Debt-ridden telco Vodafone Idea on Friday (May 30) reported a narrowing of losses for the March quarter to Rs 7,166.1 crore, and its board greenlit fundraising of up to ₹20,000 crore subject to shareholders’ approval and statutory nods.The troubled telco said that the recent dismissal of its plea on AGR dues relief by the Supreme Court does not preclude it from further engaging with the government based on its foreseeable cash flows to arrive at an appropriate solution on this issue.The revenue for the fourth quarter (Q4FY25) rose 3.8 per cent year-on-year to ₹11,013.5 crore. The Q4 losses narrowed to ₹7,166.1 crore for the just-ended quarter, from ₹7,674.6 crore a year ago.
Also Read: Vodafone Idea: What next for the struggling telecom operator?The average revenue per user (ARPU) — a key monitorable for telecom companies — stood at ₹175 for the quarter against Rs 153 in Q4FY24, the year-on-year growth of 14.2 per cent was driven by tariff hike and customer upgrades, the company said in its earnings release.”The group has incurred a loss of Rs 273,834 million for the year ended March 31, 2025, and net worth stands at negative Rs 703,202 million (Rs 70,320.2 crore) at that date,” Vodafone Idea Limited (VIL) said in the footnotes to the consolidated financial statement.As of March 2025, the group’s outstanding debt from banks (including interest accrued but not due) is Rs 2345.1 crore and deferred payment obligation towards Spectrum, which is payable over the years till FY 2044 and towards AGR which is payable over the years till FY 2031, adds up to ₹1,94,910.6 crore.The company has been in the news recently after it warned that it may not be able to continue beyond the current financial year due to a lack of government support.Also Read: Vodafone Idea seeks relief on AGR dues worth ₹30,000 crore; stock jumps to day’s highLast week, the Supreme Court had dismissed a plea filed by the telecom companies seeking relief on the interest, penalty and interest on penalty on pending Adjusted Gross Revenue (AGR) dues.For the December quarter, Vodafone Idea had reported a net loss of ₹6,609 crore, which was narrower than the loss of ₹7,175 crore that it had reported in the September quarter.The tariff hikes taken by the company in 2024 reflected in the growth in its Average Revenue Per User (ARPU), which increased to ₹173 from ₹166 in the September quarter. That will be another key metric to watch out for this evening.”The group’s ability to settle the above liabilities is dependent on further support from the DoT on the AGR matter, fund raise through equity and debt and generation of cash flow from operations. Based on current efforts. the Group believes that it would be able to get DoT support, successfully arrange funding and generate cash flow from operations,” it said.Accordingly, the consolidated financial results have been prepared on a going-concern basis, VIL said.
