- Total revenue dropped 2.1% YoY to £10,680.5 million
- Mobile revenue fell 4.4%, consumer fixed revenue increased 2.3%
What happened: VMO2 reports revenue drop but achieves customer growth and fibre expansion in 2024
UK operator group VMO2 has reported a decline in revenue for Q4 and the full year of 2024. The company’s total revenue fell by 2.1% year-on-year (YoY) to £10,680.5 million, with Q4 total revenue dropping 4% YoY to £2,716.2 million. The mobile sector saw a 4.4% decrease in total mobile revenue to £5,687 million, attributed to a 15.4% drop in low-margin handset sales. Consumer fixed revenue increased by 2.3%, but B2B fixed revenue fell by 17.5% due to fewer long-term leases. Adjusted EBITDA for 2024 decreased by 3.7%.
The company highlighted positive customer growth, with 9,300 new fixed customers added in 2024 and 21,300 net broadband connections across the year. VMO2 also achieved a significant expansion of its fibre footprint, adding 1.3 million homes, bringing its gigabit footprint to 18.3 million homes.
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Why it’s Important
Despite the revenue drop, VMO2 remains committed to long-term growth through substantial investment in its network infrastructure. With over £2 billion invested in 2024, the company significantly boosted its 5G coverage, improved mobile network quality, and expanded its rural connectivity. Additionally, the expansion of its fibre footprint and the creation of Nexfibre put the company in a strong position to challenge other UK fibre providers. VMO2 is focused on returning to growth in 2025, targeting core revenue increases, higher adjusted EBITDA, and continuing its extensive network investment.
