Vodafone Idea Shares Gain As Q1 Loss Narrows To ₹3,754 Crore; Funding Remains Key Focus

Vodafone Idea share price rose after the company reported a net loss of ₹3,754 crore for Q1 FY27, compared with a loss of ₹6,611 crore in the year-ago quarter. The improvement was supported partly by benefits linked to government dues and a notional gain on shares held for the company by Vodafone Group.

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At 10:10 am on August 11, Vodafone Idea shares were trading 1.8% higher at ₹13.14 apiece.

Revenue And ARPU Improve

Revenue from operations increased 6% year-on-year to ₹11,689 crore in the June 2026 quarter from ₹11,023 crore in Q1 FY26, according to the company’s exchange filing.

Finance costs declined 13% to ₹5,120 crore from ₹5,893 crore a year earlier. Vodafone Idea also reported a 10.2% increase in customer average revenue per user (ARPU), which reached ₹195 from ₹177 in the corresponding quarter.

The company’s 4G and 5G subscriber base rose about 2% year-on-year to 13 crore from 12.74 crore. Average monthly data consumption among 4G and 5G users increased to 21.7 GB from 17.3 GB.

The total subscriber base, however, stood at 19.31 crore, down from 19.77 crore a year earlier. The company said the subscriber position improved compared with the March 2026 quarter.

Share-Linked Gain Supports Q1 Results

Vodafone Idea qualified for around ₹5,836 crore under a liability claim arrangement with promoter Vodafone Group. The promoter has also earmarked 328 crore Vodafone Idea shares for the company’s benefit.

Based on the June 2026 closing market price, adjusted for transaction and related costs, those shares were valued at ₹4,435 crore. This resulted in a ₹1,816 crore gain during the quarter, which was recorded as an exceptional item.

The Vodafone Idea share price remains closely watched as the company works to secure funding for its planned network investment.

₹45,000 Crore Capex Plan

Vodafone Idea said it had placed orders worth ₹9,000 crore against its three-year capital expenditure guidance of ₹45,000 crore. Capital expenditure during the June quarter stood at ₹1,930 crore.

The company secured ₹6,400 crore in funding during the quarter, including warrants as well as fund-based and non-fund-based facilities.

Its total debt stood at ₹1.53 lakh crore at the end of June 2026, while spectrum-related debt was ₹1.30 lakh crore.

Brokerages Highlight Bank Funding

Nomura maintained a neutral rating with a target price of ₹12.60, while CLSA retained its hold rating with a ₹13 target. JPMorgan kept an underweight rating and a ₹9 target price.

CLSA said Vodafone Idea’s Q1 EBITDA rose 3% quarter-on-quarter and 9% year-on-year to ₹5,030 crore. JPMorgan highlighted the need for bank funding to support capital expenditure and the company’s operations.

Vodafone Idea’s statutory payment liabilities stood at ₹1.56 lakh crore as of June 30, 2026. It is required to pay ₹9,259 crore to the Department of Telecommunications by June 2027.