Vodafone Idea posts surprise fourth-quarter profit
- By Reuters -
- May 17, 2026
Indian telecoms operator Vodafone Idea reported an unexpected fourth-quarter net profit on Saturday after receiving a 430 crore rupees ($500 million) investment from Aditya Birla Group.
The company posted consolidated profit after tax of 519.76 billion rupees ($5.42 billion) in the three months to March 31. Analysts had expected a loss.
Earlier this year, the Indian government capped Vodafone Idea’s adjusted gross revenue dues at $13.79 million annually for the next six years, easing near-term cash flow pressure for the firm.
Vodafone Idea has invested heavily in its 4G and 5G networks in recent years to improve service quality and curb a steady decline in its subscriber base.
The company’s average revenue per user (ARPU), a key industry metric, rose to 190 rupees from 175 rupees a year earlier.
India’s third-largest telecom provider, 49% owned by the government, was formed in 2018 by a merger between the Indian arm of Britain’s Vodafone Group and Aditya Birla Group’s Idea Cellular.
The company has been struggling with debt and keeping up with the network expansion of larger rivals.
Overall revenue for the quarter totalled 113.32 billion rupees, missing analysts’ average estimate of 116.50 billion rupees.