Vodafone Idea's Q2 FY 2025-26 Quarterly Results

Result Summary

• Vodafone Idea Ltd reported a 1.2% quarter-on-quarter (QoQ) increase in its consolidated revenues for the quarter-ended Sep (Q2 FY 2025-26). On a year-on-year (YoY) basis, it witnessed a growth of 0.6%.
• Its expenses for the quarter were down by 5.1% QoQ and 8.4% YoY.
• The net profit decreased 16.4% QoQ and decreased 23.0% YoY.
• The earnings per share (EPS) of Vodafone Idea Ltd declined at 0.51 during Q2 FY 2025-26.

Financial Statments for Q2 FY 2025-26

Data Source: BSE, Company announcements The securities quoted are exemplary and are not recommendatory. Past performance is not indicative of future results

Company Overview

Vodafone Idea Ltd is a prominent telecommunications company in India resulting from the merger of Vodafone India and Idea Cellular. The company provides a range of services including mobile voice and data services, wireless broadband, and fixed-line services. Vodafone Idea operates in a highly competitive telecom industry that has been undergoing substantial regulatory changes and technological advancements. The company is focused on expanding its 4G network coverage and improving service quality to retain and grow its customer base. Major developments in the industry, such as the rollout of 5G technology and government policies related to spectrum allocation, are significant factors influencing the company's strategic decisions.

Revenue

During the second quarter of fiscal year 2026, Vodafone Idea Ltd reported a total income of ₹11,296.60 crores. This marks a quarter-over-quarter (QoQ) increase of 1.2% from the first quarter of fiscal year 2026, where the total income was ₹11,164.20 crores. When compared year-over-year (YoY) with the second quarter of fiscal year 2025, which recorded a total income of ₹11,232.20 crores, there is a marginal growth of 0.6%. These figures reflect the company's efforts to stabilize its revenue streams amidst a competitive market environment.

Profitability

Vodafone Idea Ltd's profitability metrics indicate continued financial challenges. For Q2FY26, the company reported a profit before tax (PBT) of -₹5,527.30 crores, showing a QoQ improvement of 16.4% from -₹6,611.10 crores in Q1FY26. Year-over-year, this represents a 22.9% improvement from -₹7,167.80 crores in Q2FY25. The profit after tax (PAT) for Q2FY26 was -₹5,524.20 crores, reflecting a similar trend with a 16.4% QoQ and a 23.0% YoY improvement. Earnings per share (EPS) for the quarter was -₹0.51, which improved by 19.0% QoQ and 50.5% YoY. These figures indicate that although the company remains in a loss-making position, it has managed to reduce its losses over the recent quarters.

Operating Metrics

The operating expenses of Vodafone Idea Ltd show a significant reduction, which reflects in the total expenses reported for Q2FY26 at ₹16,861.50 crores. This is a decrease of 5.1% from Q1FY26, where total expenses were ₹17,775.30 crores, and an 8.4% decrease from ₹18,400.00 crores in Q2FY25. The tax expense for Q2FY26 was nominal at -₹3.10 crores, showing slight variability when compared to the previous quarters. The operational cost management appears to be a focus area for the company as it works towards stabilizing its financial health. The reduction in expenses is a critical factor contributing to the improvement in profitability metrics, despite the net losses reported.