Vsnl To Invest $300 Mn On India-europe Undersea Cable
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QUOTE(netfreak @ May 3 2006, 12:10 PM) [snapback]50102[/snapback]
What is surprising here is profit of BSNL as compared to other telecom giants.
E.g. AT&T's profit was $4bn and BSNL's profit is $2 bn.
Normally I would not have thought BSNL to be in AT&T's league in terms on comp ratios.
Similarly if you compare ONGC to Big comanies (e.g. Exxon) comps are not so impressive.
Revenue numbers are:
ONGC - ~$10 bn (~$2bn profit)
Exxon - ~$370 bn (~$36bn profit)
[/b]
what if they are not owned by the governmetn and can actually take competitive decisions to challenge other private players and not supposed to pay for stupid schemes started by the governmetn to generate votes for their next elections!
they pay for the price we dont pay on petrol, diesel, kerosene and LPG.
What is surprising here is profit of BSNL as compared to other telecom giants.
E.g. AT&T's profit was $4bn and BSNL's profit is $2 bn.
Normally I would not have thought BSNL to be in AT&T's league in terms on comp ratios.
Similarly if you compare ONGC to Big comanies (e.g. Exxon) comps are not so impressive.
Revenue numbers are:
ONGC - ~$10 bn (~$2bn profit)
Exxon - ~$370 bn (~$36bn profit)
[/b]
what if they are not owned by the governmetn and can actually take competitive decisions to challenge other private players and not supposed to pay for stupid schemes started by the governmetn to generate votes for their next elections!
they pay for the price we dont pay on petrol, diesel, kerosene and LPG.
AT&T is one of the baby bells, broken up from the big Bell telephone company. Who do you think paid for the initial roll out to the country decades ago, mostly subsidised by the govt. Also AT&T does not operate solely in the US, its a multinational. BSNL or VSNL AFAIK is mostly domestic.Oil in the US is one of the few countries apart from the gulf where import tax is not charged. The price at the pumps is a true reflection of what the going price is. They are not being protected atm like we are, but then we did not have the benefit of cheaper prices when it really was cheaper than it is now.
QUOTE(Sushubh @ May 3 2006, 12:33 PM) [snapback]50106[/snapback]
what if they are not owned by the governmetn and can actually take competitive decisions to challenge other private players and not supposed to pay for stupid schemes started by the governmetn to generate votes for their next elections!
they pay for the price we dont pay on petrol, diesel, kerosene and LPG.
[/b]
Compare that with Reliance... its selling Petrol/Diesel at nearly the same price (at least in Mumbai) and it does make a profit, have a look at BSE or NSE data submitted by reliance on petrochemicals.
Even for ONGC, its profit is 20% of revenue ($2bn profit with ~10bn revenue) while Exxon's margin is half of that (~ 10%).
My point is, even with load of subsidies 20% margin is not bad at all.
QUOTE(blr_p @ May 3 2006, 12:56 PM) [snapback]50110[/snapback]
AT&T is one of the baby bells, broken up from the big Bell telephone company. Who do you think paid for the initial roll out to the country decades ago, mostly subsidised by the govt. Also AT&T does not operate solely in the US, its a multinational. BSNL or VSNL AFAIK is mostly domestic.
[/b]
I agree that BSNL and AT&T at not playing at the same level.
My point was, I did not expect profit numbers of these companies to be in the same range and this fact was a welcome surprice.
BTW... these smaller bells are now operating as a single entity again.
Long story short, SBC acquired some of Bell companies, then acquired AT&T itself and change its own name to AT&T.
$101bn At&T as of now, is the biggest telecom company (with Verizon at close second at $96bn), based on yesterday's NYSE data.
what if they are not owned by the governmetn and can actually take competitive decisions to challenge other private players and not supposed to pay for stupid schemes started by the governmetn to generate votes for their next elections!
they pay for the price we dont pay on petrol, diesel, kerosene and LPG.
[/b]
Compare that with Reliance... its selling Petrol/Diesel at nearly the same price (at least in Mumbai) and it does make a profit, have a look at BSE or NSE data submitted by reliance on petrochemicals.
Even for ONGC, its profit is 20% of revenue ($2bn profit with ~10bn revenue) while Exxon's margin is half of that (~ 10%).
My point is, even with load of subsidies 20% margin is not bad at all.
QUOTE(blr_p @ May 3 2006, 12:56 PM) [snapback]50110[/snapback]
AT&T is one of the baby bells, broken up from the big Bell telephone company. Who do you think paid for the initial roll out to the country decades ago, mostly subsidised by the govt. Also AT&T does not operate solely in the US, its a multinational. BSNL or VSNL AFAIK is mostly domestic.
[/b]
I agree that BSNL and AT&T at not playing at the same level.
My point was, I did not expect profit numbers of these companies to be in the same range and this fact was a welcome surprice.
BTW... these smaller bells are now operating as a single entity again.
Long story short, SBC acquired some of Bell companies, then acquired AT&T itself and change its own name to AT&T.
$101bn At&T as of now, is the biggest telecom company (with Verizon at close second at $96bn), based on yesterday's NYSE data.
Actually 10 billion INR is about 220 million USD not 2 billion since 1 USD is about 45 INR. Therefore BSNL makes way less profit than AT&T.Incidentally google has a really nifty currency calculator built into the main engine. You can just type 10 billion INR ,for instance, and you will get the corresponding USD amount.
BSNL's profit is INR 100 bn (INR 10 bn figure is wrong) and that comes to $2 bn.
Calculations:
And that is $ 2.22 bn
Google link to calculation
Calculations:
Code:
BSNL's profit = INR 10,000 crore (as per http://economictimes.indiatimes.com/articleshow/1484507.cms)or INR 10^4 croreThat is 10^11 rupeesCalculations:1 crore = 100 lakhs1 crore = 10^2 lakhs10^4 crore = 10^2*10^4 lakhs = 10^6 lakhs1 lakh = 100 thousand = 100 * 1000 rupees = 10^5 rupees10^4 crore = 10^11INR 10^4 crore = INR 10^11 And ((10^11)/45)/10^9 is actual $bn value of BSNL's profit.Google link to calculation
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