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Vodafone Spain total revenue reached €1,800 million in the first quarter of the financial year

22 July 2008

The number of 3G devices increased by 546,000, total penetration of 3G devices over the customer base reached 35% at the end of the quarter

(Key performance indicators corresponding to the first quarter of its financial year -1st April to 30th June 2008-)

  • Vodafone Spain maintained a strong commercial activity, its customer base increased by 171,000 in the period to 16,210,000 customers the 30th of June 2008.
  • Total revenue increased by 1.2%, to reach €1,814 million.
  • Voice revenue decreased by 3.9% due to a decline in both termination rates and the average price per minute of voice.
  • Data revenue (excluding SMS premium) increased by 16.9% compared to the same quarter last year
  • The decline in voice and messaging spending was not totally offset by growth in data revenue, leading service revenue to a decrease of 2.5% on an organic basis
  • DSL and fixed line revenue amounted to €76 million
  • On 30th June, contract customers accounted for 58.8% of the total customer base, 3 p.p. more than 12 months earlier

Madrid, 22nd July 2008 Today Vodafone Spain has announced the main business indicators for the first quarter of its fiscal year (1 April - 30 June 2008). Total revenue amounted to €1,814 million, 1.2% higher than the same quarter of the previous year. Service revenue declined by 2.5% on an organic basis, primarily due to lower customer spending in a tougher economic environment. Fixed line revenue totalled €76 million.

Strong commercial activity, growth in voice traffic and decrease in price per minute of voice usage.

Vodafone Spain maintained a solid commercial activity, with its customer base growing by 171,000 to a total of 16,210,000 customers on June 30th, 2008. It’s appealing pricing plans and the growing weight of its contract customer base contributed to stimulate usage, and permitted the voice traffic minutes to increase 8.2% in Vodafone Spain, as compared to last year’s first quarter. The total traffic growth and the customer base increased similarly thus maintaining stable voice usage by the customer.

But, although there has been an increase in traffic, it has not been enough to compensate the decrease of the voice per minute price and consequently the revenue in voice services has lowered 3.9%.

The reduction of the price per minute is mainly the result of the reduction in termination rates, the launch of promotional campaigns (calls at 1 cent/min to other Vodafone customers from 21st May to 31st August) and the adoption by customers of patterns of use aimed to optimize their price plans.

Data revenue increased by 4.2% compared to the same quarter last year
This growth is marked by the strong increase of the number of 3G devices, 546.000 in this quarter reaching 5.810.000. The greater use of datacards and modems for PCs boosts the growth of the income from data services, excluding the SMS Premium, in a 16.9%. On the other hand, the income generated by the SMS Premium decreased 35.5%.