Vodafone Idea's AGR At Rs 78,500 Crore; Hopeful Of 'Long-Term' Fix From Govt After SC Relief: CEO
Abhijit Kishore said that VI is also engaged with banks on funds raising called the recent development of the SC as helpful.
Vodafone Idea Ltd.'s Adjusted Gross Revenue (AGR) stood at Rs 78,500 crore, and the company is hoping for a long-term solution from the government, Chief Executive Officer Abhijit Kishore said during a media conference call on Tuesday.
He added that the telecom player has welcomed the Supreme Court's ruling on the same and that the government has been helpful so far.
Kishore said that VI is also engaged with banks on funds raising called the recent development of the SC as helpful.
"We are talking to many banks and NBFCs for funding, with the government, being a 49% holder, looking at a solution which will be best and long term," he said.
Earlier in November, the Supreme Court allowed the government to reconcile all Vodafone Idea dues till fiscal 2016-17, in a key modification to its original decision issued on Oct. 27.
In September, the troubled carrier sought a waiver of penalty and interest on adjusted gross revenue demand of Rs 9,450 crore raised by the Department of Telecommunications, contending that a substantial portion of the demand pertained to the pre-FY17 period already settled by the apex court in 2020.
The company argued that the demand goes beyond the scope of the apex court’s earlier ruling on AGR liabilities, as per reports. Of the total dues, Rs 2,774 crore pertains to the post-merger Vodafone Idea entity, while Rs 5,675 crore relates to liabilities of the pre-merger Vodafone Group.
The government has become the single largest shareholder in Vodafone Idea after acquiring shares worth Rs 36,950 crore in lieu of outstanding spectrum auction dues in March. Earlier, the government had acquired around 33% stake in 2023 in lieu of statutory dues worth over Rs 16,000 crore.
The CEO also discussed coverage issues and future strategy, emphasising their "focus remains on expanding 4G and 5G coverage."
Q2 Earnings Highlights
Vodafone Idea net loss narrowed in the second quarter of the current financial year.
Consolidated net loss stood at Rs 5,524 crore in the July-September period, compared to a loss of Rs 6,608 crore in the preceding quarter, according to results announced on Monday.
Revenue from operations rose 1.6% sequentially to Rs 11,195 crore. The average revenue per user (ARPU), a key income metric, advanced nearly 9% year-on-year to Rs 180, supported primarily by customer upgrades and tariff increases.
