Vodafone Reports Accelerated Revenue Growth and Upgrades Full-Year Guidance

Vodafone Group PLC (VOD) reported strong second-quarter results, highlighted by a 6.4% growth in group service revenue—its highest rate in three years. Driven by top-line expansion and margin improvements, the company upgraded its full-year organic growth guidance for both Adjusted EBITDAaL to 7% and Adjusted Free Cash Flow to 21% at the midpoint. The company is undergoing a significant strategic shift toward digital services, which have now exceeded 2 billion euros in revenue. This expansion into cloud, security, and AI is complemented by aggressive cost-cutting measures, including a target of 1 billion euros in annual net OpEx savings by fiscal year 2030. While the German market faced headwinds due to regulatory impacts and asset impairments related to rising bond yields, strong performance in Africa and Turkiye provided significant tailwinds.

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