Vodafone Idea: Struggle for survival is on
We believe there is no investment argument for Vodafone Idea that we can put forward unless we see the company progressing towards raising capital
July 05, 2021 / 08:51 AM IST
PRO Only Highlights
Quarterly performance largely backed by improved realisations
Medium-term triggers China plus and protectionist measures for tyre industry
Valuations not inexpensive; but improved medium-term outlook
The struggle for Vodafone Idea Ltd (VIL) (CMP: Rs 8.8; Mcap: Rs 25,287 crore) continues as the subscriber base and the ARPU (Average Revenue Per User) decline, while the balance sheet remains saddled with mammoth debt.
The operating performance of VIL is in complete contrast to its competitors who have taken advantage of the structural shift within the industry following the pandemic that gave birth to the work-from-home culture and increased data consumption. The chart below depicts how badly...