Vodafone to cut costs by another £1 billion

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As part of the company’s comfortable half year results announcement, Vodafone’s chief executive Vittorio Colao confirmed he is looking to make even more savings.

Cost cutting

Vodafone is set to cut costs by a further 1 billion after announcing slightly raised half year results.

Group revenue for the company in the past six months hit 21.8 billion, a rise of 9.3 per cent, with profits rising by a more modest 2.4 per cent to 5.9 billion.

Vodafone had already confirmed it was looking to cut costs of 1 billion, but now chief executive Vittorio Colao has said it is set to make further cuts.

"The 1 billion cost reduction programme is expected to be delivered a year ahead of plan and we have extended this to a further 1 billion of cost savings by 2012," Colao said in a statement.

The chief executive also confirmed he was pleased with the results, even though the increase in profit wasn't massive.

"The group has performed in line with our expectations and we have made strong progress with our strategic priorities, in particular in mobile data and cash generation," he said.

Jennifer Scott
Jennifer Scott

Jennifer Scott is a former freelance journalist and currently political reporter for Sky News. She has a varied writing history, having started her career at Dennis Publishing, working in various roles across its business technology titles, including ITPro. Jennifer has specialised in a number of areas over the years and has produced a wealth of content for ITPro, focusing largely on data storage, networking, cloud computing, and telecommunications.

Most recently Jennifer has turned her skills to the political sphere and broadcast journalism, where she has worked for the BBC as a political reporter, before moving to Sky News.