May 24, 2005, 9:37 AM — Mobile phone giant Vodafone Group PLC on Tuesday reported a 2 percent increase in revenue for its fiscal year 2005 while narrowing its losses. The company's chief executive officer (CEO) warned that high levels of market penetration and increased competition are expected to weaken profitability in the current financial period.
Vodafone credited strong global customer growth and increasing use of data services for the preliminary results. Its subscriber base increased over the year by 16.3 million subscribers in the 26 markets it operates, to 154.8 million subscribers. Vodafone counts subscribers in proportion to its holding in companies it does not wholly own. For example, in the U.S., Vodafone owns a 45 percent stake in operator Verizon Wireless Inc.
Group revenue at the Newbury, England-based company rose to