Info-tech

Vodafone Idea narrows net loss to Rs 7,218 cr in Q2

Our Bureau Mumbai | Updated on October 29, 2020 Published on October 29, 2020

Recorded its largest-ever quarterly net loss of Rs 50,921 crore in the same period a year ago

Vodafone Idea Ltd (VIL) posted a consolidated net loss of Rs 7,218 crore in the second quarter ended September 30, compared with its largest-ever quarterly net loss of Rs 50,921.9 crore recorded during the same period a year ago.

The telecom operator had posted a net loss of Rs 25,460 crore in the sequential first quarter ended June. Its Average Revenue Per User (ARPU), a key financial metric for a telecom company, rose to Rs. 119 in the reporting quarter from Rs 114 recorded in the first quarter of FY21, VIL said in a statement.

“As we reach the end of our integration journey, we have become the fastest and most consistent 4G network of India, as validated by Ookla, a testimony to our superior and improved 4G GIGAnet network covering 1 billion Indians. We have launched our new unified brand ‘Vi’, built on the legacy of two of the most loved brands of the country, and are all set to regain customer mind share,” VIL Managing Director and Chief Executive Officer, Ravinder Takkar, said.

“While we continue to face Covid-19 induced challenges, Q2FY21 showed signs of recovery with a gradual improvement in economic activities. We are executing on our strategy and our cost optimization exercise has already started to yield incremental savings. We have also initiated a fund raising exercise to support our strategic intent. Further, we continue to interact with the government seeking long-term solutions to the critical challenges which the industry faces,” he added.

The company’s user base declined to 271.8 million in Q2 from 279.8 million in Q1. However, the gross additions improved with the gradual reopening of retail stores.

The subscriber churn increased to 2.6 per cent (versus 2 per cent in Q1), as the market activity increased during the quarter with lifting of restrictions.

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Published on October 29, 2020
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