Vodafone reports weaker earnings

Vodafone reports weaker earnings Broadband provider Vodafone has announced weaker than expected earnings before interest, tax, depreciation and amortisation (EBITDA) today.

The firm made its biggest ever annual loss of £14.85 billion last year; however analysts had forecast a turnaround this year, expecting a three per cent rise in underlying earnings.

Vodafone's EBITDA rose to £11.96 billion on revenues of £31.1 billion, not quite reaching the average forecast of £12.130 billion and £31.385 respectively.

Following the results, Vodafone chief executive Arun Sarin said: "We expect market conditions to remain challenging for the year ahead in Europe, notwithstanding continued positive operating trends in data revenue and voice usage."

Last week, the Scotsman suggested that investors would be looking for signs of success in the chief executive's strategy of offering consumers both landline and broadband services as part of its Vodafone At Home deal.

The product offering allows for internet speeds of up to 8 MB along with landline rental and free unlimited calls to other landlines for £25.


Tuesday, 29th May 2007

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