Vodafone shares climb 5% on German broadband boost; Ireland revenue decline slows     

Shares down 5.5% down from a year ago to value company at €38.7bn

In the three months to the end of December, Vodafone Ireland posted total revenues of €205m, compared with €209m a year earlier.

Shares in Vodafone climbed 5% as its chief executive Nick Read hailed an unexpected increase in its service revenues, boosted by its major market Germany, where broadband customers upgraded to higher-speed plans during the pandemic.  

Vodafone also posted a slower decline in its Ireland service revenues for the three months to the end of December, helped by "the anniversary of the prior year market repricing". In the quarter, Ireland posted total revenues of €205m, compared with €209m a year earlier. 

With Portugal and Greece, Ireland revenues are included in Vodafone's "other Europe" segment, which also includes Romania, the Czech Republic, Hungary, and Albania. 

Across the other Europe segment, service revenues fell by 0.7% "driven by lower roaming and visitor revenue and increased competition in some markets", Vodafone said. 

Its shares, which climbed 5% in the session, are still 5.5% down from a year ago, to value it £34.2bn (€38.7bn).  

“We have made further progress on our strategic priorities, including the IPO of Vantage Towers in early 2021, which remains firmly on track and will now include our 50% shareholding in the UK towers joint venture with Telefonica,” said Mr Read.

Richard Flood, investment manager at Brewin Dolphin Ireland, said the spin-out of the 82,000 mobile masts could unlock more value for the firm.