Vodafone 3Q 2020 Revenue Rose 6.8%; Sees Improvement in 4Q

  By Adria Calatayud 
 

Vodafone Group PLC (VOD.LN) said Wednesday that revenue rose 6.8% in the third quarter of fiscal 2020 and that it expects an improvement in organic service revenue in the fourth quarter.

The U.K. telecommunications group generated revenue of 11.75 billion euros ($12.98 billion) in the quarter ended Dec. 31 compared with EUR11.00 billion in the year-earlier period, it said.

Organic service revenue--a key metric which tracks sales of telecom services--was up 0.8% in the quarter, with a 1.4% fall in Europe and a 9.1% increase in the rest of the world, Vodafone said.

"We expect a further gradual improvement in service revenue growth in [the fourth quarter], led by Europe," Chief Executive Nick Read said.

For the year ending March 31, Vodafone reiterated its guidance of adjusted earnings before interest, taxes, depreciation and amortization of between EUR14.8 billion and EUR15.0 billion and free cash flow of around EUR5.4 billion.

The company said it is on track to launch its European tower company by May, and that it is preparing for a potential initial public offering in 2021.

Write to Adria Calatayud at [e-mail]

(END) Dow Jones Newswires

February 05, 2020 02:32 ET (07:32 GMT)

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