Vodafone Group(US:VOD) Jing Ji Guan Cha Wang·2026-02-11 15:51Core Insights - Vodafone reported a 6.5% year-on-year increase in total revenue for Q3 FY2026, reaching €10.5 billion, but faced weak growth in the German market, leading to a 6.8% drop in share price, the largest decline in a year [1][2] - The company reaffirmed its full-year guidance, expecting adjusted EBITDAaL to be between €11.3 billion and €11.6 billion and free cash flow to be between €2.4 billion and €2.6 billion, at the upper end of the range [2] Financial Performance - Total revenue for Q3 FY2026 was €10.5 billion, with a year-on-year growth of 6.5%. However, service revenue in Germany grew only 0.7%, which was below market expectations [2] - Vodafone continues to implement a "progressive" dividend policy, planning to increase the dividend per share by approximately 2.5% in FY2026. Additionally, a new €5 billion share buyback program has been initiated, following the completion of a €3.5 billion buyback since May 2024 [3] Business Developments - In the UK market, Vodafone's merger with Three UK has been completed, reducing the number of telecom operators from four to three. Both companies have committed to investing approximately £11 billion over the next decade, with integration efforts proceeding as planned [4] - The African market continues to be a growth engine, with organic service revenue growth of 13.5% in Q3. Despite competitive pressures in Germany, wholesale business improved due to collaboration with 1&1 AG. The company is focusing on core markets and has divested its operations in Italy and Spain [5] Strategic Initiatives - The business revitalization plan led by CEO Margherita Della Valle has been in place for over two years, focusing on streamlining operations and asset restructuring, with recent emphasis on addressing changes in German regulatory policies [6]