Vodafone rings up 28% rise
Wednesday 05 June 1996
UK turnover increased to pounds 1.24bn from pounds 1.08bn the year before, a much slower rate of growth than the 630,000 net gain in subscribers, to just over 2.45 million. Chris Gent, managing director, said the falling trend in average revenue per subscriber was a result of the greater proportion of lower-spending individuals connected compared with business users.
But he said there were signs that this trend might be reversed by newly introduced "bundled" tariff packages, where customers are offered some free usage with subscriptions. This had shown a "very encouraging start".
Vodafone said churn rates, the rate at which subscribers cancel, had edged down to 25.6 per cent by the end of March from 28.5 per cent a year earlier as a result of stringent controls.
Vodafone had not been expected to be hit as much as its biggest rival, Cellnet, by cancellations, following the strong entry of Orange into the digital mobile phone market.
He said new tariffs could slow the anticipated decrease in revenue per subscriber during the new few years as more personal customers mix with Vodafone's business-based subscribers. Revenue per customer for the year to March was pounds 484.
Vodafone said strong demand for mobile telecommunications continued world- wide. Subscribers abroad more than doubled last year to 585,000, 20 per cent of total users.
The company may spend up to pounds 700m in infrastructure development and exploring international opportunities in the year to end-March 1997, Ken Hydon, finance director, said. Net debt could exceed pounds 600m by March next year, with borrowings likely to be used to fund further strategic investments. But he added that "naturally, if a large investment opportunity arose we could issue shares".
- 1 Malaysia Airlines MH17 crash: Pro-Russian rebel 'admits to shooting down plane'
- 3 Israel-Gaza conflict: The myth of Hamas’s human shields
- 5 Dutch paedophile club to fight their ban at the European Court of Human Rights
Lana Del Rey: 'I have slept with a lot of guys in the industry'
Peaches Geldof cause of death: 'Heroin addict' socialite had taken fatal dose of drug, inquest concludes
Peaches Geldof inquest: Tragic final moments of socialite's life reveal she lied to husband about failed heroin tests
Israel-Gaza conflict: The myth of Hamas’s human shields
Malaysia Airlines MH17 crash: Was a Russian-made missile really parked in this quiet square?
Malaysia Airlines flight MH17 crash: 'Nine Britons, 23 Americans and 80 children' feared dead after Boeing passenger jet is 'shot down' near Ukraine-Russia border
Malaysia Airlines MH17 crash: Vladimir Putin is given 'one last chance' to end hostilities in Ukraine
The 'scroungers’ fight back: The welfare claimants battling to alter stereotypes
The truth about conspiracy theories is that some require considering
Malaysia Airlines MH17 crash: Ukrainian military jet was flying close to passenger plane before it was shot down, says Russian officer
Malaysia Airlines MH17 crash: Massive rise in sale of British arms to Russia
iJobs Money & Business
£350 - £400 per day: Orgtel: PMO Analyst - Banking - London - £350 -£400 per d...
£300 - £350 per day + competitive: Orgtel: Cost Reporting Manager - MI Packs -...
£35000 - £40000 Per Annum plus 23 days holiday and pension scheme: Clearwater ...
£475 - £525 per day: Orgtel: Test Lead, London, Investment Banking, Technical ...