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<\/span><\/figcaption><\/figure>Kolkata: Indus Towers shares<\/a> initially fell over 3% on Friday morning on BSE<\/a>, a day after the telecom tower company said it had made a provision of Rs 1,770.9 crore in the fiscal second quarter towards doubtful debt --- a sharp 43% sequential rise -- as the telecom infrastructure provider is yet to receive payment from a key customer. The customer is believed to be Vodafone Idea<\/a> (Vi).

Indus Towers<\/a> shares were subsequently trading at Rs 187.30, down 1.94% on BSE around noon.

The dues from Vi hurt Indus’ second quarter net profit, which plunged 44% on-year to Rs 872 crore. Operating cash flows also fell 39% on-year to Rs 1,277 crore even as its trade receivables rose 4% sequentially to Rs 6,499 crore. Consolidated revenue, though, rose 16% on-year to Rs 7,967 crore.

“Though near term challenges on receivables and survival of one major client persist, we believe that few positive developments on Vi front and government relief package for telecom sector during past 1 year, probability of survival of Vi still remains,”
Reliance Securities<\/a> said in a note.

\"Indus<\/a><\/figure>

Indus doubtful debt provision up 43% on qtr to Rs 1770.9 cr; agrees to softer payment terms with Vodafone Idea<\/a><\/h2>

In its earnings statement for the July-September quarter, Indus also warned that the potential loss of that “significant customer” if it fails to continue as a going concern or Indus’s failure to get new clients could have an adverse effect on the tower company’s business, results of operations and financial conditions.<\/p><\/div>

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<\/span><\/figcaption><\/figure>Kolkata: Indus Towers shares<\/a> initially fell over 3% on Friday morning on BSE<\/a>, a day after the telecom tower company said it had made a provision of Rs 1,770.9 crore in the fiscal second quarter towards doubtful debt --- a sharp 43% sequential rise -- as the telecom infrastructure provider is yet to receive payment from a key customer. The customer is believed to be Vodafone Idea<\/a> (Vi).

Indus Towers<\/a> shares were subsequently trading at Rs 187.30, down 1.94% on BSE around noon.

The dues from Vi hurt Indus’ second quarter net profit, which plunged 44% on-year to Rs 872 crore. Operating cash flows also fell 39% on-year to Rs 1,277 crore even as its trade receivables rose 4% sequentially to Rs 6,499 crore. Consolidated revenue, though, rose 16% on-year to Rs 7,967 crore.

“Though near term challenges on receivables and survival of one major client persist, we believe that few positive developments on Vi front and government relief package for telecom sector during past 1 year, probability of survival of Vi still remains,”
Reliance Securities<\/a> said in a note.

\"Indus<\/a><\/figure>

Indus doubtful debt provision up 43% on qtr to Rs 1770.9 cr; agrees to softer payment terms with Vodafone Idea<\/a><\/h2>

In its earnings statement for the July-September quarter, Indus also warned that the potential loss of that “significant customer” if it fails to continue as a going concern or Indus’s failure to get new clients could have an adverse effect on the tower company’s business, results of operations and financial conditions.<\/p><\/div>