Vodafone Idea disappoints markets with lower than expected ARPU, Capex, shares fall

Shares of Vodafone Idea (Vi) was trading at at Rs 12.32 , lower by 1.75% on Monday morning as markets were disappointed with the continued subscriber loss, below expectation average revenue per user (ARPU), capex constraints that the telco posted in its third quarterly results.

“…overall Vi continues to be in a vicious circle of inadequate network investment, market share losses, and inability to invest in network driving further losses until a successful capital raise,” said JP Morgan in its report .

The third largest telco’s capex spending was Rs. 970 crore in the December end quarter, compared to Rs. 1040 crore when compared sequentially.