Vodafone Idea reported on Wednesday its second quarterly loss since Vodafone Plc merged its Indian operations with Idea Cellular in August last year, though the figure was smaller than expected.
The loss after tax was Rs 5,005 crore ($699.49 million) in the quarter ended December 31, the company said in a statement, narrower than analysts' forecast for a loss of Rs 5,256 crore indicated by Refinitiv Eikon data.
Competition in the country's telecom industry has ramped up since Reliance Jio Infocomm, owned by Asia's richest man Mukesh Ambani, entered the market in 2016, leading to huge price cuts across the industry.
That resulted in lower average revenue per user (ARPU) and rising debt. While Jio reported a 65 per cent jump in quarterly profit, rival Bharti Airtel Ltd posted a 72 per cent profit decline.
The shake-up led to consolidation, with London-based Vodafone Plc merging its Indian operations with Idea Cellular last year in a deal worth $23 billion.
Earlier this year, Vodafone Idea announced its intention to raise Rs 25,000 crore through a share issue.
Revenue from operations in the third quarter was Rs 11,765 crore, while its average revenue per user (ARPU) came in at Rs 89.
The Mumbai-based company said its total expenses for the quarter were Rs 18,226 crore, offset in part by a Rs 2,001 crore tax gain.
The telecoms company said the quarterly numbers were not comparable with the previous year on account of last year's merger.
Vodafone Idea closed 1.48 per cent lower while the broader Mumbai market ended up 1.17 per cent.
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