Vodafone: shares soar after annual results.
(CercleFinance.com) - British telecom giant Vodafone today said its losses had increased in the year ended 31 March, due to a huge impairment charge on the back of higher competition in India.
The group's loss for the financial year amounted to 6.1 billion euros, compared to 5.1 billion euros one year ago.
As a reminder, Vodafone had to record in the first-half of the financial year a non-cash impairment of 5 billion euros, relating to its Indian business.
The charge was driven by lower projected cash flows, as a result of increased competition in the Indian market.
Group revenue for the year decreased by 4.4% to 47.6 billion euros in the financial year, primarily due to due to FX movements.
For FY 2018, Vodafone said it is aiming at organic adjusted EBITDA growth of 4%-8%, with free cash flow around 5 billion euros.
In comparison, the operator's organic adjusted EBITDA grew 5.8% in the past financial year, with free cash flow reaching 4.1 billion euros.
"We continue to be Europe's fastest growing broadband provider," said CEO Vittorio Colao.
Also note that the group's final dividend per share is up 2%.
Vodafone shares are currently up 4% at 219.5 pence in London.
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