Vodafone 2016 Annual Report Download - page 168

Vodafone Group Plc
Annual Report 2016
166
Other unaudited nancial information (continued)
Prior year operating results (continued)
Africa, Middle East and Asia Pacic1
India
£m
Vodacom
£m
Other AMAP
£m
Eliminations
£m
AMAP
£m
% change
£Organic*
Year ended 31 March 2015 restated
Revenue 4,309 4,341 4 ,74 3 (11) 13,382 – 6.9
Service revenue 4,291 3,489 4 ,16 6 (11) 11 ,93 5 (0.9) 5.7
Other revenue 18 852 577 –1,447
EBITDA 1,282 1,527 1,277 –4,086 (1.1) 5.9
Adjusted operating prot 458 1,030 314 –1,802 (6.7) 0.1
EBITDA margin 29.8% 35.2% 26.9% 30.5%
Year ended 31 March 2014 restated
Revenue 3,939 4,718 4,730 – 13,387 (2.4) 8.9
Service revenue 3,920 3,866 4,258 –12,044 (4.2) 6.7
Other revenue 19 852 472 – 1,343
EBITDA 1,135 1,716 1,279 –4,130 (1.6) 10.8
Adjusted operating prot 327 1,228 377 –1,932 12.0 30.7
EBITDA margin 28.8% 36.4% 27.0% 30.9%
Note:
1 The Group has amended its reporting to reect changes in the internal management of its Enterprise business. The primary change has been that on 1 April 2015, the Group redened its
segments to report international voice transit revenue and costs within Common Functions rather than within the results disclosed for each country and region. The results presented for the
year ended 31 March 2015 and 2014 have been restated onto a comparable basis. There is no impact on total Group revenue or cost.
Revenue remained stable as a result of a 7.4 percentage point
adverse impact from foreign exchange movements, particularly with
regards to the Indian rupee, South African rand and the Turkish lira.
On an organic basis service revenue was up 6.9%* driven by a growth
in the customer base, increased voice usage, strong demand for data
and continued good commercial execution. Overall growth was offset
by MTR cuts, particularly in South Africa. Excluding MTRs, organic
growth was 7.0%.
EBITDA declined 1.1%, including a 7.1 percentage point adverse impact
from foreign exchange movements. On an organic basis, EBITDA
grew 5.9%* driven by growth in India, Turkey, Qatar and Egypt, offset
by Vodacom and New Zealand.
Organic
change*
%
Other
activity1
pps
Foreign
exchange
pps
Reported
change
%
Revenue – AMAP 6.9 0.5 (7.4) –
Service revenue
India 12.4 –(2.9) 9.5
Vodacom (1.0) –(8.8) (9.8)
Other AMAP 5.2 1.8 (9.2) (2.2)
AMAP 5.7 0.5 (7.1) (0.9)
EBITDA
India 16. 3 –(3.4) 12.9
Vodacom (2.1) –(8.9) (11.0)
Other AMAP 7. 0 0.3 (7.4) (0.1)
AMAP 5.9 0 .1 (7.1) (1.1)
Adjusted operating prot
AMAP 0 .1 0 .1 (6.9) (6.7)
Note:
1 “Other activity” includes the impact of M&A activity. Refer to “Organic growth” on page 191
for further detail.
India
Service revenue increased 12.4%*, driven by continued customer base
growth, an acceleration in 3G data uptake and stable voice pricing.
Q4 service revenue grew 11.7%*.
We added 17.2 million mobile customers during the year, taking the
total to 183.8 million. Voice yields were relatively at after a period
of improvement, but we saw a decline in average minutes of use in H2
as competition increased in some circles.
Customer demand for data services has been very strong. Total data
usage grew 86% year-on-year, with the active data customer base
increasing 23% to 64 million. Within this, the 3G customer base
increased to over 19 million, reecting the signicant investment in our
3G network build. During the year we added 12,585 new 3G sites, taking
the total to over 35,000 and our coverage of target urban areas to 90%.
3G internet revenue rose 140%.
In March 2015 we successfully bid for spectrum in 12 telecom circles
for a total cost of INR 258.1 billion (£2.78 billion). This included spectrum
in all six of our 900MHz circles due for extension in December 2015.
We also successfully bid for new 3G spectrum in seven circles, allowing
us to address 88% of our revenue base with 3G services.
We have continued to expand our M-Pesa mobile money transfer
service, and now have 89,000 agents, with a nationwide presence.
At March 2015 we had 3.1 million registered customers and 378,000
active users. Our strategy is to focus on building scale on specic
migratory corridors.
EBITDA grew 16.3%*, with a 1.0%* percentage point improvement
in EBITDA margin as economies of scale from growing service revenue
were partly offset by the increase in operating costs related to the
Project Spring network build and higher acquisition costs.