Vodafone Idea Reports Surprise Fourth-Quarter Profit

Vodafone Idea reported a net profit of 2.4 billion rupees for its fiscal fourth quarter, surprising analysts who had expected a loss. The quarterly result compared with a net loss of 7.3 billion rupees a year earlier. The profit followed a capital raise completed in April when the Birla Group invested in the telecommunications operator.

The company said the fresh funds will support network expansion and debt reduction. Adjusted revenue increased 7.5 percent from a year earlier to 110.8 billion rupees. The company added 1.7 million wireless subscribers during the quarter, taking its total customer base above 230 million.

Idea said it would use part of the new capital to accelerate 4G and 5G rollout across India. Management stated that average revenue per user had stabilized and showed early signs of improvement as tariff hikes implemented in late 2024 took full effect.

The operator faces continuing pressure from competition in the Indian market, where price wars have limited profitability for years. The latest quarterly profit marks the first positive net income reported by the company in more than five years.

Outlook The company has not provided specific guidance for the current fiscal year. It said the combination of higher data usage, stable tariffs and cost efficiencies should support further sequential improvement in operating performance. Analysts will examine the full earnings release for details on spectrum payments, adjusted EBITDA margins and the exact allocation of the Birla Group investment.