49%
0.00%
0.00%
0.00%
0.00%

As % of TCI

Share in total
comprehensive income ('TCI')

Statutory Reports

68

67

66

65

Airtel Congo Telesonic Holdings (UK) Limited (Incorporated on April
11, 2022)
Airtel Gabon Telesonic Holdings (UK) Limited (Incorporated on April
11, 2022)
Airtel Niger Telesonic Holdings (UK) Limited (Incorporated on April
11, 2022)
Airtel Rwanda Telesonic Holdings (UK) Limited (Incorporated on April
11, 2022)
Airtel Seychelles Telesonic Holdings (UK) Limited (Incorporated on
April 11, 2022)
Airtel Tanzania Telesonic Holdings (UK) Limited (Incorporated on
April 11, 2022)
Airtel Mobile Commerce Tanzania B.V. (Incorporated on November 3,
2022)
Nxtra Africa Data Holdings Limited (Incorporated on November 24,
2022)
Nxtra Nigeria Data Holdings (UK) Limited (Incorporated on
November 28, 2022)
Nxtra Kenya Data Holdings (UK) Limited (Incorporated on November
28, 2022)
Nxtra DRC Data Holdings (UK) Limited (Incorporated on November
28, 2022)
Nxtra Gabon Data Holdings (UK) Limited (Incorporated on November
28, 2022)
Nxtra Congo Data Holdings (UK) Limited (Incorporated on November
28, 2022)

As % ofconsolidated N A

Net Assets ('N A'), i.e., total assets
minus total liabilities

March 31, 2023
Share in profit or loss('P&L')

Management Discussion & Analysis

64

63

62

61

60

59

58

Name of the entity / Principal activities(All amounts are in millions of Indian Rupee; unless stated otherwise)

-

-

-

-

-

-

-

(10,344)
1,784
11,753
3,182
1,175
(1)
(1)
2,452
73
1
(1)
(1)

Notes to Consolidated Financial Statements

57

56

55

54

53

52

51

35
36
37
38
39
40
41
42
43
44
45
46
47
48
49
50

Name of the entity / Principal activities
AmountBharti Airtel Limited
As % ofconsolidated N A

Net Assets ('N A'), i.e., total assets
minus total liabilities

422(All amounts are in millions of Indian Rupee; unless stated otherwise)

Notes to Consolidated Financial Statements

Corporate Overview
Financial Statements

Integrated Report and Annual Financial Statements 2022-23

423

Airtel Mobile Commerce Uganda Limited
Airtel Mobile Commerce Zambia Limited
Airtel Money RDC S.A.
Airtel Money Niger S.A.
Airtel Money S.A.
Airtel Money Transfer Limited
Mobile Commerce Congo S.A.
Airtel Money Tanzania Limited
Airtel Mobile Commerce Nigeria Limited
Airtel Money Kenya Limited
Airtel Money Trust Fund
The Registered Trustees of Airtel Money Trust Fund
Smartcash Payment Service Bank Limited
Network i2i Limited
Network i2i (Kenya) Limited##
Network i2i (UK) Limited
Airtel Africa Services (UK) Limited
Airtel Africa Telesonic Limited
Airtel Mobile Commerce Services Limited
Airtel (Seychelles) Limited
Airtel Congo RDC S.A.
Airtel Congo S.A.
Airtel Gabon S.A.
Airtel Madagascar S.A.
Airtel Malawi Public Limited Company
Airtel Networks Kenya Limited @Airtel Networks Limited
Airtel Rwanda Limited
Airtel Tanzania Public Limited Company

0.07%(4.49%)(1.08%)(0.28%)(1.72%)
0.44%(0.24%)
4.85%(3.88%)
1.57%)

0.01%(0.19%)
0.01%
0.00%

27.07%
0.00%

0.19%
0.20%
0.52%
0.07%
0.28%
0.00%
0.00%
0.07%
0.00%
0.09%
0.00%
0.00%
0.00%

569
(34,798)(8,362)(2,138)(13,310)3,424(1,896)
37,620(30,131)
12,17841(1,477)71(15)

209,989
0

1,507
1,583
4,043
569
2,177
31
6
541
8
675
-

The Airtel Africa Employee Benefit Trust

Minority Interests in all subsidiaries
Associates (Investment as per the equity method)

1

Employees Trust

30

29(0.03%)(37.24%)

0.00%

0.00%

0.00%

0.00%

(0.30%
0.22%
0.22%
0.07%
0.00%
0.37%
0.11%
(1.67%)
2.34%(0.37%)
0.09%
0.00%
0.00%
0.00%
0.00%
0.00%

(268)
(288,814)

-

-

-

-

(2,300)
1,703
1,720
567
2
2,906
888
(12,984)
18,187(2,849)694
11
2-Amount(0.54%)(47.23%)

0.00%

0.00%

0.00%

0.00%

2.41%
7.86%
0.35%
0.08%
(0.01%)
1.69%
0.00%(4.14%)
3.46%
1.97%
5.67%
0.00%
0.00%
0.00%
0.00%
0.00%

As % ofconsolidated P&L

-

-

-

-

2,015
6,564
290
63
(9)
1,407
(4)
(3,455)
2,888
1,644
4,732
-

Amount462
9,018(3,423)
1,290(2,132)
2,756
8,905
22,674(4,752)
5,701

8
(334)
69
33

7,840
(0)

4,800
5,530
2,351
84
1,372
5
(37)
2,147
1
39
-

Amount(450)(39,415)

Share in profit or loss('P&L')March 31, 2023

0.55%
10.81%(4.10%)
1.55%(2.55%)
3.30%
10.67%
27.17%(5.69%)
6.83%

0.01%
(0.40%)
0.08%
0.04%

9.39%
0.00%

5.75%
6.63%
2.82%
0.10%
1.64%
0.01%
(0.04%)
2.57%
0.00%
0.05%
0.00%
0.00%
0.00%

As % ofconsolidated P&L

462
9,018
(3,423)
1,290(2,132)
2,756
8,905
22,674(4,752)
5,701

8
(334)
69
33

7,840
(0)

4,800
5,530
2,351
84
1,372
5
(37)
2,147
1
39
-

Amount(0.81%)(83.08%)

0.00%

0.00%

0.00%

0.00%

3.64%
11.86%
0.52%
0.11%(0.02%)
2.54%(0.01%)(6.24%)
5.22%
2.97%
8.55%
0.00%
0.00%
0.00%
0.00%
0.00%

As % of TCI(450)(45,993)

-

-

-

-

2,015
6,564
290
63
(9)
1,407
(4)
(3,457)
2,888
1,644
4,732
-

AmountShare in total
comprehensive income ('TCI')

0.83%
16.29%(6.18%)
2.33%(3.85%)
4.98%
16.09%
40.96%(8.58%)
10.30%

0.01%(0.60%)
0.12%
0.06%

14.16%
0.00%

8.67%
9.99%
4.25%
0.15%
2.48%
0.01%
(0.07%)
3.88%
0.00%
0.07%
0.00%
0.00%
0.00%

As % of TCI

Share in total
comprehensive income ('TCI')

Statutory Reports

28

Airtel Tchad S.A.
Airtel Uganda Limited
Bharti Airtel (France) SAS
Bharti Airtel (Hong Kong) Limited
Bharti Airtel (Japan) Private Limited
Bharti Airtel (UK) Limited
Bharti Airtel (USA) Limited
Bharti Airtel Lanka (Private) Limited
Bharti International (Singapore) Pte. Ltd.
Celtel Niger S.A.
Airtel Networks Zambia Plc
Airtel Telesonic Uganda Limited (Incorporated on September 9, 2022)
Airtel Congo RDC Telesonic S.A.U. (Incorporated on January 31, 2023)
Airtel Nigeria Telesonic Limited (Incorporated on August 26, 2022)
Airtel Kenya Telesonic Limited (Incorporated on July 22, 2022)
Airtel Zambia Telesonic Limited (Incorporated on September 22,
2022)
Airtel (M) Telesonic Limited(Incorporated on August 25, 2022)
Airtel Rwanda Telesonic Limited (Incorporated on
August 30, 2022)
Airtel (Seychelles) Telesonic Limited (Incorporated on September 21,
2022)
Nxtra Africa Data (Nigeria) Limited (Incorporated on March 16,2023)

As % ofconsolidated N A

Net Assets ('N A'), i.e., total assets
minus total liabilities

March 31, 2023
Share in profit or loss('P&L')

Management Discussion & Analysis

27

11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
26

Name of the entity / Principal activities(All amounts are in millions of Indian Rupee; unless stated otherwise)

Notes to Consolidated Financial Statements

1
2
3
4
5
6
7
8
9
10

Telecommunication services

1
2
3
4

Others1
2

Submarine Cable System

8
9
10
11
12
13
14
15
16
17
18
19
20

Name of the entity / Principal activities
AmountBharti Airtel Limited
As % ofconsolidated N A

Net Assets ('N A'), i.e., total assets
minus total liabilities

424(All amounts are in millions of Indian Rupee; unless stated otherwise)

Notes to Consolidated Financial Statements

Corporate Overview
Financial Statements

Integrated Report and Annual Financial Statements 2022-23

425

Airtel Payments Bank Limited
Juggernaut Books Private Limited
Hughes Communication India Private Limited%
Lavelle Networks Private Limited

Seychelles Cable Systems Company Limited
Robi Axiata Limited ^Indus Towers Limited(Formerly known as Bharti Infratel Limited)$
FireFly Networks Limited

Bridge Mobile Pte Limited
Bharti Airtel Ghana Holdings B.V.

Total

Mawezi RDC S.A.
Inter-company eliminations / adjustments on consolidation

0.00%(130.84%)
100%

0.00%

0.01%

0.01%

32.26%

2.81%

0.05%

0.00%
0.09%
0.01%

1.10%

1
(1,015,023)
775,629

March 31, 2023

0.00%
(112.38%)
100%

0.00%

0.00%

0.01%

8.82%

0.50%

0.03%

0.00%
(0.07%)(0.04%)(0.24%)

As % ofconsolidated P&L

The figures which are appearing as '0' are result of rounding off.

-

-

6

7,364

414

26

(56)
(34)

(200)

Amount(93,755)
83,459

Share in profit or loss('P&L')% Hughes Communications India Private Limited has two subsidiaries, namely, Hughes Global Education India Private Limited and HCIL Comtel Private Limited.

$ Indus Towers Limited has two subsidiaries, namely Smartx Services Limited and Indus Towers Employees' Welfare Trust.

^ Robi Axiata Limited has a subsidiary, namely RedDot Digital Limited.

@ The Group also holds 100% preference shareholding in the Company. The preference shares do not carry any voting rights.

* Under removal from the register of Registrar of Companies as at March 31, 2023.

## Dissolved subsequent to the year ended March 31, 2023.

# The subsidiary is under dissolution as at March 31, 2023.

1 - Others

Notes:(All amounts are in millions of Indian Rupee; unless stated otherwise)

-

81

59

250,201

21,784

358

734
113

8,509

Notes to Consolidated Financial Statements

1

Telecommunication services

1

Investment Company

1

B. Foreign
Provision of regional mobile services

1

Telecommunication services

1

Joint Ventures (Investment as per the equity method)
A. IndianPassive infrastructure services

1

Telecommunication services

1

B. Foreign
Submarine cable system

12
3

Others1

A. Indian
Mobile commerce services

Name of the entity / Principal activities
AmountBharti Airtel Limited
As % ofconsolidated N A

Net Assets ('N A'), i.e., total assets
minus total liabilities

426(All amounts are in millions of Indian Rupee; unless stated otherwise)

Notes to Consolidated Financial Statements

0.00%(208.14%)
100%

0.00%

0.00%

0.01%

13.30%

0.80%

0.05%

0.00%
(0.10%)(0.06%)(0.33%)

As % of TCI(115,207)
55,359

-

-

6

7,360

445

26

(56)
(34)

(182)

AmountShare in total
comprehensive income ('TCI')

Corporate Overview
Management Discussion & Analysis
Statutory Reports
Financial Statements

Integrated Report and Annual Financial Statements 2022-23

427

Notes to Consolidated Financial Statements(All amounts are in millions of Indian Rupee; unless stated otherwise)

Table 2 - Details pertaining to share in other comprehensive income
S.
No.
March 31, 2023

1

1
2
3

1

1

1

1

1

1

428
Name of the entity

Bharti Airtel Limited

Bharti Hexacom Limited
Nxtra Data Limited
Airtel Digital Limited

Bharti Telemedia Limited

Bharti Airtel Services Limited

Minority Interests in all subsidiaries
Associates (Investment as per the equity method)
A. Foreign
Telecommunication services
Bharti Airtel Lanka (Private) Limited

Robi Axiata Limited ^Airtel Payments Bank Limited

Indus Towers Limited (Formerly known as Bharti Infratel Limited) $Inter-company eliminations / adjustments on consolidation

Total

Bharti Airtel Limited
Share in othercomprehensive income ('OCI')

ParentTelecommunication services
As % of OCI
AmountSubsidiaries
IndianTelecommunication services

Direct To Home services

Other

Foreign
Telecommunication services

Mobile commerce services

Joint Ventures (Investment as per the equity method)
A. IndianPassive infrastructure services
0.33%
(92)

0.01%
0.00%
0.04%
(2)
(2)
(10)

0.02%
(5)

0.01%
(2)

0.01%
23.41%(2)(6,578)(0.11%)
31(0.06%)
18

0.01%
76.32%
100%(4)(21,452)(28,100)

Name of the Subsidiary

Bharti Airtel (France)SAS
Bharti Airtel (HongKong) Limited
Bharti Airtel (Japan)
Private Limited
Bharti Airtel Services
Limited
Bharti Airtel (UK)
Limited
Bharti Airtel (USA)
Limited
Bharti International(Singapore) Pte. Ltd.
Bharti Airtel
International(Mauritius) Limited
Bharti Airtel Lanka(Private) Limited
Bharti Hexacom
LimitedIndo Teleports Limited
Bharti Telemedia
LimitedNetwork i2i Limited
Nxtra Data Limited
Airtel Digital Limited
Bharti Airtel
International(Mauritius)
Investments Limited
Bharti Airtel Holding(Mauritius) Limited
Bharti Airtel Overseas(Mauritius) Limited
Airtel Africa Mauritius
LimitedNetwork i2i (Kenya)
Limited ###

S.
No.

1
2
3
4
5
6

7
8

9
10
11
12
13
14
15
16

17
18
19
20

Mauritius
Kenya

July 3, 2019

Mauritius

Mauritius

Mauritius

India

June 28, 2018

June 28, 2018

June 27, 2018

March 26,
2018

January 13,
2015

India

Mauritius

India

India

Integrated Report and Annual Financial Statements 2022-23

KES

USD

USD

USD

USD

INR

INR

USD

INR

INR

INR

LKR

USD

USD

USD

GBP

INR

JPY

HKD

EUR

ReportingCurrency

Apr'22 toMar'23Apr'22 toMar'23Apr'22 toMar'23Apr'22 toMar'23Apr'22 toMar'23Apr'22 toMar'23Apr'22 toMar'23Apr'22 toMar'23Apr'22 toMar'23Apr'22 toMar'23Apr'22 toMar'23Apr'22 toMar'23Apr'22 toMar'23Apr'22 toMar'23Apr'22 toMar'23Apr'22 toMar'23Apr'22 toMar'23Apr'22 toMar'23Apr'22 toMar'23Apr'22 toMar'23

Reporting
PeriodMarch 31,2023

March 31,2023

March 31,2023

March 31,2023

March 31,2023

March 31,2023

March 31,2023

March 31,2023

March 31,2023

March 31,2023

March 31,2023

March 31,2023

March 31,2023

March 31,2023

March 31,2023

March 31,2023

March 31,2023

March 31,2023

March 31,2023

March 31,2023

Financial
Year End

0.62

82.30

82.30

82.30

82.30

1.00

1.00

82.30

1.00

1.00

1.00

0.25

82.30

82.30

82.30

101.82

1.00

0.62

10.48

89.72

Exchange
Rate as ofMarch 31,2023

0173,258

16,757

16,7637

2

119226,982

5,102

826

2,500

23,117

296,693

161,615

0

34

1

0

52

1

Share
Capital

8,530

22,04650,303

1,601

20,105

15,365

18

873

3,343

Total
Assets55,971

470

11

0

-

10,35934,103(0)0(9,389) 185,254(16,746)(16,763)

(8)

3,444

25,204

18,842 319,583(8,919)(719)

39,595 182,529(36,100)(274,656)(136,904)

888

2,883

602

1

517

1,719

Reserves(0)21,385

(0)

-

-

-

-

-

1

(0)

546

739

10

-

132

10,460--32,521

-

-

-

-

-

-

6,913

8,780

73,75959,788363

140,434

21,513

925,592713

17,18814,762

17

304

1,623

-

-

-

-

-

10,622

16,011

14,27529,450214

65,7902,944-

16,421

1,127

42,54812,745

22

598

2,821

Total
Investments* Turnover
Liabilities

(0)

8,066

(1)

(87)

(1)

129

2,960

8,276

(4,604)

(33)

7,338

(3,455)

768

3,770

(12)

1,928

877

(10)

82

387

Profit /(Loss)
BeforeTaxation

-

66

-

-

-

-

759

301

(1,110)

-

1,846

-

23

912

(12)

391

60

(1)

8

97

Provisionfor
Taxation

(0)

8,000

(1)

(87)

(1)

129

2,201

7,975

(3,494)

(33)

5,492

(3,455)

745

2,858

0

1,537

817

(9)

74

290

-

-

-

-

-

-

-

-

-

-

750

-

-

-

-

-

-

-

296

-

100.00%100.00%100.00%100.00%100.00%100.00%75.96%

100.00%100.00%100.00%70.00%

100.00%100.00%100.00%100.00%100.00%100.00%100.00%100.00%100.00%

Profit /(Loss) Proposed% of
After Dividend shareholding
Taxation

Statutory Reports

July 2, 2013

September 28,
2007

November 30,
2006

March 4, 2009

India

Sri Lanka

Mauritius

Singapore

UnitedStates ofAmerica

UnitedKingdom

India

Japan

Hong Kong

FranceCountry ofRegistration

Management Discussion & Analysis

May 18, 2004

March 29, 2007

April 6, 2010

March 18, 2010

September 12,
2006

August 29, 2006

March 26, 2001

April 5, 2010

October 12,
2006

June 9, 2010

Date on which
subsidiary
was acquired /incorporated

Salient features of the financial statements of subsidiaries, associates and joint ventures for the year ended March 31, 2023, pursuant to Section 129(3) of the Companies Act 2013
Part A - Subsidiaries

Corporate Overview
Financial Statements

429

430
Netherlands
Kenya

June 8, 2010
June 8, 2010
June 8, 2010

June 8, 2010
June 8, 2010

June 8, 2010

June 8, 2010

OneWeb India
Communications
Private Limited
Airtel Limited
Bharti Airtel
Employees' Welfare
Trust
Bharti Airtel
International(Netherlands) B.V.
Bharti Airtel Africa B.V.
Bharti Airtel Chad
Holdings B.V.
Airtel Tchad S.A.
Bharti Airtel Gabon
Holdings B.V.
Airtel Gabon S.A.
Bharti Airtel Congo
Holdings B.V.
Airtel Congo S.A.
Bharti Airtel RDC
Holdings B.V.
Airtel Congo RDC S.A.

Bharti Airtel Mali
Holdings B.V.
Bharti Airtel Kenya
Holdings B.V.
Bharti Airtel Kenya B.V.
Airtel Networks Kenya
Limited #Bharti Airtel Malawi
Holdings B.V.
Airtel Malawi Public
Limited Company
Bharti Airtel Niger
Holdings B.V.
Celtel Niger S.A.
Airtel Networks
Zambia Plc

Name of the Subsidiary

Bharti Airtel Uganda
Holdings B.V.
Airtel Uganda Limited
Bharti Airtel Tanzania
B.V.
Airtel Tanzania Public
Limited Company
Bharti Airtel
Madagascar Holdings
B.V.
Channel Sea
Management
Company (Mauritius)
Limited
Bharti Airtel Rwanda
Holdings Limited
Montana International$
Airtel Madagascar S.A.
Bharti Airtel Nigeria
Holdings II B.V.
Bharti Airtel Nigeria
B.V.
Bharti Airtel Services
B.V.
Airtel Networks
Limited
Bharti Airtel Zambia
Holdings B.V.
Airtel Mobile
Commerce Limited
Airtel Mobile
Commerce (Kenya)
LimitedCeltel (Mauritius)
Holdings Limited
Airtel Mobile
Commerce Zambia
LimitedAirtel Mobile
Commerce Tchad S.A
Airtel Mobile
Commerce B.V.
Airtel Money S.A.
Airtel Money Niger S.A.

23
24

25

Bharti Airtel Limited
26
27
28
29
30
31
32
33
34

35
36
37
38
39
40
41
42
43

S.
No.

44
45
46
47
48

49

50
51
52
53
54
55
56
57
58
59

60
61

62
63
64
65

June 8, 2010

October 26,
2010

June 8, 2010

June 8, 2010

Niger

Gabon

Netherlands

ChadZambia

Mauritius

Kenya

Malawi

Netherlands

Nigeria

Netherlands

XOF

XAF

USD

XOF

ZMW

USD

KES

MWK

USD

NGN

USD

USD

USD

MGA

Jan'22 to
Dec'22

Jan'22 to
Dec'22

Apr'22 toMar'23

Jan'22 to
Dec'22

Jan'22 to
Dec'22

Jan'22 to
Dec'22

Jan'22 to
Dec'22

Jan'22 to
Dec'22

Apr'22 toMar'23

Jan'22 to
Dec'22

Apr'22 toMar'23Apr'22 toMar'23Apr'22 toMar'23

Jan'22 to
Dec'22

Jan'22 to
Dec'22

Jan'22 to
Dec'22

Jan'22 to
Dec'22

Apr'22 toMar'23

Jan'22 to
Dec'22

Apr'22 toMar'23

Jan'22 to
Dec'22

Apr'22 toMar'23

Reporting
PeriodJan'22 to
Dec'22

Jan'22 to
Dec'22

Apr'22 toMar'23

Jan'22 to
Dec'22

Apr'22 toMar'23

Jan'22 to
Dec'22

Apr'22 toMar'23Apr'22 toMar'23Apr'22 toMar'23

Jan'22 to
Dec'22

Apr'22 toMar'23

Jan'22 to
Dec'22

Apr'22 toMar'23

Jan'22 to
Dec'22

Apr'22 toMar'23

Jan'22 to
Dec'22

Apr'22 toMar'23Apr'22 toMar'23Apr'22 toMar'23Apr'22 toMar'23Apr'22 toMar'23Apr'22 toMar'23Apr'22 toMar'23

Reporting
PeriodDecember31, 2022

December31, 2022

March 31,2023

December31, 2022

December31, 2022

December31, 2022

December31, 2022

December31, 2022

March 31,2023

December31, 2022

March 31,2023

March 31,2023

March 31,2023

December31, 2022

December31, 2022

December31, 2022

December31, 2022

March 31,2023

December31, 2022

March 31,2023

December31, 2022

March 31,2023

Financial
Year End

December31, 2022

December31, 2022

March 31,2023

December31, 2022

March 31,2023

December31, 2022

March 31,2023

March 31,2023

March 31,2023

December31, 2022

March 31,2023

December31, 2022

March 31,2023

December31, 2022

March 31,2023

December31, 2022

March 31,2023

March 31,2023

March 31,2023

March 31,2023

March 31,2023

March 31,2023

March 31,2023

Financial
Year End

0.14

0.14

82.30

0.14

3.85

82.30

0.62

0.08

82.30

0.18

82.30

82.30

82.30

0.02

82.30

82.30

82.30

82.30

0.04

82.30

0.02

82.30

Exchange
Rate as ofMarch 31,
2023

3.85

0.14

82.30

0.08

82.30

0.62

82.30

82.30

82.30

82.30

82.30

0.14

82.30

0.14

82.30

0.14

82.30

82.30

82.30

1.00

1.00

1.00

101.82

Exchange
Rate as ofMarch 31,
2023

179

68

2

68

8

1

-

4

2

2,370

2

1

2

56

-

3

1

2

1,696

2

31

2

Share
Capital

4

205

1

-

2

249

2

1

1

28

1

11,516

2

821

2

3,802

1

46

194,183

-

0

95

0

Share
Capital

1,766

0

88

67

Total
Assets817

59,70035,25812,982

12,942

16,414

11,25812,155

9,442

6,079

3

20,953-

14,19647,03233,44344,800

2,436

Total
Assets

18,701

20,134

19,325

16,595

2,345

48,36077,157

948

390

2,109

8,450

(71)

1,576

3,300

-

2,365

17,611

1,080

7,611

10,8191,020

14,085

9,285

877

8,375

17,61334,365 209,803

359(47,195) 128,538(131) 172,631(13,366)

-

(40)

(1)

(2,850)

10,481

619

1,672

2,434

Reserves

690(3,054)

19,337

3,423

2,086

(2,149)(25,789)(4,079) 101,184

131(34,826)281(19,879)

8,568(2,958)

11,162(6,102)

557

100,272 348,826

150,652 454,074

48

(0)

(9)

55

Reserves

-

-

-

6

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

41

-

17,992

14,381-

13,007-26,023---39,928

-

8,068

-

12,209-13,939

-

-

-

-

-

2

313

511

5,434

2,367

1,023

12,501

5,984

877

6,006

-

173,068587

175,732

172,760

19,3893

20,990-17,04434,85532,82243,097

-

-

-

-

2,589

-

-

-

-

21,219-35,442

-

-

-

-

-

-

-

-

-

-

365

5,066

-

60

12,045

-

-

5,755

-

- 166,409

-

-

-

-

-

-

-

-

-

-

-

-

Total
Investments* Turnover
Liabilities

18,00722,983(13)

13,172257

50,260102,944

105,262685

94,49834,976

21,345

4,372

18,551

94

14,455

8,884

248,508

109,239

1,718

0

2

12

Total
Investments* Turnover
Liabilities

228

2,099

13,475

(62)

6,524

(30)

-

2,806

3,767

32,078(17)

37,744

9,876(2,115)

-

(11)

(1)

7

5,108

544

9,631

7,639

Profit /(Loss)
BeforeTaxation

5,952

2,911

301

4,022

2,097

(794)

(5,055)

(210)

(35)

7,741

1

(3,700)

419

2,254

-

3,442

-

(4,810)31,493

8

(0)

(4)

30

Profit /(Loss)
BeforeTaxation

135

631

660

-

1,950

-

-

843

191

10,058

-

3,780

-

-

-

-

-

-

(664)

54

3,005

-

Provisionfor
Taxation

2,089

1,217

60

1,189

244

(9,204)29--(1,481)

-

-

-

858

-

1,309

-

4

(11)

3

-

-

6

Provisionfor
Taxation

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

53.97%

50.41%

56.01%

44.81%

56.01%

56.01%

56.01%

56.01%

56.01%

55.17%

56.01%

50.41%

56.01%

56.01%

56.01%

56.01%

56.01%

56.01%

56.01%-

100.00%100.00%100.00%93

1,468

12,815

(62)

4,574

(30)

-

1,963

3,576

22,020(17)

33,964

9,876(2,115)

-

(11)

(1)

7

5,772

490

6,626

7,639

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

37.42%

41.58%

41.58%

41.58%

41.58%

56.01%

41.58%

41.58%

56.01%

55.99%

56.01%

56.01%

56.01%

56.01%

56.01%

56.01%

56.01%

56.01%

28.57%

56.01%

56.01%

56.01%

Profit /(Loss) Proposed% of
After Dividend shareholding
Taxation

3,863

1,694

241

2,833

1,853

8,410

(5,084)

(210)

(35)

9,222

1

(3,700)

419

1,396

-

2,133

-

(4,814)31,504

5

(0)

(4)

24

Profit /(Loss) Proposed% of
After Dividend shareholding
Taxation

Statutory Reports

June 8, 2010

June 8, 2010

June 8, 2010

June 8, 2010

June 8, 2010

Netherlands

Netherlands

Madagascar

USD

USD

USD

USD

TZS

USD

UGX

USD

ReportingCurrency

ZMW

XOF

USD

MWK

USD

KES

USD

USD

USD

USD

USD

XAF

USD

XAF

USD

XOF

USD

USD

USD

INR

INR

INR

GBP

ReportingCurrency

Management Discussion & Analysis

June 8, 2010

June 8, 2010

June 8, 2010

Mauritius

Mauritius

Mauritius

Netherlands

June 8, 2010

June 8, 2010

Tanzania

Netherlands

UgandaJune 8, 2010

June 8, 2010

June 8, 2010

Netherlands

Country ofRegistration

Date on which
subsidiary
was acquired /incorporated

June 8, 2010

ZambiaNiger

Netherlands

Malawi

Netherlands

Netherlands

Netherlands

Democratic
Republic of
Congo

Netherlands

Congo
Brazzaville

Netherlands

Gabon

Netherlands

Chad

Netherlands

Netherlands

June 8, 2010

June 8, 2010

June 8, 2010

June 8, 2010

June 8, 2010

June 8, 2010

June 8, 2010

June 8, 2010

June 8, 2010

June 8, 2010

June 8, 2010

June 8, 2010

June 8, 2010

June 8, 2010

June 8, 2010

Netherlands

India

March 31, 2001

March 19, 2010

India

India

March 16, 2021

February 4,
2020

UnitedKingdom22

May 19, 2020

Network i2i (UK)
LimitedCountry ofRegistration

21

Date on which
subsidiary
was acquired /incorporated

Name of the Subsidiary

S.
No.

Corporate Overview
Financial Statements

Integrated Report and Annual Financial Statements 2022-23

431

432
April 5, 2011

May 17, 2011

Indian Ocean Telecom
LimitedAirtel (Seychelles)
LimitedAirtel Mobile
Commerce (Tanzania)
LimitedAirtel Mobile
Commerce Uganda
LimitedMobile Commerce
Congo S.A.
Airtel Money RDC S.A.

Congo RDC Towers
S.A.
Gabon Towers S.A. ##Airtel Mobile
Commerce
Madagascar S.A.
Airtel Rwanda Limited
Airtel Africa Plc
Airtel Mobile
Commerce Rwanda
LimitedAirtel Mobile
Commerce(Seychelles) Limited
Airtel Money Tanzania
LimitedAirtel Mobile
Commerce Nigeria B.V.
Airtel Mobile
Commerce Nigeria
LimitedAirtel Mobile
Commerce(Seychelles) B.V.
Airtel Mobile
Commerce Congo B.V.

Name of the Subsidiary

Airtel Mobile
Commerce Kenya B.V.
Airtel Mobile
Commerce
Madagascar B.V.
Airtel Mobile
Commerce Malawi B.V.
Airtel Mobile
Commerce Rwanda
B.V.
Airtel Mobile
Commerce Tchad B.V.
Airtel Mobile
Commerce Uganda
B.V.
Airtel Mobile
Commerce Zambia
B.V.
Airtel Money Transfer
LimitedAirtel International LLP March 27, 2019
Airtel Money Kenya
LimitedAirtel Mobile
Commerce DRC B.V.
Airtel Mobile
Commerce Gabon B.V.
Airtel Mobile
Commerce Niger B.V.
The Registered
Trustees of Airtel
Money Trust Fund
Airtel Digital Services
Holdings B.V.
Airtel Mobile
Commerce Services
LimitedAirtel Africa TelesonicHoldings Limited
Airtel Africa Telesonic
LimitedAirtel Africa Services(UK) Limited
The Airtel Africa
Employee Benefit Trust
Smartcash Payment
Service Bank Limited

68
69
70

71

Bharti Airtel Limited
72
73

74

75
76

77
78
79

80

81
82
83

84

85

S.
No.

86
87

88
89

90
91

92

93
94
95
96
97
98
99

100
101

102
103
104
105
106

November 30,
2021

May 14, 2020

November 2,
2020

October 6, 2021

October 6, 2021

March 24, 2021

Nigeria

St Helier,JerseyUnitedKingdom

UnitedKingdom

UnitedKingdom

Kenya

Netherlands

Tanzania

Netherlands

NGN

USD

USD

USD

USD

USD

USD

TZS

USD

USD

USD

KES

INR

KES

USD

USD

Jan'22 to
Dec'22

Apr'22 toMar'23Apr'22 toMar'23Apr'22 toMar'23Apr'22 toMar'23

Jan'22 to
Dec'22

Apr'22 toMar'23

Jan'22 to
Dec'22

Apr'22 toMar'23Apr'22 toMar'23Apr'22 toMar'23

Jan'22 to
Dec'22

Apr'22 toMar'23

Jan'22 to
Dec'22

Apr'22 toMar'23Apr'22 toMar'23Apr'22 toMar'23Apr'22 toMar'23Apr'22 toMar'23Apr'22 toMar'23Apr'22 toMar'23

Reporting
PeriodApr'22 toMar'23Apr'22 toMar'23

Jan'22 to
Dec'22

Apr'22 toMar'23

Jan'22 to
Dec'22

Jan'22 to
Dec'22

Jan'22 to
Dec'22

Apr'22 toMar'23

Jan'22 to
Dec'22

Jan'22 to
Dec'22

Jan'22 to
Dec'22

Jan'22 to
Dec'22

Jan'22 to
Dec'22

Jan'22 to
Dec'22

Jan'22 to
Dec'22

Jan'22 to
Dec'22

Jan'22 to
Dec'22

Jan'22 to
Dec'22

Apr'22 toMar'23

Jan'22 to
Dec'22

Reporting
PeriodDecember31, 2022

March 31,2023

March 31,2023

March 31,2023

March 31,2023

December31, 2022

March 31,2023

December31, 2022

March 31,2023

March 31,2023

March 31,2023

December31, 2022

March 31,2023

December31, 2022

March 31,2023

March 31,2023

March 31,2023

March 31,2023

March 31,2023

March 31,2023

March 31,2023

Financial
Year EndMarch 31,2023

March 31,2023

December31, 2022

March 31,2023

December31, 2022

December31, 2022

December31, 2022

March 31,2023

December31, 2022

December31, 2022

December31, 2022

December31, 2022

December31, 2022

December31, 2022

December31, 2022

December31, 2022

December31, 2022

December31, 2022

March 31,2023

December31, 2022

Financial
Year End

0.18

82.30

82.30

82.30

82.30

82.30

82.30

0.04

82.30

82.30

82.30

0.62

1.00

0.62

82.30

82.30

82.30

82.30

82.30

82.30

82.30

Exchange
Rate as ofMarch 31,
2023

82.30

82.30

0.18

892

0

0

-

0

0

0

-

0

0

0

638

33

25

0

0

0

0

0

0

0

Share
Capital

0

0

9

0

-

0.04
82.30

6

15

281,464

7

9

1

8

730

68

218

-

212

206

2

3

Share
Capital

5.90

0.07

82.30

0.07

0.02

0.14

82.30

82.30

0.14

0.02

0.04

5.90

82.30

82.30

82.30

Exchange
Rate as ofMarch 31,
2023

7,832

1,750

-

321

12,9281,009

15,150

-

3,085

1,580

-

-

Total
Assets

(917)

(268)

(1,477)

70

1,637

917

13,910

2,545

20

169

(14)

(1)

1

8,913

181

73

5,686

963

2,977

29

0

224

70

18

0

642

707

Total
Assets

72

0

10

968

1,532

24

866

0

-

0

73

2,452

37

297

6

(0)

797

(0)

(0)

(0)

1

(0)

Reserves

(0)

(0)

(1)

(172)

540

(43)

(108)

56,767 335,589(30,138)

334

(4)

(820)

3,313

(63)

1,289

-

357

1,373

52

(3)

Reserves

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

358

-

-

-

-

-

-

-

7,666

3

377

-

3,246

713

-

-

6,217

-

14,224

-

2,060

-

-

-

1,662

1,185

15,387

2,475

21

183

1

8,913

181

0

3,234

288

2,647

(2)

(0)

(573)

70

18

(0)

641

707

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

39

-

-

1,168

-

-

-

3

-

-

-

194

-

7

-

-

-

-

-

-

-

Total
Investments* Turnover
Liabilities

72

0

2

1,140

992

61

959

(2,642)37,963

1,407

3

1,133

8,885

1,004

13,643

-

2,516

1

(54)

-

Total
Investments* Turnover
Liabilities

(893)

(459)

1,130

71

(1)

33

0

-

0

1,114

3,170

52

227

7

0

4,797

0

(0)

0

204

(0)

Profit /(Loss)
BeforeTaxation

0

0

1

0

3,115

1

(23)

19,330(4,632)

181

-

(16)

3,485

(40)

6,868

-

658

383

48

(1)

Profit /(Loss)
BeforeTaxation

-

-

1,471

-

-

-

-

-

-

233

669

15

133

2

-

-

-

-

-

21

-

Provisionfor
Taxation

-

-

-

-

921

-

-

-

-

69

-

-

1,079

-

2,016

-

190

-

7

-

Provisionfor
Taxation

-

-

-

-

-

-

-

10,123

-

-

-

-

-

-

-

-

-

-

-

-

41.58%

41.58%

55.99%

41.58%

28.57%

41.58%

41.58%

56.01%

56.01%

41.58%

56.01%

56.01%

41.58%

41.58%

41.58%

41.58%

56.01%

56.01%

41.58%

56.01%

(893)

(459)

(341)

71

(1)

33

0

-

0

881

2,501

37

94

5

0

4,797

0

(0)

0

184

(0)

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

55.99%-

56.01%

56.01%

56.01%

41.58%

56.01%

28.57%

41.58%

41.58%

41.58%

41.58%

56.01%

56.01%

41.58%

41.58%

41.58%

41.58%

41.58%

41.58%

41.58%

Profit /(Loss) Proposed% of
After Dividend shareholding
Taxation

0

0

1

0

2,194

1

(23)

19,330(4,632)

112

-

(16)

2,406

(40)

4,852

-

468

383

41

(1)

Profit /(Loss) Proposed% of
After Dividend shareholding
Taxation

Statutory Reports

November 12,
2020

April 13, 2021

April 9, 2020

Netherlands

Netherlands

Kenya

India

Kenya

Netherlands

Netherlands

USD

USD

USD

USD

USD

ReportingCurrency

USD

USD

NGN

USD

TZS

SCR

RWF

USD

RWF

MGA

XAF

USD

USD

XAF

UGX

TZS

SCR

USD

USD

USD

ReportingCurrency

Management Discussion & Analysis

April 9, 2020

April 9, 2020

June 29, 2020

July 20, 2015

January 29,
2019

January 29,
2019

Netherlands

Netherlands

January 29,
2019
January 29,
2019

Netherlands

Netherlands

January 29,
2019

January 29,
2019

Netherlands

Country ofRegistration

Date on which
subsidiary
was acquired /incorporated

January 29,
2019

Netherlands

Netherlands

Nigeria

Netherlands

Tanzania

January 29,
2019

January 29,
2019

August 31, 2017

December 5,
2018

June 10, 2016

Seychelles

RwandaFebruary 22,
2013
August 9, 2013

UnitedKingdom

RwandaMadagascar

Gabon

Democratic
Republic of
Congo

Democratic
Republic of
Congo

Congo
Brazzaville

July 12, 2018

September 2,
2011April 5, 2011

June 8, 2010

June 8, 2010

UgandaTanzania

November 11,
2010
October 7, 2010

Seychelles

JerseyNetherlands

MauritiusCountry ofRegistration

August 27, 2010

October 19,
2010

June 8, 2010

Airtel Mobile
Commerce Holdings
B.V.

67

June 8, 2010

Date on which
subsidiary
was acquired /incorporated

Société Malgache deTéléphone Cellulaire
S.A.$

Name of the Subsidiary

66

S.
No.

Corporate Overview
Financial Statements

Integrated Report and Annual Financial Statements 2022-23

433

434
Bharti Airtel Limited
Airtel Tchad TelesonicHoldings (UK) Limited(Incorporated on April
11, 2022)
Airtel Madagascar
Telesonic Holdings(UK) Limited(Incorporated on April
11, 2022)
Airtel DRC TelesonicHoldings (UK) Limited(Incorporated on April
11, 2022)
Airtel Uganda
Telesonic Holdings(UK) Limited(Incorporated on April
11, 2022)
Airtel Telesonic
Uganda Limited(Incorporated on
September 9, 2022)
Airtel Congo RDC
Telesonic S.A.U.
(Incorporated on
January 31, 2023)
Airtel Zambia TelesonicHoldings (UK) Ltd(Incorporated on April
11, 2022)
Airtel Nigeria TelesonicHoldings (UK) Ltd(Incorporated on April
11, 2022)
Airtel Kenya TelesonicHoldings (UK) Ltd(Incorporated on April
11, 2022)
Airtel (M) TelesonicHoldings (UK) Limited(Incorporated on April
11, 2022)
Airtel Nigeria Telesonic August 26, 2022
Limited (Incorporated
on August 26, 2022)
Airtel Kenya Telesonic
Limited (Incorporated
on July 22, 2022)

110

111

112

113

114

115

116

117

118

119

120

121

Airtel (M) Telesonic
Limited (Incorporated
on August 25, 2022)
Airtel Congo TelesonicHoldings (UK) Limited(Incorporated on April
11, 2022)
Airtel Gabon TelesonicHoldings (UK) Limited(Incorporated on April
11, 2022)
Airtel Niger TelesonicHoldings (UK) Limited(Incorporated on April
11, 2022)
Airtel Rwanda
Telesonic Holdings(UK) Limited(Incorporated on April
11, 2022)
Airtel Seychelles
Telesonic Holdings(UK) Limited(Incorporated on April
11, 2022)
Airtel Tanzania
Telesonic Holdings(UK) Limited(Incorporated on April
11, 2022)

123

124

125

126

127

128

129

UnitedKingdom

UnitedKingdom

April 11, 2022

April 11, 2022

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

Profit /(Loss)
BeforeTaxation

-

-

-

-

-

-

(0)

-

(0)

(0)

(0)

(1)

-

-

-

Profit /(Loss)
BeforeTaxation

-

-

-

-

-

-

-

-

Provisionfor
Taxation

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

Provisionfor
Taxation

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

56.01%

56.01%

56.01%

56.01%

56.01%

56.01%

56.01%

56.01%

56.01%

56.01%

56.01%

56.01%

41.58%

53.97%

56.01%

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

56.01%

56.01%

56.01%

56.01%

56.01%

56.01%

56.01%

56.01%

Profit /(Loss) Proposed% of
After Dividend shareholding
Taxation

-

-

-

-

-

-

(0)

-

(0)

(0)

(0)

(1)

-

-

-

Profit /(Loss) Proposed% of
After Dividend shareholding
Taxation$ Under removal from the register of Registrar of Companies as at March 31, 2023.
* Investments exclude investments in subsidiaries.

### Dissolved subsequent to the year ended March 31, 2023.

## The subsidiary is under dissolution as at March 31, 2023.

# Share capital includes preference share capital.

Financial information has been extracted from the submission considered for the purpose of consolidated audited Ind AS financial statements.

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

-

Total
Investments* Turnover
Liabilities

-

-

-

-

-

-

-

-

12

2

1

3

-

-

-

Total
Investments* Turnover
Liabilities

4.

-

-

-

-

-

-

-

-

Total
Assets

-

-

-

-

-

-

2

11

12

2

0

2

-

-

-

Total
AssetsAll particulars has been converted using closing exchange rate as on March 31, 2023.

82.30

82.30

82.30

82.30

82.30

82.30

0.08

-

Reserves

-

-

-

-

-

-

(0)

-

(0)

(0)

(1)

(1)

-

-

-

Reserves

3.

March 31,2023

March 31,2023

March 31,2023

March 31,2023

March 31,2023

March 31,2023

December31, 2022

3.85

Share
Capital

-

-

-

-

-

-

2

11

0

0

0

0

-

-

-

Share
CapitalThe figures which are appearing as '0' are result of rounding off.

Apr'22 toMar'23Apr'22 toMar'23Apr'22 toMar'23Apr'22 toMar'23Apr'22 toMar'23Apr'22 toMar'23

Jan'22 to
Dec'22

December31, 2022

Exchange
Rate as ofMarch 31,
2023

0.62

December31, 2022

Financial
Year End

0.18

82.30

82.30

82.30

82.30

82.30

0.02

82.30

82.30

82.30

82.30

0.02

3.85

82.30

Exchange
Rate as ofMarch 31,2023

December31, 2022

December31, 2022

March 31,2023

March 31,2023

March 31,2023

December31, 2022

December31, 2022

March 31,2023

March 31,2023

March 31,2023

March 31,2023

December31, 2022

December31, 2022

December31, 2022

Financial
Year End

2.

USD

USD

USD

USD

USD

USD

MWK

Jan'22 to
Dec'22

Reporting
PeriodJan'22 to
Dec'22

Jan'22 to
Dec'22

Jan'22 to
Dec'22

Apr'22 toMar'23Apr'22 toMar'23Apr'22 toMar'23

Jan'22 to
Dec'22

Jan'22 to
Dec'22

Apr'22 toMar'23Apr'22 toMar'23Apr'22 toMar'23Apr'22 toMar'23Jan '22 to
Dec '22Jan '22 to
Dec '22Jan '22 to
Dec '22

Reporting
PeriodThe above financial information is basis audited / unaudited financial statements / financial information considered for the purpose of consolidated audited Ind AS financial statements.

UnitedKingdom

UnitedKingdom

UnitedKingdom

UnitedKingdom

UnitedKingdom

UnitedKingdom

Malawi

ZMW

ReportingCurrency

KES

NGN

USD

USD

USD

USD

USD

UGX

USD

USD

USD

USD

UGX

ZMW

USD

ReportingCurrency

Statutory Reports

1.

April 11, 2022

April 11, 2022

April 11, 2022

April 11, 2022

April 11, 2022

April 11, 2022

August 25, 2022

ZambiaCountry ofRegistration

Date on which
subsidiary
was acquired /incorporated

September 22,
2022

Kenya

Nigeria

UnitedKingdom

UnitedKingdom

UnitedKingdom

UnitedKingdom

Democractic
Republic of
Congo

UgandaJuly 22, 2022

April 11, 2022

April 11, 2022

April 11, 2022

April 11, 2022

January 31,
2023

September 9,2022

UnitedKingdom

UnitedKingdom

April 11, 2022

April 11, 2022

UgandaZambiaJune 18, 2021

February 11,
2010

Democractic
Republic of
Congo

Country ofRegistration

Management Discussion & Analysis

Notes:

Airtel Zambia Telesonic
Limited (Incorporated
on September 22,
2022)

122

Name of the Subsidiary

Airtel Money Trust
Fund

109

S.
No.

Bharti Airtel
Developers Forum
Limited108

June 26, 2001

Partnership
Investments Sarlu

107

Date on which
subsidiary
was acquired /incorporated

Name of the Subsidiary

S.
No.

Corporate Overview
Financial Statements

Integrated Report and Annual Financial Statements 2022-23

435

Other details:I.
Subsidiaries yet to commence operations:S.
No.
Name of Subsidiary Company

1
2
3
4
5
6
7
8
9
10
11
12
Airtel Limited
OneWeb India Communications Private Limited
Airtel Rwanda Telesonic Limited
Airtel (Seychelles) Telesonic Limited
Airtel Mobile Commerce Tanzania B.V.
Nxtra Africa Data Holdings Limited
Nxtra Nigeria Data Holdings (UK) Limited
Nxtra Kenya Data Holdings (UK) Limited
Nxtra DRC Data Holdings (UK) Limited
Nxtra Gabon Data Holdings (UK) Limited
Nxtra Congo Data Holdings (UK) Limited
Nxtra Africa Data (Nigeria) Limited

II.
Subsidiaries that have been merged during the year:

S.
No.
Transferor Company

1
2
Nettle Infrastructure Investments Limited
Telesonic Networks Limited

436
Bharti Airtel Limited
Date ofincorporation

March 16, 2021
April 13, 2021
August 30, 2022
September 21, 2022
November 3, 2022
November 24, 2022
November 28, 2022
November 28, 2022
November 28, 2022
November 28, 2022
November 28, 2022
March 16, 2023

Transferee
Company
Effective Date ofMergerBharti Airtel Limited
Bharti Airtel Limited
February 1, 2023
February 1, 2023

Name of the Associate / Joint Venture

Lavelle Networks Private Limited
Airtel Payments Bank Limited*
Juggernaut Books Private Limited

45
6

October 12, 2017

Bharti Airtel Ghana Holdings B.V. #Mawezi RDC S.A.

4
5

50

18,0001,000,000

27.58%

50%

50%

47.95%

10%

18.75%

72.61%

25.00%

33.33%

14.56%

28.18%

Extent of holding%

By virtue of shareholding

By virtue of shareholder
agreement

By virtue of shareholding

Description of how there issignificant influence / joint
control

NA

NA

58

101,220

82

2

2,935

46

1,734

171

15,189Net Worthattributable toshareholders as
per latest audited
Balance Sheet

NA

-^

6

7,364

0

-

(200)

(34)

(56)

26

414

Considered inconsolidation

-

-

-

-

-

-

-

-

-

-

(3)

Not considered
in consolidation

Profit / (loss) for the year ended
March 31, 2023

Amount of investment in joint venture / associate is based on the carrying value of investments in the consolidated financial statements of Bharti Airtel Limited.

Statutory Reports

Notes:# The group has acquired stake in joint venture during the year ended March 31, 2018. However, the latest audited balance sheet is pertaining to the period prior to the acquisition date.
^ Amount considered for Ghana entities are consolidated number.
$ The group has increased its shareholding to 47.95% (46.49% as of March 31, 2022) during the year ended March 31, 2023.
*The group has decreased its shareholding to 72.61% (73.41% as of March 31, 2022) during the year ended March 31, 2023.
~ Smartx Services Limited (incorporated on September 21, 2015) and Indus Towers Employees' Welfare Trust are subsidiaries of Indus Towers Limited.
% Hughes Global Education India Private Limited (incorporated on March 10, 2011) and HCIL Comtel Private Limited (incorporated on September 13, 2007) are subsidiaries of Hughes Communications India Private
Limited.

10.000001^

59

250,201

81

-

8,509

113

734

358

21,784

Amount ofInvestment in
Associate / Joint
Venture@RedDot Digital Limited is incorporated on November 5, 2019 and is subsidiary of Robi Axiata Limited.

-

March 31, 2017

March 31, 2023

1,292,261,364

800,000

2,100,471

1,724,025,128

37,414

7,524,808

260

1,475,834,961

Number of shares

Share of Associates / Joint Ventures held by the company
as of March 31, 2023

Management Discussion & Analysis

March 1, 2023

February 4, 2014

FireFly Networks Limited

March 31, 2023
3

March 31, 2023

November 3, 2004

March 31, 2022

March 31, 2023

March 31, 2022

March 31, 2022

June 30, 2022

December 31,
2022

Latest audited
Balance Sheet
date

November 19, 2020

Bridge Mobile Pte Limited
Indus Towers Limited (Formerly known as
Bharti Infratel Limited)$ ~1

November 26, 2017

October 25, 2018

2

Joint Ventures

Hughes Communications India Private Limited%3

February 10, 2022

June 8, 2010
January 4, 2022

Seychelles Cable Systems Company Limited

2

November 16, 2016

Robi Axiata Limited @1

Associates

S. No.

Date on which
Associate / Joint
Venture wasassociated or
acquired

Salient features of the financial statements of subsidiaries, associates and joint ventures for the year ended March 31, 2023, pursuant to Section 129(3) of the Companies Act 2013
Part B - Associates and Joint Ventures

Corporate Overview
Financial Statements

Integrated Report and Annual Financial Statements 2022-23

437

Corporate Information

Circle Offices

Board of Directors

Internal Assurance Partners

Andhra Pradesh

J&K

MumbaiMr. Sunil Bharti Mittal, Chairman

Ernst & Young LLP
ANB & Co., Chartered Accountants

1-8-437, 438 & 445, Splendid Towers
Opp. Begumpet Police Station,
Huda Road, Begumpet,
Hyderabad – 500016,
TelanganaB2 (3 Floor), South Block,
Bahu Plaza, Jammu,
J&K – 180012

Interface 7, 7th Floor,
Behind Infinity Mall,
Off. Link road,
Malad West,
Mumbai – 400064,
Maharashtra

Ms. Chua Sock Koong
Mr. Dinesh Kumar Mittal
Mr. Gopal Vittal, Managing Director & CEO

Cost Auditors

Ms. Kimsuka Narasimhan

Sanjay Gupta & Associates

Ms. Nisaba Godrej

Cost Accountants

Mr. Pradeep Kumar Sinha
Mr. Rakesh Bharti Mittal
Mr. Shyamal Mukherjee
Mr. Tao Yih Arthur Lang
Mr. V. K. Viswanathan

Chief Financial Officer
Mr. Soumen Ray

Company Secretary

Secretarial Auditors
Chandrasekaran Associates
Company Secretaries

Registered Office
Airtel Center, Plot No. 16,
Udyog Vihar, Phase-IV,
Gurugram – 122 015,
India

Mr. Pankaj Tewari

Corporate Office
Chief Internal Auditor
Mr. Anil Jeet Singh Riat

Statutory Auditors
Deloitte Haskins & Sells, LLP
Chartered Accountants

Bharti Crescent,1, Nelson Mandela Road,
Vasant Kunj, Phase-II,
New Delhi – 110 070,
India

Assam & North East States
Subham Buildwell, Sundarpur,
RG Baruah Road,
Guwahati – 781006,
Assam

Bihar & Jharkhand

www.airtel.in

Karnataka
Divyasree Towers, No. 55,
Bannerghatta Main Road,
Opp. Jayadeva Hospital,
Bengaluru – 560 029,
Karnataka

Tamil Nadu

Airtel Campus, Plot no 18,
Patliputra Industrial Area,
Patna – 800013,
Bihar

No-42/147 & 44/146,
Santhome High Road &Rosary Church Road, Mylapore,
Chennai – 600004,
Tamil Nadu

Delhi NCR

KeralaPlot No. 16, NH-8
Udyog Vihar, Phase-IV,
Gurgaon – 122015,
Haryana

SL Avenue, NH Bye pass,
Kundanoor Junction,
Maradu PO,
Kochi – 682304,
KeralaGujarat
Websiterd

2nd Floor, Zodiac Square,
Opp. Gurudwara, S. G. Highway,
Ahmedabad – 380054,
Gujarat

Madhya Pradesh& Chhattisgarh

Haryana, Punjab, Himachal

3 & 4 Floor, Scheme No. 54,
A. B. Road, Metro Tower,
Near Vijay Nagar Square,
Indore – 452010,
Madhya Pradesh

Plot No. 21,
Rajiv Gandhi Technology Park,
Chandigarh – 160101

Maharashtra & Goardth

Plot No. 3/1, North Tower,
e-Park, Kharadi Tal - Haveli,
Pune – 411014,
Maharashtra

RajasthanK-21, Sunny House,
Malviya Marg, C-Scheme,
Jaipur – 302001,
Rajasthan

Uttar Pradesh & Uttaranchal
TCG - 7/7, Vibhuti Khand,
Gomti Nagar,
Lucknow – 226010,
Uttar PradeshWest Bengal
1st, 5th, 6th & 7th Floor, Infinity Building,Salt Lake Electronics Complex,
Block GP, Sector V,
Kolkata – 700091,
West Bengal

OdishaBharti House, E-13/1,
Infority, Patia,
Chandrashekharpur,
Bhubaneshwar, Odisha – 751024

NotesRegistered Office
Bharti Airtel Limited
Airtel Center, Plot No. 16, Udyog Vihar,
Phase-IV, Gurugram – 122015, India
Telephone No.: +91 124 4222222
Fax No.: +91 124 4248063
Corporate Office
Bharti Airtel Limited
Bharti Crescent, 1, Nelson Mandela Road,
Vasant Kunj, Phase II, New Delhi – 110 070, India
Telephone No.: +91 11 46666100
Fax No.: +91 11 46666137
CIN No.: L74899HR1995PLC095967
Email: compliance.officer@bharthin