Vodafone Idea shares trade in the red ahead of Q2 earnings; what to expect?

In a positive development for the battered telco, the Supreme Court, in early November 2025, said in its statement that the Centre can reconsider and reconcile the telecom company's pending dues of all adjusted gross revenue, and it will not be restricted to AGR dues for the financial year 2016-17.

On October 27, the bench had said that the "prayer in the petition itself restricts its claim only to the additional AGR demand raised by the respondent for the period up to the Financial Year 2016-17.”

On Monday, a bench comprising Chief Justice B R Gavai and Justice K Vinod Chandran was urged by the counsel for the telecom firm that it wanted a correction in the October 27 order.

“There's an error in Para 6 where the order said we only asked for relief against additional AGR dues. We had made a composite prayer against additional AGR and the reassessment of all AGR dues,” the lawyer said.

The top court clarified that the telecom firm had asked for relief on both additional adjusted gross revenue (AGR) dues and on the reassessment of all similar dues.

Additional AGR dues of the telecom firm are to the tune of ₹9,450 crore, and total AGR demand is over ₹83,500 crore as of March 2025.

The clarification of the earlier order now paves the way for the Centre to grant relief to the telecom firm against all AGR dues.

Earlier, the top court allowed the Centre to reconsider and reconcile the telecom company's pending adjusted gross revenue dues amounting to ₹5,606 crore for 2016-17.

Adjusted gross revenue (AGR) is the income figure used to calculate the licence fees and spectrum charges that telecom companies must pay to the government.

What to expect

The company's management commentary on the road ahead will be keenly watched by the market participants.

In Q1 FY26, the debt-ridden company reported a widening of its consolidated loss to ₹6,608 crore, mainly on account of an increase in finance cost.

The company had posted a loss of ₹6,426.7 crore in the same period a year ago, according to an exchange filing.

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 an increase in average revenue per user (ARPU).

The company's ARPU during the reported quarter increased by 15% on a year-over-year basis to ₹177 from ₹154 in the June 2024 quarter.

As of June 30, 2025, VIL's outstanding debt from banks (including interest accrued but not due) was ₹1,944.5 crore and deferred payment obligation (including interest accrued but not due) towards spectrum and adjusted gross revenue aggregates to ₹1,99,140.3 crore, the filing said.