- Vodafone Group Plc VOD reported first-half FY23 revenue growth of 2% year-on-year to €22.93 billion, driven by service revenue growth and higher equipment sales.
- Group service revenue grew 2.5% Y/Y to €19.21 billion on an organic basis.
- A decline in Germany and Italy impacted group service revenue trends, and Spain, offset by an acceleration in the U.K. and continued good growth in Other Europe and Africa.
- Adjusted EBITDAaL declined by 4.2% Y/Y to €7.24 billion, driven by a material prior year legal settlement and commercial underperformance in Germany.
- Operating profit increased by 12.0% to €2.9 billion, reflecting a higher share of income from associates and joint ventures.
- Cash inflow from operating activities decreased by 2.7% Y/Y to €6.3 billion.
- Adjusted free cash flow was an outflow of €0.5 billion.
- Vodafone held €11.5 billion in cash and equivalents.
- The interim dividend per share is €0.045.
- Nick Read, Group Chief Executive, commented: "We are pleased the Vantage Towers transaction accomplished our three key objectives – monetization, deconsolidation, and retaining co-control of these strategically important assets – and we continue to deliver portfolio actions to strengthen our businesses and accelerate growth. In addition, our recently announced fibre-to-the-home JV in Germany will further enhance our leading gigabit fixed network position in Europe's largest market."
- "We are taking a number of steps to mitigate the economic backdrop of high energy costs and rising inflation. These include taking pricing action across Europe whilst at the same time supporting our most vulnerable customers and driving energy efficiency measures across the business. We are also announcing today a new cost savings target of €1+ billion focused on streamlining and further simplifying the Group."
- Guidance: Vodafone narrowed the Adjusted EBITDAaL from the previous €15.0 billion - €15.5 billion to €15.0 billion - €15.2 billion.
- Vodafone also reduced Adjusted free cash flow from €5.3 billion to €5.1 billion.
- Price Action: VOD shares traded lower by 4.96% at $11.70 in the premarket on the last check Tuesday.
- Photo Via Company
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Comments
Loading...
Benzinga simplifies the market for smarter investing
Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.
Join Now: Free!
Already a member?Sign in
