Vodafone's debt problems keep rising 😟

Vodafone's debt problems keep rising 😟

Vodafone’s condition ain’t good — although losses narrowed from a year ago, the second wave ate into revenues last quarter, while subscribers were stolen by the merciless assault of its competition.

Quick look at the limping giant’s quarter:

  • Revenues came down 14% YoY to ₹9,152 crores
  • Lost ₹7,392 crores, down 71% YoY
  • Margins shrunk down to 40.5%, from ~46%

Meanwhile, average revenue per user came down ₹3 rupees to ₹107, thanks to free recharges offered during lockdowns to keep customers activated.

Debt of ₹1.9 lakh crores, up 65% YoY and spectrum dues payable to the government continues to give bankers and lenders sleepless nights.

What matters — GOI promises an intervention via rescue package, but that’s gotta happen fast. Delays could sap morale of management, or push the business in a deeper rut, making things even harder to change.

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