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Vodafone Lifts FY27 Guidance Despite €3.6bn Loss

Vodafone has raised its profit and cash-flow guidance for the year as first-half revenue climbed, though a large non-cash loss sits in the numbers. The shares were trading close to Monday's close in early trade.

Vodafone Group (LON: VOD), the telecoms operator, raised its FY27 profit and cash-flow guidance today as first-half revenue rose 11.4% to €21.9bn. A €3.6bn loss for the period came from non-cash charges.

Vodafone shares stood at 116.8p in a delayed quote at 8.39am, down 0.15p, or 0.13%, on Monday’s close of 116.95p. They have traded between 116.53p and 119.05p today, and sit near the bottom of a three-month range that peaked at 131.75p on the 17th of September. The results came out at 7am.

VOD.LSE

Revenue compares with €19.6bn a year earlier. Vodafone attributed the rise to service revenue growth and the consolidation of Safaricom, VodafoneThree and Telekom Romania, partly offset by currency moves. Organic service revenue, which strips out acquisitions and currency effects, grew 5.8%.

Guidance for adjusted EBITDAaL, a core operating profit measure after lease costs, rose to €13.2bn-€13.4bn from €13.0bn-€13.3bn. Adjusted free cash flow guidance moved to €2.8bn-€3.0bn from €2.6bn-€2.9bn.

The loss, against a €1.05bn profit a year earlier, reflects a €4.85bn impairment, a non-cash write-down, on the German business, which Vodafone said was primarily driven by adverse changes in interest rates. A €2.2bn write-down of a UK deferred tax asset followed the buyout of CKHGT from VodafoneThree. Vodafone also booked a non-cash €3.0bn gain on Safaricom.

Adjusted EBITDAaL rose 12.6% to €6.5bn, or 6.4% on an organic basis. Türkiye led organic service revenue growth at 32.8%, with Africa at 13.4%, while Germany managed 0.4% and the UK 0.9%.

Line chart of Vodafone's daily share price in pence from August to November 2026, falling from a September peak near 132p to about 117p.
Vodafone daily closing share price, 10 August to 9 November 2026, in pence.

Germany remains the weak spot. Its adjusted EBITDAaL fell to €2,139m from €2,191m, and Vodafone lost 198,000 broadband customers there in the half. Group Chief Executive Margherita Della Valle was direct about it.

I am very happy about our overall Group performance, but Germany is not yet where it needs to be.

Margherita Della Valle, Group Chief Executive

The upgrade is small: the mid-points of both ranges rise by €0.15bn. Net debt rose to €33.5bn from €25.4bn in March. The interim dividend rises 2.5% to 2.306 euro cents and goes ex-dividend on the 19th of November.

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