Vodafone year end results show revenue growth and profit drop
Vodafone announced today its financial results for the year ended March 31 2018, which demonstrate strong growth for the company in revenue, mobile market share and fibre connections.
Innovations in both mobile and fixed, including Vodafone TV and Vodafone Pass, underpinned the strong performance.
Total revenue grew by $5.1 million year on year to $2,030 million as it grew its mobile customer base by 92,000 in the last 12 months.
More customers took up interest-free handset offers, growing Vodafone’s estimated share of handsets sold in the past 12 months to 44%.
“Market response to innovations we launched over the last year including Vodafone Pass and, more recently Unlimited Mobile with free Netflix (Ts&Cs apply), have enabled us to maintain our market-leading Average Revenue Per User (ARPU) in mobile,” says Vodafone CEO Russell Stanners.
Successful My Flex and Vodafone Pass campaigns materially contributed to Vodafone’s strong mobile performance.
Since the launch of Vodafone Pass in November 2017, customers have taken up 2.6 million passes.
Vodafone made a profit after tax of $39 million, representing a year on year drop of $7.7 million largely due to declining Broadband profitability in a highly competitive market, one-off advisor costs incurred in preparing to potentially IPO Vodafone New Zealand and foreign exchange losses.
Vodafone New Zealand continued to hold its number two position in the fixed market with strong growth in fibre broadband connections despite price competition.
The company also launched Vodafone TV during the year, a TV service which brings Sky TV, free-to-air and a range of app-based entertainment services, including Netflix, together in one set-top box system.