Re: Vodafone Group PLC (VOD)
Posted: June 13th, 2019, 2:46 pm
link to RNS viewtopic.php?p=229240#p229240
Shares, Investment and Personal Finance Discussion Forums
https://www.lemonfool.co.uk/
The transaction is expected to generate cost and capex synergies with a net present value of over €6 billion after integration costs, and revenue synergies with an NPV exceeding €1.5 billion from cross selling to the combined customer base. Together with the standalone growth potential of the acquired assets, these synergies support double-digit free cash flow per share accretion (before integration costs) from the third year post completion for Vodafone Group.
· Agreement reached to speed up 5G roll-out with new site sharing across the UK.
· Each party have also agreed to greater 5G autonomy for 2,700 sites in larger cities.
· Proceeding to explore potential monetisation options for the parties' 50:50 jointly owned passive tower infrastructure.
· Group revenue of €10.7 billion, down by €0.2 billion due to foreign exchange rate effects.
· Q1 organic service revenue declined 0.2%*, improving compared to Q4 (-0.7%**); gradual recovery expected to continue.
· Sequential progress in Europe, with service revenues -1.7%* (Q4: -2.1%**), as market conditions continued to improve in Italy and retail growth in Germany remained robust, offsetting the impact of competitor promotions in Spain.
· Rest of the World grew 5.3%* (Q4: 5.7%*) as the impact of regulation introduced in March in South Africa was offset by strong growth ahead of inflation in other markets.
· Good progress on strategic priorities during the quarter:
Highlights
· European tower infrastructure to be legally separated into a new organisation (referred to as "TowerCo") which will be operational by May 2020, with a dedicated management team
- Europe's largest towers portfolio, comprising 61,700 towers in 10 markets with potential proportionate EBITDA of around €900 million
· Preparations underway for a variety of monetisation alternatives, to be executed during the next 18 months (depending on market conditions), including a potential IPO of TowerCo
· Highlights the significant value embedded in Vodafone's tower infrastructure
· Continuation of active and passive network sharing strategy
- Unlocking industrial benefits, including substantial opex and capex savings and accelerating the roll out of 5G
· Proceeds will be used to reduce Group debt
idpickering wrote:Trading update for the quarter ended 30 June 2019
· Group revenue of €10.7 billion, down by €0.2 billion due to foreign exchange rate effects.
· Q1 organic service revenue declined 0.2%*, improving compared to Q4 (-0.7%**); gradual recovery expected to continue.
· Sequential progress in Europe, with service revenues -1.7%* (Q4: -2.1%**), as market conditions continued to improve in Italy and retail growth in Germany remained robust, offsetting the impact of competitor promotions in Spain.
· Rest of the World grew 5.3%* (Q4: 5.7%*) as the impact of regulation introduced in March in South Africa was offset by strong growth ahead of inflation in other markets.
· Good progress on strategic priorities during the quarter:
https://www.investegate.co.uk/vodafone- ... 00057911G/
· Developing 'Open Radio Access Networks' (OpenRAN) will enable Vodafone and the telecom industry to:
- introduce a wave of new 2G, 3G, 4G and 5G technology vendors - in addition to the existing market leaders - improving supply chain resilience;
- connect more of the world's most rural communities to the internet using standardised, lower cost network equipment; and
- enhance coverage in cities, e.g. using Vodafone's Open CrowdCell 'small cell' technology.
· Vodafone will trial OpenRAN for the first time in a developed market - the UK - as the technology is introduced in Europe ahead of schedule.
· Vodafone also launches OpenRAN trials in Democratic Republic of Congo (DRC) and Mozambique building on experience in South Africa and Turkey.
Vodafone is replacing the standard credit card-sized SIM holder with a new half-sized format that reduces by 50% the amount of plastic used to produce SIMs as part of a wider strategy to minimise the company's use of all non-essential plastics.
Starting from Christmas 2019, Vodafone stores will offer customers a range of eco-friendly accessories under the label 'Red Loves Green'. These will include 100% biodegradable or recyclable phone cases made from, for example, reused ocean plastic, plus charging banks and docks made from sustainable materials and plastic-free packaging. Vodafone plans to expand its range of 'Red Loves Green' products at retail during 2020.
TUK020 wrote:Hi Ian,
So what is your conclusion on the implications of this piece of news to holders of VF in a portfolio?
tuk020
TUK020 wrote:Hi Ian,
So what is your conclusion on the implications of this piece of news to holders of VF in a portfolio?
tuk020
jackdaww wrote:
vodafone have given me lots of divis , but i sold most after the cut.
plan to sell the rest soon .
Vodafone Hutchison Australia customers will soon enjoy the benefits of 5G technology with the announcement today that Vodafone has partnered with Nokia to commence the roll out of its 5G network in the first half of 2020.