Vodafone Idea Reports Improved Subscriber Metrics and 5G Expansion in Q1 FY26
Vodafone Idea Limited (VIL) reported a 4.9% year-on-year revenue growth to Rs. 110.20 billion in Q1 FY26. The company's subscriber loss reduced to 0.5 million, while adding 1 million 4G subscribers. VIL expanded its 5G services to 22 cities across 13 circles, with plans to cover all 17 priority circles by September 2025. The company invested Rs. 24.40 billion in capex, adding over 4,800 new unique 4G towers. VIL launched 'Vi Finance' on its app and secured a 10-year contract for 5 million smart meters. Akshaya Moondra, the outgoing CEO, expressed confidence in continuing improvement in subscriber metrics. Abhijit Kishore takes over as the new CEO to lead VIL's next growth phase.
*this image is generated using AI for illustrative purposes only.
Vodafone Idea Limited (VIL) reported improved subscriber metrics and continued 5G expansion in its Q1 FY26 earnings call. The telecom operator shared insights on its performance, strategic initiatives, and future plans.
Key Highlights
- Revenue for Q1 FY26 stood at Rs. 110.20 billion, registering a 4.9% year-on-year growth.
- Cash EBITDA improved by 3.7% year-on-year to Rs. 21.80 billion.
- The company's subscriber loss reduced significantly to 0.5 million in Q1 FY26, compared to 5 million in Q2 and Q3 of the previous fiscal year.
- VIL added 1 million 4G subscribers during the quarter, bringing the total to 127.4 million.
- 5G services expanded to 22 cities across 13 circles, with plans to cover all 17 priority circles by September 2025.
Network Expansion and Capex
- The company invested Rs. 24.40 billion in capex during Q1 FY26.
- Over 4,800 new unique 4G towers were added, increasing 4G population coverage to ~84%.
- Total broadband site count reached ~516,200, including ~13,100 Massive MIMO sites and more than 12,300 small cells.
- VIL aims to meet its H1 FY26 capex target of Rs. 50-60 billion by September 2025.
Financial Position
- The company's debt from banks reduced to Rs. 19.30 billion as of June 30, 2025.
- Total government dues, including spectrum and AGR, stood at approximately Rs. 195,000 crore.
Strategic Initiatives
- VIL launched 'Vi Finance' on its app, offering personal loans, fixed deposits, and credit cards through partnerships.
- The company secured a 10-year contract with Genus Power Infrastructure Ltd for 5 million smart meters, marking a significant win in the IoT space.
- VIL introduced new postpaid plans, including a Netflix subscription in the Vi Max Family Plan.
Future Outlook
- The company remains engaged with lenders to secure debt financing for its long-term network expansion plans.
- VIL is exploring non-banking funding sources to maintain continuity in its capex cycle.
- The management expressed confidence in continuing improvement in subscriber metrics based on recent trends.
Akshaya Moondra, outgoing CEO of Vodafone Idea, stated, "Our investments have led to improved coverage and enhanced customer experience, resulting in best subscriber metrics since merger. With all these developments, we are confident of continuing improvement in subscriber metrics, which has been demonstrated for the last 2 quarters."
As Moondra steps down, Abhijit Kishore takes over as the new CEO, bringing his experience in the telecom industry and enterprise business to lead Vodafone Idea's next phase of growth.
Historical Stock Returns for Vodafone Idea
| 1 Day | 5 Days | 1 Month | 6 Months | 1 Year | 5 Years |
|---|---|---|---|---|---|
| +4.67% | +14.55% | +2.78% | -6.45% | -53.13% | -17.78% |
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