Vodafone Ghana service revenue performs well in Group’s financial year
Vodafone Ghana, a subsidiary of UK’s Vodafone Plc, has recorded an impressive performance on the Group’s operations during its financial year 2010.
According to the Group’s financial statement which was published on its website May 17, 2011, Vodafone Ghana recorded a service revenue growth of 21% which according to the statement was as a result of competitive tariffs and improved brand awareness.
“In Ghana service revenue growth of 21.0% was supported by competitive tariffs and improved brand awareness”, the Group’s 2010 financial results said.
This represents organic growth which presents performance on a comparable basis, both in terms of merger and acquisition activity and foreign exchange rates, Vodafone Plc says.
The Ghanaian subsidiary also contributed to the organic basis earnings before income tax depreciation and amortization (EBITDA) which grew by 7.5%.
The statement also indicated that EBITDA increased by 5.1% driven by growth in Ghana, New Zealand and Qatar.
Vodafone Plc sees Ghana, India, Vodacom, Egypt, Turkey, Qatar and Fiji as new emerging markets.
For instance, statistics provided in the financial statement show that Vodafone Ghana mobile phone subscribers rose from 2.78 million in January 1, 2011 to 3.04 million as at March 31, 2011.
The Group’s total number of mobile customers as at March 31, 2011 was 370,884,000 with 78% of the number being prepaid customers. The Group customers represent subsidiaries on a 100% basis and joint ventures (being Italy, Poland, Australia and Fiji) based on the Group’s equity interests.
The fourth quarter of Vodafone’s financial year recorded 2.5% of revenue growth driven by a strong AMAP performance of +11.8%.
Africa, Middle East and Asia Pacific generated revenue of £12.2 billion representing 20% of the Group’s revenue.
Free cash flow was £7.0 billion which according to the company was consistent level of capital expenditure and strong working capital performance.
By Ekow Quandzie