Vodafone Idea Q1 results impact on share price: Stock tumbles over 6% - what should investors do?
The telecom companys consolidated loss marginally narrowed to Rs 7,296.7 crore in the June quarter of FY23 as compared to a loss of Rs 7,319.1 crore in the year-ago period.
Vodafone Idea Q1 results, Voda Idea share price: The cash-strapped telecom company Vodafone Idea shares slumped over 6 per cent to Rs 8.55 per share on the BSE intraday during Thursday’s trading session, a day after the company reported poor first quarter earnings in the financial year 2022-23 (Q1FY23).
The telecom companyconsolidated loss marginally narrowed to Rs 7,296.7 crore in the June quarter of FY23 as compared to loss of Rs 7,319.1 crore in the year-ago period. Its revenue from operations stood at Rs 10,410 crore in June quarter of FY23, improving nearly 14 per cent year-on-year (YoY).
While VI’s Average Revenue Per User or ARPU - a key monitorable for telcom players - stood at Rs 128 per subscriber for the quarter compared to Rs 104 in Q1FY22. This represented an improvement of 23.4 per cent year on year, helped by tariff hikes.
Vodafone Idea CEO Ravinder Takkar, who will take over as Chairman effective August 19 said: "We continue to witness 4G subscriber growth on the back of superior data and voice experience...As well as due to our focus on creating differentiated digital experience for our customers."
He assured that the company, in the recently concluded spectrum auction, has acquired sufficient spectrum in key markets to offer superior 5G experience to customers. The company had acquired spectrum worth Rs 18,799 crore in the just-concluded auction.
"The total gross debt (excluding lease liabilities and including interest accrued but not due) as of June 30, 2022, stands at Rs 1,990.8 billion, comprising of deferred spectrum payment obligations of Rs 1,166 billion and AGR liability of Rs 672.7 billion that are due to the Government, and debt from banks and financial institutions of Rs 152.0 billion," the company said in statement.
At around 01:28 PM, the shares of Vodafone Idea slipped over 4 per cent to Rs 8.74 per share on the BSE as against 0.33 per cent fall in the BSE Sensex at the same time. In the last one year, the counter has surged around 45 per cent as against over 6 per cent gain in the benchmark index.
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