Vodafone: quarterly revenue dragged down by Spain
(CercleFinance.com) - Vodafone said on Friday that trading during its first quarter was in line with management's expectations, with the mobile operator reporting a drop in its main revenue measure.
Vodafone announced organic service revenue that is down 0.2% for its first quarter to 30 June, which represents an improving trend compared to the 0.7% fall that was reported for the fourth quarter.
The fall in revenue was mainly due to Spain, where service revenues fell by 9.3% in the past quarter due to the commercial actions that the operator has taken over the past year.
Vodafone still confirmed its expectation of adjusted EBITDA in a range of 13.8 billion to 14.2 billion euros for the current financial year, implying "low" single-digit organic growth.
The company also announced its decision to spin off its European tower infrastructure unit, which will be separated into a new organisation, with a range of options over the next 18 months, including a potential IPO.
Vodafone shares, which have fallen by 14% year-to-date, were jumping 8.2% at 142.9 pence this morning in London, outperforming the STOXX Europe 600 Optimised Telecommunications index, which was up 2%.
Copyright (c) 2019 CercleFinance.com. All rights reserved.
Vodafone announced organic service revenue that is down 0.2% for its first quarter to 30 June, which represents an improving trend compared to the 0.7% fall that was reported for the fourth quarter.
The fall in revenue was mainly due to Spain, where service revenues fell by 9.3% in the past quarter due to the commercial actions that the operator has taken over the past year.
Vodafone still confirmed its expectation of adjusted EBITDA in a range of 13.8 billion to 14.2 billion euros for the current financial year, implying "low" single-digit organic growth.
The company also announced its decision to spin off its European tower infrastructure unit, which will be separated into a new organisation, with a range of options over the next 18 months, including a potential IPO.
Vodafone shares, which have fallen by 14% year-to-date, were jumping 8.2% at 142.9 pence this morning in London, outperforming the STOXX Europe 600 Optimised Telecommunications index, which was up 2%.
Copyright (c) 2019 CercleFinance.com. All rights reserved.