Vodafone Group Plc Annual Report 2025 23
Strategic report
Governance
Financials
Other information
Our financial performance continued
Africa: Accelerating growth supporting upgraded mid-term guidance FY25 €m FY24 €m Reported change % Organic change 1 %
Customers In South Africa, we won 152,000 new contract customers in FY25, and now have a mobile contract base of 7.0 million. Across our active customer base, 78.9% of our mobile customers use data services. Our ‘VodaPay’ super-app continued to gain traction with 11.9 million registered users. In Egypt, we won 656,000 new contract customers and 2.5 million prepaid mobile customers during the year, and we now have 51.5 million customers. ‘Vodafone Cash’ reached 11.4 million active users with 3.2 million users added during the year. In Vodacom’s international markets, we won 5.9 million new mobile customers in FY25, and our mobile customer base is now 60.0 million, with 67.3% of active customers using our data services. Our M-Pesa customer base now totals 25.2 million. Investor Briefing Vodacom Group hosted an investor briefing in February 2025, which encompassed a series of presentations and showcases covering the Vodacom Group’s medium-term strategy and the key growth opportunities across its markets and products. As part of this update, Vodacom communicated an ambition to accelerate Group EBITDA growth into double-digit. This represents an upgrade from the existing medium-term target framework of high single-digit EBITDA growth. Click or scan to watch Vodacom presentations: vodacom.com/presentations Click to see further information on our operations in Africa: vodacom.com
In Vodacom’s international markets, service revenue growth was supported by a higher customer base and strong M-Pesa and data revenue growth. M-Pesa revenue grew by 10.0% to €427.9 million, and now represents 27.6% of service revenue. Vodacom Business service revenue grew by 5.4% (Q3: 6.6%; Q4: 9.6%) and organic growth in Vodacom Business service revenue was 10.0% (Q3: 10.8%; Q4: 11.5%), with South Africa supported by strong demand for digital services and fixed connectivity. Adjusted EBITDAaL increased by 2.1% as the depreciation of local currencies versus the euro was more than offset by organic growth. On an organic basis, adjusted EBITDAaL increased by 10.2% due to service revenue growth, cost initiatives and the base effect of the Egyptian pound devaluation in the prior year. The Adjusted EBITDAaL margin decreased by 0.9 percentage points year-on-year (-0.2 percentage points on an organic basis) to 33.3%.
Total revenue
7,791 7,420
5.0
Service revenue 6,172 5,951 Other revenue 1,619 1,469 Adjusted EBITDAaL 2,593 2,539
3.7 11.3 2.1 10.2
Adjusted EBITDAaL margin
33.3% 34.2%
Note: 1. Organic growth is a non-GAAP measure. See page 213 for more information. Growth Total revenue increased by 5.0% to €7.8 billion as higher service and equipment revenue was partially offset by the depreciation of the Egyptian pound versus the euro. Service revenue increased by 3.7% (Q3: 4.1%, Q4: 8.8%) and organic growth in service revenue was 11.3% (Q3: 11.6%, Q4: 13.5%) with growth in South Africa, Egypt and all of Vodacom’s international markets, apart from Mozambique. The improvement in quarterly trends reflect an acceleration in growth across all Vodacom segments. In South Africa, service revenue growth was supported by good demand for fixed connectivity, an acceleration in the Consumer prepaid segment and strong growth in the mobile contract segment, which benefited from price increases. Financial services revenue grew by 12.1% to €176 million, supported by growth in our insurance services. Service revenue in Egypt grew well above inflation during the year and accelerated in Q4. The performance was supported by price actions, sustained customer base growth and demand for data. Our financial services product, ‘Vodafone Cash’ revenue increased by 18.8% to €113.7 million and now represents 8.0% of Egypt’s service revenue.
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