- Vodafone Idea’s revenue in the first quarter was 110.23 billion rupees, missing the expected 111.53 billion rupees.
- The company reported a net loss of 66.08 billion rupees, which was slightly better than the anticipated loss of 68.53 billion rupees.
- Vodafone Idea’s EBITDA was recorded at 46.12 billion rupees, close to the estimated 46.55 billion rupees.
- The EBITDA margin for Vodafone Idea stood at 41.8%, which was below the expected 42.9%.
- Analyst recommendations include 4 buys, 6 holds, and 11 sells.
Vodafone Idea on Smartkarma
Analyst coverage of Vodafone Idea on Smartkarma reveals divergent views on the telecom company’s future. Nimish Maheshwari‘s report titled “VILβs Revival Impossible or a State-Backed Turnaround Feasible?” highlights Vodafone Idea’s dire financial state with mounting AGR dues, warning of viability issues beyond FY2026 without government support. The company seeks funding for survival amidst significant challenges, including crucial bank funding being at risk. Despite growing ARPU, the situation remains precarious without timely intervention.
In another report by Nimish Maheshwari, “Vodafone Idea: Another Lifeline, But Structural Challenges Persist,” the analyst discusses Government of India’s conversion of spectrum dues into equity, resulting in increased stake but dilution of promoters’ ownership. While this move eases immediate cash flow pressures till H1FY28, structural concerns and funding requirements continue to pose significant obstacles. Vodafone Idea’s unresolved issues, including persistent AGR dues and weak subscriber base, indicate ongoing challenges and the potential for further market share erosion.
A look at Vodafone Idea Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 0 | |
| Dividend | 1 | |
| Growth | 4 | |
| Resilience | 3 | |
| Momentum | 5 | |
| OVERALL SMART SCORE | 2.6 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Based on the Smartkarma Smart Scores, Vodafone Idea shows promising indicators for its long-term outlook. The company’s strong momentum score of 5 reflects positive market sentiment and indicates a potential for continued growth in the future. Additionally, Vodafone Idea scores well in growth and resilience, with scores of 4 and 3 respectively, suggesting a solid foundation for expansion and the ability to navigate challenging market conditions.
Vodafone Idea’s lower scores in value and dividend may indicate that it is currently focusing more on growth and reinvestment in the business rather than on providing immediate returns to shareholders. Overall, with a diverse range of telecom services and a strong presence in the Indian market, Vodafone Idea appears to be well-positioned for sustained growth and success in the long run.
### Summary: Vodafone Idea Limited operates as a telecom service provider in India, offering mobile services, mobile payments, enterprise solutions, and entertainment options across 2G, 3G, and 4G networks. ###
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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