207.7 Million Idea Cellular Users are Consuming 7GB Data Per Month on Average

As expected, Idea Cellular has revealed its numbers for the Quarter ended on March 31, 2018. In the report, Idea Cellular stated that its subscriber base had reached 207.7 million as of March 31, 2018, and the average data per user has seen a meteoric growth to 7GB in Q4 FY18, compared to 1.4GB a year back. The company also revealed that voice usage per subscriber has risen sharply to 577 minutes in Q4 FY18 from 412 minutes in Q4 FY17. Overall, the broadband data volume of 1,984 billion MB has been reported by the telco, which is an increase by nearly six times (FY18 vs FY17). The company’s wireless broadband subscriber (EoP) base now stands at 39.8 million out of total 46.8 million mobile data users. Similarly, Idea witnessed a strong return of subscriber addition with 12.2 million ‘Net customer adds’ on VLR in H2 FY18. Idea’ subscriber market share has been increased to 20.9% in February 2018 as compared to February 2017.

ideacellular-207-million-7gb-data-consumption

The third largest Indian telecom operator also noted that the financial performance also remained under pressure in FY18. The company states that the dual negative factors of a steep reduction in domestic and international MTC settlement rate and unrelenting rate pressure on voice and mobile data services as high ARPU consumers migrated to lower-priced ‘unlimited voice bundled data plans,’ which resulted in a 20.5% decline in gross revenue in FY18 to Rs 28278.9 crore (vs FY17 revenue of Rs 35575.7 crore).

In the last quarter of FY18, Idea Cellular reported a loss of Rs 930.6 crore, which is down from the Rs 1285.6 crore it had in Q3 FY18. Idea’s net loss for the entire year widened to Rs 4139.9 crore from Rs 404 crore. The EBITDA for the last quarter stood at Rs 1447.3 crore, up from the Rs 1,223.3 crore.

The Average Revenue Per User (ARPU) as per the company dropped to Rs 105 from Rs 114. Just yesterday, Reliance Jio stated its ARPU as Rs 137.1, and Airtel’s ARPU stood at Rs 116.

Idea Cellular also confirmed that the merger of Idea and Vodafone India is in the final leg of regulatory approvals and is expected to complete in H1 CY18. The proposed new leadership team of merged entity has already been announced on March 22, 2018. Both the companies, have set up respective project management teams, preparing for the merger and initiated detailed planning for identified capex and opex synergies. It also revealed that both the companies now, under ‘Active infrastructure sharing’ programme and ‘2G & 4G ICR arrangements’ across various service areas, share around 49,000 sites.

The Net Debt as on March 31, 2018, stood at Rs 523.3 billion, which also includes a large component of debt from DoT under ‘Deferred Payment Obligation’ for spectrum acquired in auctions.

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34 Comments on "207.7 Million Idea Cellular Users are Consuming 7GB Data Per Month on Average"

 

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Chetan
April 29, 2018 5:07 pm 5:07 PM
Future roadmap in Telecom—–Post Idea-Voda merger, Airtel might acquire joint entity in 2020. Surviving at such price point is highly difficult for Idea-voda, even after merger JV will struggle badly due to lack of fund infusion. Jio is determined to conquer market share till how much ever time it takes. Vodafone will divest all its money in JV and tower entity(Indus-Bharti Infratel JV) and would like to completely Exit India. Already during clearances for Idea-Voda, DOT is demanding Vodafone to clear all its Spectrum dues since Vodafone will not be licensee post merger. So clearly Vodafone would just eat profits… Read more »
thilak
April 30, 2018 11:39 am 11:39 AM

good , but airtel presence is not good for puplic
obviously aitel something better their service compare vodea
but aitel always suck money form poor public
Vodea is presence is ensure healthy competition

Nikhil Mumbai-Pune
April 29, 2018 7:45 pm 7:45 PM

Kaushik IMA, your views please?

Kaushik IMA
April 29, 2018 11:40 pm 11:40 PM

The model for this merger of VOID is the merger of orange and T-Mobile in the UK.

Expect it to be carried out in similar fashion.

What I expect is that mergedco will be bought out but much later than 2020 (as merger will only be in final phase at this time). And it will not be airtel or jio doing the buyout.

Chethan
April 30, 2018 10:48 am 10:48 AM

Kaushik, why don’t you suggest the AVOID management to implement Pre on Post concept on their numbers too for general users just like jio did?

Kaushik IMA
April 30, 2018 3:57 pm 3:57 PM

Because chetan, prepaid is having offers that can be changed at any time. This is where promos go.

Postpaid is having the kind of cost structures telcos are really comfortable with.

At the end of the day i want telcos to survive to give good options especially to corporate employees.

So giving options that may be unreasonable cost wise may make some inputs less valuable and less likely for a future consideration.

Nikhil Mumbai-Pune
April 30, 2018 9:29 am 9:29 AM

Some other buyer for merged entity? Around 2025?

Kaushik IMA
April 30, 2018 3:58 pm 3:58 PM

2021-22 likely.

Diana
April 29, 2018 1:54 pm 1:54 PM

Only idea 4G provides 8-10 Mbps speed in peak hours in evening. Jio hardly gives 1 Mbps in evening

Arena
April 29, 2018 5:08 pm 5:08 PM

It also Means less users on idea.

Chetan Malhotra
April 29, 2018 7:24 pm 7:24 PM

Yes, true. More speed means less customer. Even in Idea Karnataka, it is same. 2G voice quality is bad, hence in karnataka people are not opting Idea.

Sunny | Lucknow
April 29, 2018 1:32 pm 1:32 PM

How cute of AVOID to always quote data consumption in “billion MBs” to make the numbers look bigger. I’ve got a better idea for them: better use Bytes!

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