Vodafone Idea (Vi) loss widened 59.5 per cent to Rs 7230 crore in Q3FY22 on a year on year basis amid fall in revenue and subscribers. In the same period last year the company had posted a loss of Rs 4,532 crore.
Gross revenue decreased 10.8 per cent to Rs 9,717 crore in the third quarter of FY22, while earning before interest tax and depreciation and amortisation (EBITDA) slipped by the same margin to Rs 3,816 crore.
The company’s third quarter result last year had benefited from exceptional income of Rs 1,686 crore which included gains from sale of stake in Indus.
On a sequential basis however the company fared better registering 3.3 per cent increase in revenue. The increase was largely due to tariff hikes taken by mobile service providers in November. Average revenue per user (ARPU) for the quarter rose 5.2 per cent to Rs 115 on a sequential basis. The company however lost 5.8 million customers during this period.
“While the overall subscriber base has declined as a result of the tariff interventions, the 4G subscriber base remained resilient on the back of superior data and voice experience offered by Vi GIGAnet. We remain focused on executing our strategy to improve our competitive position and win in the marketplace,” the company’s managing director Ravinder Takkar said in a statement.
The company’s 4G subscriber base rose sequentially to 117 million from 116.2 million in the second quarter.
The company also said it has achieved 90 per cent of its targeted savings in operating expenses on a run rate basis in Q3FY22 against Rs 4,000 crore annualized saving target.
As of December end the company’s total gross debt (excluding lease liabilities and including interest accrued but not due) stood at Rs 1.98 trillion. This comprised deferred spectrum obligations, adjusted gross revenue liability and bank loans.
Dear Reader,
Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.
We, however, have a request.
As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.
Support quality journalism and subscribe to Business Standard.
Digital Editor
RECOMMENDED FOR YOU