Vodafone Group reports higher profits as cost-cutting leads to 1,200 job losses in Europe
Vodafone Group has reported higher sales and profits amid a drive to cut costs which has led to the shedding of 1,200 jobs in Europe over recent months.
The telecoms giant said its cost-saving initiatives had helped deliver the reduction in roles across Europe and in its shared operations in the three months to the end of June.
Vodafone did not specify how many UK jobs have been affected. It is understood that some of the reduction involved natural attrition, when people are not replaced after they leave the business.
It is aiming to shave about £700 million a year from its total costs and capital spending by the 2030 financial year.
This is partly coming from Vodafone’s merger with Three in the UK, which completed last year and formed the nation’s largest mobile operator.
The company has since been working to integrate the two brands, including sharing their 5G networks.
Vodafone has been pushing ahead with a major transformation under chief executive Margherita Della Valle, including a focus on its biggest markets in Germany and the UK, as well as Africa, while pulling out of countries where it has a smaller presence.
In the latest update to investors, the business said that its service revenues totalled 8.6 billion euro (£7.4 billion) for its first quarter, up by a 10th compared with the previous year.