Vodafone Idea Shares Decline Over 3% Ahead Of Q1 Results

Vodafone Idea Ltd., shares were trading in the red ahead of the telecom posting its first quarter results today. The company is likely to post a net loss of Rs 6,853.30 crore and revenue of Rs 11,152.50 crore for the quarter ended June, according to a survey of analysts' estimates done by Bloomberg.

Its earnings before interest, taxes, depreciation and amortisation is seen at Rs 4,655.30 crore, and margin is expected at 41.74%. In the fourth quarter, the telecom firm reported a net loss of Rs 7,166 crore, compared to Rs 6,609 crore.

The consolidated revenue for the quarter fell 1% to Rs 11,013 crore, compared to Rs 11,117 crore in the previous quarter. Ebitda also saw a slight decrease of 1.1%, settling at Rs 4,660 crore versus Rs 4,712 crore in the prior quarter. While the Ebitda margin remained relatively stable at 42.3%.

Vodafone Idea stock fell as much as 3.14% so far to Rs 6.16 apiece on the NSE. It was trading 2.99% lower at Rs 6.17 apiece, compared to the benchmark Nifty 50 trading flat as of 10:05 a.m. The stock has risen 60.86% in the last 12 months and declined 22.29% on a year-to-date basis.

The relative strength index was at 43.89. Four out of the 21 analysts tracking the company have a 'buy' rating on the stock, six recommend a 'hold' and 11 suggest a 'sell', according to Bloomberg data. The 12-month analysts' consensus target price on the stock is Rs 7.37, implying a upside of 17.2%.