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Incoming merger, cost-cutting plan in place, stable revenues, a (seemingly) serious agenda to improve performance, falling debt, stable dividend, assets to sell, cheap share price.
I'm in no rush on these, so I've just bought a few more at 83p. I'll happily sit and wait on them, hopefully picking up dividends and a favourable capital gain in the process. I'm largely banking on the dividend remaining stable(ish), so time will tell if I'm right or not.
The market now will leave the CEO to get on with it .....the focus short term is more on the US Debt ceiling nonsense and the next decisions from the Central Banks ....the Eurozone economy, China ,US is actually more of a concern than the CEO plan...which everyone knows is going to take a while to show any real progress on the bottom line anyway
Lets see if she sells of italy, spain and gets merger with three. From the Q&A her answers were weak.
A beakup and sell off the assets is what market expects.
" A beakup and sell off the assets is what market expects "
depends what you get offered for them....and at present the market is weak in terms of looking for any decent valuations .. a buyers market, not a sellers market ...
What is the rationale of holding vodacom? Its best to sell it off at a premium and reduce the debt or merge with etisalat in africa.
Check out the last question of the analyst in the Q&A? a very weak answer by the ceo.
"What is the rationale of holding vodacom? Its best to sell it off at a premium and reduce the debt or merge with etisalat in africa."
Didn't you suggest the same in February? I don't understand why you'd want Vodafone to sell off a business with big growth potential. India appears to be a write off, so Vodafone need Africa to bulk up their growth portfolio; If someone came along with a ridiculously high offer, I might take a different view, but it would have to be massively higher than the Book Price. As far as a Vodacom merger with Etisalat Africa, much would depend on the terms of the merger. Obviously things are happening in the background between Etisalat and Vodafone, time will tell how this may develop.
Most of the posters on here need to go to an adult learning centre, thick, they don’t seem to know the difference between their there and they’re. That lack of intelligence is probably why they keep buying this dogshxt in the belief that the generous dividend is safe and the share price will recover. Haha, every support level with this has been breached over three years, the only trend for this is down, .64p by Dec. I guarantee you the dividend will be suspended or drastically cut as bondholders demand it as the debt is so high and net cash is vaporising. Watch this space you dipstick losers. Short it on IG.
'big growth potential'
Yes, some growth numbers in the FY.
Africa and Turkey are 23% of the group
South Africa service revenue +2.6%, EBITDAal +1.7%
Egypt service revenue +21.1% EBITDAal +10.2%
Turkey service revenue +47.6% EBITDAal +49.8%
Internationals service revenue +5.3% EBITDAal +1.5%
UK is 9% of the group..service revenue +5.6%, EBITDAal ex energy +4.1%
Other Europe is 11% of the group..service revenue+2.8%, EBITDAal +4.7%
Plenty of growth to work with and Germany 36% of group, scale action plan in flight to restore service revenue and flows through to EBITDAal.
Simple!
Such passion Porsche1946, why are you so desperate for people to sell their Vodafone holdings?
Fleccy. I think Porsche may be shorting Vod to make money, to pay for an adult training course in how to make freinds & influence people.
P46
''Most of the posters on here need to go to an adult learning centre, thick''
''That lack of intelligence''
'' I guarantee''
'' net cash is vaporising''
Your 11:38 post regarding Vod lacks any intellectual foundations.
Good boy longterminvestor keep up the great job of proof reading the whole of the internet. Giving up your life for this important job was definitely worth it.
The large city buyers missed the reduction in debt to 33 billion this is a 25 percent drop and deserves a large increase in the share price
Value will be realised in the end. But when is the end?
The big city buyers are more concerned with cash flows to put into the discounted cash flow models, and in this respect Vodafone are guiding to lower cash flows in 2024. That is probably what worried them and outweighed any decline in net debt.
If cash flow becomes an issue then the cash in the bank can decline rapidly which will lead to an increase in net debt. They still carry total debt commitments to €66bn.
I guess market is saying cut or suspend dividend and reduce debt much more. Maybe down to 25b.
Sp not looking too clever
" They still carry total debt commitments to €66bn."
This is meaningless, unless you add in the total revenue and returns etc expected during the lifetime of those debt commitments
like saying you have a mortgage of £500k but missing out you have 40 years of income to pay it off
"They still carry total debt commitments to €66bn."
As Pokerchips implied, If you're going to quote debt then you should break it down:
Gross debt (€46.655) Billion
Cash and cash equivalents €11.705 Billion
Short-term investments €4.305
Derivative financial instruments €1.917 Billion
Net collateral liabilities (€4.647) Billion
Net debt (€33.375) Billion
It's debatable whether Lease Liabilities are debt, or an operating cost, BT count them as NET Debt under a different accounting standard, Vodafone don't. Vodafone's Lease Liabilities are currently €13.364 Billion. Then there are things like €1.485 Billion secured against Indian assets which subtract from the Borrowing figure of €66.390 Billion as they are covered by assets already written off.
The only figure that really counts is the Net Debt figure of €33.375 Billion, as that's the bottom line debt figure. I don't blame Vodafone for separating Lease Liabilities from the Net Debt figure, since the financial press seem incapable of understanding the difference in BT's case, where lease liabilities are included in Net Debt.
The debt isn't the problem...as such...the problem is getting the right return from having that debt
..that is where they have improve, which the CEO recognises ....if not then sell the asset you cant improve its return
....like Italy, who has to improve their GDP and productivity, rather than look to cut debt , which is difficult
AT&T debt is $143billion
Lease Liabilities needs to be broken down into an average per year amount ... a total is meaningless ..all it needs to be in manageable
" I guess market is saying cut or suspend dividend and reduce debt much more. Maybe down to 25b."
no, not right now ....
The market wants the US to get their debt nonsense sorted out, inflation under control and a chance that GDP can get back to growth into 2024 .... it doesn't want VOD to fold and throw its cards into the pot ...no....not at all