NEW DELHI: After reporting the biggest quarterly loss in Indian corporate history in second quarter of 2019-20 (at Rs 50,922 crore), Vodafone Idea said on Thursday its loss in the third quarter stood at Rs 6,439 crore. The telco saw steep competition, high costs and large debt-servicing depressing earnings.
The massive loss in the second quarter was mainly on account of the provisions that the company had made towards the heavy dues that it needs to pay to the government — estimated at over Rs 53,000 crore — following the October 23 Supreme Court order regarding Adjusted Gross Revenues (AGR).
Vodafone Idea said while profitability remains elusive by a large distance, the company managed to grow its revenues in the third quarter by 2.3%. The upward movement came after 14 consecutive quarters of declines. Revenues for the company stood at Rs 11,089 crore.
The company said as it works on improving operational efficiencies and taming costs, it is also taking steps to seek a relief on the AGR order. “We continue to actively engage with the government seeking relief on AGR and other matters. After dismissal of our review petition, we have filed for modification of the supplementary order with the Supreme Court,” Vodafone Idea MD & CEO Ravinder Takkar said.
SC will soon be hearing an appeal where the aggrieved telecom companies — mainly Bharti Airtel and Vodafone Idea — seek a relief in the payment schedule according to which the court had ordered them to pay.
The massive loss in the second quarter was mainly on account of the provisions that the company had made towards the heavy dues that it needs to pay to the government — estimated at over Rs 53,000 crore — following the October 23 Supreme Court order regarding Adjusted Gross Revenues (AGR).
Vodafone Idea said while profitability remains elusive by a large distance, the company managed to grow its revenues in the third quarter by 2.3%. The upward movement came after 14 consecutive quarters of declines. Revenues for the company stood at Rs 11,089 crore.
The company said as it works on improving operational efficiencies and taming costs, it is also taking steps to seek a relief on the AGR order. “We continue to actively engage with the government seeking relief on AGR and other matters. After dismissal of our review petition, we have filed for modification of the supplementary order with the Supreme Court,” Vodafone Idea MD & CEO Ravinder Takkar said.
SC will soon be hearing an appeal where the aggrieved telecom companies — mainly Bharti Airtel and Vodafone Idea — seek a relief in the payment schedule according to which the court had ordered them to pay.
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