According to Business Standard report, Birla’s appointment on the board signals the group’s commitment to the company as it continues its efforts to find an investor. The company which is yet to clear vendor dues has also been in talks with banks for raising fresh capital. Raising funds is crucial for the company to make fresh network investments and arrest subscriber loss. The company also continues to bleed and in Q3FY23 posted a net loss of Rs 7,990 crore. CLICK HERE FOR FULL REPORT
At 10:09 AM; Vi quoted 8 per cent higher at Rs 6.55, as compared to 0.01 per cent decline in the S&P BSE Sensex. The average trading volumes at the counter jumped 1.5 times, with a combined 180 million equity shares changing hands on the NSE and BSE. The stock hit a 52-week low of Rs 5.70 on March 31, 2023. It has corrected 44 per cent from its 52-week high of Rs 10.23, touched on May 31, 2022.
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Meanwhile, analyst at ICICI Securities builds in monthly average revenue per user (ARPU) growth of ~1 per cent quarter-on-quarter (QoQ) at Rs 136. The brokerage firm expects churn for Vodafone Idea to remain elevated, with ~4 million customer exits likely in January-March quarter (Q4).
“We expect overall revenues to be down 1 per cent QoQ at Rs 10,519 crore. EBITDA at Rs 4,072 crore is expected to be down 2.6 per cent QoQ owing to negative operating leverage. Reported margins are expected at 38.7 per cent, down 70 bps QoQ. The company is expected to post a net loss of Rs 7,960 crore,” the brokerage firm said in its result preview. The fund raise, 5G launch plan, capex commentary and ARPU trajectory ahead are keys to monitorable.
First Published: Apr 21 2023 | 10:39 AM IST