India's Vodafone Idea posts smaller-than-expected loss, names new CEO
Kishore, currently chief operating officer, will replace CEO Akshaya Moondra when his term ends on August 18, the company said in an exchange filing.
The debt-saddled telecom operator's consolidated loss after tax widened to 66.08 billion rupees ($754.49 million) in the quarter ended June 30, from a loss of 64.32 billion rupees a year earlier.
Analysts, on average, were expecting a loss of 70 billion rupees, according to data compiled by LSEG.
Vodafone Idea's average revenue per user (ARPU) - a key metric for the telecom sector - rose 15% year-on-year to 177 rupees. However, the number remained well below peer Bharti Airtel's (BRTI.NS), opens new tab 250 rupees and Reliance Industries-owned Jio's (RELI.NS), opens new tab 208.8 rupees.
The three companies had raised mobile plan rates in July 2024 for the first time in more than two years, as their focus shifts to monetisation from fierce competition for market share.
Both Airtel and Jio had also posted upbeat quarterly results thanks to the hikes.
Vodafone Idea, 49% owned by the Indian government, was formed in 2018 by a merger between the Indian arm of UK-based Vodafone Group (VOD.L), opens new tab and Aditya Birla Group's Idea Cellular.
It has posted a loss every quarter since then as the company continues to cede market share to larger rivals Airtel and Jio, weighed by more than $22 billion in debt and struggling to expand 4G and 5G networks at the pace of its competitors.
The wireless carrier's user base fell 5.9% year-on-year to 197.7 million as of June-end, trailing behind both Jio and Airtel.
Its overall revenue rose about 4.9% to 110.23 billion rupees, missing analysts' estimates of 111.39 billion rupees.
($1 = 87.5820 Indian rupees)
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