Weak Q2 hits Idea on Sensex, Nifty

Weak Q2 hits Idea on Sensex, Nifty

Mumbai: Telecom firm Idea Cellular on Tuesday plunged nearly 4% in the early session on the Bombay Stock Exchange, a day after it reported weak second quarter results.

Shares of the company started the day on a negative note and lost as much as 3.89% to touch an early low of Rs69 on the Bombay Stock Exchange.

On Monday, the private telecom services provider had posted a consolidated net profit of 179.74 crore for the second quarter ended 30 September, which according to market experts was below the market expectations.

The scrip saw a similar decline on the National Stock Exchange, where it lost up to 2.58% to Rs69.75 in the morning session.

Idea Cellular had a net profit of Rs220.15 crore in the July-September quarter last year.

Its share price tumbled even as Idea specified the September quarter figures were not comparable with that of the corresponding period last year, due to the merger of Spice Communications Ltd, effective from 1 March 2010, prior to which it was a joint venture.

Shares of another telecom services provider Tata Teleservices (Maharashtra) also shed 4.5% at the start of the session, even after its net loss for the quarter ended 30 September, narrowed to Rs97.90 crore from Rs107.98 crore in the year ago period.

Meanwhile, the 30-share benchmark Sensex was trading higher by 10.39 points at 20,313.51.