once again Vi (Vodafone-Idea) has lost customers in Q3 of the FY21. The medium operator has lost 2 million users within the same quarter as against 8 million in Q2. Besides, the operator has managed to extend its average revenue per user to Rs. 121 from Rs. 119 in the second quarter.
However, analysts believe that the prime reason behind Vi losing solely 2 million customers is that individuals have started mistreatment multiple SIM or mobile connections once more. The same that migrants square measure returning to cities and begin mistreatment their mobile connections. Similarly, analysts prompt that the addition of Reliance Jio has been shrivelled as JioPhone isn’t attracting new users and this helped Vi to cut back its loss.
“Vi managed to rein in client losses, primarily as multiple-SIM usage looks to be happening over again with migrants returning to cities and using their feature phones regularly,” Nitin Soni, senior director at Fitch said.
Vi 4G Data Demand: Details
Meanwhile, securities firm ICICI Securities same that many users of India’s third-largest telecommunication operator Vi (Vodafone-Idea) square measure mistreatment feature phones, and 55% percentage of customer’s don’t seem to be using broadband service in their homes. The firm same that the medium operator showed some enhancements in Q3 because of the increasing demand for 4G data
The brokerage firm further added that “Vi’s cash Ebitda at Rs. 2,100 crores benefitted from amortization of subscriber acquisition cost of Rs. 330 crores the over the (expected) lifetime of subscribers, which was earlier expensed in P&L”.
Vi Fundraising Plans In India: Details
The analysts also pointed out that Vi needs to increase the tariff soon to boost its operations in the country. It is price noting that Vi has confirmed that its board is approving the fundraising up to Rs. 25,000 crores via equity. moreover, the medium operator is in talks with many investors for the fundraising.