UK compares favourably with European counterparts as operator posts third quarter results
Vodafone’s UK’s revenues grew by more than a quarter for the three months to December 31, as group revenues dipped 3.6 percent.
UK income rose by over £300m to £1.52bn, compared with £1.2bn for the same period last year, while overall revenue fell in excess of £200m to £7.1bn. UK service revenues excluding handset sales declined by 5.1 percent as part of an overall slide of 4.8 percent.
The firm highlighted increased competition from other operators as a contributing factor to the decline in the key service revenues segment. It added 191,00 customers to its UK base which now stands at 2.3m subscribers. 373,000 customers are using its 4G services following its summer launch.
Chief executive Vittorio Colao says conditions in Europe ‘remain difficult’, adding: “We continue to mitigate these challenges through on-going improvements to our operating model and cost efficiency.
“In addition, the shift to 4G is gaining momentum and we have seen improving mobile customer net addition trends. We are therefore optimistic that our revenue performance will begin to improve as regulatory headwinds ease and customer appetite for video and content services increases.”
It also confirmed the £79.7bn ($130bn) sale of its stake in US operator Verizon Wireless will be completed on February 21st and its acquisition of a 76.6 percent stake in German operator Kabel Deutschland was ongoing.
The firm expects to report a £5bn operating profit for its year end on March 31st when it announces the figures in May.