Vodafone Q3 2025 Earnings Report
Key Takeaways
Vodafone delivered solid Q3 FY25 results with group revenue rising to €9.81 billion and service revenue reaching €7.93 billion. Strong momentum in Türkiye and Africa, along with a recovery in the UK, offset continued softness in Germany due to regulatory impacts. Operating profit declined year-over-year despite Adjusted EBITDAaL growth.
Group total revenue increased to €9.81 billion, up from €9.35 billion.
Service revenue grew 5.6% to €7.93 billion, with organic growth of 5.2%.
Operating profit fell 18.4% to €1.02 billion.
Türkiye and Africa delivered standout service revenue growth at 83.4% and 11.6% organically.
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Vodafone Revenue by Segment
Vodafone Revenue by Geographic Location
Forward Guidance
Vodafone reaffirmed its FY25 guidance, expecting Adjusted EBITDAaL of around €11 billion and free cash flow of at least €2.4 billion. The company remains focused on executing its strategic reshaping, including completing the UK merger with Three.
Positive Outlook
- UK merger with Three approved, expected to complete in the coming months.
- €8 billion proceeds from the Vodafone Italy sale completed in December 2024.
- Service revenue momentum continues across Africa, Türkiye, and the UK.
- Adjusted EBITDAaL rose to €2.83 billion in Q3 FY25.
- Consumer and B2B customer satisfaction improved in Germany.
Challenges Ahead
- Operating profit declined by 18.4% year-over-year.
- Germany continued to underperform due to regulatory TV law changes.
- Lower broadband service revenue impacted German results.
- ARPU pressure persists in key European markets.
- Hyperinflation in Türkiye and currency volatility impacted financials.