February 7, 2023

More suffering for Vodafone in Spain and Germany

First quarter under interim CEO Margherita Della Valle, Vodafone (VOD.L) reported a worse than anticipated slowdown as service revenue in Spain dropped and its biggest market, Germany, continued to deteriorate.

The mobile and internet provider posted third-quarter group service revenue growth of 1.8%, below market estimates and down from 2.5% in the second quarter.

According to Della Valle, Turkey’s hyperinflation contributed to that number. Europe’s service income decreased 1.1% without it.

She told reporters on Wednesday, “Declining service revenue in three of our four main European regions is just not good enough and I know we are capable of achieving better.”

She predicted that Europe will experience a low point in the quarter and that things would “gradually get better from here on.”

Share article