Drop in Vodafone’s Largest Market Weighs on Revenue Beat
- CEO Margherita Della Valle has pushed a turnaround strategy
- Germany barred housing associations from bundling TV with rent
A logo on the exterior of a Vodafone Group Plc store in London.
Photographer: Jason Alden/BloombergThis article is for subscribers only.
Vodafone Group Plc’s largest market, Germany, is starting to feel the pain from a recent law change that could see the telecommunications firm lose millions of customers.
Germany barred housing associations from bundling TV and internet subscriptions with rent, effective from July. Service revenue in the country, which accounts for more than a third of Vodafone’s group revenue, decreased by 1.5% in the first fiscal quarter, the company said on Thursday. Vodafone has previously warned that it could lose half of its 8.5 million household contracts because of the law change.