Vodafone India FY18 Revenue Plunges 19% To Register Rs 34,855 Cr

Vodafone India today announced its fianncial reults for fiscal year 2018. As per the results the company posted revenues of Rs 34,855 crore in FY2018 as against Rs 42,956 crore in the previous year, showing a decline of 18.5%.

“Operationally, it was an extremely challenging year wherein industry revenues were adversely impacted due to a reduction in interconnect usage charges, international termination charges and continuing suppressed pricing,” said Vodafon eIndia MD and CEO Sunil Sood.

The operator’s EBITDA fell 34% to reach R 7766 crore as against Rs 11,784 crore a year back whereass the EBITDA margin for this fiscal registered at 22.1%

“Our business managed costs extremely well, which helped mitigate the reduction in our EBITDA margin despite rolling out 50k 3G/4G sites during the year,” Sood added.

The company said at the end of March 2018, it had a subscriber base of 223 million who are served through a network of 139,000 telecom sites, (Sites do not necessarily mean towers) and of these 120 million subscribers are in rural areas. The company claimed it had a revenue market share of 20.9% at the end of this fiscal.

In the last two years data consumption has been growing in leaps and bounds across operators, and Vodafone was no exception. Its data usage in FY 2018 grew by 350% and in Q4 alone, it grew by 523%.

In absolute number terms, Vodafone has 76 million data users of which more than 53 million consume more than 1 MB per day. The overall ARPU for Vodafone for the year touched Rs 119.

Vodafone Business Services or VBS, the enterprise business unit of Vodafone India and a significant revenue earner, did pretty well during this year. As per the results, VBS now contributes 20% of the total services revenues.

“We remain committed to playing our due role in enabling Digital India by fulfilling the evolving needs of increasing volumes, speed and connectivity solutions of both retail and enterprise customers. Additionally, we completed the sale of our standalone tower business to ATC for INR 38.5bn and are making good progress in securing the necessary regulatory approvals for the merger of Vodafone India and Idea Cellular. The merger is expected to complete in June 2018,” Vodafone CEO Sood added in the statement.

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