Has Vodafone Idea's Net Loss Expanded to Rs 6,608 Crore in Q1?
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Synopsis
Vodafone Idea has reported a significant net loss in Q1 FY26, despite a rise in operational revenue. With strategic investments in 4G and the rollout of 5G services, the company is aiming for a turnaround in subscriber losses.
Key Takeaways
- Net loss of Rs 6,608 crore in Q1 FY26.
- 5 percent revenue growth to Rs 11,023 crore.
- ARPU increased to Rs 177, a 15 percent YoY rise.
- EBITDA reached Rs 4,612 crore, up 10 percent.
- 5G services launched in 22 cities.
Mumbai, Aug 14 (NationPress) Vodafone Idea has seen its losses increase in the June 2025 quarter (Q1 FY26), reporting a net loss of Rs 6,608 crore, up from Rs 6,432 crore in the same quarter last fiscal year (Q1 FY25).
Nonetheless, the telecom operator's revenue from operations grew by 5 percent to Rs 11,023 crore, compared to Rs 10,508 crore in the same quarter a year ago, according to its filing with the stock exchange.
The average revenue per user (ARPU) rose to Rs 177 during this quarter, up from Rs 154 in Q1 FY25, representing a 15 percent year-on-year (YoY) increase.
Its earnings before interest, taxes, depreciation, and amortization (EBITDA) amounted to Rs 4,612 crore, marking a 10 percent rise from Rs 4,205 crore a year prior.
The EBITDA margin saw an improvement, climbing to 41.8 percent from 40 percent during the same quarter last financial year.
Vodafone Idea's CEO, Akshaya Moondra, stated that this quarter signified a critical turnaround for the company.
He highlighted that investments made in the past three quarters to enhance 4G coverage are beginning to deliver results, with subscriber losses reduced by 90 percent compared to Q2 and Q3 of the previous fiscal year, marking the lowest subscriber decline since the merger.
"This has been a decisive turnaround quarter. The investments made over the past three quarters to expand our 4G coverage have started yielding results, as indicated by the 90 percent decrease in subscriber loss compared to Q2 and Q3 of last fiscal year, representing the lowest subscriber decline since the merger,” Moondra remarked.
The company has rolled out 5G services in 22 cities across 13 circles and has plans for further expansion in line with the growing adoption of 5G-enabled smartphones.
Data consumption has reached unprecedented levels, fueled by the popularity of its SuperHero and Non-stop SuperHero plans.
Moondra added that Vodafone Idea continues to invest in capital expenditure and is currently in negotiations with lenders to secure debt funding to support its broader plans of Rs 500–550 billion.
Point of View
It's clear that Vodafone Idea is navigating through turbulent waters. While the widening losses raise concerns, the positive revenue growth and strategic investments in 4G and 5G services reflect a forward-looking approach. It's essential to monitor how these initiatives will shape the company's future in a competitive telecom landscape.
NationPress
19/08/2025
Frequently Asked Questions
What was Vodafone Idea's net loss in Q1 FY26?
Vodafone Idea reported a net loss of Rs 6,608 crore in Q1 FY26.
How much did Vodafone Idea's revenue from operations increase?
The company's revenue from operations rose by 5 percent to Rs 11,023 crore.
What is Vodafone Idea's average revenue per user (ARPU)?
The ARPU increased to Rs 177 during the quarter.
What are the company's plans for 5G services?
Vodafone Idea has launched 5G services in 22 cities and plans to expand further.
What is the company's strategy for reducing subscriber losses?
Investments in 4G coverage have led to a 90 percent decrease in subscriber losses compared to previous quarters.
