Home Buisness news Vodafone Idea’s Loss Widens To Rs 25,460 Crore In June Quarter

Vodafone Idea’s Loss Widens To Rs 25,460 Crore In June Quarter

blank


Vodafone Idea’s operations had been adversely affected by the coronavirus pandemic

Vodafone Idea on Thursday reported its internet loss widened to Rs 25,460 crore within the quarter ended June 30, from Rs 4,874 crore within the corresponding interval a 12 months in the past. In a regulatory submitting after market hours, the telecom main mentioned its income from operations declined Eight per cent to Rs 10,659.30 crore. Vodafone Idea mentioned that throughout the quarter, it made a fee of Rs 6,854.40 crore in three instalments to the federal government’s Department of Telecommunications (DoT) in direction of adjusted gross income (AGR)-related dues.

The firm additionally recognised a further cost of Rs 19,440.50 crore as distinctive merchandise in direction of the overall estimated legal responsibility based mostly on the telecom division’s demand of Rs 58,254 crore. Consequently, the corporate mentioned, its internet price turned detrimental throughout the quarter (-Rs 19,491.80 crore), Vodafone Idea mentioned.

Vodafone Idea’s operations had been additionally adversely affected by the coronavirus pandemic.

“The outbreak of coronavirus pandemic globally and in India is causing significant disturbance and a slowdown of economic activities,” Vodafone Idea mentioned in an announcement.

“Subscriber churn reduced to an all-time low of 2.0 per cent (3.3 per cent in Q4FY20), as net disconnections were lower during the quarter. However, the gross additions were severely impacted by closure of retail stores during the nationwide lockdown resulting in subscriber base decline to 279.8 million in Q1FY21 from 291.1 million in Q4FY20,” the telecom firm mentioned.

Vodafone Idea’s common income per consumer (ARPU) monthly – a key measure of profitability for a telecom firm – got here all the way down to Rs 114 monthly within the quarter ended June 30, from Rs 121 monthly within the year-ago interval.

Gross debt (excluding lease liabilities) as of June 30, 2020 was Rs 1,18,940 crore, together with deferred spectrum fee obligations of Rs 92,270 crore as a result of authorities.

Cash and money equivalents had been at Rs 3,450 crore, whereas internet debt stood at Rs 1,15,500 crore, mentioned the nation’s third largest wi-fi operator.

Vodafone Idea shares ended 0.72 per cent larger at Rs 8.25 apiece on the BSE forward of the earnings announcement, underperforming the benchmark S&P BSE Sensex index which rose almost 1 per cent.

LEAVE A REPLY

Please enter your comment!
Please enter your name here