Vodafone Idea Q2 FY26 Results: Loss Narrows, ARPU Improves

Key Highlights: Revenue: ₹11,195 crore, up 2.4% YoY, supported by improved subscriber monetisation. Net Loss: ₹5,524 crore vs ₹7,176 crore last year — narrowing losses due to cost control and better operating performance. ARPU (Average Revenue Per User): ₹180, up 8.7% YoY from ₹166. 4G Subscribers: 127.8 million, up from 125.9 million YoY. Data Usage: Increased 21% YoY, reflecting higher engagement. Debt & Liquidity: Bank debt reduced to ₹1,530 crore; cash balance at ₹3,080 crore. Insights: Vodafone Idea’s Q2 results show gradual progress toward operational stability. Revenue and ARPU growth reflect improved pricing power and subscriber quality. While losses remain large, cost discipline and reduced interest burden helped narrow the gap. The company continues to expand 4G coverage and invest in network upgrades ahead of a broader 5G rollout. What to Watch: Sustainability of ARPU growth and pricing power. Pace of subscriber additions in 4G and upcoming 5G network. Fundraising progress to finance future capex and reduce debt. Tariff hike announcements across the telecom sector. Investor Takeaway: Vodafone Idea is showing early signs of recovery, but remains in a high-risk zone. Improving ARPU and narrowing losses are encouraging, yet heavy debt, low cash flow, and competitive pressure continue to weigh. It remains a speculative turnaround bet in the Indian telecom sector.