INDIAN telecoms operator Vodafone Idea reported an unexpected fourth-quarter net profit on Saturday after recording a one-time gain due to a reduction in statutory liabilities.
The company also said its promoter Aditya Birla Group would invest 47.3 billion rupees ($500 million) through fully convertible warrants.
The company posted consolidated profit after tax of 519.7 billion rupees in the three months to March 31. Analysts had expected a loss.
Earlier this year, the Indian government capped Vodafone Idea's adjusted gross revenue dues at $13.79 million annually for the next six years, easing near-term cash flow pressure for the firm.
Vodafone Idea has invested heavily in its 4G and 5G networks in recent years to improve service quality and curb a steady decline in its subscriber base.
The company's average revenue per user (ARPU), a key industry metric, rose to 190 rupees from 175 rupees a year earlier.
India's third-largest telecom provider, 49-percent owned by the government, was formed in 2018 by a merger between the Indian arm of Britain's Vodafone Group and Aditya Birla Group’s Idea Cellular.
The company has been struggling with debt and keeping up with the network expansion of larger rivals.
Overall revenue for the quarter totaled 113.32 billion rupees, missing analysts' average estimate of 116.50 billion rupees. REUTERS
