Vodafone TV customers down 2.9 million in H1 FY25

Vodafone Group Plc has announced H1 FY25 preliminary results, for the half ended 30 September 2024.

Germany

Total revenue decreased by 4.4% to €6.1 billion as a result of lower service and equipment revenue. As anticipated, service revenue declined by 3.9% (Q1: -1.5%, Q2: -6.2%), primarily due to a 2.6 percentage point impact (Q1: -1.2 percentage points; Q2: -3.8 percentage points) from the end to bulk TV contracting in Multi Dwelling Units(‘MDU’), which came into full effect from July 2024, as well as a lower broadband customer base following price increases in the prior year. The decline in quarterly trends was primarily driven by the full impact of the TV law change and the lapping of broadband price increases in the prior year.

German TV laws relating to the practice of bulk TV contracting in MDUs changed in July 2024 and we have continued to migrate end users to new contracts at scale. By the end of September 2024, we had retained 4.0 million households, which is in line with our expectation that we would retain around 50% of the 8.5 million MDU TV households. We will continue to engage with the remaining households affected by the law change and drive penetration. Our total TV customer base declined by 2.9 million during the period, primarily due to the MDU transition.

Europe

TV Customers (thousands):

          Q2 FY23  Q3 FY23  Q4 FY23  Q1 FY24  Q2 FY24  Q3 FY24  Q4 FY24  Q1 FY25  Q2 FY25
          -------  -------  -------  -------  -------  -------  -------  -------  -------
Germany    13,007   12,895   12,760   12,640   12,547   12,411   11,758   11,103    8,900 
Portugal      833      846      852      861      871      881      886      890      895 
Other       1,747    1,737    1,733    1,728    1,720    1,714    1,706    1,688    1,672 
Europe*    15,587   15,478   15,345   15,229   15,138   15,006   14,350   13,681   11,467

Net additions (thousands):

          Q2 FY23  Q3 FY23  Q4 FY23  Q1 FY24  Q2 FY24  Q3 FY24  Q4 FY24  Q1 FY25  Q2 FY25
          -------  -------  -------  -------  -------  -------  -------  -------  -------
Germany      (86)    (112)    (135)    (120)     (93)    (136)    (653)    (655)  (2,203)
Portugal       14       13        6        9       10       10        5        4        5 
Other          14     (10)      (4)      (5)      (8)      (6)      (8)     (18)     (16)
Europe*      (58)    (109)    (133)    (116)     (91)    (132)    (656)    (669)  (2,214)

* Europe totals exclude TV customers from Italy, Spain, and Hungary.

Other businesses: VodafoneZiggo (Netherlands)

TV Customers (thousands)

          Q2 FY23  Q3 FY23  Q4 FY23  Q1 FY24  Q2 FY24  Q3 FY24  Q4 FY24  Q1 FY25  Q2 FY25
          -------  -------  -------  -------  -------  -------  -------  -------  -------
Total       3,670    3,665    3,645    3,612    3,573    3,525    3,492    3,460    3,426
Net adds     (21)      (5)     (20)     (33)     (39)     (48)     (33)     (32)     (34)