Vodafone Idea shares jump over 10 pc despite huge loss in September quarter
Shares of Vodafone Idea on Friday surged over 10 per cent despite the company posted a tremendous loss of Rs 50,921 crore - highest ever loss posted by any Indian corporate - for September quarter.
On the BSE, the stock witnessed a jump of 10.16 per cent to Rs 3.25 in morning session. Later on, the scrip shed some of its gains and was trading 4.41 per cent up at Rs 3.08.
The stock moved up by similar margins on the NSE in early trade. It was trading at Rs 3.05, up 3.39 per cent.
Telecom operator Vodafone Idea on Thursday reported consolidated loss of Rs 50,921 crore - highest ever loss posted by any Indian corporate - for the second quarter ended September 30, on account of liability arising out of the Supreme Court order in the adjusted gross revenue case.
On the BSE, shares of Bharti Airtel gained 9.04 per cent to touch a high of Rs 395.45 apiece. After shedding some gains, the stock was trading 6.54 per cent up at Rs 386.35.
The scrip rallied 9.13 per cent to Rs 395.60 on the NSE. It was trading at Rs 386.10, up 6.51 per cent.
Bharti Airtel on Thursday posted a staggering Rs 23,045 crore net loss for the second quarter ended September 30, due to provisioning of Rs 28,450 crore in the aftermath of the Supreme Court ruling on statutory dues.
However, analysts said that Bharti Airtel has performed better than expected amid a challenging environment.
"Bharti posted strong operational performance with 1.9 per cent Q-o-Q revenue growth and 190bps Q-o-Q EBITDA margin expansion with strong performance in India as well as Africa. While 4G subscriber addition was also robust at 7.9 million, ARPU was steady at Rs 128. Consistently strong operational performance underscores the company's ability to execute amidst challenging environment," Edelweiss Securities Ltd said.
Amidst uncertainties with respect to the government's stance on AGR-related liabilities, Bharti Airtel is relatively well placed considering Rs 188 billion cash on books and its ability to raise requisite capital, it added.
-PTI
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