Vodafone Idea (Vi) announced on Monday, August 10, that its first‑quarter results for the fiscal year ending June 30, 2026 (Q1 FY27) showed a 6% year‑on‑year increase in revenue, reaching ₹11,689 crore. The figure represents a rise from ₹11,023 crore recorded in the same quarter of the previous fiscal year and a sequential growth of 3.2% from the prior quarter. Alongside the revenue lift, the telecom operator reported a narrower net loss of ₹3,754 crore, compared with a loss of ₹6,608 crore in Q1 FY26.
Financial Highlights
The quarter’s earnings before interest, taxes, depreciation and amortisation (EBITDA) stood at ₹5,034 crore, marking a 9.1% increase over the year‑ago period. EBITDA margin improved to 43.1% from 41.8% a year earlier. Cash EBITDA was reported at ₹2,475 crore. Depreciation and amortisation expenses for the period were ₹5,467 crore, while net finance costs amounted to ₹4,925 crore. When the impact of Ind AS 116 is excluded, depreciation and amortisation fell to ₹3,862 crore and net finance costs to ₹3,701 crore respectively. Capital expenditure for the quarter was ₹1,930 crore.
Subscriber Growth and Usage
Vi’s total subscriber base reached 193.1 million at the end of June, up slightly from 192.8 million in the preceding quarter and reflecting the first net subscriber addition since the company’s merger. The number of 4G and 5G customers rose to 130.1 million, an increase from 127.4 million in the same quarter a year earlier. Data consumption grew markedly, with daily usage climbing from 69.1 petabytes to 88.4 petabytes, a year‑on‑year rise of 27.9%.
Average revenue per user (ARPU) also improved, reaching ₹195 in Q1 FY27 versus ₹177 in Q1 FY26, a 10.2% year‑on‑year increase that Vi described as the highest in the industry. The company attributed the ARPU boost primarily to customer upgrades.
Funding, Debt and Network Expansion
As of June 30, 2026, Vi’s bank debt stood at ₹211 crore, while cash and bank balances were ₹6,558 crore, bolstered by partial proceeds from a warrant issuance during the quarter. The firm disclosed that it has secured ₹6,400 crore in funding, comprising warrants, fund‑based and non‑fund‑based facilities, and is actively engaging lenders to finalise its overall funding plan.
Credit rating agencies have recently signalled confidence in Vi’s financial trajectory. Crisil assigned an A‑/(Stable) rating in May 2026, and ICRA upgraded the company to A‑/(Stable) in June 2026, citing positive developments in recent months.
On the network front, Vi expanded its 5G footprint to more than 200 cities across the 17 key circles where it holds 5G spectrum. The company also added over 15,600 unique broadband towers in the past twelve months, bringing the total count of unique broadband towers to nearly 205,000. 4G population coverage rose to 87.0% as of June 2026, adding 39.4 million people to the covered population since Q1 FY26. Vi indicated that, under its current rollout plan, 4G coverage in the 17 circles is expected to exceed 95%.
Looking ahead, Vi said it has placed capex orders worth ₹9,000 crore against a three‑year capex guidance of ₹45,000 crore, underscoring its commitment to expanding high‑speed broadband infrastructure, adding new 4G sites, and upgrading core and transmission networks. The company’s statements suggest a focus on improving indoor coverage and overall network capacity to enhance the customer experience.
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