Vodafone Idea Falls After December Quarter Earnings

Shares of Vodafone Idea fell almost 5 per cent to hit an intraday low of Rs 11.92 on the BSE after it reported December quarter earnings. Vodafone Idea on Saturday mentioned that its web loss narrowed to Rs 4,532 crore from lack of Rs 6,438.8 crore throughout the identical quarter final 12 months. Its income from operations declined almost 2 per cent to Rs 10,894 crore in contrast with Rs 11,089 crore within the 12 months in the past interval. On a sequential foundation, Vodafone Idea’s income rose 1 per cent. (Track Vodafone Idea share price here)

Vodafone Idea’s working revenue or earnings earlier than curiosity, taxes, depreciation and amortization (EBITDA) for the quarter got here in at Rs 4,290 crore whereas EBITDA margin improved to 39.3 per cent versus 38.5 per cent within the earlier quarter. “EBITDA improvement was driven by higher revenue as well as incremental opex savings from our cost optimization initiatives,” Vodafone Idea mentioned in an announcement.

Vodafone Idea’s common income per consumer, a key metric of how a lot a telecom firm earns from a subscriber got here in at Rs 121 per thirty days in December quarter in contrast with Rs 119 within the earlier quarter.

“In Q3FY21, we improved subscriber retention and operating performance, supported by Vi GIGAnet, which remains the fastest 4G network in India, as per Ookla as well the network with highest rated voice quality as per TRAI – a testimony to our superior network. We remain focused on executing our strategy, and our cost optimization plan remains on track to deliver the targeted savings. The Board has approved funds raising to support our strategic intent and we are in active discussions with potential investors,” Ravinder Takkar, MD & CEO, Vodafone Idea Limited, mentioned.

As of two:40 pm, Vodafone Idea shares traded 4.15 per cent decrease at Rs 12.02, underperforming the Sensex which was up 1 per cent.