Vodafone Idea Q4 Preview: Losses Mount, Agr Burden Wools Outlook

Copyright © HT Digital Streams Limit all rights reserved. Jatin Grover 4 min Read May 29, 2025, 02:55 AM IST Vodafone idea is expected to report an income of £ 11,030 crore. Summary The telecommunications operator, which will declare the March earnings of March, is expected to report a net loss of £ 7,162.5 crore in the March quarter. New -delhi: Vodafone Idea Ltd will report a loss for another quarter amid the increasing financial pressure and new concerns about its survival due to pending adapted gross income (AGR). The telecommunications operator, which will declare earnings of March on May 30, is expected to report a net loss of £ 7,162.5 crore-an average of six estimates of the brokerage firms-which are much narrower, but consecutive. The loss had £ 6,609 crore and £ 7,675 crore in the previous quarter in the previous year. The turnover is expected to amount to £ 11,030 crore, reflecting an improvement of 4% of the previous year, but slightly dropping from £ 11,117 crore in the previous quarter. Better network, slower subscriber churn A successive widening of losses is expected as a result of higher operating costs by expanding the network footprint. In addition, due to continuous subscriber loss, weaker revenue growth is also expected to weigh the financial statements of Vodafone Idea. Also read: Sword or Damocles hang over the Bank of Vodafone Idea guarantee a poor topline and it is also expected that higher expenses will affect the company’s earnings before interest, tax, depreciation and amortization (EBITDA). “We expect Ebitda to go 5.2% to-quarter/ +3.1% on the year to £ 4,470 on a drop in turnover, and operating costs are likely to rise from the ECCurities expansion in network footprint,” said analysts of ICICI Securities in a April 5 note. Vodafone ideal improved its 4G services and also started rolling out 5g, with Mumbai, Chandigarh and Patna the first circles. On May 15, the company launched 5G in Delhi and said it expanded the goal of the services in all 17 circles by August 2025. Analysts expect the company to spend the guided £ 8,000 crore Capeex in the second half of 2024-25, which implies a sharp increase in Capeex in the March quarter. Although the company has been losing subscribers for some time, analysts said an improvement in the network could delay its subscriber button. Compared to the loss of 5 million subscribers each in the September and December quarters, the company’s subscriber is expected to drop to about 2.5 million in the March quarter, according to the estimates of analysts. This is due to network improvement from November 2024 and an increase in the company’s 4G subscribers. The company is experiencing an edge among the lower-end income users. From December end, Vodafone Idea had 200 million mobile subscribers. “We believe that the vodafone idea is still a few point to show positive net additions. We expect the Q4 ARPU (average revenue per user) to be largely flat quarter,” analysts at Bofa Securities said in a April 7 note. Also read: Two months after the second lifeline, Vodafone idea again arouses survival Fear of the average estimates of six brokerage firms, showing that the ARPU of Vodafone IDEA is expected to increase slightly to £ 164 in the previous quarter. A largely flat ARPU can be attributed to two fewer days during the March quarter, compensating the benefit of the company’s improved subscriber mix. Furthermore, the tariff increase in July 2024 completely advanced through the Company’s ARPU through End Q3FY25, analysts at JM Financial said in a Note of April 4. Agr Specter When the company reports its earnings on Friday, investors will carefully look at their comments on Agr members, any government’s clarity on possible relief, fundraising prospects, the company’s sustainability post 2025-26 and future tariff increases. In a May 27 exchange -Laassing, Vodafone ide said it would also consider and evaluate any suggestions for raising funds in one or more tranches, either through a real issue or a further public offer or a private placement (including preferred allocation or qualified settings) or by any other permissible mode. On April 17, Vodafone Idea submitted a representation to the government and sought a remission of interest, fine and interest on the fine on his AGM spring. The Telco said that the AUR liability question of government from March ends at £ 83,400 crore, with an annual installment of approximately £ 18,000 crore from 31 March 2026 for the next six years. In comparison, Vodafone idea has yielded £ 8,400-9.200 crore cash over the past three years. In a petition of the court, he said that it would not be able to work more than the current financial year without bank financing, which remains elusive, as borrowers remain cautious for its fees linked to AGR. However, the Supreme Court rejected the plea explanation on May 19. Also read: No plan to merge Vodafone Idea and BSNL: Scindia Vodafone IDEA has been trying to increase bank financing of £ 25,000 crore for some time. However, banks want the agricultural material to be resolved before further loans are processed. “The government may have to expand the moratorium or increase its stake in the telco,” analysts at IIFL Capital said in a 20 note. In March, the government presented another postponement to the company by transforming an additional statutory fees of £ 36,950 into equity. The second fees conversion took the government’s interest in Vodafone idea to 49%. 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