Our financial performance continued 16 Vodafone Group Plc Annual Report 2026
Strategic report
Governance
Financials
Other information
Africa
Customers In South Africa, we added 28,000 mobile contract customers during the year. We now have a mobile contract customer base of 7.0 million and Prepaid customer base of 42.4 million. Across our active customer base, 74.1% of our mobile customers use our data services. Customers using our Vodapay super-app continued to grow, with good demand for our insurance, payments and lending marketplace services. In Egypt, we added 423,000 mobile contract customers and 3.3 million prepaid customers, supported by our market-leading customer experience and NPS leadership. In June 2025, we launched our 5G services enabling high quality voice services and supporting the rapidly growing data demand in Egypt. Our financial services product, Vodafone Cash, reached 14.7 million customers, including 3.3 million new users during the year. In Vodacom’s international markets, we added 7.1 million mobile customers in FY26, and our customer base is now 67.1 million, with 67.2% of active mobile customers using our data services. Our M-Pesa customer base increased by 4.1 million during the year and now totals 29.3 million active users. Spectrum In February, we announced that Vodafone Egypt secured 2 x 10MHz of 1,800MHz spectrum as a part of a multi-year investment programme. The spectrum payment will be settled in four annual payments, which commenced in FY26 with US$100 million (€84 million). The next phase of the programme is expected to commence in FY28 and conclude by FY32 for the allocation of 3,500MHz spectrum, and renewal of the existing 2,600MHz spectrum.
In Egypt, service revenue increased well above inflation and in euro terms, driven by customer base growth and strong data demand. The slowdown in Q4 service revenue growth, as anticipated, was due to the strong prior year comparative which benefitted from the implementation of price increases in line with higher regulatory price floors. Our financial services product, Vodafone Cash continued to grow at a strong rate with revenue increasing by 48.2% on an organic basis to €157 million. In Vodacom’s international markets, service revenue growth was supported by strong demand for data and an acceleration of M-Pesa revenue. We delivered strong growth in Tanzania and the DRC during the year, and Mozambique returned to growth during FY26. M-Pesa revenue increased 23.1% on an organic basis to €494 million and now represents 29.7% of service revenue. Vodacom Business service revenue grew 6.9% with organic growth of 11.3% (Q3: 12.3%, Q4: 11.0%), driven by strong demand for our digital services, including IoT. Adjusted EBITDAaL increased 9.3% as the depreciation of local currencies was more than offset by organic growth. On an organic basis, Adjusted EBITDAaL increased 14.0% due to service revenue growth, ongoing cost initiatives, and the lapping of prior year one-off impacts in the DRC. This was partially offset by a non-recurring lease accounting adjustment in H2 and a one-off cost in H1 in South Africa. The Adjusted EBITDAaL margin increased 0.6 percentage points year-on- year to 33.9%.
Vodafone Investments Associate and joint ventures Vantage Towers (Oak Holdings 1 GmbH) VodafoneZiggo Group Holding B.V. Safaricom Limited Other 1 (including TPG Telecom Limited) Share of results of equity accounted associates and joint ventures
Reported growth %
Organic growth 1 %
FY26 €m
FY25 €m
FY26 €m
FY25 €m
Total revenue
8,365 7,791
7.4
(440) (74) (95) (125) 256 201 (103) (125)
Service revenue 6,653 6,172 Other revenue 1,712 1,619 Adjusted EBITDAaL 2,834 2,593
7.8 12.9 9.3 14.0
Adjusted EBITDAaL margin
33.9% 33.3%
Note: 1. Organic growth is a non-GAAP measure. See page 226 for more information. Growth Total revenue increased 7.4% to €8.4 billion as higher service revenue was partially offset by the depreciation of local currencies versus the euro. Service revenue increased 7.8% and organic service revenue growth was 12.9% (Q3: 13.5%, Q4: 10.9%), with growth in all of Vodacom’s markets. In South Africa, service revenue increased primarily driven by growth in mobile contract segment, supported by price increases and strong demand for our Business digital services. The step-up in Q4 service revenue growth was supported by improvement in prepaid, due to the acceleration in mobile data usage. Financial services performed well with organic growth of 8.1% to €185 million, supported by demand for insurance products.
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Notes: 1. The Group’s investment in Vodafone Idea Limited (‘VIL’) was reduced to €nil in the year ended 31 March 2020 and the Group has not recorded any profit or loss in respect of its share of VIL’s results since that date. 2. Excluding the economic benefit of 50% of Telenet’s shareholding in the fibre-to-the-home network infrastructure vehicle Wyre B.V., which will be retained by Liberty Global. Vantage Towers Joint Venture – 44.7% ownership Total revenue increased 6.4% to €1.3 billion during the year, supported by 473 net new tenancies and 891 new macro sites. As a result, the tenancy ratio increased to 1.55x (FY25: 1.53x). Vodafone’s share of the results was driven by a non-cash impairment charge of €464 million of their investment in INWIT, as a result of a decline in its share price. During the year, Vantage Towers distributed €312 million in dividends to Vodafone.
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