Q2 FY27 results analysis · November 12, 2026
Vodafone Idea Q2 FY27 Results Analysis: Loss Widens 8%, EBITDA Jumps 11.2%
−8.2%PAT year on year, Rs. -5,975.00 Cr
Source: Quarterly results filing (BSE)
Quick summary
Vodafone Idea Ltd's Q2 FY27 numbers came in mixed, with revenue of Rs. 11,884.00 Cr (+6.15% YoY) and PAT growth of -8.16% YoY. Here's a quick read of what worked, what to watch, and what management said.
Quick Details
| Results date | November 12, 2026 |
|---|---|
| Revenue (Q2) | Rs. 11,884.00 Cr (+6.15% YoY) |
| PAT (Q2) | Rs. -5,975.00 Cr (-8.16% YoY) |
| EBITDA margin | 41.91% (+6 bps YoY) |
| EPS (Q2) | Rs. -0.55 |
Quarter Snapshot
Operating momentum continued with revenue up 6.15% YoY, ARPU at Rs.198 meeting guidance, and cash EBITDA up 11.2% YoY with ~96 bps margin expansion, while net adds of +1.3 mn and postpaid gains of +2.0 mn confirmed subscriber inflection. However, the reported loss widened 8.16% YoY to Rs.(5,975) Cr on finance costs of Rs.5,351 Cr and a Rs.462 Cr exceptional MTM loss, and net worth fell to Rs.(44,298) Cr against Rs.1,49,961 Cr of deferred obligations on a going-concern basis. Delivery was in line with management's own guidance with no beats; the pivotal variables are Q3 capex execution of Rs.5,154 Cr and closure of the remaining bank funding.
Q2 FY27 Expectations vs Results
| Driver | What happened | Verdict |
|---|---|---|
| Revenue "likely in-line to ahead" — industry base grew monthly; Vi off first positive net-add quarter and record ARPU | Revenue Rs.11,884 Cr, +6.15% YoY (+6.2% company-stated) | Played out |
| ARPU momentum via mix, "a little better than where we are today on the ARPU of Rs. 195" | ARPU Rs.198 (+1.54% QoQ; +9.7% YoY company-stated) | Played out |
| Net adds to extend; watch seasonal migration risk | +1.3 mn total, postpaid +2.0 mn | Played out |
| "Broadly flat reported EBITDA margin" — FX/gear pressure vs operating leverage | Reported EBITDA margin 41.91% vs 41.85% YoY; cash margin 21.02% vs 20.06% | Played out |
| Exceptional line "will move again — size/sign unknown" | Exceptional net loss Rs.462 Cr (CLAM share MTM) | Played out |
| Finance cost steady-state "more like previous quarter" (~Rs.3,701 Cr ex-IndAS 116) | Reported finance cost +4.51% QoQ; ex-116 not disclosed | Partially |
| Capex catch-up is "the first checkpoint… harder, not easier" vs Rs.9,100 Cr two-quarter target | Q2 capex Rs.3,946 Cr (+104.5% QoQ); Rs.5,154 Cr now required in Q3 — strong acceleration, back-loaded | Partially |
| Rupee weakness → finance cost / gear headwind; Ericsson price increases | Not separable in the filing; network costs +3.39% YoY unattributed | Not observable |
Read our full results preview.
Management Guidance vs Delivery
| What management said | Where | What happened | Verdict |
|---|---|---|---|
| Rs.9,100 Cr capex over Q2–Q3 FY27 at ~3,500 4G sites/month | Q1 FY27 earnings call (August 2026) | Rs.3,946 Cr in Q2 (+104.5% QoQ); Rs.5,154 Cr required in Q3 (+30.6% above Q2) | Stretch |
| 3-year capex Rs.45,000 Cr (to FY29), reaffirmed | Q1 FY27 earnings call (August 2026) | Rs.13,200 Cr orders placed, ~Rs.6,000 Cr executed; Q2 spend Rs.3,946 Cr | On Track |
| ARPU "a little better than where we are today on the ARPU of Rs. 195" | Q1 FY27 earnings call (August 2026) | Rs.198 (+1.54% QoQ) | Met |
| Sustain positive net subscriber adds | Q1 FY27 earnings call (August 2026) | +1.3 mn to 194.4 mn; postpaid +2.0 mn | Met |
| 4G population coverage 90% "over the next couple of quarters" | Earnings call (November 2025) | almost 88% at September 2026 (87.0% at Q1 FY27) — overrun | Stretch |
| SBI-led consortium Rs.25,000 Cr funded + Rs.10,000 Cr non-funded closure | Q4 FY26 / Q1 FY27 earnings calls | >Rs.10,500 Cr secured in H1; "in discussion with banks to raise additional funds" — no closure disclosed | On Track |
| Cash EBITDA margin "north of 35%" in 3–4 years (base 20.5%) | Q4 FY26 earnings call | 21.02% | Too Early |
| Site build 55,000–57,000 4G / 86,000–90,000 5G over 3 years | Earnings call (August 2026) | 213,616 towers EoP; ~9,000 added in Q2; 5G live in 400 cities | Too Early |
| "The worst is behind us… key parameters moving in the right direction" | Q4 FY26 earnings call | Net adds +1.3 mn (second positive quarter), ARPU Rs.198, cash EBITDA margin +96 bps YoY, all 7 disclosed KPIs improved or held — on the disclosed KPIs | Confirmed |
| Cost discipline despite rollout ("focus on overall cost management") | Prior earnings calls | Network expenses +3.39% YoY vs revenue +6.15%; cash EBITDA margin up YoY | Confirmed |
Key Numbers, Quarter by Quarter
| Metric | Q2 FY26 | Q1 FY27 | Q2 FY27 |
|---|---|---|---|
| ARPU excl. M2M (Rs.) | 180 | 195 | 198 |
| Subs EoP (mn) | 196.7 | 193.1 | 194.4 |
| Net adds (mn) | −1.0 | +0.3 | +1.3 |
| 4G/5G subs (mn) | 127.8 | 130.1 | 131.0 |
| Data usage (PB/day) | 73.6 | 88.4 | 93.6 |
| Towers EoP | 191,096 | 204,893 | 213,616 |
| Cash EBITDA margin % | 20.06 | 21.17 | 21.02 |
Key Investment Insights
Key Positives
- Revenue from operations grew 6.15% YoY to Rs.11,884 Cr (+1.67% QoQ)
- ARPU rose to Rs.198 (+9.7% YoY, +1.54% QoQ), meeting management's guidance of improvement over Rs.195
- Subscriber base returned to growth at 194.4 mn (+1.3 mn QoQ), second consecutive positive quarter; postpaid +2.0 mn, highest in nine quarters
- Cash EBITDA (pre-IndAS 116) grew 11.2% YoY to Rs.2,498 Cr with margin up ~96 bps YoY to 21.02%
- H1 operating cash flow of Rs.10,473 Cr covered capex of Rs.4,258 Cr, leaving Rs.6,215 Cr of free cash flow
- Q2 capex of Rs.3,946 Cr more than doubled QoQ (+104.5%); >Rs.13,200 Cr of orders placed against the Rs.45,000 Cr three-year program
- >Rs.10,500 Cr of funding secured in H1 FY27, including Rs.1,182 Cr of warrant proceeds and >Rs.4,000 Cr incremental bank funding in Q2
- Data usage rose 27.1% YoY to 93.6 PB/day; towers grew ~9,000 in the quarter to 213,616
Risk Factors
- Reported loss after tax widened 8.16% YoY to Rs.(5,975) Cr, with finance costs up 11.85% YoY to Rs.5,351 Cr
- Net worth deteriorated by Rs.8,540 Cr in six months to Rs.(44,298) Cr against deferred payment obligations of Rs.1,49,961 Cr
- Rs.9,216 Cr of deferred payment instalments due by September 2027; results prepared on a going-concern basis with additional funding still under discussion
- Reported EBITDA dipped QoQ from Rs.5,034 Cr to Rs.4,981 Cr with margin down 116 bps QoQ to 41.91%
- Rs.462 Cr exceptional MTM loss on CLAM settlement assets, recurring quarterly until the earmarked shares are liquidated
- Rs.5,154 Cr of capex required in Q3 (+30.6% above Q2) to meet the Rs.9,100 Cr two-quarter target — the highest-ever quarterly deployment run-rate
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