Vodafone results show revenue growth but fall in profits

Chief executive Vittorio Colao warns of an uncertain economic outlook in company's interim results

NEWBURY-based mobile phone giant Vodafone has seen revenue grow on the back of increased smartphone market penetration, but profits are down by 2.8 per cent following problems in Spain, Egypt and Australia.

Vodafone Group PLC chief executive Vittorio Colao said: “Although we remain mindful of the uncertain economic outlook, we are confident that we have the right strategy and capabilities to continue to perform consistently through top line growth, cost efficiency, investment and cash generation.”

The company's half-year results were released yesterday (Tuesday) and revealed that revenue has increased, year-on-year, by 4.1 per cent for the six months ending September 30, 2011.

Turnover totalled £23,520m, up from £22,603m and profit before taxation was £8,011, down from £8,240.

Mr Colao said, however, that sign for the company going forward was positive: “A year on from announcing our updated strategy, we are making clear progress. We are gaining share in most of our major markets, through our focus on superior network quality and an improved customer experience.