Are you looking for information about offers, devices or your account?

Please choose your local Vodafone website

Vodafone announces results for the six months ended 30 September 2017

14 Nov 2017Corporate and Financial
4 minute read


  • Group total revenue down 4.1% to €23.1 billion, primarily due to the deconsolidation of Vodafone Netherlands and FX movements; operating profit up 32.5% to €2.0 billion; profit for the financial period of €1.2 billion
  • Organic service revenue up 1.7%*; Q2 up 1.3%* (Europe 0.8%*, AMAP 6.2%*)
  • Organic adjusted EBITDA up 13.0%* to €7.4 billion (9.3%* ex roaming, UK handset financing and regulatory settlements1)
  • Free cash flow (pre-spectrum) improved to €1.3 billion vs. a €0.1 billion outflow in the prior year. Free cash flow was €0.4 billion vs. a €0.4 billion outflow in the prior year
  • Raising full-year guidance for organic adjusted EBITDA growth to around 10% (previously 4-8%), implying a range of €14.75-€14.95 billion at guidance FX rates; FCF pre-spectrum to exceed €5 billion (previously ‘around €5 billion’)
  • Vodafone India service revenues down 15.8%*, adjusted EBITDA down 39.2%*; merger with Idea Cellular progressing well
  • Interim dividend per share of 4.84 eurocents, up 2.1%

Vittorio Colao, Group Chief Executive, commented:

“In the first half of the year we have maintained good commercial momentum. Revenue grew organically in the majority of our markets driven by mobile data and our continued success as Europe’s fastest growing broadband provider. Enterprise revenues continue to grow, led by our Internet of Things (‘IoT’), Cloud and Fixed services, and for the second year running we achieved an absolute reduction in our operating costs. As a result, we are able to report a strong financial performance, with substantial EBITDA margin expansion and profit growth, and we are raising our financial outlook for the year.

In India competition remains intense. There are however signs of positive developments in the Indian market, with consolidation of smaller operators and recent price increases from the new entrant. We are making good progress in securing regulatory approvals for our merger with Idea Cellular and in monetising our tower assets.

In the second half of the year we will continue to implement our strategic initiatives, including fibre infrastructure expansion in Germany, Portugal and the UK; our entry into the consumer IoT market with the launch of “V by Vodafone”; and the ‘Digital Vodafone’ programme designed to enhance our customers’ experience, increasing revenues and cost efficiency.”

Six months ended 30 SeptemberGrowth
2017 €m Restated2 2016 €mReported %Organic* %
Group revenue323,075 24,051(4.1)
Operating profit42,0081,515+32.5
Profit/(loss) for the financial period41,235(5,003)NM
Basic earnings/(loss) per share44.03c(18.38c)NM
Interim devidend per share4.84c 4.74c+2.1
Net debt(32,055)(37,884)(15.4)
Alternative performance measures5
Group service revenue20,59221,811(5.6)+1.7
Adjusted EBITDA7,3857,090+4.2+13.0
Adjusted EBIT2,4572,050+19.9+51.9
Adjusted earnings per share6.32c4.08c+54.9
Free cash flow pre-spectrum (guidance basis)1,289(148)NM
Free cash flow2415(428)NM

Notes to Editors

* All amounts in this document marked with an “*” represent organic growth which presents performance on a comparable basis, both in terms of merger and acquisition activity and movements in foreign exchange rates. “Change at constant exchange rates” presents performance on a comparable basis in terms of foreign exchange rates only. Organic growth and change at constant exchange rates are alternative performance measures. See “Alternative performance measures” on page 42 for further details and reconciliations to the respective closest equivalent GAAP measure.

1. The year-over-year change in organic adjusted EBITDA excluding the impact of European roaming (defined as the increase in visitor revenues less the increase in roaming costs and the decline in out-of-bundle roaming revenues), the effect of introduction of handset financing in the UK and the benefit of regulatory settlements in the UK.

2. The results for the half year ended 30 September 2016 have been restated to exclude the results of Vodafone India which has been classified as discontinued operations for Group reporting purposes following the agreement to combine with Idea Cellular. In addition, free cash flow has been redefined to include restructuring and licence and spectrum payments to ensure greater comparability with similarly titled measures and disclosures by other companies.

3. Group revenue and service revenue include the regional results of Europe, AMAP, Other (which includes the results of partner market activities) and eliminations.

4. Half year ended 30 September 2016 includes a gross impairment charge €6,375 million recorded in respect of the Group’s investment in India, which together with the recognition of an associated €1,375 million deferred tax asset, led to an overall €5.0 billion reduction in the carrying value of Vodafone India.

5. Alternative performance measures are non-GAAP measures that are presented to provide readers with additional financial information that is regularly reviewed by management and should not be viewed in isolation or as an alternative to the equivalent GAAP measure. See “Alternative performance measures” on page 42 for reconciliations to the closest respective equivalent GAAP measure and “Definition of terms” on page 52 for further details.

For further information

Vodafone Group, Media Relations

Investor Relations
Telephone: +44 (0) 7919 990 230

H1_17-18_Interim_Press_Release_FINAL.pdf Q2_18_Web_Spreadsheet_FINAL.xlsx

About Vodafone Group

Vodafone Group is one of the world’s largest telecommunications companies and provides a range of services including voice, messaging, data and fixed communications. Vodafone Group has mobile operations in 26 countries, partners with mobile networks in 49 more, and fixed broadband operations in 19 markets. As of 31 December 2017, Vodafone Group had 529.1 million mobile customers and 19.3 million fixed broadband customers, including India and all of the customers in Vodafone’s joint ventures and associates. For more information, please visit:

  • Press Release
  • Corporate and Financial

More stories

No results found