Vodafone Raises Guidance on Safaricom Deal

By Najat Kantouar

Vodafone Group raised its fiscal 2027 guidance to include the Safaricom deal, saying its key earnings metric should come in at the upper end of the new outlook.

The U.K. telecommunications company now expects adjusted earnings before interest, taxes, depreciation, amortization after leases of between 13 billion and 13.3 billion euros ($14.78 billion-$15.12 billion). The group previously guided for 11.9 billion to 12.2 billion euros.

The increased outlook reflects the consolidation of Safaricom, a Kenyan telecommunications provider, after Vodafone's Vodacom subsidiary raised its take to 55% from 35%.

The company still anticipates adjusted free cash flow between 2.6 billion and 2.9 billion euros.

"We now expect to deliver the upper end of our updated group guidance ranges," Vodafone said.

For its fiscal first quarter through June, Vodafone reported revenue of 10.29 billion euros, from 9.385 billion euros for the same period a year earlier.

Service revenue--a closely watched metric in the telecom sector--climbed to 8.63 billion euros from 7.86 billion euros, driven by growth across the group's key regions including Germany and the U.K.

Write to Najat Kantouar at najat.kantouar@wsj.com

(END) Dow Jones Newswires

July 27, 2026 03:09 ET (07:09 GMT)