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  1. Vodafone Idea shares tumble 10% after surging over 13% in 5 sessions; here is why

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Vodafone Idea shares tumble 10% after surging over 13% in 5 sessions; here is why

Upstox

3 min read | Updated on August 26, 2025, 10:10 IST

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SUMMARY

Vodafone Idea share price: The stock of the telecom operator was on a rising spree in the past few sessions amid news reports that the Prime Minister's Office (PMO) was planning to take a call on a relief proposal for the telecom major.

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Vodafone Idea shares

Vodafone Idea reported widening of its consolidated loss to ₹6,608 crore in the first quarter ended June 30, 2025 (Q1 FY26). | Image: Shutterstock

Vodafone Idea share price: Shares of debt-laden telecommunications company Vodafone Idea (Vi) slipped as much as 9.86% to ₹6.67 apiece on the NSE, as Minister of State for Communications Chandra S Pemmasani has ruled out any further relief to the debt-laden telecom operator.

The stock of the telecom operator was on a rising spree in the past few sessions amid news reports that the Prime Minister's Office (PMO) was planning to take a call on a relief proposal for the telecom major.

Data show that the scrip has rallied 13.50% in the past five sessions (as of Monday, August 25 closing on the NSE).

Citing people familiar with the matter, Livemint had reported that the PMO received an informal note from the Department of Telecommunications (DoT) proposing some relief options for the debt-ridden telecom company (Vi). One of the options is an additional two-year pause on paying the statutory dues under moratorium at present, the report said.

The DoT has proposed to give the telecom major extra time to pay its dues, along with smaller annual payouts and a waiver on penalties and interest penalties on AGR payment, the report noted.

However, the report is not true.

Vodafone Idea Q1 FY26 Results

Debt-ridden Vodafone Idea reported widening of its consolidated loss to ₹6,608 crore in the first quarter ended June 30, 2025 (Q1 FY26), mainly on account of an increase in finance cost and government levies.

The Vodafone Idea (VIL) board approved the elevation of Chief Operating Officer Abhijit Kishore to the position of Chief Executive Officer with effect from August 19. He replaces Akshaya Moondra, whose three-year tenure ends on August 18.

VIL's finance cost increased by about 7%, or ₹374 crore, on a year-over-year (YoY) basis to ₹5,892.8 crore from ₹5,518.6 crore logged in the year-ago period, which added to the loss of Rs 6,426.7 crore it posted in the June 2024 quarter, according to a company filing.

The licence fees and spectrum usage charges payable to the government increased by about 6% to around ₹947 crore during the reported quarter from around ₹892 crore a year ago.

Revenue from operations of Vodafone Idea (VIL) increased by about 5% to ₹11,022.5 crore during the quarter under review from ₹10,508.3 crore in the year-ago period, mainly on account of a 15% increase in average revenue per user (ARPU) to ₹177 in the reported quarter from ₹154 in the June 2024 quarter.

VIL said that during the reported quarter, improvement in the network with capex of ₹2,440 crore enabled it to arrest the decline of customers by 90% to 5 lakh compared to the decline of around 50 lakh it registered in the September 2024 and December 2024 quarters.

(With inputs from PTI)
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