# Vodafone Group deliver another solid quarter, demonstrating sustainability of growth strategy

- Link: https://www.directorstalkinterviews.com/vodafone-group-deliver-another-solid-quarter-demonstrating-sustainability-of-growth-strategy/4121049529
- Published: 2022-02-02T07:33:54+00:00
- Author: Amilia Stone

**[Vodafone Group Plc](https://www.directorstalkinterviews.com/ftse-company/vodafone-group/vod.l)**(
[LON:VOD](https://www.directorstalkinterviews.com/ftse-company/vodafone-group/vod.l))
has announced its Q3 FY22 trading update.

**Good performance in line with expectations and on track to meet FY22 guidance**

·   Group service revenue growth of 2.7%* (Q2: 2.4%*) with growth in both Europe
and Africa

·   Good service revenue growth trend, especially given increase in prior year comparative

·   Consistent service revenue growth in Germany of 1.1%* (Q2: 1.0%*)  

| Q3 performance summary | Q3 FY22
€m  | Q3 FY21€m  | Reportedgrowth %  | Organicgrowth %^(1)  | 
| Service revenue | 9,647 | 9,357 | 3.1 | 2.7 | 
|  – of which Germany | 2,936 | 2,912 | 0.8 | 1.1 | 
| Other revenue | 2,037 | 1,844 |   |   | 
| Total revenue | 11,684 | 11,201 | 4.3 | 3.7 |

_ 1. Organic growth is a non-GAAP measure. All amounts marked in the commentary 
with an “*” represent organic growth. See page 8.  _

·   Good growth in Africa, and successful launch of our VodaPay ‘super-app’ with
over 1.4 million downloads

·   Vodafone Business service revenue growth of 0.6%*, with IoT and cloud & security
growing double digits

·   Reaffirming FY22 guidance with Adjusted EBITDAaL expected to be between €15.2–
€15.4 billion and Adjusted free cash flow of at least €5.3 billion

> **Nick Read, Vodafone Group Chief Executive, commented:  **
> “Our team has delivered another solid quarter, demonstrating the [sustainability](https://www.directorstalkinterviews.com/sustainability-green-stocks-news)
> of our growth strategy and medium-term ambition. This performance keeps us firmly
> on track to deliver FY22 results in line with the higher guidance we set out in
> November.
> We remain focused on our operational priorities to strengthen commercial momentum
> in Germany, accelerate our transformation in Spain and position Vodafone Business
> to maximise EU recovery funding opportunities. We are also committed to creating
> value for our shareholders through proactive portfolio actions and continuing 
> to improve returns at pace.”

A webcast Q&A session will be held at 10am on 2 February 2022. The webcast and supporting
information can be accessed at investors.vodafone.com

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