Uncertainty on AGR, spectrum payments weighs on Vodafone Idea: Analysts

Without fundraising, the company may not be able to meet its payment obligations over the next 12 months

Though its March quarter (Q4) results were operationally in line with Street expectations, the Vodafone Idea (Vi) stock slipped over 8.8 per cent given concerns on unsustainable debt levels, lack of clarity on the adjusted gross revenues issue (AGR) and fundraising plans.

While the company ended financial year 2020-21 (FY21) with operating cash flow of over Rs 15,000 crore, it has to do much better if it is to meet its upcoming payment obligations. Though the Street is awaiting the telecom regulator’s view of floor tariffs, Vi may have to initiate a price hike. The decision is likely to be taken