Vodafone Idea Limited (VIL) has announced a significant improvement in its financial performance for the first quarter of fiscal year 2027, ending June 30, 2026. The telecom giant successfully narrowed its net loss to ₹3,754 crore, a substantial reduction from the ₹6,608 crore loss reported in the same quarter of the previous fiscal year.
Strong Revenue and ARPU Growth
The company's total revenue for Q1 FY27 climbed by 6.0% year-on-year, reaching ₹11,689 crore. This positive trend was bolstered by the highest industry customer Average Revenue Per User (ARPU) growth, which increased by 10.2% year-on-year to ₹195, up from ₹177 in Q1 FY26. This period also marked VIL's first quarter of positive net subscriber additions since its merger, contributing to operational strength.
Consolidated EBITDA for the quarter stood at ₹5,034 crore, reflecting a robust 9.1% year-on-year growth. The improved operational performance is attributed to consistent subscriber growth and an increasing number of users upgrading to high-speed broadband services.
Expanding Subscriber Base and Network Capabilities
VIL's total subscriber base expanded to 193.1 million, a slight increase from 192.8 million in the preceding quarter. Notably, over 67% of the total base now utilizes 4G/5G services, with 4G/5G subscribers reaching 130.1 million. Average data usage per 4G/5G subscriber saw a significant rise to 21.7 GB per month, pushing total daily data traffic on the network to 88.4 Pb/Day.
Network deployment efforts accelerated, extending 4G population coverage to 87.0%, bringing an additional 39.4 million people under coverage since Q1 FY26. The number of broadband sites increased to nearly 580,900, with unique broadband towers reaching 204,893. Furthermore, 5G coverage was expanded to over 200 cities across all 17 priority circles, demonstrating a strong commitment to next-generation connectivity.
Financial Stability and Strategic Partnerships
On the financial front, VIL secured funding of ₹6,400 crore, encompassing warrants alongside fund- and non-fund-based facilities. As of June 30, 2026, cash and bank balances were healthy at ₹6,558 crore, with bank debt remaining low at ₹211 crore. The company also received credit rating upgrades, with CRISIL assigning a rating of CRISIL A-/(Stable) in May 2026 and ICRA upgrading to ICRA A-/(Stable) in June 2026 for specific long-term facilities.
Capital expenditure for the quarter was ₹1,930 crore, with equipment orders worth ₹9,000 crore already placed against its three-year capex guidance of ₹45,000 crore.
In a move to enhance digital security, VIL partnered with Meta to introduce silent mobile verification (SMV) across WhatsApp, Facebook, and Instagram, leveraging network capabilities for direct user validation. For consumers, VIL expanded its digital offerings by collaborating with Spotify for postpaid users and launching 'Vi edu+' with PhysicsWallah for prepaid users in Uttar Pradesh and Rajasthan. Its enterprise arm, Vi Business, rolled out MSME Ready For Next 5.0, signed an MoU with Andhra Pradesh MSME Development Corporation to empower 100,000 MSMEs, and partnered with HPE Juniper Networking for AI-driven solutions.