Vodafone Idea Q4 FY26: Rs 51,970 cr profit from AGR gain

Key takeaway from the March quarter

Vodafone Idea (Vi) reported a consolidated net profit of Rs 51,970 crore for the March quarter of FY26, reversing a loss of Rs 7,166 crore in the year-ago quarter. The profit was driven by a one-time accounting gain linked to the reassessment of adjusted gross revenue (AGR) dues and the recognition of the present value of future AGR payments. Excluding this exceptional item, the company said it saw a steady operational recovery during the quarter.

What led to the reported net profit

The company attributed the sharp swing to an exceptional accounting item rather than a step-change in the core business. The gain arose after it reassessed AGR dues and recognised the present value of future AGR payments, as stated in its disclosures. This treatment boosted the reported bottom line for Q4 FY26 and helped Vi post a profit despite ongoing balance-sheet stress highlighted in earlier quarters. The company’s Q4 FY25 base was a consolidated net loss of Rs 7,166 crore.

Revenue and EBITDA show incremental improvement

On the operating line, Vi’s revenue from operations for Q4 FY26 rose to Rs 11,332 crore. This was about 3% higher than Rs 11,017 crore in Q4 FY25, according to the company’s exchange filing. EBITDA rose 4.9% year-on-year to about Rs 4,889-4,890 crore for the quarter (both figures were cited in the provided data). The numbers indicate a modest uplift in operating performance during the quarter.

Subscriber additions and network-led upgrades

Vi said it posted positive monthly subscriber additions starting February 2026. It linked this improvement to aggressive 4G expansion and a wider 5G rollout. While the company did not quantify monthly net adds in the provided data, it positioned the trend as part of an operating recovery effort. The quarter-end subscriber data also shows an increase in the higher-generation user base.

ARPU rises to Rs 190, company claims industry-high

Average revenue per user (ARPU), a key monetisation metric, increased to Rs 190 in Q4 FY26. This was up 8.3% year-on-year from Rs 175 in Q4 FY25, with the company attributing the rise largely to customer upgrades. Vi also said ARPU at Rs 190 was the highest in the industry. The improvement in ARPU matters because it can support revenue resilience even when the overall subscriber base is stable or under pressure.

Subscriber base at 192.8 million; 4G and 5G users expand

Vi ended the March quarter with a total subscriber base of 192.8 million. Within this, 4G and 5G users rose to 128.9 million, compared with 126.4 million a year earlier. The growth in 4G and 5G users suggests continued migration from older technologies and a greater share of customers on higher-value plans. That shift is consistent with the ARPU improvement reported for the quarter.

FY26 snapshot: revenue and EBITDA rise

For the full financial year FY26, Vi reported revenue of Rs 44,873 crore, up 3%. EBITDA for FY26 increased 4.8% to Rs 19,003 crore. These annual figures, like the quarterly operating trend, point to incremental improvement in the core business metrics, even as the company remains described as debt-laden in the provided information.

Market check: stock slightly lower

On May 15, 2026, Vodafone Idea’s share price was reported at Rs 12.95, down about 0.16% from the previous close based on the provided market snapshot. The move suggests a muted immediate reaction in trading around the time the data was referenced. With a large part of the quarter’s profit explained by a one-time accounting gain, investors often separate reported profits from underlying operating momentum when interpreting such results.

Q3 FY26 context: losses were still present earlier

Earlier in FY26, Vi reported a consolidated net loss of Rs 5,286 crore in Q3 FY26, versus Rs 6,609 crore a year earlier. For Q3 FY26, revenue from operations was Rs 11,323 crore and EBITDA was Rs 4,816 crore, while ARPU was reported at Rs 186. The sequential comparison cited in the provided data also noted Q2 FY26 net loss of Rs 5,524 crore. This context highlights that Vi’s FY26 story has included narrowing losses and improving operating metrics, alongside a Q4 profit that was significantly influenced by the AGR-related exceptional item.

Summary table of reported metrics

Why these numbers matter

The Q4 FY26 result is a mix of accounting-led headline profit and gradual operating improvements. The exceptional AGR-related gain explains the sharp swing to a reported profit, while revenue and EBITDA rose in single digits year-on-year. ARPU at Rs 190 and the rise in 4G and 5G users to 128.9 million indicate that Vi is gaining traction with higher-value customers, which can support future operating performance. The company also pointed to positive monthly subscriber additions from February 2026, tied to 4G expansion and 5G rollout.

Conclusion

Vodafone Idea’s Q4 FY26 profit of Rs 51,970 crore was driven by an exceptional AGR-related accounting gain, while operating indicators such as revenue, EBITDA, ARPU, and 4G/5G users improved year-on-year. FY26 revenue rose to Rs 44,873 crore and EBITDA to Rs 19,003 crore, showing incremental progress in core performance. Investors are likely to track whether subscriber additions that began in February 2026 sustain, alongside continued upgrades that supported ARPU.