Vodafone: posts loss as crisis continues taking toll
(CercleFinance.com) - Reflecting the toll that the coronavirus crisis is continuing to take on the global economy, Vodafone has reported a first-half loss of almost two billion euros on Monday.
The world's second largest mobile phone operator said its net loss reached 1.9 billion euros in the fiscal first half, a far cry from a profit of over 1.5 billion euros in the same period a year ago.
The telecom giant said that the Covid-19 pandemic and the resulting drop in roaming revenues - through the collapse of international travel has hit its results, with revenue down over 2% in the six months to 30 September.
However, the company, deemed that its performance over the first half was "resilient" and said that it continues to see "good commercial momentum" across the group. Note that it has recently launched 5G in 127 cities across nine European markets.
For the current fiscal year, Vodafone reaffirmed its free cash flow guidance of at least five billion euros, excluding spectrum and restructuring expenses.
The company also said it expects full-year operating profit (adjusted EBITDA) to come in between 14.4 billion euros and 14.6 billion euros.
Vodafone shares rose over 3% to a four-month high after this report, in a stockmarket that seems increasingly optimistic about the prospect of a future vaccine.
Copyright (c) 2020 CercleFinance.com. All rights reserved.
The world's second largest mobile phone operator said its net loss reached 1.9 billion euros in the fiscal first half, a far cry from a profit of over 1.5 billion euros in the same period a year ago.
The telecom giant said that the Covid-19 pandemic and the resulting drop in roaming revenues - through the collapse of international travel has hit its results, with revenue down over 2% in the six months to 30 September.
However, the company, deemed that its performance over the first half was "resilient" and said that it continues to see "good commercial momentum" across the group. Note that it has recently launched 5G in 127 cities across nine European markets.
For the current fiscal year, Vodafone reaffirmed its free cash flow guidance of at least five billion euros, excluding spectrum and restructuring expenses.
The company also said it expects full-year operating profit (adjusted EBITDA) to come in between 14.4 billion euros and 14.6 billion euros.
Vodafone shares rose over 3% to a four-month high after this report, in a stockmarket that seems increasingly optimistic about the prospect of a future vaccine.
Copyright (c) 2020 CercleFinance.com. All rights reserved.