Vodafone Group Public Limited Company Q2 FY2025 earnings call

Strategic Priorities - Germany: New management team in place, completed MDU transition, commercial KPIs improving, fixed network recognized as best in Germany, delivering gigabit-capable broadband to 75% of German households. - Business: Q2 reacceleration in trends, digital services grew 18%, over 80% of role reduction program actioned, shared operations commercialized with Accenture. - Portfolio Actions: Close to completing Group reorganization, securing approvals in Italy and U.K. in next few weeks. - Vodafone Investments: Sold further stake in Vantage Towers for €1.3 billion. ### Customer Focus: Proud of leadership in NPS in 9 out of 15 markets, U.K. with highest-ever NPS, lowest-ever churn, strong commercial momentum. ### Turkiye: Achieved highest-ever market share of Vodafone.

Group EBITDA grew by 3.8% in the first half. The U.K. grew at over 8%, other Europe at over 3%, and Turkiye grew by circa 50% in euro terms. Service revenue trends slowed in Q2 due to the MDU transition in Germany. Fixed broadband in Germany is delivering gigabit-capable broadband to 75% of households. In business, digital services grew by 18% in Q2. Revenue contribution: Group EBITDA growth 3.8%, U.K. over 8%, other Europe over 3%, Turkiye circa 50% in euro terms.

Germany: Q3 expected to be similar to Q2, Q4 improvement with 1&1 effect and MDU impact fading, FY '26 expected to be positive contributor to EBITDA growth with workforce transformation and GenAI investments. ### Group: Moderate step up in growth in second half year, driven by U.K., rest of Europe, and Africa (Turkiye performing well).

Germany: Continued impact from MDU transition, lapping of broadband price increases, competitive environment in mobile market. ### Regulatory: Uncertainties in regulatory reviews for mergers and acquisitions, e.g., Romania deal. ### Market Competition: Aggressive pricing from competitors in Germany and Portugal could impact revenue and margins.

Q: Question on Germany's broadband net adds, service revenues, EBITDA trajectory A: Margherita and Luka discussed Q2 being bottom of U-shape, Q3 similar to Q2, Q4 improvement with 1&1 effect, FY '26 positive EBITDA growth.

Q: Service revenue trajectory for rest of the year A: Luka said Group expected moderate step up in growth in second half, U.K. improving, Turkiye high market share, rest of Europe solid.

Q: Germany commercial outlook and Group priorities A: Margherita talked about new leadership team, MDU transition completion, 20% roles reduction, fixed broadband strategy; Group priorities include customer, simplicity, growth.

Q: U.K. competitive intensity and EBITDA trajectory A: Margherita said U.K. competitive, B2B improving, Luka said EBITDA growth step down in second half due to energy tailwind fade and OpEx phasing.

Q: JVs, towers, Dutch JV A: Margherita said no new tower sell-downs, 50/50 JV with lockup until March '26; Luka mentioned increasing dividends from Vantage Towers.

Q: Germany mobile market competition A: Margherita said remain disciplined, early to call impact of competitors' pricing.

Q: Germany fixed strategy A: Margherita said focus on customers, fiberizing cable network, OXG 7 million households program, wholesaling where needed.

Q: Regulation, Romania deal A: Margherita talked about Romania MoU, regulatory engagement in Europe, Draghi report impact.

Q: Other Europe, Digi's launch in Portugal A: Margherita said Portugal has strong brand, high customer satisfaction, competition ahead.

Q: Germany FY '26 growth A: Luka said 1&1 is part of Germany's performance, not breaking out underlying growth yet.