Smartphone surge boosts Vodafone's quarterly revenues
A "surge" in the number of subscribers using smartphones helped Vodafone Ireland report a 1.9pc quarter-on-quarter rise in average monthly revenue per user to €32.90 in the three months to the end of June. But the figure was down 6.3pc year on year as consumers continue to pare back spending.
In an interim management statement issued by the group yesterday, Vodafone said that revenue rose 3.5pc in the period to £11.7bn (€13.3bn), while service revenue -- the turnover generated from subscribers' actual mobile phone usage -- was 1.5pc higher at £10.9bn (€12.4bn).
In Europe, Vodafone's service revenue declined 1.3pc, despite decent performances by its operations in the UK and Germany.
Macroeconomic challenges continue to dominate the performance of Vodafone's businesses in southern Europe, noted the company. In Italy. its service revenue fell by 1.5pc in the quarter, while in Spain organic service revenue slumped 9.9pc, with price reductions adding to ongoing macroeconomic pressures.
In Ireland, Vodafone's mobile customer numbers in the quarter were largely unchanged, at 2.2 million. Including its fixed-line and fixed broadband business, the total customer base stood at 2.4 million, up 76,000 year on year. There are now more than 530,000 smartphones connected to the Vodafone Ireland network.
Vodafone's results were welcomed by analysts and slightly ahead of expectations.