Vodafone reported positive growth in its revenue yesterday, attributed to increased prices in the UK and advancements in Germany, Italy, and Spain, signalling a promising start for the new Chief Executive Margherita Della Valle’s turnaround strategy.
The telecoms group, which operates in Europe and Africa, also announced the appointment of Luka Mucic, the former Chief Financial Officer of SAP, as the new CFO of Vodafone, starting from September 1.
Mucic will replace Della Valle, who took on the permanent top position in April to simplify operations, addressing challenges in its largest market, Germany, and focusing on enhancing customer experience, a Reuters report stated.
Valle shared on Monday that organic service revenue had improved “across almost all of our markets,” with a reported 3.7 percent rise in the first quarter.
She added in her statement to reporters that “we’ve taken the initial steps, but naturally, there is more work ahead. “
The drop in service revenue in Germany reduced by more than half compared to the previous quarter, reaching 1.3 percent, as price increases helped offset customer losses during the last 18 months, according to the Reuters report.
Della Valle expressed her expectation for a “gradual ongoing improvement” in the country. In the UK, where Vodafone recently announced the merger of its operations with Hutchison’s rival network Three, the growth in service revenue accelerated to 5.7 percent, supported by strong consumer demand and price adjustments.