Debt-laden Vodafone Concept is exploring non-banking avenues to boost funds and maintain its ongoing capital expenditure, outgoing CEO Akshaya Moondra mentioned on August 18. Through the June 2025 quarter earnings name, Moondra mentioned lenders stay hesitant till there may be readability on the adjusted gross income (AGR) problem.
“Given the truth that we’re eager on sustaining a continuity of our capex, which has been occurring since final yr, we’re non-banking sources of funding additionally. Not the complete quantity of Rs 25,000 crore that we now have talked about, however a lesser quantity in order that we will proceed with the capex cycle,” he mentioned on his final day as CEO.
The Vodafone Concept board has accepted the elevation of Chief Working Officer Abhijit Kishore as CEO with impact from August 19, changing Moondra, whose three-year tenure ends on August 18.
Moondra mentioned the corporate continues to have interaction with banks. “I feel what the banks are at the moment on the lookout for is a few readability on the AGR entrance. So that’s the place we’re engaged with the federal government. On condition that the federal government has made the conversion, they’re right now the biggest stakeholder within the firm. Whether or not as an fairness holder or any dues that are owed to any exterior social gathering, we’re fairly assured that there shall be an answer to AGR,” he mentioned.
VIL, wherein the federal government holds a 49 p.c stake, carries a internet debt of over Rs 2 lakh crore and an AGR legal responsibility of round Rs 75,000 crore on the finish of June 2025. The corporate is banking on Division of Telecom assist to resolve the matter earlier than March 2026, when it’s scheduled to start AGR repayments in six equal installments.
Recalling previous reduction measures, Moondra mentioned: “I feel prior to now, we now have at all times seen that the federal government has been supportive. You have a look at 2019, deferment of spectrum installments, 2021 reforms bundle, 2023 conversion of presidency dues to fairness, 2025 once more conversion of dues to fairness. Usually, these actions have occurred nearer to the time when it’s primarily wanted.”
On operations, VIL mentioned capex of Rs 2,440 crore through the quarter helped arrest buyer losses, which fell to five lakh from about 50 lakh within the September and December 2024 quarters. The corporate’s subscriber base stood at 19.77 crore, together with 12.74 crore 4G and 5G customers.
Vodafone Concept has launched 5G providers in 22 cities, together with Mumbai, Delhi, Bengaluru, Mysuru, Surat and Ahmedabad, and plans to increase protection throughout its 17 precedence circles by September.
Regardless of community enhancements, VIL’s consolidated loss widened to Rs 6,608 crore within the June quarter, in contrast with Rs 6,426.7 crore a yr in the past, on account of larger finance prices and authorities levies. Finance prices rose 7 p.c year-on-year to Rs 5,892.8 crore, whereas licence and spectrum costs elevated 6 per cent to Rs 947 crore.
Income from operations grew 5 p.c year-on-year to Rs 11,022.5 crore, pushed by a 15 p.c soar in common income per person (ARPU) to Rs 177 from Rs 154 in June 2024.
(With inputs from PTI)
