Vodafone Idea Q2 loss widens on higher expenses, subscriber loss

Debt-laden telecom operator Vodafone Idea Ltd reported a wider-than-expected loss for the second quarter on Thursday, hit by a continued decline in subscribers and higher expenses.

The consolidated loss after tax widened to 75.96 billion Indian rupees ($916.14 million) for the three months ended Sept. 30, from 71.32 billion rupees, a year ago. Analysts, on average, expected the company to incur a loss of 69.25 billion rupees.

Vodafone Idea said its subscriber base declined to 234.4 million from 240.4 million in the first quarter, while total expenses rose 10% to 183.02 billion rupees.

However, its average revenue per user (ARPU), a key performance indicator for telecom firms, saw a rise of 19.5% to 131 rupees helped by tariff hikes. In the previous quarter, ARPU stood at 128 rupees.