Mahanagar Telephone Nigam Limited (MTNL) is by far the least significant telco in the country at the moment. Even the government doesn't have a lot of hope for this state-run telco. The focus of the centre is only on BSNL (Bharat Sanchar Nigam Limited), which is expected to launch homegrown 4G services soon. BSNL is expected to roll out 4G in the next 18 to 24 months throughout India. The auditors of MTNL's financial reports believe that the net worth of the company has completely eroded. In fact, as per a PTI report, the Department of Public Enterprise has declared MTNL as an incipient sick Central Public Sector Enterprise, and the Department of Telecommunications (DoT) confirmed the same.
MTNL Loss Narrows in June 2022 Quarter
MTNL's loss has narrowed in the June 2022 quarter. From a 688.69 crore loss in the same quarter the previous year, the loss has narrowed to Rs 653 crore. However, the revenue from operations also fell by 17% to Rs 250.72 crore. During the same quarter in the previous year, the revenue from operations for MTNL was Rs 301.15 crore.
Ashwini Vaishnaw, in a statement he gave recently, had said that MTNL has no future. It is a strong statement and most seals the fate of the company as the words are coming from the telecom minister.
Vaishnaw had also asked the BSNL employees to let go of the "Sarkari Attitude" and work hard to improve the situation of BSNL. The minister had made it clear that people who don't work will be forced into early retirement. The government is quite serious about the future prospects of BSNL and doesn't want to let the Rs 1.64 lakh crore revival package go to waste. BSNL has been asked by the minister to focus on solving customer problems fast and also try to reach the 200 million customer figure as soon as possible.