Vodafone (LSE:VOD) reported group total revenue of €10.5 billion for the third quarter of FY26, representing a 6.5% year-on-year increase, while service revenue rose 7.3% to €8.5 billion. Growth was primarily driven by strong performance across African markets, continued momentum in Türkiye and the consolidation of Three UK and Telekom Romania into group results.
Germany returned to modest service revenue growth during the quarter, while UK performance recorded a small, expected decline, largely reflecting prior-year one-off factors. On an organic basis, service revenue increased 5.4%, while group Adjusted EBITDAaL rose 2.3% organically for the quarter and 5.3% year-to-date.
Vodafone confirmed it expects to deliver results at the upper end of its full-year FY26 guidance ranges for profit and cash flow. However, operating profit declined significantly during the period, primarily due to non-cash accounting impacts associated with mergers and acquisitions activity linked to the company’s restructuring in India.
Management highlighted continued progress integrating the VodafoneThree UK business, which is expected to strengthen the company’s competitive position in the UK market. The group also reported ongoing double-digit organic growth across its African operations, supported in part by expanding financial services offerings.
Vodafone maintained a strong focus on shareholder returns, completing €3.5 billion of share buybacks and confirming plans to increase its FY26 dividend per share. The company said these capital return initiatives reflect confidence in its medium-term cash flow outlook despite near-term accounting pressures.
Vodafone’s outlook combines strategic progress and positive operational momentum with some financial and valuation challenges. Strong technical trading trends and positive earnings sentiment provide support, while ongoing integration activities and corporate developments strengthen long-term growth potential.
More about Vodafone
Vodafone Group Plc is a multinational telecommunications provider offering mobile, fixed-line, broadband and digital connectivity services across Europe, the UK, Türkiye and Africa. The company serves both consumer and enterprise customers, including wholesale connectivity and expanding financial services solutions in African markets. Vodafone has recently strengthened its UK market position through the integration of Three UK operations as part of its broader strategic transformation.
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