149 Vodafone Group Plc Annual Report 2026
Strategic report
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Revenue disaggregation and segmental income statement analysis Revenue reported for the year includes revenue from contracts with customers, comprising service and equipment revenue, as well as other revenue items including revenue from leases and interest revenue arising from transactions with a significant financing component. The table below presents Revenue and Adjusted EBITDAaL for the years ended 31 March 2026 and 31 March 2025. Revenue from Total Service Equipment contracts with Other Interest segment Adjusted 31 March 2026 revenue revenue customers revenue 1 revenue revenue EBITDAaL €m €m €m €m €m €m €m Germany 10,874 890 11,764 346 23 12,133 4,243 UK 7,597 1,486 9,083 43 66 9,192 1,881 Other Europe 4,888 707 5,595 91 28 5,714 1,574 T ü rkiye 2,826 526 3,352 8 71 3,431 983 Africa 6,653 1,157 7,810 522 33 8,365 2,834 Common Functions 2 763 41 804 1,020 1 1,825 (164) Eliminations (121) – (121) (78) – (199) – Group 33,480 4,807 38,287 1,952 222 40,461 11,351 Revenue from Total Service Equipment contracts with Other Interest segment Adjusted 31 March 2025 revenue revenue customers revenue 1 revenue revenue EBITDAaL €m €m €m €m €m €m €m Germany 10,876 942 11,818 345 17 12,180 4,384 UK 5,887 1,109 6,996 14 59 7,069 1,558 Other Europe 4,805 761 5,566 108 20 5,694 1,510 T ü rkiye 2,484 595 3,079 7 – 3,086 842 Africa 6,172 1,113 7,285 472 34 7,791 2,593 Common Functions 2 663 57 720 1,097 – 1,817 45 Eliminations (129) – (129) (60) – (189) – Group 30,758 4,577 35,335 1,983 130 37,448 10,932 Notes: 1. Other revenue includes lease revenue recognised under IFRS 16 ‘Leases’ (see note 20 ‘Leases’). 2. Comprises corporate functions and shared operations.
2. Revenue disaggregation and segmental analysis (continued) Segmental analysis
The Group’s operating segments are established on the basis of those components of the Group that are evaluated regularly by the chief operating decision maker in deciding how to allocate resources and in assessing performance. The Group has determined the chief operating decision maker to be its Chief Executive. The Group has a single group of similar services and products, being the supply of communications services and related products. Revenue is attributed to a country based on the location of the Group company reporting the revenue. Transactions between operating segments are charged at arm’s-length prices. The operating segments for Germany, UK, Türkiye and Africa are individually material for the Group and are each reporting segments for which certain financial information is provided. The aggregation of smaller operating segments into the Other Europe reporting segment reflects, in the opinion of management, the similar local market economic characteristics and regulatory environments for each of those operating segments as well as the similar products and services sold and comparable classes of customers. The Other Europe reporting segment (Albania, Czech Republic, Greece, Ireland, Portugal and Romania) largely reflects countries with membership or a close association with the European Union. Common Functions is a separate reporting segment and comprises activities which are undertaken primarily in central Group entities that do not meet the criteria for aggregation with other reporting segments. Adjusted EBITDAaL is the Group’s measure of segment profit. A reconciliation of adjusted EBITDAaL, which excludes discontinued operations, to the Group’s profit or loss before taxation for the financial year is shown below. 2026 2025 2024 €m €m €m Adjusted EBITDAaL 11,351 10,932 11,019 Restructuring costs 1 (370) (164) (703) Interest on lease liabilities 615 488 440 Gain/(loss) on disposal of property, plant and equipment and intangible assets 199 (25) (34) Depreciation and amortisation on owned assets (8,481) (7,569) (7,397) Share of results of equity accounted associates and joint ventures (382) (123) (96) Impairment (charge)/reversal – (4,515) 64 Other (expense)/income (88) 565 372 Operating profit/(loss) 2,844 (411) 3,665 Investment income 1,395 864 581 Financing costs (2,375) (1,931) (2,626) Profit/(loss) before taxation 1,864 (1,478) 1,620 Note: 1. Restructuring costs includes €299 million relating to depreciation on leased assets. See page 235 for more information.
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