Vodafone Idea's shares up 8% today: Here we decode why
What's the story
Vodafone Idea's shares surged by around 8% today, following the company's June quarter performance results. The stock was trading at ₹6.62, up 7.7% from its previous close on the National Stock Exchange (NSE). The rise in share price comes despite a challenging year for the company, which has seen its stock price drop by nearly 60%.
Financial results
Net loss widens to ₹6,608cr
Vodafone Idea released its Q1 FY26 results on August 14, posting a net loss of ₹6,608 crore. This is wider than the ₹6,432 crore loss reported last year but better than the ₹7,166 crore loss in the previous quarter. The company's revenue from operations stood at ₹11,022 crore, up 5% year-on-year but flat sequentially.
ARPU growth
ARPU improves to ₹177
Vodafone Idea's average revenue per user (ARPU), a key operating metric, improved to ₹177. This was higher than the analyst estimate of ₹167 and was driven by subscriber upgrades and an improved customer mix. Motilal Oswal Financial Services noted that the losses were narrower than its estimate of ₹7,500 crore due to lower interest costs, while revenue trends were broadly in line with expectations.
Subscriber retention
Subscriber base declines by just 0.5M
In a positive development, Vodafone Idea's subscriber base slipped by just 0.5 million to 197.7 million in Q1 FY26. This is a sharp improvement from the 1.6 million decline seen in the previous quarter, and better than Motilal Oswal's forecast of a 1.2 million drop.