Vodafone Idea has narrowed its net loss to Rs 4,540.8 crore for the October-December 2020 quarter, mostly due to one-time achieve of Rs 1,697 crore, which contains gains produced on sale of stake in Indus Towers.
The business had reported a net loss of Rs 7,203.4 crore in the preceding July-September period. The loss for the reported period is also a lot reduce than Bloomberg estimates of a net loss of Rs 5,879.70 crore.
The company’s income stood at Rs 10,894.1 crore for the period, just about a per cent larger than Rs 10,791.2 crore in the preceding quarter.
It was even though reduce than estimates of Rs 10,993.28 crore. The Ebitda enhanced by 3.22% to Rs 4,286.2 crore against Rs 4,152.4 crore in the preceding quarter. It was larger than estimates of Rs 3,948.45 crore. The Ebitda margin also enhanced to 39.3% in the October-December quarter as compared to 38.5% in the preceding quarter.
The business mentioned the launching of unified brand Vi has began to yield outcomes and many subscriber KPIs (important efficiency indicators) have shown improvement. The subscriber churn has come down to 2.3% as compared to 2.6% in the preceding quarter. The total subscribers of the business stood at 269.8 million in Q3 against 271.8 million in Q2, a decline of 2 million. The business had lost 8.1 million subscribers in Q2. The typical income per user (Arpu) enhanced to Rs 121 for the reported period as compared to Rs 119 in the preceding quarter. The Apru even though remains a lot reduce than Bharti Airtel and Reliance Jio. Other operating metrics like information usage was also reduce than competitors. Vodafone Idea’s typical information consumption per user per month stood at 12.2 GB, reduce than 12.9 GB of Jio and 16.7 GB of Airtel.
At the finish of the quarter, the 4G subscriber base stood at 109.7 million (vs 106.1 million in Q2), an improve of 3.6 million in the period. The information volumes grew by 3.4% QoQ, driven by larger 4G additions. Total minutes on the network declined by 1.5% through the period compared to 4% decline in the preceding Q2 period.
“In Q3 FY21, we improved subscriber retention and operating performance…we remained focused on executing our strategy and cost optimization plan remains on track to deliver the targeted savings. The board has approved funds raising to support our strategic intent and we are in active discussions with potential investors,” Ravinder Takkar, MD and CEO of Vodafone Idea mentioned.
The business mentioned on completion of Bharti Infratel and Indus Towers merger, it sold its 11.15% stake for a money consideration of Rs 3,760 crore, out of which it produced a prepayment of Rs 2400 crore to the merged tower entity.
During the quarter, the business added 12,000 4G internet sites mostly by way of refarming of 2G/3G spectrum to expand their 4G capacity. Capex commit for the period stood at Rs 970 crore. The net debt of the business at the finish of December stood at Rs 1.17 lakh crore, comprising of deferred spectrum payment obligations due to the government of Rs 94,200 crore and debt from banks and monetary institutions of Rs 23,170 crore. Cash and money equivalents had been Rs 290 crore at the finish of December.