Vodafone UK revenue down in Q1
But sticking to guidance for the year
Vodafone UK saw a 4.7 per cent fall in first quarter revenue despite good growth in data services.
The company said price competition, reduced discretionary spending and "higher prepaid inactivity" were to blame. Revenue across Europe fell 4.8 per cent to £7.45bn. In the UK Vodafone turned over £1.186bn compared to £1.234bn in the same quarter of last year.
Group revenue for the three months ended 30 June 2009 was £10.74bn, up 9.3 per cent thanks to currency movements.
The company gained 8 million customers during the period - giving it 315.3 million customers in total.
Voda said its £1bn cost cutting programme was progressing well - it expects to have achieved 65 per cent of these savings by the year end.
Vodafone also revealed annualised churn figures for the quarter. The firm lost 18 per cent of its contract customers in the UK and 57.9 per cent of its prepay punters. In India it lost 25.3 per cent of contract customers and 26.4 per cent of prepaid customers.
Vodafone reaffirmed its guidance for the year - on the assumption that service revenues in Europe will be hit by reduced termination rates, lower roaming charges and reduced travel.
Full figures available from here. ®
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