Vodafone 2026 Annual Report

Vodafone Group Plc Annual Report 2026

Strategic report

Governance

Financials

Other information

Our financial performance continued

Acquisitions and disposals See note 27 ‘Acquisitions and disposals’ in the consolidated financial statements for details of acquisition and disposal transactions during the years ended 31 March 2026 and 2025. Transactions in the year ended 31 March 2024 are summarised below. Disposals On 28 September 2023, the Group sold M-Pesa Holding Company Limited which holds funds on trust for M-Pesa customers, to Safaricom Plc for US$1. Balances included in the Group’s consolidated statement of financial position at the date of disposal included cash of €63 million, together with short-term investments of €1,195 million and €1,156 million due to M-Pesa customers recorded within Other investments and Trade and other payables, respectively.

Share buybacks In May 2024, the Group started a series of irrevocable and non-discretionary share buyback programmes in order to return €2 billion of the proceeds from the sale of Vodafone Spain. The last of these was announced on 4 February 2025 and completed on 19 May 2025. A new series of share buyback programmes of up to €2 billion of the proceeds from the sale of Vodafone Italy was announced on 20 May 2025, 23 July 2025, 10 November 2025 and 4 February 2026, with the programmes completing on 11 May 2026. Details of the shares purchased under these programmes are shown below.

Return on capital employed Return on capital employed (‘ROCE’) reflects how efficiently we are generating profit with the capital we deploy. We calculate two ROCE measures: (i) Pre-tax ROCE for controlled operations only and (ii) Post-tax ROCE including associates and joint ventures. The table below presents adjusted ROCE metrics. FY26 % FY25 % Reported change pps

Total number of shares purchased under publicly announced share buyback programmes 3,4,5,6 000s

Average price paid per share inclusive of transaction costs Pence £

Total consideration of shares purchased under the programmes €000

Number of shares purchased 1,2 000s

Pre-tax ROCE (controlled) 1 Post-tax ROCE (controlled and associates/joint ventures) 1

6.6% 7.0%

(0.4)

Date of share purchase

April 2025 May 2025 June 2025 July 2025

74,663 104,937 313,874 249,090 194,792 119,656 96,695 134,159 256,290 89,815 270,208 61,100 39,791 22,837 2,027,907

69.90 72.14 75.37 81.76 85.47 86.70 87.74 90.90 96.16 101.90 114.30 110.68 116.29 118.67 90.39

74,663 179,600 493,474 742,564 937,356 1,057,012 1,153,707 1,287,866 1,544,156 1,633,971 1,904,179 1,965,279 2,005,070 2,027,907 2,027,907

61,131 152,748 430,850 666,864 858,837 978,197 1,075,368 1,216,207 1,497,782 1,603,224 1,967,149 2,045,082 2,098,316 2,126,871 2,126,871

4.4% 4.4%

–

August 2025 September 2025 October 2025 November 2025 December 2025 January 2026 February 2026 March 2026 April 2026 May 2026 (until 11 May)

Note: 1. ROCE is calculated by dividing adjusted Operating profit by the average adjusted Capital employed. Pre-tax ROCE (controlled) and Post-tax ROCE (controlled and associates/joint ventures) are non-GAAP measures. See page 226 for more information. Pre-tax ROCE of 6.6% declined by 0.4pps year-on- year due to the consolidation of VodafoneThree and lower adjusted Operating profit, partially mitigated by a decline in the average adjusted Capital employed. Post-tax ROCE remained stable year-on-year driven by a higher adjusted Share of results of equity accounted associates and joint ventures for the year ended 31 March 2026. Pre-tax ROCE of 3.2% calculated using GAAP measures improved by 3.6pps year-on-year due to higher Operating profit and lower average Capital employed as reported for the year ended 31 March 2026. Prior year Operating profit included impairment losses. See page 233 for further analysis.

Total 5

Notes: 1. The nominal value of shares purchased is 20 21/22 pence each. 2. Settlement date is two days after shares purchased. 3. No shares were purchased outside the publicly announced share buyback programmes. 4. In accordance with shareholder authority granted at the 2024 and 2025 Annual General Meetings.

5. T he total shares repurchased under each programme were 578,085,036 shares completed on 19 May 2025, 550,160,688 shares completed on 23 July 2025, 502,265,648 shares completed on 10 November 2025, 441,527,385 shares completed on 4 February 2026 and 383,158,231 shares completed on 11 May 2026. 6. The total number of shares purchased represented 8.8% of our issued share capital, excluding Treasury shares, at 11 May 2026.