Feeds

Mobo monster Vodafone takes £6bn kick down south

Spaniards, Italians just not as talkative these days

Intelligent flash storage arrays

Vodafone lost almost half-a-billion quid in the six months to November, its half-year results reveal, but it also had to write down £6bn from the value of its operations in southern Europe.

The US is doing OK, and Vodafone will get a dividend payment from Verizon Communications (of which it owns 45 per cent) of £2.4bn, but revenue across southern Europe fell by 17.5 per cent, in part because of the declining euro but also because Europeans, southern Europeans in particular, have less money to spend on phone calls these days.

Despite the loss before tax of £492m, Vodafone still managed an adjusted (EBITDA) profit figure of £6.6bn, on a revenue of 21.78bn, which is down more than 7 per cent on last year.

Vodafone will spend part of that Verizon dividend buying back its own shares, which will be cheaper this morning, having fallen 3.3 per cent on the back of the disappointing results.

Operations in Turkey and India are doing OK, with revenues there increasing by 18 and 11 per cent respectively, and data revenue is also up. However in Europe, 45.5 per cent of revenue is now coming from tariffs, the rest being slurped from out-of-tariff communications as well as all the other things that Vodafone sells these days.

In the UK, revenue was down just over 2 per cent, which Vodafone blames on increased competition including "significant pressure resulting from competitors introducing a number of new unlimited tariffs during Q4 of the 2012 financial year", though it also reckons the new "Vodafone Red" tariff will redress that.

Full details in the half-year financials (PDF, more boring than they sound). ®

Top 5 reasons to deploy VMware with Tegile

More from The Register

next story
Facebook, Apple: LADIES! Why not FREEZE your EGGS? It's on the company!
No biological clockwatching when you work in Silicon Valley
Doctor Who's Flatline: Cool monsters, yes, but utterly limp subplots
We know what the Doctor does, stop going on about it already
'Cowardly, venomous trolls' threatened with TWO-YEAR sentences for menacing posts
UK government: 'Taking a stand against a baying cyber-mob'
Happiness economics is bollocks. Oh, UK.gov just adopted it? Er ...
Opportunity doesn't knock; it costs us instead
Arab States make play for greater government control of the internet
Nerds told to get lost in last-minute power grab bid at UN meeting
Zippy one-liners, broken promises: Doctor Who on the Orient Express
Series finally hits stride, but Clara's U-turn is baffling
Don't bother telling people if you lose their data, say Euro bods
You read that right – with the proviso that it's encrypted
Apple SILENCES Bose, YANKS headphones from stores
The, er, Beats go on after noise-cancelling spat
prev story

Whitepapers

Forging a new future with identity relationship management
Learn about ForgeRock's next generation IRM platform and how it is designed to empower CEOS's and enterprises to engage with consumers.
Why cloud backup?
Combining the latest advancements in disk-based backup with secure, integrated, cloud technologies offer organizations fast and assured recovery of their critical enterprise data.
Win a year’s supply of chocolate
There is no techie angle to this competition so we're not going to pretend there is, but everyone loves chocolate so who cares.
High Performance for All
While HPC is not new, it has traditionally been seen as a specialist area – is it now geared up to meet more mainstream requirements?
Intelligent flash storage arrays
Tegile Intelligent Storage Arrays with IntelliFlash helps IT boost storage utilization and effciency while delivering unmatched storage savings and performance.