Vodafone Idea Q2 loss narrows

Arpu rises to ₹156 on tariff hikes as the operator gained from the rise in 4G rates; user base continues to fall

- Gulveen Aulakh

Vodafone Idea Ltd's losses narrowed to ₹7,175 crore in the September quarter, down from ₹8,746 crore a year earlier, as revenues edged up to ₹10,932 crore from ₹10,716 crore. The struggling telecom carrier, however, continued to push for further tariff rationalization across the industry, citing the need to cover capital costs.

Average revenue per user (Arpu)—a profitability indicator—rose to ₹156 from ₹142 a year ago and ₹146 in the prior quarter, driven by tariff hikes in June and the actual effect kicking in from the September quarter.

The Arpu boost reflects broader trends in India's telecom sector, with all major players benefiting from price increases of 10-21% across the board. While larger rivals Reliance Jio and Bharti Airtel raised entry-level 5G tariffs by over 45%, Vodafone Idea saw gains from the rise in 4G rates.