Woe in Italy and Spain hits Vodafone
Saturday 21 July 2012
Mobile giant Vodafone is dialling up more cost cuts after sales growth was dragged down by belt-tightening customers in southern Europe.
The company said its underlying service revenue in the region fell by 1.6 per cent, compared to a decline of 0.2 per cent in the previous quarter.
The main culprits were Italy and Spain where revenues dipped by 7.7 per cent and 10 per cent respectively. But Vodafone's British arm, which has 19 million customers, also slipped into reverse, reporting a 0.8 per cent fall.
Chief executive Vittorio Colao flagged in May that the company may struggle to grow this year, but sweetened the outlook with a bumper increase in the dividend to make it the FTSE's biggest payer.
However, the troubles in Europe were offset during the quarter by 6.1 per cent growth in Vodafone's other operating division which comprises Africa, the Middle East and Asia Pacific, making a 0.6 per cent increase in service revenue to £10bn for the group overall.
- 1 BBC election debate: The one photo that summed up the whole 90-minute leaders debate
- 2 18th century sex toy found in 'toilet of sword fighting school' in Poland
- 3 US? China? India? The 10 biggest economies in 2030 will be...
- 4 'I wish my teacher knew...': Young students share their 'heartbreaking' worries in notes
General Election 2015: David Cameron catching up in polls – but he badly needs a clear lead
South Africa xenophobic attacks: Shops looted and violence on streets of Johannesburg as foreigners are forced to hide in police stations
18th century sex toy found in 'toilet of sword fighting school' in Poland
'I wish my teacher knew...': Young students share their 'heartbreaking' worries in notes
Rebecca Francis accuses Ricky Gervais of using 'influence' to target female hunters after receiving barrage of death threats
The only black face in the Ukip manifesto is on the page about overseas aid
If I’m being racially abused I don’t need a stranger with a saviour complex to rescue me
Ukip is the only main political party to not address LGBT rights in its manifesto
Food banks: One million Britons will soon be using them, according to Trussell Trust
BBC election debate: The one photo that summed up the whole 90-minute leaders debate
Religion isn't growing, it is becoming vigorous in its demise, says philosopher AC Grayling
iJobs Money & Business
£20000 - £25000 per annum + OTE £45,000: SThree: SThree Group have been well e...
£50000 - £667000 per annum + excellent benefits : Ashdown Group: IT Manager / ...
£13000 - £20000 per annum: Recruitment Genius: Scotland's leading life insuran...
£40000 - £45000 per annum + benefits : Ashdown Group: Training Programme Manag...