Vodafone Group: FY Results Call: Focus on Germany, UK & AI

Research evidence excerpt

Vodafone Group: FY Results Call: Focus on Germany, UK & AI

Update

May 12, 2026 11:50 AM GMT

Morgan Stanley & Co. International plc+MVodafone Group | Europe Emmet B Kelly

Equity Analyst

FY Results Call: Focus on Emmet.Kelly@morganstanley.comTerence Tsui +44 20 7425-6830

Terence.Tsui@morganstanley.com +44 20 7425-3095

Germany, UK & AI Harrison Williams, CFA

Harrison.Williams@morganstanley.com +44 20 7425-6627

German EBITDAaL outlook. i. German revenue growth rates will likely tail off. The

Lindsey C Zastawny

reported German top-line growth rate will gradually converge with the retail service Equity Analyst

revenue growth rate (this is excluding 1&1, as Vodafone laps the positive wholesale Lindsey.Zastawny@morganstanley.com +44 20 7425-1237

migration tailwind of the prior year), which is still negative. There is ongoing Vodafone Group (VOD.L, VOD LN)

pressure in TV, and intense competition in mobile. B2C broadband trends have seen ADRVOD.O

improved customer satisfaction and an increase in front-book prices. ii. EBTIDAaL is Telecommunications Services | United Kingdom

Stock Rating Equal-weight

likely to decline this year, given these top-line pressures. iii. Over the medium term,

Industry View Attractive

Vodafone assumes some decline in 1&1 MVNO cash flows as the latter builds its Price target 105p

Shr price, close (May 11, 2026) 120p

network towards 50% POP coverage. iv. On the upside, Vodafone sees additional 52-Week Range 122-68p

EBITDAaL growth drivers from B2B digital services, as well as cost efficiencies. Mkt cap, curr (mn) €36,121

Net debt (03/26e) (mn)* €44,880

EV, curr (mn)* €79,530

Other building blocks of European EBITDAaL outlook. i. The European segment

has already seen EBITDAaL stabilisation (in FY25/26). ii.