Vodafone increased its total revenue by 5 per cent to €9.8 billion in Q3 FY25.
In the UK, the company’s total revenue climbed 7.2 per cent to €1.9 billion due to service revenue growth and the appreciation of the pound sterling versus the euro.
Its UK service revenue also rose 7.6 per cent to €1.5 billion, with its organic growth in service revenue of 3.3 per cent. The organic growth was driven by consumer and wholesale revenue, and partially offset by a decline in business.
Vodafone’s UK mobile service revenue grew by 6 per cent and its organic growth in mobile service revenue was 1.8 per cent. The return to organic growth in the quarter was supported by customer base growth in consumer and the delivery of project milestones in business.
Its UK fixed service revenue also increased by 12.3 per cent, while its organic growth in fixed service revenue was 7.6 per cent due to continued growth in the customer base, supported by successful seasonal campaigns, and higher consumer average revenue per user (ARPU).
Vodafone Business service revenue grew by 3.7 per cent, but on an organic basis, service revenue declined by 0.4 per cent.
The appreciation of the pound sterling versus the euro and growth in fixed from project work was offset by a decline in mobile, primarily driven by ARPU pressure and a lower customer base.
In mobile, the company’s consumer contract customer base increased by 37,000 in the quarter, supported by its customer experience improvements. This was offset by contract disconnections in business and a reclassification of part of the mobile customer base to IoT, meaning its total contract customer base increased by 1,000 in Q3.
In fixed, the company increased its broadband net additions grew by 72,000 in Q3, in part supported by the launch of one touch switching in September 2024. Its fibre coverage has reached 18.4 million households.
Margherita Della Valle, Vodafone’s group chief executive, said, “Group service revenue growth accelerated to 5.2 per cent in the third quarter.
“During the quarter, we completed the sale of Italy for €8 billion and received regulatory approval for Vodafone’s merger with Three in the UK. When the UK merger completes in the next few months, we will have fully executed Vodafone’s reshaping for growth.
“We are on track to grow in line with our full year guidance for this year, which we reiterate today, and are looking forward to a stronger Vodafone in the years ahead.”