Reliance Communications, the third largest telecom service provider in India, has said that its net profit has risen to Rs 105 crore in the third quarter of the financial year.

The company, which is a unit of the multimillion dollar Reliance group, had reported a consolidated net profit of Rs 102 crore during the previous quarter. The company's consolidated income from operations increased 2 per cent to Rs 5,136 crore during the quarter from October to December on a quarterly basis.

Gurdeep Singh, President & CEO of Wireless Business, Reliance Communications expressed satisfaction at the performance of the company in the third quarter. He also noted that the company reported an increase of 2 per cent in revenues during the third quarter of the current financial year. He expects the net work cost to fall in the coming future.

Mr. Singh said that the company expects to increase tariffs on a continuous basis, about two to three times in the coming year in order to sustain profitability. He pointed out that the increase in tariffs does not necessarily result in a fall in volumes in the country.