Vodafone Group Public Limited Company · LSE:VOD
Vodafone Group Public — Vodafone Group — Q1 FY21 Earnings Presentation
17 slides from Vodafone Group Public's earnings presentation, Jul 24, 2020
Slide 1: Vodafone Group Plc Q1 FY21 Trading Update
Vodafone Group Plc Q1 FY21 Trading Update 24 July 2020 #StayConnected
Slide 2: Agenda & contents
Agenda & contents Highlights Nick Read p3 Chief Executive Trading Margherita Della Valle p7 performance Chief Financial Officer Appendices p13 We connect for a better future A leading technology communications company building an inclusive, sustainable digital society Q1 FY21 2 Trading Update
Slide 3: Highlights: Trading in-line with expectations, Tower IPO early 2021
Highlights ⫶ Trading in-line with expectations, Tower IPO early 2021 Commercial Strategic Social performance progress contract • Good commercial • Deepening customer • Supporting society • Europe’s leading tower performance during engagement – stronger through our essential infrastructure company lo
Slide 4: Trading update: Good commercial performance during lockdown
Trading update ⫶ Good commercial performance during lockdown 7th consecutive quarter of improved loyalty1 Broadband net additions stable2 YoY churn Broadband Converged NGN reduction 417 421 429 370 (0.6ppt) (0.5ppt) 237 230 (0.8ppt) 205 214 (1.4ppt) (1.1ppt) (1.6ppt) 142 132 142 141 115 105 54 (3.2p
Slide 5: Social contract: Supporting Governments' digital agenda
Social contract ⫶ Supporting Governments’ digital agenda… Governments’ digital Vodafone’s Policy priorities 5-point response plan objectives Roll-out of next-generation, Expand & future-proof our Healthy, sustainable market structure resilient networks network infrastructure Pro-investment and pro-i
Slide 6: Vantage Towers: Europe's leading tower infrastructure company
Vantage Towers ⫶ Europe’s leading tower infrastructure company Vivek Thomas Sonia Badrinath Reisten Hernandez CEO CFO CCO The brand The team Christian Jose Nikolaus Sommer Rivera Rama General CTO HR Director Counsel 68k #1 or #2 Mission & values macro sites in most markets Key facts 9 markets 90% re
Slide 7: Trading performance
Trading performance Margherita Della Valle Chief Financial Officer
Slide 8: Q1 trading: Performance in-line with expectations
Q1 trading ⫶ Performance in-line with expectations YoY quarterly service revenue growth • COVID-19 impact largely driving QoQ movement 1.6% 1.1% Europe Group 1.6% 0.7% 0.6% 0.8% 0.1% (0.4)% • Germany performance resilient -0 .4% (0.2)% (1.4)% (1.3)%1 • Rest of Europe -0 .9% (1.4)% -1 .4% (1.7)% -1 .
Slide 9: COVID-19: Driving service revenue slowdown
COVID-19 ⫶ Driving service revenue slowdown Q4 FY20 to Q1 FY21 service revenue growth movement Roaming & visitors 2.0 COVID-19 impact Non-COVID-19 related - c.70% reduction across Europe - Non-EU related roaming down c.85% 1.5 – no near-term recovery expected 1.0 1.6% (1.6%)1 Business 0.5 - Deferral
Slide 10: Germany: Resilient performance with good underlying momentum
Germany ⫶ Resilient performance with good underlying momentum 34% of Group EBITDA1 Service revenue growth Unitymedia in Net customer additions (‘000) organic SR 190 2.0% 2.0% from FY21 DSL 19 0 160 1.5% 1.5% Cable 1.6% Retail 2 Cable (pro-forma) 14 0 118 1.3% 1.0% 1.2% 1.0% 12 Mobile contract 90 74
Slide 11: Other markets: Solid commercial performance, impacted by COVID-19
Other markets ⫶ Solid commercial performance, impacted by COVID-19 Service revenue Market Performance growth (%) 14% of Group • Competition remains challenging • Net neutral on mobile number portability EBITDA1 -6.5% (Q4: -3.7%) • Lapping price increases in Q2 • +45k broadband customer additions 10%
Slide 12: Summary: Creating sustainable value for all stakeholders
Summary ⫶ Creating sustainable value for all stakeholders Deepening Accelerating customer digital engagement transformation Improving Optimising Strategic priorities ⫶ momentum maintained during lockdown asset the utilisation portfolio Resilient trading ⫶ in-line with our expectations Vantage Towers
Slide 13: Appendices
I Definitions p14 II Supporting information p15 III Importance notice p16 Appendices Q1 FY21 13 13 Trading Update
Slide 14: Appendix I: Definitions
Appendix I ⫶ Definitions Term Definition Term Definition Adds Customer additions within a defined period MTM Mark-to-market or fair value accounting refers to accounting for the value of an asset or liability based on the current market price AI Artificial intelligence / machine learning of the asse
Slide 15: Appendix II: Supporting information
Appendix II ⫶ Supporting information 1. Quarterly revenue The information opposite is available in spreadsheet format 2. Adjusted income statement via investors.Vodafone.com 3. Segmental information 4. Income statement information 5. Cash flow 6. Mobile customers 7. Fixed-line broadband customers 8.
Slide 16: Appendix III: Important notice
Appendix III ⫶ Important notice By accessing these slides, you agree to be bound by the following conditions. You may not Forward-looking statements are sometimes, but not always, identified by their use of a date in disseminate these slides or any related recording, in whole or in part, without the
Slide 17: Investor Relations contacts and upcoming events
Group Investor www.vodafone.com/investors Upcoming events Relations ir@vodafone.co.uk 1 Kingdom Street, London, W2 6BY 28 Annual General Meeting July Matthew Johnson Director matthew.johnson@vodafone.com Group IR Daniel Morris Deputy Director Group IR daniel.morris@vodafone.com 17 H1 FY21 Results No