Vodafone Idea Limited (Vi) is engaging with the government, banks, and non-banking financial companies (NBFCs) to resolve its adjusted gross revenue (AGR) dues and secure long-term funding. According to a Financial Express report, the telecom operator faces AGR-related liabilities of ₹78,500 crore and is seeking regulatory clarity to enable capital infusion.
AGR Dues and Legal Developments
During the company’s Q2 FY26 earnings call, CEO Abhijit Kishore said that Vodafone Idea expects a reassessment of AGR dues—including penalties and interest—for the period up to FY17, following a favourable Supreme Court directive. The court has allowed the government to re-evaluate the outstanding amounts, offering the company potential relief and a clearer financial outlook.
Debt and Financial Overview
As of September 30, 2025, Vodafone Idea’s total debt stood at ₹2,02,409 crore, comprising ₹1,542 crore in bank loans and ₹2,01,409 crore in deferred spectrum payments and AGR obligations. These payments are scheduled through FY44 and FY31, respectively.
The company reported a net loss of ₹5,524 crore for the July–September 2025 quarter, an improvement from ₹6,595 crore in the same period last year. The reduction was supported by higher average revenue per user (ARPU) and lower finance costs.
Operational Priorities and Funding Plans
Vodafone Idea is focused on expanding and upgrading its network infrastructure to enhance service quality and customer experience. The company aims to use a portion of the forthcoming capital to boost network capacity and coverage.
Finance costs declined to ₹4,784.4 crore in Q2 FY26, compared to ₹6,613.6 crore a year earlier, reflecting lower bank debt pressure and improved cost management.
Summary
Vodafone Idea is actively pursuing AGR dues reassessment and funding support as part of its turnaround strategy. With total debt exceeding ₹2 lakh crore, regulatory clarity on AGR liabilities remains key to unlocking long-term financing and sustaining network investments.
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