INSUBCONTINENT EXCLUSIVE:
reported their quarterly financial results
provisions for outstanding government dues.Vodafone Idea reported a consolidated net loss of Rs
50,900 crore in the second quarter of the current financial year
Rival private sector telecom company Bharti Airtel posted a consolidated net loss of Rs
23,045 crore in the same quarter.Last month, the Supreme Court had rejected telecom companies' appeal against the government's definition
of adjusted gross revenue (AGR), allowing the Department of Telecommunications (DoT) to recover dues worth Rs
1.33 lakh crore from telecom companies Bharti Airtel, Reliance Communications (RCom) and Vodafone Idea.The verdict came as a huge relief for
the telecom department and a big setback for the telecom operators, reeling under heavy debt and intense competition in the sector.The DoT
and the mobile carriers have been at odds over the definition of AGR
The companies argue that AGR should comprise just revenue accrued from core services, while the DoT says AGR should include all
revenues.Both Vodafone Idea and Airtel have been facing a tough time after the recent Supreme Court verdict upheld the government's
definition of revenue.Bharti Airtel on Thursday said that its liabilities/provisions as on 30 September stood at Rs 34,260 crore, while that
of Vodafone Idea were Rs 25,677.9 crore.Meanwhile, debt-laden Reliance Communications (RCom), which has total secured debt of about Rs
33,000 crore, has already received bids from Bharti Airtel and PE firm Varde Partners for its assets as part of its insolvency
proceedings.Get Breaking news, live coverage, and Latest News from India and around the world on TheIndianSubcontinent.com
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