Vodafone Idea Q3 loss widens to Rs 7,990 crore

Image (Source: Reuters

Debt-ridden telecom operator Vodafone Idea on Tuesday reported a widening of its consolidated loss to Rs 7,990 crore for the third quarter ended December 31, 2022.

The company had registered a loss of Rs 7,234.1 crore in the same period a year ago.

The consolidated revenue from operations of Vodafone Idea (VIL), however, increased by 9.29 percent to Rs 10,620.6 crore from Rs 9,717.3 crore in the December 2021 quarter.

The government during the quarter converted Rs 16,133 crore interest related to the deferment of spectrum auction installments and AGR dues into equity, and now holds around 33 percent stake in the company.

VIL's average revenue per user, a key performance indicator of telecom operators, improved by 17.4 percent on a year-over-year basis to Rs 135 during the December 2022 quarter, aided by tariff hikes and migration of subscribers to unlimited tariff plans.

The overall subscriber base of the company declined to 22.86 crore during the reported quarter from 23.44 crore in the September 2022 quarter.

The total gross debt (excluding lease liabilities and including interest accrued but not due) as of December 31, 2022, stood at Rs 2.22 lakh crore, comprising deferred spectrum payment obligations of Rs 1.39 lakh crore and adjusted gross revenue liability of Rs 69,910 crore that are due to the government, the company said.

The debt from banks and financial institutions stood at Rs 13,190 crore.

The company also announced the appointment of its Executive Vice-President for Financial Controller and Taxation Head, Murthy GVAS as the Interim Chief Financial Officer and Key Managerial Personnel of the company, with effect from February 15, 2023.