Vodafone Reports Revenue Growth in Q1 Despite Challenges
Vodafone experienced a 5.5% increase in service revenue during the first quarter, surpassing expectations. Despite facing setbacks in Germany and slower growth in the UK due to the ongoing merger with Three, the company remains optimistic.
In Europe and Africa, Vodafone delivered positive outcomes with stable performance in Germany and growth in business sales. However, the UK witnessed slower progress attributed to operational challenges.
The group reported a 5.5% rise to €7.86 billion in group service revenue, with Germany showing signs of improvement while the UK market faced disruptions. The outlook remains positive as full-year profit guidance has been revised upwards.
Key drivers of growth included wholesale and business sales in Germany. In the UK, mobile service revenue increased slightly, and fixed services saw growth despite challenges in business revenue.
Overall, Vodafone’s total revenue climbed by 3.9%, and Adjusted EBITDA increased by 4.9% with a margin improvement to 29.3%.
In the UK, the new VodafoneThree entity aims to invest significantly in 5G infrastructure over the next decade, positioning itself as the largest mobile network operator in the country.
Across other regions, Vodafone witnessed notable growth in Türkiye and Africa, while addressing challenges in consumer sales in certain European markets.
Vodafone’s leadership remains upbeat about future prospects, highlighting the ongoing transformations that position the company for sustained growth in Europe and Africa.
