State-run MTNL today reported net loss of Rs 1,093.7 crore for the second quarter ended September 30.
The telecom company had posted a net loss of Rs 864.2 crore in the corresponding period last fiscal.
The total income from operations was also down 2.16 per cent to Rs 842 crore in the reported quarter compared to Rs 860 crore in the July-September quarter of 2011.
During the quarter, MTNL's revenues from basic services stood at Rs 688.8 crore, while those from cellular services was Rs 184.4 crore, it said in a statement.
Employee remuneration and benefit costs stood at around Rs 970.1 crore during the second quarter ending September 30, compared to about Rs 801 crore in the same quarter last year.
The company's administrative and operative expenditure increased to Rs 200.2crore from Rs 177.1 crore in the corresponding quarter of the previous year. This partly reflects increased expenditure on power and fuel and maintenance costs, the statement added.
During the quarter, the company added 22,419 broadband subscribers taking the total to 10,85,169 users.
"The company has deployed adequate capacity for mobile and broadband connections to meet the demand," it said.
MTNL has over nine million mobile and wireline subscribers and offers services in two circles -- Delhi and Mumbai.
The company has decided to offer voluntary retirement scheme (VRS) to about 20,000 employees as part of its efforts to turn profitable.
Shares of MTNL today closed at Rs 26.85 apiece on the BSE, down 2.36 per cent from their previous close.