Evaluation of BSNL’s Financial Performance During the Years 2018–2021

Abstract

Since India is the second-biggest telecommunications market in the world, the telecom industry is vital to the country’s economy. BSNL, the biggest telecom provider in India, is a government-owned public sector organization that has been struggling mightily over the last several years. As a result, in 2019, the government unveiled the extensive revival package for BSNL in an effort to preserve the company from its severe financial situation. To assess the impact of the revival package on BSNL’s bottom line, this research will examine the company’s financial statements from 2018 through 2021. You can learn a lot about a company’s operational efficiency and financial health by looking at its financial statements (income statement and balance sheet). These statements are summaries of more detailed financial reports that provide the operating results and financial position of companies. Experts in the financial
sector have created a variety of methods (tools) for doing the necessary analysis and interpretation of such data. Using the comparative tool, we compared BSNL’s financial performance before and after the implementation of the revival package, and we concluded that while BSNL’s expenses have decreased by nearly half, its revenue is still exhibiting a downward trend; this is primarily attributable to the incomplete rollout of the revival package, as 4G service is still not available on a nationwide scale in India. After a lengthy period of substantial failure, it was determined that the revival package supplied by the Government of India to BSNL had favorable outcomes, and that those results would increase if the other schemes of the revival package were also executed at the earliest possible date.