Slide 1: Vodafone Group Plc Results
Vodafone Group Plc Results For the quarter ended 30 June 2017 21 July 2017
Slide 2: Disclaimer
Disclaimer By reading these slides you agree to be bound by the following conditions. The presentation also contains non-GAAP financial information which the Vodafone Group’s management believes is valuable in understanding the Information in the following presentation relating to the price at which
Slide 3: Q1 17/18 highlights
Q1 17/18 highlights Maintaining Fastest growing Leveraging scale Leading Strong data Clear NPS growth fixed broadband and reach in network growth leadership momentum provider Enterprise 2.2% 92% 63% 300k 1.5% 19/21 Group service 4G coverage 1 growth in fixed broadband Enterprise markets as revenue g
Slide 4: Trading update
Trading update Nick Read Group Chief Financial officer
Slide 5: All three growth engines contributing
All three growth engines contributing Q1 17 /18 organic service revenue growth contribution YoY (pp) Mobile Data Convergence Enterprise 0.7 (0.7) (0.3) 0.8 1.2 2.2 0.5 Europe consumer AMAP consumer Consumer Enterprise¹ EU regulation Carrier, wholesale Q1 17/18 mobile¹ mobile fixed line and other² 1.
Slide 6: Good commercial performance
Good commercial performance Group service revenue growth YoY (%) Customer net adds2 (000s) Group Europe ex. regulation1 Mobile contract Europe AMAP Fixed broadband 789 801 8.4 8.1 735 7.9 7.4 6.8 576 566 2.1 2.2 417 415 2.0 1.7 331 307 1.5 300 1.9 1.8 1.5 1.3 1.0 1.3 0.3 0.7 0.8 0.1 Q1 16/17 Q2 16/1
Slide 7: Key markets: Europe
Key markets: Europe Germany UK Italy Spain Mobile Mobile Mobile Mobile Broadband Broadband Broadband Broadband contract contract total contract Customer net additions 84 108 100 33 1 28 29 46 58 53 55 (000s) 26 (187) 15 8 1 (318) Q1 16/17 Q1 17/18 Q1 16/17 Q1 17/18 Q1 16/17 Q1 17/18 Q1 16/17 Q1 17/1
Slide 8: Key markets: AMAP
Key markets: AMAP Vodacom South Africa Turkey Egypt International Mobile Mobile Mobile Mobile Mobile Mobile Mobile Broadband contract prepaid contract prepaid contract contract prepaid Customer 790 net additions 51 2,486 11 13 268 345 286 61 97 519 (000s) 31 891 19 2 (416) Q1 16/17 Q1 17/18 Q1 16/17
Slide 9: India: signs of stabilisation
India: signs of stabilisation Service revenue (INR bn) YoY growth % • Continued significant decline in voice and data unitary 6.4 5.4 (1.9) (11.5) (13.9) pricing, down 32% and 67% respectively 114 112 • Retaining high-end users with larger data bundles; gaining 105 98 98 low-end share • Smaller play
Slide 10: Strategic progress
Strategic progress Vittorio Colao Group Chief Executive
Slide 11: Monetising our leading customer experience
Monetising our leading customer experience Market leading NPS More-for-more actions Mobile ARPU stabilising Consumer NPS (points)1 Typical changes, April 2017 Consumer contract ARPU (% change Q1 17/18 local currency) • +€2 Gap to next best • Extra 1 - 5GB Germany Italy2 UK Spain Gap to third • Data
Slide 12: Growth engines: mobile data
Growth engines: mobile data Group data usage is growing rapidly Market context 4G customers (m)1 Average data usage (GB)2 83.5 74.7 66.6 59.3 52.8 Video demand 4G /4G+ Compression Desire for 1.6 surging quality techniques worry-free 1.3 exceeding improving usage… 1.1 1.2 Wi-Fi 1.0 Q1 16/17 Q2 16/17
Slide 13: Growth engines: mobile data - Vodafone Pass
Growth engines: mobile data - Vodafone Pass Market research insights An innovative pricing model, targeting ARPU accretion1 Vodafone Pass: Italy App categories are easier to understand than Bytes… Music Social&Chat Video … ‘worry-free’ stimulates + Vodafone TV greater usage and customer satisfaction
Slide 14: Growth engines: fixed/convergence
Growth engines: fixed/convergence European homes marketable Q1 17/181 (m) Europe NGN broadband net adds3 (000s) Not covered Total NGN 163 On-net NGN Total incl’ ADSL and NGN 136 NGN wholesale 467 98 430 Strategic wholesale 384 41 partnerships2 323 Excludes 314 strategic 256 wholesale Own NGN network
Slide 15: Growth engines: fixed/convergence
Growth engines: fixed/convergence Europe converged consumer net adds (LTM)1 (000s) Europe consumer converged customers (Q1 17/18) (m) Fully converged customers and penetration of consumer broadband base Europe 4.4 30% Spain Total Europe Italy Spain 2.3 88% 220 689 165 Vodafone 0.6 21% Ziggo² Italy 0
Slide 16: Growth engines: Enterprise
Growth engines: Enterprise Service revenue growth Q1 17/18 (%) Strong platforms Net Promoter Score (Points) 3.6 9 ~2.5% IP-VPN 8 8 ex. roaming regulation 75 countries 1.5 275 PoPs 0.6 3 Cloud & Mobile Fixed Total IoT Hosting 59m SIMs 28 Share of Enterprise revenue +43% countries FY 14/15 FY 15/16 FY
Slide 17: Summary: a good start to the year
Summary: a good start to the year Robust commercial performance Continued momentum in Europe; AMAP accelerated; India signs of stabilisation All three growth engines contributing: Mobile data: Vodafone Pass – unlocking ‘worry-free’ data demand, targeting ARPU accretion Convergence: strong broa
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Slide 19: Appendix
Appendix 19
Slide 20: Customer experience and commercial KPIs
Customer experience and commercial KPIs Europe AMAP Q1 Q2 Q3 Q4 Q1 Q1 Q2 Q3 Q4 Q1 16/17 16/17 16/17 16/17 17/18 16/17 16/17 16/17 16/17 17/18 4G customers (m) 1 36.0 39.3 43.3 47.0 50.1 4G customers (m) 2 16.5 19.6 23.2 27.7 33.4 Broadband customers (m) 1 12.5 12.7 16.2 16.6 16.8 Broadband customers
Slide 21: European homes marketable with NGN (Q1 17/18)
1 European homes marketable with NGN (Q1 17/18)1 Wholesale Open Fiber (millions) Owned Household coverage 65% 47% 67% 90% 54% 94% 13.6 9.0 26.0 8.3 12.6 10.3 0.2 1.5 7.2 3.5 2.5 Germany Italy² Spain UK Portugal VodafoneZiggo³ 98m marketable wholesale including 36m marketable on-net 60% coverage 22%
Slide 22: Forward-looking statements
Forward-looking statements This presentation, along with any oral statements made in connection therewith, contains “forward- licences and realise expected synergies and associated benefits; the Group’s ability to secure the looking statements” within the meaning of the US Private Securities Litigat
Slide 23: More information
More information Visit our website for more information 2017 upcoming dates Final dividend AGM payment Half-year results 28 July 4 Aug 14 Nov www.vodafone.com/investor Contact us ir@vodafone.co.uk +44 (0) 7919 990 230 For definitions of terms please see www.vodafone.com/content/index/investors/gloss