Debt-ridden telecom operator Vodafone Idea, on Monday, said its consolidated net loss widened to Rs 7,840 crore in the first quarter ended June 30.
The company had posted a net loss of Rs 7,295.7 crore in the same period a year ago.
The consolidated revenue from operations during the reported quarter increased marginally by 2.3 per cent to Rs 10,655.5 crore from Rs 10,406.8 crore in June 2022 quarter.
VIL's average revenue per user (ARPU)—a key growth matrix of telecom operators— increased to Rs 139 during the June quarter from Rs 128 a year ago.
"The eighth consecutive quarter of growth in average daily revenue, ARPU and 4G subscribers clearly reflects our ability to effectively operate and compete in the market," VIL CEO Akshaya Moondra said in a statement.
The total subscriber base of VIL declined to 22.14 crore at the end of June 2023 from 24 crore a year ago.
The 4G subscriber base of the company, however, grew by about 3 per cent on year-over-year to 12.29 crore at the end of June 2023 from 11.9 crore.
"We remain engaged with our lenders for further debt fundraising as well as with other parties for equity or equity-linked fundraising to make required investments for network expansion, including 5G rollout," Moondra said.
The capital expenditure of the company during the June quarter stood at Rs 450 crore.
The company, which added around 1,000 more 4G mobile sites during the quarter, is yet to roll out a 5G network.
"We are in discussion with various network vendors for the finalisation of our 5G rollout strategy. We have completed device testing of all major OEMs on our 5G network," VIL said.
The total gross debt (excluding lease liabilities and including interest accrued but not due) as of June 30, 2023, stood at Rs 2,11,760 crore, comprising deferred spectrum payment obligations of Rs 1,33,740 crore, and AGR liability of Rs 66,860 crore, that are due to the government.
Debt from banks and financial institutions stood at Rs 9,500 crore, and money raised through debt instruments stood at 1,660 crore.
With cash and cash equivalents of Rs 250 crore, the net debt stood at Rs 2,11,510 crore.
VIL said the debt from banks and financial institutions has reduced by Rs 5,700 crore from Rs 15,200 crore in the June 2022 quarter.
Vodafone Idea, in a separate filing, said it has received funding assurance of upto Rs 2,000 crore from a promoter group entity.
"The Company has received a communication from a promoter group entity confirming that in the event of any fund requirement for meeting its impending payment obligations by the Company, it shall provide direct or indirect financial support to the extent of Rs 2,000 crore," VIL said in the filing.