Vodafone: posts first-half loss amid big impairments
(CercleFinance.com) - Vodafone reported a first-half loss compared to profit a year ago, as the British telecoms company was hit by a loss made on the disposal of Vodafone India and other impairments.
The loss for the six months ended 30 September was 7.8 billion euros, compared to a profit of 1.2 billion euros a year earlier, the company said in a statement.
The loss for the financial period reflects impairments of 3.5 billion euros in Spain and Romania, as well as a loss on the disposal of Vodafone India of 3.4 billion euros following the completion of its merger with Idea Cellular.
Vodafone also blames higher net financing costs and the de-recognition of a deferred tax asset in Spain.
Group revenue fell by 5.5% to 21.8 billion euros.
For the full year, the operator narrowed its underlying organic adjusted EBITDA growth target to about 3% (previously 1%-5%) and raised its free cash flow forecast to approximately 5.4 billion euros, from at least 5.2 billion euros previously.
The London-listed shares jumped by over 7% after the report.
Copyright (c) 2018 CercleFinance.com. All rights reserved.
The loss for the six months ended 30 September was 7.8 billion euros, compared to a profit of 1.2 billion euros a year earlier, the company said in a statement.
The loss for the financial period reflects impairments of 3.5 billion euros in Spain and Romania, as well as a loss on the disposal of Vodafone India of 3.4 billion euros following the completion of its merger with Idea Cellular.
Vodafone also blames higher net financing costs and the de-recognition of a deferred tax asset in Spain.
Group revenue fell by 5.5% to 21.8 billion euros.
For the full year, the operator narrowed its underlying organic adjusted EBITDA growth target to about 3% (previously 1%-5%) and raised its free cash flow forecast to approximately 5.4 billion euros, from at least 5.2 billion euros previously.
The London-listed shares jumped by over 7% after the report.
Copyright (c) 2018 CercleFinance.com. All rights reserved.