Vodafone Idea shares climb 4% post earnings announcement
New Delhi:
Shares of telecom operator Vodafone Idea gained 4 per cent in morning trade on Wednesday, a day after the company reported narrowing of its consolidated losses to Rs 6,563.1 crore for the fourth quarter ended March.
The stock jumped 3.31 per cent to Rs 9.03 on the BSE and on the NSE, it went up by 4 per cent to Rs 9.05 apiece.
Vodafone Idea on Tuesday reported narrowing of its consolidated losses to Rs 6,563.1 crore for the fourth quarter ended March, compared to the same period of the previous year, while its realisation per user or ARPU improved sharply on a sequential basis aided by November tariff hikes.
VIL’s losses were at Rs 7,022.8 crore a year ago, as per a company filing.
Its revenue from operations rose 6.6 per cent year-on-year to Rs 10,239.5 crore in Q4 FY22. Seen sequentially, the revenue was up 5.4 per cent supported by tariff hikes effective November 25, 2021, the company said in a statement.
The realisation per user measured in terms of ARPU — a key metric for telcos — rose to Rs 124 for the just-ended quarter from Rs 115 in the prior three-month period.
This translated into a sequential increase of 7.5 per cent in Average Revenue Per User (ARPU), although the company’s subscriber base declined to 243.8 million against 247.2 million in Q3 FY22, primarily due to the tariff hike.
