Vodafone Revenue Hits €40.5 Billion Following Three UK Consolidation

The Tip Desk · June 24, 2026 · 2 min read

Total revenue increased 8.0% to €40.5 billion as the company integrates Three UK

Vodafone Group Plc, a European and African telecommunications company, reported total revenue of €40.5 billion for the financial year ending March 31, 2026, an 8.0% increase from €37.4 billion in the prior year. The company attributed the growth to strong service revenue and the consolidation of Three UK, though foreign exchange movements partially offset these gains. Service revenue grew 8.8% to €33.5 billion, with organic growth of 5.4% across all segments except Germany.

Operating profit rose to €2.8 billion from a loss of €0.4 billion in the previous year. The company said this increase was driven by Adjusted EBITDAaL growth and the absence of non-cash impairment charges that occurred in the prior year, although higher depreciation and amortisation following the Three UK consolidation acted as a partial offset. Adjusted EBITDAaL increased 3.8% to €11.4 billion.

Regional performance showed significant variance. The UK segment's service revenue rose 29.0% to €7.6 billion, while Türkiye's service revenue increased 13.8% to €2.8 billion. Africa's service revenue grew 7.8% to €6.7 billion. In contrast, Germany's service revenue remained flat at €10.9 billion. Vodafone Business service revenue grew 2.2% to €8.2 billion, with the company reporting double-digit growth in digital services revenue.

Cash flow and capital allocation shifted following several divestments. Inflow from operating activities decreased to €14.29 billion from €15.37 billion in the prior year. The company noted that investing outflows increased by €8.997 billion to €4.238 billion, primarily because the prior period included proceeds from the sales of Vodafone Spain, 18% of Indus Towers Limited, and 10% of Oak Holdings 1 GmBH.

Vodafone is also executing a portfolio restructuring. The company announced an agreement in February 2026 to sell its interests in VodafoneZiggo to Liberty Global for €1.0 billion in cash and a 10% equity stake in a new Benelux entity. Additionally, the board approved a €2 billion share buyback programme following the sale of Vodafone Italy.

Regarding shareholder returns, the board recommended a final dividend of 2.25 eurocents per share for payment on July 30, 2026, following an interim dividend of 2.3625 eurocents per share paid in February.

Looking forward, the company states it has a medium-term ambition to deliver double-digit Adjusted free cash flow growth in euro terms.