On Tuesday, Vodafone reported annual results broadly in line with expectations, despite a contraction in its performance on the German market.

The cell phone operator reported annual sales down 2.5% to 36.7 billion euros to the end of March, despite 5.4% growth in its corporate services business.

Earnings before interest, tax, depreciation and amortization (Ebitda) - a key measure of the sector's profitability - fell by 11% to 11 billion euros.

In a press release, the Group explains this decline by its recent exit from the Spanish and Italian markets, in order to refocus on its most profitable activities.

On an organic basis, i.e. excluding the effects of exchange rates and changes in the scope of consolidation, sales rose by 2.2%.

Vodafone - which stresses that these figures are in line with its objectives - now intends to transform itself into a growth company, accelerate its good momentum in professional services and improve its performance in Germany, where both sales and 'AL' Ebitda fell last year.

With regard to its outlook for the 2024-2025 financial year, the group says it is targeting 'aL' Ebitda of around 11 billion euros and adjusted free cash flow of at least 2.4 billion euros.

On the London Stock Exchange, Vodafone shares rose by 3% in the wake of this publication.

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