Zegona Communications (ZEG) H2 2024 earnings summary

Executive summary

• Completed 100% acquisition of Vodafone Spain for €5.0 billion on 31 May 2024, marking a major strategic milestone.

• Transformation of Vodafone Spain underway, with focus on cost control, customer reinvestment, and product improvements.

• Entered binding contract with MasOrange to create FibreCo, a new FTTH network covering 12.2 million premises, expected to complete in H1 2025.

Financial highlights

• Vodafone Spain total revenues rose to €913m for the three months to December 2024, up from €903m in the prior quarter.

• EBITDAaL increased to €320m from €318m sequentially; EBITDAaL less capex improved to €175m from €174m.

• Cash held by the group at 31 December 2024 was €260m.

Outlook and guidance

• FibreCo transaction, together with Telefónica España agreements, completes Vodafone Spain's fixed line strategy, enabling full national FTTH services.

• FibreCo completion anticipated in the first half of 2025, subject to regulatory approvals.