Vodafone has lifted its full-year earnings guidance and flagged results at the upper end of the new range after solid first-quarter trading boosted by growth in Turkey and Africa. The telecoms group now expects adjusted core earnings of €13 billion to €13.3 billion for the year to end-March 2027, with adjusted free cash flow projected at €2.6 billion to €2.9 billion.
Quarterly group revenue rose 9.7% to €10.3 billion, while organic service revenue climbed 5.2%. African service revenues posted double-digit organic growth, with strong performances in Egypt and Vodacom's international markets. Operating profit jumped to €3.9 billion from €2.9 billion, largely on a gain from the Safaricom deal completed in June.
The upgrade follows Vodafone's takeover of Kenya-based Safaricom last month. Cost-cutting efforts eliminated 1,200 jobs across Europe in the quarter, part of a drive to reduce annual costs and capital spending by roughly £700 million by 2030. UK mobile service revenue slipped 0.7% on an organic basis.