Vodafone Idea Ltd's Q3FY25 Quarter Results
- 12 Feb 2025
Result Summary
- Vodafone Idea Ltd reported a 1.2% quarter-on-quarter (QoQ) increase in its consolidated revenues for the quarter-ended Dec (Q3FY25). On a year-on-year (YoY) basis, it witnessed a growth of 6.3%.
- Its expenses for the quarter were down by 2.3% QoQ and 2.5% YoY.
- The net profit decreased 7.9% QoQ and decreased 5.4% YoY.
- The earnings per share (EPS) of Vodafone Idea Ltd declined at 0.9 during Q3FY25.
Financial Statments for Q3FY25
| (₹ crores) | Q3FY25 | Q2FY25 | Q3FY24 | QoQ (%) | YoY (%) |
|---|---|---|---|---|---|
Total Income | 11366.80 | 11232.20 | 10698.00 | 1.2% | 6.3% |
Total Expenses | 17973.60 | 18400.00 | 18439.10 | -2.3% | -2.5% |
Profit Before Tax | -6606.80 | -7167.80 | -6985.60 | -7.8% | -5.4% |
Tax | 2.50 | 7.80 | -0.80 | -67.9% | -412.5% |
Profit After Tax | -6609.30 | -7175.90 | -6985.90 | -7.9% | -5.4% |
Earnings Per Share | -0.90 | -1.00 | -1.40 | -10.0% | -35.7% |
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, a major player in the Indian telecommunications industry, provides a variety of services including mobile voice, data, and broadband services. Formed from the merger of Vodafone India and Idea Cellular, the company has been working to expand its network coverage and improve service quality in a competitive market. The telecom sector in India is highly competitive with rapid technological advancements and heavy regulatory pressures. Vodafone Idea has been focusing on strategic initiatives to strengthen its financial position and enhance its service offerings. As of the latest available information, the company has been dealing with challenges related to financial restructuring and network expansion.
Revenue
For the third quarter of the fiscal year 2025 (Q3FY25), Vodafone Idea Ltd reported a total income of ₹11,366.80 crores. This represents a quarter-over-quarter (QoQ) increase of 1.2% from ₹11,232.20 crores in Q2FY25. On a year-over-year (YoY) basis, the total income showed a 6.3% growth compared to ₹10,698.00 crores in Q3FY24. This upward movement in revenue indicates a steady performance in generating income over the periods analyzed. The incremental revenue growth can be attributed to various factors including customer base expansion and potentially improved service offerings, although specific reasons for revenue changes are not provided in the data.
Profitability
During Q3FY25, Vodafone Idea Ltd recorded a loss before tax of ₹6,606.80 crores, which is an improvement from the previous quarter's loss of ₹7,167.80 crores in Q2FY25, marking a QoQ reduction of 7.8%. Similarly, the YoY comparison shows a lesser loss than the ₹6,985.60 crores recorded in Q3FY24, representing a 5.4% improvement. Despite these reductions in losses, the company reported a negative Profit After Tax (PAT) of ₹6,609.30 crores in Q3FY25. The tax expenses for the quarter were ₹2.50 crores, a significant decrease from ₹7.80 crores in Q2FY25. The Earnings Per Share (EPS) also improved from -₹1.00 in Q2FY25 to -₹0.90 in Q3FY25, reflecting a 10% QoQ improvement, and a YoY enhancement of 35.7% from -₹1.40 in Q3FY24.
Operating Metrics
Analyzing the operational costs and expenses, Vodafone Idea Ltd incurred total expenses of ₹17,973.60 crores in Q3FY25. This marks a decrease of 2.3% QoQ from ₹18,400.00 crores in Q2FY25 and a 2.5% YoY decrease from ₹18,439.10 crores in Q3FY24. The reduction in expenses could suggest operational efficiencies or strategic cost-saving initiatives undertaken by the company. These changes in operational metrics are critical as they directly impact the company's profitability and financial health. The continued focus on managing expenses is evident in the improving profit margins, even though the company is still reporting negative profitability figures.
