New Delhi, Feb. 16 -- State-run telecom operator Bharat Sanchar Nigam Ltd (BSNL) has kicked off a performance reset after a recent review flagged widespread losses across regions, straining finances. In the October-December period, the telecom operator reported a Rs.1,302 crore loss compared to a Rs.264 crore net profit in the year-ago period.

The profit reported by BSNL in the December quarter of last financial year - its first in 17 years - followed accounting changes, including a revised depreciation method and moving some employee costs to assets as capital work in progress, which significantly lowered reported expenses. The benefit of those adjustments carried into the following quarter as well, but has since faded, with the company...