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Vodafone Group plc (VOD)

  • Tue, Nov. 10, 4:56 AM
    • Highlighting the continued recovery of its key European markets, Vodafone (NASDAQ:VOD) raised its full-year earnings guidance despite swinging to a first-half loss on infrastructure costs.
    • The group posted a return to EBITDA growth in the first half of 1.7% to £5.8B, while recording a net loss for the period of £1.7B, compared with a £5.42B profit a year ago.
    • Vodafone now expects full-year EBIDTA of between £11.7B-£12B vs. a previous £11.5B.
    • VOD +4% premarket.
    | Tue, Nov. 10, 4:56 AM | Comment!
  • Fri, Jul. 24, 9:20 PM
    • Following Vodafone's (VOD +2%) Q1 results, in its earnings call today (transcript), CEO Vittorio Colao elaborated on the company's discomfort with the power of a consolidated BT Group/EE combo in the UK as regulatory questions piled up.
    • Vodafone and industry peers have called for a breakup of BT Group -- UK regulator Ofcom is considering a split of Openreach -- and Colao said the right rules could prompt investment.
    • "So I think the regulators should have a serious look at the possibility of creating a true modern infrastructure company to serve the country. And Openreach could be that one. And, ideally, Vodafone could even be an investor in fiber like we are in other places, if it was a genuine thing."
    • Colao also complained about broadcasters like Sky paying heavy fees to get exclusive programming rights that are enforced with some close-together geographic borders in Europe, a subject that touches on the EU's antitrust action against major Hollywood studios.
    • "Minimum guarantees are my enemy and we need to convince regulators they are anticompetitive," Colao said. "But I think the behavior of content owners will be under a lot of scrutiny in coming years."
    • Previously: BT CEO threatens decade of litigation if forced to divest wholesale unit (Jul. 20 2015)
    | Fri, Jul. 24, 9:20 PM | Comment!
  • Fri, Jul. 24, 9:27 AM
    • Vodafone (NASDAQ:VOD) is up 2.7% premarket after a quarterly report where growth sped up slightly on revenues held down by currency changes.
    • Revenues were down 0.9%, but increased 3.3% excluding forex and M&A. Organic service revenues (excluding M&A, forex and handset sales) was up 0.8%, boosted by 6.1% gains in its Africa/Middle East/Asia Pacific geo. India provided a regional boost with 6.9% gains.
    • European organic service revenue fell 1.5% but comparative recovery was apparent across markets: Germany -1.2%; Italy -2%; Spain -5.5%; UK +0.2%.
    • The company reported 24.1M 4G customers across 18 markets.
    • CEO Vittorio Colao called it "a good start to the year. Our emerging markets have maintained their strong momentum and more of our European businesses are returning to growth, as customer demand for 4G and data takes off."
    | Fri, Jul. 24, 9:27 AM | 1 Comment
  • Tue, May 19, 10:14 AM
    • Vodafone (NASDAQ:VOD) is 3.8% lower in early U.S. trade, trailing its decline in London, after an earnings report that was encouraging for its revenue trends as well as solid growth in EBITDA despite fierce competition in its markets.
    • Revenue grew for the first time in 11 quarters (boosted by results in the Middle East, Africa, and Asia Pacific) and the company forecast full-year core earnings growth (to £11.5B-£12B) after seven years of declines.
    • Profit of £5.76B declined substantially but it was compared against a year-ago quarter when the company got a one-time contribution of £48.2B from selling its share of its JV with Verizon.
    • The company had slightly more subscribers at quarter's end, totaling 445.8M mobile subscribers and 12M fixed-line (up from 11.8M).
    • Citigroup analysts called the results in line -- "We see the positives as probably not quite positive enough to keep the stock moving up today."
    • After earnings, Vodafone renewed its call on regulators to clamp down on BT Group's acquisition of EE, and for deal concessions to "avoid the re-creation of a giant, dominating company."
    | Tue, May 19, 10:14 AM | 2 Comments
  • Tue, May 19, 3:59 AM
    • Vodafone (NASDAQ:VOD) posted a rise in its quarterly sales measurement for the first time in nearly three years this morning, although the company's earnings remained under pressure. Net profit in the year to March 31 fell to £5.76B, from £59.3B a year ago.
    • Heavy competition has hit Vodafone both abroad and in its home market, where it is the No. 3 mobile carrier. In the U.K., BT and EE recently agreed to combine, while O2 and Hutchison Whampoa decided to merge their mobile networks.
    • Vodafone shares are down 2.7% in London.
    | Tue, May 19, 3:59 AM | 2 Comments
  • Thu, Feb. 5, 4:22 AM
    • A steady recovery in Europe helped Vodafone (NASDAQ:VOD) stem the rate of sales decline in its third quarter, as revenue rose 13.5% to £10.88B, beating market forecasts of £10.4B.
    • Group service revenue, a key metric based on telecom-services sales, fell 0.4% excluding acquisitions and disposals, and on a constant currency basis. That compares with a 4.8% decline in the same period last year.
    • Vodafone also reiterated its fiscal-year guidance of adjusted operating profit of £11.6B-£11.9B.
    • VOD +1.2% premarket
    | Thu, Feb. 5, 4:22 AM | 2 Comments
  • Nov. 11, 2014, 4:33 AM
    • Vodafone (NASDAQ:VOD) Q2 organic service revenue -1.5% vs. -2.8% expected and -4.2% in Q1.
    • H1 revenue +8.9% to £20.8B.
    • H1 EBITDA -10%* to £5.9B.
    • Sees FY core earnings between £11.6B and £11.9B, vs. previous guidance of £11.4-11.9B.
    • Shares +5.3% in London.
    • Source: press release
    | Nov. 11, 2014, 4:33 AM | Comment!
  • Jul. 25, 2014, 11:02 AM
    • On an organic basis (backs out forex and M&A), Vodafone's (VOD +2.6%) service revenue fell 4.2% Y/Y in FQ1 to £9.45B ($16.01B), a slightly bigger decline than FQ4's 3.8%.
    • European service revenue fell 7.9%, while all other markets grew 4.7%. However, the latter was down double-digits if forex is accounted for; weak Indian, Turkish, and South African currencies were responsible.
    • Vodafone's European mobile sub base fell by 1.77M to 127.1M - 878K subs were lost in Italy, 366K in Germany, and 236K in Spain. 80K were added in the U.K. With sub losses, declining voice/text revenue, and termination fee rate cuts taking a toll, service revenue fell 16.1% in Italy, 15.3% in Spain, 4.9% in Germany, and 3.2% in the U.K.
    • Mobile subs in all other markets grew by 6.37M to 303.7M (166.6M in India). 3.3M subs were added in India, and 3M by the African Vodacom unit. Service revenue grew 10.3% in India, and was flat in Vodacom markets (hurt by South African termination fee cuts). Europe is still 68% of service revenue.
    • £1.87B was spent on capex (£600M related to Project Spring), leading free cash flow to total -£582M. Net debt grew by £400M to £14.1B ($23.9B).
    • Press release (.pdf), earnings slides (.pdf)
    | Jul. 25, 2014, 11:02 AM | 2 Comments
  • May 20, 2014, 3:20 AM
    • Vodafone's (VOD) FY EBITDA dropped 5.4% to £12.8B as revenue slipped 1.9% to £43.6B, hurt by the carrier's exposure to sluggish European markets.
    • Net profit attributable to shareholders soared to £59.25B from £413M a year earlier, boosted by the sale of Vodafone's 45% stake in Verizon Wireless for $130B, for which the British carrier received a one-off contribution of £48.2B.
    • Adjusted operating profit dropped 37% to £7.67B, mainly due to a much lower contribution from Verizon Wireless before it was sold.
    • In Q4, organic service revenue declined 3.8%, although that was slightly less than consensus of -3.9%.
    • Expects FY 2015 EBITDA to drop to £11.4-11.9B.
    • "Our operational performance has been mixed," says CEO Vittorio Colao. While Vodafone's "emerging markets businesses have performed strongly," in Europe, the company continues "to face competitive, regulatory and macroeconomic pressures."
    • Vodafone declared a final dividend of 7.47 pence a share, giving total dividends of 11 pence, up 8%. (PR)
    | May 20, 2014, 3:20 AM | 3 Comments
  • Feb. 6, 2014, 3:27 AM
    • Vodafone (VOD) FQ3 revenue dropped 3.6% to £10.98B but topped consensus of £10.86B ($17.91B) .
    • Organic group service revenue -4.8%. In Europe, where Vodafone said conditions "are still difficult," sales dropped 9.6%, with Germany -7.9%, the U.K. -5.1% and Italy -16.6%. In Africa, Middle East & Asia Pacific, the figure rose 5.5%.
    • Revenue was hurt by price competition in Germany and the U.K., as well as by weak southern European markets.
    • However, the company said "the shift to 4G is gaining momentum," so it's optimistic that its "revenue performance will begin to improve."
    • Vodafone reiterated its fiscal-year guidance for adjusted operating profit of £5B and free cash flow of £4.5-5B.
    • The company didn't disclose profit figures.
    • Shares are +1.5% in London. (PR)
    | Feb. 6, 2014, 3:27 AM | 2 Comments
  • Nov. 12, 2013, 2:39 AM
    • Vodafone's (VOD) H1 EBITDA dropped 4.1% to £6.6B but topped consensus of £6.4B.
    • Revenue +1.2% to £22.03B; on organic basis, revenue -3.2%.
    • Pretax profit £1.51B.
    • Takes £3B tax charge on $130B sale of its stake in Verizon Wireless.
    • Confirms full-year guidance for adjusted operating profit of £5B, free cash flow of £4.5–5B.
    • Vodafone intends to invest £7B ($11.18B) by March 2016 as part of its "Project Spring" to improve its network as it looks to cater to consumers who want to access the Internet with smartphones and tablets.
    • Declares interim dividend of 3.53 pence a share, up 8%; intends to pay full-year dividend of 11 pence. (PR)
    | Nov. 12, 2013, 2:39 AM | 2 Comments
  • Jul. 19, 2013, 3:22 AM
    Vodafone (VOD) FQ1 organic service revenue -3.5% to £10.155B; sales to Northern and Central Europe -3% due to "competitive intensity", with U.K. -4.5% and Germany -5.1%. Southern Europe -14.4%, with Italy -17.6% and Spain -10.6%. Sees good growth in Africa, the Middle East and Asia Pacific. Net debt -£2.1B on quarter to £24.9B. Reiterates full-year outlook. Expects to complete the €7.7B acquisition of Kabel Deutschland (KBDHY.OB) by the end of 2013. (PR)
    | Jul. 19, 2013, 3:22 AM | 4 Comments
  • Jul. 18, 2013, 9:58 AM
    The iPhone (AAPL +0.7%) accounted for 51% of Verizon Wireless' (VZ -2.4%, VOD -0.5%) Q2 smartphone sales. That translates into 3.9M iPhones, above estimates and good for a 44% Y/Y increase (up from Q1's +25%). Verizon also says it isn't interested in Leap Wireless (LEAP -0.2%), and calls its interest in entering Canada an "exploratory exercise." Retail postpaid net adds rose Q/Q, but Y/Y growth fell to 6% from Q1's 35%. Retail churn was 1.23%, -7 bps Q/Q but +12 bps Y/Y. Retail postpaid ARPA rose by $2.23 Q/Q to $152.50. Retail prepaid net adds totaled 97K vs. 43K in Q1 and 290K a year ago. Total wireline revenue -1.6% Y/Y, as business declines offset consumer growth. 2013 capex budget slightly raised to $16.4B-$16.6B from $16.2B. (Verizon Q2: I, II)
    | Jul. 18, 2013, 9:58 AM | 5 Comments
  • May 21, 2013, 4:34 AM
    Vodafone (VOD): FQ4 organic service revenue -4.2% (in line, but worst quarterly drop on record): -12.8% in Italy and -11.5% in Spain. Impairment charge of £1.8B in Italy, bringing total impairments for Spain and Italy to £7.7B for the full year during which sales were down 4.2%, to £44.4B and core earnings were off 3.1% to £13.3B. Adjusted operating profit beats, rising 9.3% to £12B. The company said it will keep its 45% share of Verizon's (VZ) dividend payment to shore up operations.
    | May 21, 2013, 4:34 AM | 4 Comments
  • Apr. 18, 2013, 10:56 AM
    More on Verizon: Verizon Wireless' performance is taking center stage as shares rally. Service revenue rose 8.6% Y/Y, while equipment sales fell 1.4% (evidence of Verizon's efforts to lower subsidies). Retail postpaid net adds rose by 677K, and total retail net adds by 720K. Wireless operating income margin rose 430 bps Y/Y to 32.9%. Retail postpaid churn rose 6 bps Q/Q and 5 bps Y/Y to 1.01%. Vodafone (VOD +2.2%) is rallying in response to VZW's numbers, and CC comments about Verizon being "extremely confident" it can buy Vodafone's stake without taking a tax hit.
    | Apr. 18, 2013, 10:56 AM | 2 Comments
  • Feb. 7, 2013, 3:33 AM
    Vodafone (VOD): FQ3 revenues -2% to £11.39B vs consensus of £11.29B. Profit figures not provided. Results "continue to reflect very difficult market conditions in Europe," with Spain and Italy particularly hit, although growth in emerging markets continues. Data revenue +12.8% as European smartphone penetration rises to 33.4%. Shares +2.1% in London. (PR)
    | Feb. 7, 2013, 3:33 AM | 1 Comment
Company Description
Vodafone Group PLC is engaged in providing voice and data communications services for all types of customers. The Company has presence in Europe, the Middle East, Africa, the Asia Pacific region and the United States.