Vodafone Idea Share Price in Focus as SC to Hear Plea Against ₹9,450 Cr AGR Demand

Vodafone Idea (Vi) has approached the Supreme Court seeking to quash the Department of Telecommunications’ (DoT) additional demand of ₹9,450 crore in Adjusted Gross Revenue (AGR) dues. 

The cash strapped telecom operator argues that the fresh claim violates earlier apex court orders that had finalised AGR liabilities until FY17.

Vi’s AGR Dues and Supreme Court Orders

The AGR issue has been at the center of India’s telecom sector crisis. In July and September 2020, the Supreme Court had crystallised AGR liabilities up to FY17 and barred any reassessment of those dues. Vodafone Idea claims that the DoT’s latest demand breaches these rulings, as per The Economic Times report.

DoT’s Additional Demand

In August 2023, the DoT issued a fresh letter to Vodafone Idea, citing outstanding license fee dues up to FY19 that were allegedly not included in the 2020 judgment. Based on departmental assessments, the DoT computed an additional ₹9,450 crore to be paid by March 31, 2026.

According to Vi’s petition, the bulk of this around ₹5,606 crore (as on March 31, 2025 relates to the period up to FY17, which the Supreme Court had already settled. If additional spectrum usage charge (SUC) demands for that period are included, the figure rises to nearly ₹6,800 crore.

Vodafone Idea’s Arguments

Vi has challenged the DoT’s claim on several grounds:

• The DoT’s move contradicts Supreme Court’s 2020 orders that barred reassessment of AGR dues.
• Certain demands appear to involve double counting of revenues, leading to inflated figures.
• The department cannot unilaterally raise fresh claims for the period up to FY17 without first correcting acknowledged errors in its earlier assessments.
• The fresh demand pertains only to license fees, but if SUC components are added, the financial burden becomes even larger.

Crucial Week as Apex Court Takes Up AGR Dispute

The Supreme Court is expected to hear the petition this Friday. The case outcome will be critical for Vodafone Idea, which continues to face severe financial stress while managing its existing AGR liabilities under a court-mandated payment schedule ending March 31, 2026.

Vodafone Idea Share Price Performance

Vodafone Idea shares were trading at ₹8.03, down 1.35% (-₹0.11) at 09:40 AM on the NSE. The stock opened at ₹8.23 and touched an intraday high of ₹8.24, while the day’s low stood at ₹7.95. The volume-weighted average price (VWAP) was recorded at ₹8.07, compared to a previous close of ₹8.14.

Vodafone Idea’s Dividend History

Vodafone Idea last rewarded its shareholders with a final dividend of ₹0.60 per share, with the record date set on 22nd September 2016. Investors needed to have the company’s shares in their demat account by the previous trading day (i.e., 21st September 2016) to qualify for this dividend.

Since then, Vodafone Idea has not declared any dividends, reflecting the company’s prolonged financial stress and capital requirements to sustain operations and fund network investments.

Conclusion

The fresh AGR dispute highlights ongoing tensions between telecom operators and the government over past dues. For Vodafone Idea, already battling liquidity issues, the outcome of this case could significantly impact its financial stability and future viability.

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