IDEA's revenue declined 13% QoQ (-25% YoY) to INR65.1b (2% miss), while EBITDA fell 19% QoQ to INR12.2b. The impact on revenue/EBITDA on account of IUC rate cut was 11%/15%; the balance was due to ARPU down trading. However, lower cost (-11% QoQ) helped restrict the impact on margins (-130bp QoQ to 18.8%). Net loss widened to INR12.8b (est. of INR13.9b) from INR11.1b in the previous quarter. Bucking the trend of 2QFY18, gross subscribers grew 3% QoQ to 188.5m. Despite this, intense competition in the sector led to blended ARPU decline of 14% QoQ (11% impact on IUC). Voice/data ARPU dropped 5%/10% QoQ to INR85/INR95 due to a decline of 24%/26% in RPM/ARMB, offsetting traffic growth of 11%/30% QoQ.