Indus doubtful debt provision up 43% on qtr to Rs 1770.9 cr; agrees to softer payment terms with Vodafone Idea

New Delhi: Indus Towers Thursday said it had made a provision of Rs 1770.9 crore towards ‘doubtful’ debt in the fiscal second quarter, a sharp 43% rise on-quarter, as the telecom infrastructure provider has yet to receive payment from a key customer, which is understood to be cash-strapped Vodafone Idea. Indus added that it has agreed to the customer’s proposal for softer payment terms.

In its earnings statement for the July-September quarter, Indus also warned that the potential loss of that “significant customer” if it fails to continue as a going concern or Indus’s failure to get new clients could have an adverse effect on the tower company’s business, results of operations and financial conditions.