Vodafone Ukraine reduces its profit by 30% to UAH 3.5 billion in 2024

In 2024, the Vodafone Ukraine mobile operator (PJSC VF Ukraine, Kyiv) reduced its net profit by 30%, or by UAH 1.529 million, to UAH 3.544 billion compared to 2023.

The company has said this in a statement, the Ukrainian News agency reports.

It is noted that this decrease was caused by losses from exchange rate differences due to an increase in the US dollar to hryvnia exchange rate by 11%, as well as a partial decrease in operating profit.

According to the results of 2024, Vodafone increased revenues by 13% to UAH 24.4 billion.

The main growth factors were: focus on the development of fixed business, increase in data service usage and number of users and, accordingly, income from services – both mobile and fixed.

It is also reported that the OIBDA indicator in 2024 remains relatively stable, at UAH 12.2 billion, despite the rapid growth in the cost of electricity and the increase in the tax burden.

The OIBDA margin was 50.0%, which means a decrease of 8.7 pp.

During the three years of full-scale war, Vodafone invested UAH 15.5 billion in Ukraine, of which UAH 6.2 billion in 2024.

During the war, the company restored more than 1,000 damaged base stations and launched 7,252 LTE base stations to expand network coverage and capacity.

Part of the investment, namely UAH 989 million, was directed to the purchase of new frequencies for the development of the LTE network.

Vodafone won the competition for the 1st and 5th lots of the 4G frequency allocation auction and received radio frequencies in the 2100 MHz and 2600 MHz bands.

Using 2100 LTE will provide a more stable signal in 4G and add up to 30% of network capacity.

And due to the aggregation of 1800 and 2100 MHz frequencies, the company will be able to provide a significant increase in Internet speed.

Using the 2600 TDD band will allow for a 50% reduction in the load on the busiest sites and an average increase in speed by 1.5 times, which is important in the context of constant growth in mobile Internet consumption.

In 2024, the company launched the Joice line of tariffs, which work on the Roaming like at Home principle – subscribers can use the minute counter both in Ukraine and when roaming in EU countries.

Another important initiative was the first line of 3-in-1 GigaCombo tariffs, which combines three classes of services: mobile communications, fixed Internet and television within the framework of a single tariff offer.

As the Ukrainian News agency earlier reported, in January-September of this year, the Vodafone Ukraine mobile communications operator (PJSC VF Ukraine, Kyiv) reduced its net profit by 23%, or by UAH 886 million, to UAH 2.921 billion compared to the same period last year.

In March 2020, Vodafone (UK) signed a partnership agreement with the mobile communications operator Vodafone Ukraine on the continuation of the use of the Vodafone brand in the work of the Ukrainian company for the next 5 years.

On December 3, 2019, Bakcell (Azerbaijan) completed the transaction to purchase the mobile Vodafone Ukraine communications operator (formerly MTS-Ukraine) from the MTS telecommunications company for USD 734 million.

Bakcell is part of the NEQSOL Holding group of companies, founded by Azerbaijani Nasib Hasanov.