Vodafone has posted second quarter revenues of £6,501 million (€9.238 million) for its operations in Europe, a 3.9% fall on the same period last year. However, on an organic basis they grew by 1.1%, helped by the inclusion of Germany’s KDG and Spain’s Ono.
In Germany, KDG continued to perform strongly with service revenue growth of 6.6%. The cable operator had 102,000 broadband net additions in the second quarter and overall its integration remains on track.
Meanwhile, in Spain fixed service revenue, including Ono, grew by 4.2%, thanks to net broadband additions of 41,000.The company added 80,000 new cable and fibre customers in the quarter and now covers 7.9 million households with cable and fibre, including 1.1 million homes through its joint fibre build with Orange.
The company also launched a fully integrated offer with Ono named Vodafone One in the quarter and it now has over 291,000 customers.
Elsewhere, Vodafone is planning to launch its TV offer in the UK before the end of the financial year.
Commenting on the results, Vittorio Colao, group chief executive, said: “We have made a good start to the year. Our emerging markets have maintained their strong momentum and more of our European businesses are returning to growth, as customer demand for 4G and data takes off. We continue to hit our Project Spring build milestones and customers are beginning to value the improvement in service that is resulting: contract churn in Europe is now falling and mobile ARPU trends are stabilising in a number of key markets. Our other key growth areas – unified communications and enterprise – are performing strongly, benefiting from the increased capabilities and footprint that our higher levels of investment are delivering. However, our markets are, as always, highly competitive and we therefore have to remain very focused on efficiency, cost control, and excellent value and service to customers, while continuing to deliver a good return for shareholders.”
