Vodafone Idea (Vi) shares fell 5 percent on February 12 after the company reported a net loss of Rs 6,609 crore in the quarter which ended on December 31, 2024. This marked a marginal improvement from the Rs 6,986-crore net loss reported in the corresponding quarter of the previous financial year.
The telecom company announced its results for the third quarter of the financial year 2025 on February 11. Its revenue from operations rose 4 percent to Rs 11,117 crore in Q3FY25 as against Rs 10,673 crore in Q3FY24.
Vodafone Idea's average revenue per user (ARPU) meanwhile rose 4.7 percent quarter-on-quarter to Rs 173 during the reported quarter. It had earlier reported ARPU at Rs 166 in Q2 of FY25. This was driven by tariff hikes and customers upgrading to higher plans. However, Vi's ARPU was lower than its peers Jio (Rs 203.3) and Airtel (Rs 245).
The teleco's EBITDA improved to Rs 4,712.4 crore in Q3 FY25, up from Rs 4,549.8 crore in the previous quarter (Q2).
"We are driving investments and the velocity of capex deployment is set to accelerate in the coming quarters. Concurrently, the phased rollout of 5G services is underway, targeting key geographies. We are pleased to report highest quarterly cash EBITDA since merger of Rs 2,450 crore, registering a YoY growth of 15%. With our intensifying investments, we anticipate further improvement in both operational and financial performance," Akshaya Moondra, CEO, Vodafone Idea Limited, said in a statement.
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The company said its total debt from banks as on December 31, 2024 stood at Rs 2,330 crore. "Vodafone Idea has 199.8 million subscribers as of December 31, 2024 of which approximately 63 percent are 4G/5G subscribers," it added.
The company had announced its results in the post-market hours of February 11. The shares of the company fell nearly 5 percent in early morning trade on February 12 to trade at Rs 8.38 apiece. The stock is currently down over 56 percent from its 52-week-high level of Rs 19.15 apiece. It is currently hovering near its 52-week-low record of Rs 6.60 apiece.
Brokerage CLSA maintained its 'Underperform' rating on the stock with a target price of Rs 6 apiece, implying a downside potential of nearly 28 percent from the current level.
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