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Press Releases

Lisbon, 16th of November 2020

Vodafone Portugal announces Q2 Results

From July to September, the second quarter of fiscal year 2020-2021, the pandemic effects on the economic slowdown negatively affected Vodafone Portugal’s activity. The results shows that Covid-19 had an impact on the main indicators mainly due to mainly due to lower revenue related to tourist activity.

The Portuguese economy contracted 16.3% YoY between April and June 2020, and an estimated contraction of 5.7%YoY from July to September, reflecting the significant reduction in private consumption and investment due to the impact of C-19 pandemic outbreak with impacts across all the sectors.

In this context, Service Revenue reached 255 million, which represents a slight increase of 0.3% when compared to the same period last year. The lower roaming and visitor revenue, including the impact of lower prepaid SIM sales to tourists and informal workers, affected the reduction in the main business indicator. Number of mobile Customers decreased 5% to 4,612 million on an annual basis, despite the consistent increase on Mobile Contract customers. In the same quarter, Total Revenue declined 0.8% YoY reaching 278 million euros.

Considering the six-monthly review, between April and September, Service Revenue reached 495 million euros (+0.5% YoY), while Total Revenue achieved 537 million euros (-0.8% YoY) due to the decrease of handset sales during this period.

Despite Covid-19 crisis Vodafone maintained its positive performance in the fixed business, with a steady pace under a very competitive environment, what proves that customers recognizes the quality of service and the competitiveness of offer, under a circumstance where the quality of FBB is even more critical due to the relevance of home working. The broadband customer base totalizes 777 thousand (+9.3% YoY) and the TV customers reaches 713 thousand (+10.4%YoY).

During this period, Vodafone Portugal is effectively expanding its footprint across all country. At the end of Q2, Vodafone´s next generation FTTH network reached 3.6 million homes and businesses (+9.7% YoY).

“Vodafone Portugal presents its results in an unparalleled environment in Portugal’s history, which affects all activity sectors and inevitably electronic telecommunications.

In a context of huge unpredictability, resulting from the constant changes in the socio-economic reality, Vodafone Portugal has been developing multiple additional efforts to adapt and make its business plan more flexible, guaranteeing this way the capacity and resilience of its services in order to respond to the needs and difficulties that Portuguese families and companies have being faced.

The results presented today are a great example of our delivery commitment and resilience and are only possible due to the fact they are based on an exemplary dedication of our Employees and Partners, as well as on the flexibility, security and robustness of the latest generation infrastructures which have been the subject of significant investments by Vodafone Portugal over the last 28 years of commercial activity.

The continuity of this long investments’ history, quality of execution and consolidated strategy, and commitment to the Country - which offer resilience in this complex and volatile present - is manifestly and intentionally questioned irreversibly by the current 5G regulation. For this reason, Vodafone was forced to resort to all legal mechanisms at its disposal, in order to protect the future of this sector and, in particular, its tens of thousands of direct and indirect jobs.

Moving in this direction, recommended by the current 5G regulation, the main loser will be the Country”, says Mário Vaz, CEO of Vodafone Portugal.”