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Vodafone Group Plc
Morgan Stanley
Goldman Sachs
BNP Paribas Exane
New Street Research
Bank of America Merrill Lynch
Bernstein SocGen UBS
Deutsche Numis
Forward-looking statements
JP Morgan
Citigroup HSBC
I mean, we discussed, I think a couple of calls ago about what is driving the growth in Turkey, for example. You will have seen, we continue to build on our highest ever market share. We outperformed market growth. We have really clear execution plans and strong teams in place to make the most of this potential opportunity. Then you close with saying, okay, this is all well and good. I see the growth coming. But in all the calls, we talk about Germany, and therefore, is there anything you want to change about that? I think what you will see us doing is continuing to bring to life as we did in the results presentation today that the Group is covering a number of different geographies, Europe, Africa, Germany, other countries, the UK. That is what we are going to continue to work on driving performance. Ultimately, we have a single goal, which is sustainable mid-term adjusted free cash flow growth. We said back in March 2023 that we had the goal to use the cash flow level of those days as a base to grow from. I think we have proven in the last two years that we have executed on our financial guidance. Now it is time to go into the proper growth phase, also thank you to all these opportunities. Yes. Perhaps just briefly because you have mentioned synergies. Actually, there are synergies both in terms of leveraging the scale of the Group between the emerging markets and Europe. We are doing that already today on the procurement front when acquired RAN capabilities and so on, we leveraged this. But there is also an exchange of best practices which can be very fruitful. Like for example, in AI, we have capabilities here in Europe that we are leveraging also to help our emerging markets to quickly adopt those practices. On the flip side, in Turkey, for example, we have excellent digital nurturing skills. We have great apps innovation there that we are also bringing to other European countries. So, all of that just makes the combination so much stronger than the single parts alone. I would like to ask a question on the share buyback, please. I wondered if you could reflect a bit on the value that the buyback is bringing to you and your shareholders at the moment. You have spent €2 billion. We have got another €2 billion to go. It is a huge portion of the market cap. There is no reference to per share data in your presentation anywhere. So presentationally at least, you are not really linking that huge commitment to the narrative that you are trying to tell us. The stock has got a 5% dividend yield so it is not providing much valuation support. I guess I would just like to check, are you still certain this is the right allocation of capital? To that sustainability point, clearly, given the free cash flow you generate at the moment, the dividend that you have got, looking into the medium term, €2 billion is unlikely to be the right number going forward. I will let Luka talk to the strategy around buybacks and returns more broadly. But there is one number, Adam, that I think is really important. Your question is a really valid one. If you look at our adjusted free cash flow guidance for FY26, at the midpoint of the guidance, we are growing adjusted free cash flow per share by 17% year-on-year. I completely agree with you that the per share element of these KPIs is really important. But, Luka? I would agree, it is unappreciated. But when you ask about the capital allocation strategy more broadly, I think when we first talked about this when I was coming in around two years ago, we were single-mindedly focused on dividend that was back then considered as not properly covered by underlying cash flow and with no kind of fantasy for growth for the future.
Luka Mucic Vodafone
Adam Fox-Rumley HSBC
Margherita Della Valle Vodafone
Luka Mucic Vodafone
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