Wrap Text
Vodacom Group Limited trading statement for the quarter ended 30 June 2013
Vodacom Group Limited
(Incorporated in the Republic of South Africa)
(Registration number 1993/005461/06)
Share code VOD ISIN ZAE000132577
JSE code VOD008 ISIN ZAG000106063
ADR code VDMCY ISIN US92858D2009
News release
Vodacom Group Limited trading statement for the quarter ended 30 June 2013
18 July 2013
Salient features
- Group revenue up 3.0% to R17.5 billion, excluding the sale of Gateway Carrier Services and the impact of foreign exchange
translations growth was 5.1%*.
- Group service revenue flat at R14.6 billion, up 2.3%* on a normalised basis.
- Group data revenue up 28.2%, with active data customers increasing 23.3% to 19.4 million as we continue to drive smartphone
penetration.
- Group active customers increased 5.3% to 51.5 million, as our International operations continued to expand their coverage.
- Sustained high level of capital investment in all our networks to support the 28.3% growth in Group voice traffic and higher data traffic volumes.
- International operations delivered robust growth, service revenue was up 14.1%* supported by customer growth and increased
adoption of data and financial services.
- South African revenue up 3.9%, boosted by the increased handset sales. The service revenue trend is improving with a reported
decline of 0.2% and growth of 2.9% excluding the impact of mobile termination rates ('MTR's).
Quarter ended Year on year % change Quarterly % change
Rm June 2013 Reported Normalised* Reported Normalised*
Revenue 17 536 3.0 5.1 2.0 1.1
South Africa 14 549 3.9 3.9 (1.0) (1.0)
International 3 065 (1.0) 13.6 20.1 13.6
Service revenue 14 636 (0.2) 2.3 2.0 1.0
South Africa 11 678 (0.2) (0.2) (1.8) (1.8)
International 2 978 (1.7) 14.1 20.1 13.8
Shameel Joosub, Vodacom Group CEO commented:
"Vodacom continues to perform well. We've seen a substantial increase in traffic as a direct result of executing on our commercial
strategy and launching new products across all of our operations. As an example, by focusing on value offerings that allow people to
talk for longer, we've grown prepaid minutes of use by 21.0% in South Africa.
Overall, the active customer base has increased 5.3% to 51.5 million and Group revenue from on-going operations, adjusted for
foreign exchange, increased 5.1%*.
Data and the International operations remain key parts of the growth story. Data revenue in South Africa increased 21.8% and now
accounts for 21.3% of service revenue, up from 17.5% a year ago. Continued network investment supported the increase in data traffic
in South Africa, with 1.3 million additional smartphones active and using on average 75% more data per device than a year ago.
Equipment sales, primarily smartphones and tablets, totalled R2.7 billion in the quarter.
The International operations added just under 3.3 million customers over the last twelve months, with service revenue increasing
14.1%*. M-Pesa again performed well in Tanzania and has now been launched in Mozambique, DRC and Lesotho."
* Represents normalised growth excluding foreign exchange gains/losses and at a constant currency (using current period as base) from on-going operations.
Refer below for a reconciliation of normalised growth.
All growth rates refer to the quarter compared to prior year same quarter unless stated otherwise.
Vodacom Group Limited
Trading statement for the quarter ended 30 June 2013
Changes in disclosure
The definition of contract customers in South Africa has been restated to exclude machine-to-machine ('M2M') connections in order
to improve disclosure of the underlying performance of the contract base. As a result, contract ARPU, churn and minutes of use
('MOU') have been restated. M2M customers typically have no voice usage and generate substantially less revenue per connection
than the rest of the contract customer base.
Effective from 1 April 2013, Vodacom and Vodafone changed the classification within service revenue from voice, messaging and data
revenue to mobile customer revenue, separating in and out of bundle customer revenue for both prepaid and contract customers,
mobile incoming revenue and other service revenue. The information is presented on this new basis (refer below for the quarter ended
30 June 2013 and www.vodacom.com for the historic quarters).
Mobile customer revenue refers to revenue generated from billing our customers directly for mobile services. Other service revenue is
comprised of visitor roaming, national roaming, wholesale messaging, machine-to-machine and advertising revenue.
As a result of the above changes to service revenue, the following revenue reclassifications have been made:
- Machine-to-machine revenue has been reclassified from data revenue to other service revenue (Q1 2014: R42 million;
Q1 2013: R53 million);
- Wholesale messaging revenue has been reclassified from messaging revenue to other service revenue (Q1 2014: R139 million;
Q1 2013: R164 million);
- Handset insurance, loyalty and value added services revenue has been reclassified from other service revenue to mobile
customer revenue (Q1 2014: R100 million; Q1 2013: R36 million) ; and
- Tower sharing revenue has been reclassified from other service revenue to non service revenue (Q1 2014: R0 million;
Q1 2013: R67 million).
The above revenue reclassifications also impacted ARPU calculations which have been restated retrospectively to align to the new disclosure.
Operating review
Group
Group revenue increased 3.0% to R17 536 million. Excluding the sale of Gateway Carrier Service, revenue was up 5.1%*, boosted by
the strong growth in equipment revenue in South Africa.
Group service revenue was up 2.3%* to R14 636 million due to the 28.2% growth in data revenue and the 1.6% growth in voice
revenue, partially offset by the 14.6% decline in mobile incoming revenue.
South Africa
Revenue increased 3.9% to R14 549 million. In order to make smartphones and tablets more accessible to customers, we offer
financing to cover the portion of the device costs not included in the normal monthly subscription. This financing is recorded as
equipment revenue, and due to strong uptake has resulted in an increase in the proportion of non-service revenue to service revenue.
This additional revenue is not included in the calculation of ARPU. This strategy has helped us reduce the level of investment in
customer acquisition costs.
Service revenue decreased 0.2% to R11 678 million, with the 23.5% decrease in mobile incoming revenue from MTR cuts offset by the
growth in mobile customer revenue of 2.5%. The first quarter service revenue decline of 0.2% is an improvement from the 2.0%
decline reported in the fourth quarter last year. This is primarily due to the better performance of voice revenue. ARPU declined 0.8%
year on year to R125 (vs. 9.3% decline in Q4 2013), impacted mainly by the MTR cut. MOU increased 14.3% to 112 minutes following a
substantial increase in bundled minutes offered to contract and prepaid customers.
Contract mobile customer revenue was flat year on year at R5 236 million. The contract customer base (excluding M2M connections)
increased 2.3% to 4.8 million. M2M customers increased 24.0% to 1.2 million as we continue to leverage the Vodafone global M2M
technical platform. Including M2M connections, our contract customer base increased 6.3% to 6.0 million. Contract customer ARPU
decreased 3.7% to R387 per month due to the higher prevalence of lower ARPU from data only customers, the reduction in MTRs and
the decline in out-of-bundle spend as we move customers to better value integrated price plans, largely offset by increased data
spend.
We continue to see positive results from the recent launch of our Vodacom Smart and Red integrated price plans. 13.5% of our
customer base is now on integrated price plans and almost 30% of our contract mobile customer revenue is from these customers. As
we transform our contract pricing by offering customers much larger bundles of voice, messaging and data, we have seen an increase
in the contribution of in-bundle revenue to overall contract mobile customer revenue to 63.1% from 62.3% a year ago.
Prepaid mobile customer revenue increased 5.4% driven by increased take-up of prepaid data bundles and strong growth in voice
minutes offsetting price reductions. At the end of the second quarter last year we took a decision to reduce the number of low usage
calling cards in our customer base. This decision was taken to improve profitability but also resulted in a temporary contraction in
customer numbers. Our prepaid customer base increased slightly from the March quarter and ARPU increased 1.4% to R74 largely
due to the reduction in calling card volumes.
Data revenue was up 21.8%, contributing 21.3% to service revenue compared to 17.5% a year ago. Growth was driven by higher
penetration of smartphones and increased mobile internet usage supported by an increased take-up of integrated price plans. The
increase in data traffic more than offset the 7.4% reduction in the average effective price per megabyte ('MB') as we saw a significant
increase in the number of data bundles sold following our price changes across various mobile broadband and mobile internet
offerings. Over the past twelve months we added 1.3 million smartphones on our network, bringing the total number to 6.3 million
and average monthly usage increased 75% to 216MB. At 30 June 2013, active data customers totalled 14.4 million, up 16.5% from a
year ago.
International
Reported service revenue declined 1.7%. Excluding the sale of Gateway Carrier Services service revenue was up 31.5% (14.1%*) to
R3.0 billion. Service revenue growth slowed from the previous quarter largely due to increased competition in the DRC where
operators are pricing below the regulated minimum price floor.
Our accelerated network investment for both coverage and quality has supported active customers increasing 17.3% to 22.3 million.
We launched new pricing in all our operations offering customers substantially more value in bundles and value promotions. These
new offers showed good elasticity and resulted in a 57.2% increase in outgoing traffic, more than offsetting the effective reduction in
prices.
Data revenue grew 87.1% supported by 49.0% growth in active data customers to 4.9 million, with 22.0% of the active customer base
using data. Data adoption in all our markets increased as we offered lower priced daily and weekly data bundles as well as integrated
bundle offers.
Mobile financial services also continue to grow, with active M-Pesa customers up 44.9% to 5.2 million and revenue increasing by
102.8%. We have now launched M-Pesa services in all our markets with initial take up looking promising. In Tanzania 53.4% of the
customer base is actively using M-Pesa, the service now contributes 18.2% of service revenue, up from 12.3% a year ago. M-Pesa
generated an incremental ARPU of $2 in Tanzania in the quarter.
The quarterly information has not been audited or reviewed by Vodacoms external auditors.
Note
Gateway Carrier Services contributed R764 million (US$ 95 million) to service revenue in the quarter ending 30 June 2012.
Financial review
Revenue
June March June Year on year % change Quarterly % change
Rm 2013 2013 2012 Reported Normalised* Reported Normalised*
South Africa 14 549 14 699 14 007 3.9 3.9 (1.0) (1.0)
International 3 065 2 553 3 097 (1.0) 13.6 20.1 13.6
Corporate and eliminations (78) (55) (80) 2.5 (191.9) (41.8) (41.8)
Revenue 17 536 17 197 17 024 3.0 5.1 2.0 1.1
Service revenue
June March June Year on year % change Quarterly % change
Rm 2013 2013 2012 Reported Normalised* Reported Normalised*
South Africa 11 678 11 894 11 702 (0.2) (0.2) (1.8) (1.8)
International 2 978 2 480 3 028 (1.7) 14.1 20.1 13.8
Corporate and eliminations (20) (19) (61) 67.2 72.6 (5.3) (5.3)
Service revenue 14 636 14 355 14 669 (0.2) 2.3 2.0 1.0
Revenue for the quarter ended 30 June 2013
South Africa Yoy % International Yoy % Corporate/ Group Yoy %
Rm change change Eliminations change
Mobile contract revenue 5 236 0.1 188 19.0 (2) 5 422 0.6
In bundle 3 306 1.5 56 24.4 - 3 362 1.8
Out of bundle 1 930 (2.2) 132 16.8 (2) 2 060 (1.2)
Mobile prepaid revenue 4 781 5.4 2 157 31.9 (1) 6 937 12.4
In bundle 346 34.6 57 103.6 - 403 41.4
Out of bundle 4 435 3.6 2 100 30.7 (1) 6 534 11.0
Mobile customer revenue 10 017 2.5 2 345 30.8 (3) 12 359 6.9
Mobile interconnect 930 (23.5) 300 29.9 (8) 1 222 (14.2)
Other service revenue 731 1.7 333 (66.8) (9) 1 055 (37.4)
Service revenue 11 678 (0.2) 2 978 (1.7) (20) 14 636 (0.2)
Equipment revenue 2 703 33.7 43 59.3 (3) 2 743 34.3
Non-service revenue 168 (40.8) 44 4.8 (55) 157 (49.8)
Revenue 14 549 3.9 3 065 (1.0) (78) 17 536 3.0
Of which mobile voice 6 956 (2.5) 1 805 21.8 8 760 1.6
Of which mobile messaging 675 (11.5) 122 37.1 796 (6.6)
Of which mobile data 2 489 21.8 421 87.1 2 909 28.2
Notes:
- Mobile in-bundle revenue: Represents revenue from bundles that include a specified number of minutes, messages or megabytes of data that can be used for no
additional charge, with some expectation of recurrence.
- Mobile in-bundle revenue Contract: Revenue from all bundles and add-ons lasting 30 days or more.
- Mobile in-bundle revenue Prepay: Revenue from bundles lasting seven days or more.
- Out-of-bundle: Revenue from minutes, messages or megabytes of data which are in excess of the amount included in customer bundles.
Key indicators
South Africa
June March June Year on year Quarterly
2013 2013 2012 % change % change
Active customers (thousand) 1 29 282 29 190 29 971 (2.3) 0.3
Prepaid 24 488 24 404 25 284 (3.1) 0.3
Contract 4 794 4 786 4 687 2.3 0.2
Machine to machine customers (thousand) 1 239 1 159 999 24.0 6.9
Churn (%) 2
55.5 60.8 38.9
Prepaid 62.1 68.2 43.3
Contract 11.6 11.0 10.4
Traffic (millions of minutes) 3
9 752 9 252 8 657 12.6 5.4
Outgoing 7 448 7 018 6 459 15.3 6.1
Incoming 2 304 2 234 2 198 4.8 3.1
MOU per month 4
112 105 98 14.3 6.7
Prepaid 98 91 81 21.0 7.7
Contract 183 180 185 (1.1) 1.7
Total ARPU (rand per month) 5
125 127 126 (0.8) (1.6)
Prepaid 74 76 73 1.4 (2.6)
Contract 387 391 402 (3.7) (1.0)
Notes:
1. Active customers are based on the total number of mobile customers using any service during the last three months. This includes customers paying a monthly
fee that entitles them to use the service even if they do not actually use the service and those customers who are active whilst roaming. As of 30 June 2013,
this excludes M2M connections, prior periods have been restated.
2. Churn is calculated by dividing the annualised number of disconnections during the period by the average monthly customers during the period. Churn has been
restated as a result of M2M connections excluded from active customers.
3. Traffic comprises total traffic registered on Vodacom's mobile network, including bundled minutes, promotional minutes and outgoing international roaming calls,
but excluding national roaming calls, incoming international roaming calls and calls to free services.
4. Minutes of use ('MOU') per month is calculated by dividing the average monthly minutes (traffic) during the period by the average monthly active customers
during the period. MOU has been restated as a result of M2M connections excluded from active customers.
5. Total ARPU is calculated by dividing the average monthly service revenue by the average monthly active customers during the period. Prepaid and contract ARPU
only include service revenue generated from Vodacom mobile customers. ARPU has been restated as a result of M2M connections excluded from active customers.
International
June March June Year on year Quarterly
2013 2013 2012 % change % change
Active customers (thousand) 1 22 259 21 327 18 971 17.3 4.4
Tanzania 9 666 9 468 9 065 6.6 2.1
DRC 8 129 7 706 6 240 30.3 5.5
Mozambique 3 310 3 045 2 700 22.6 8.7
Lesotho 1 154 1 108 966 19.5 4.2
Churn (%) 2
Tanzania 56.8 64.7 72.5
DRC 87.7 90.0 75.6
Mozambique 69.8 69.0 54.0
Lesotho 43.7 31.9 22.0
MOU per month 3
Tanzania 116 83 66 75.8 39.8
DRC 39 44 43 (9.3) (11.4)
Mozambique 92 84 63 46.0 9.5
Lesotho 26 26 35 (25.7) -
Total ARPU (rand per month) 4
Tanzania 41 34 30 36.7 20.6
DRC 33 28 34 (2.9) 17.9
Mozambique 57 54 55 3.6 5.6
Lesotho 44 41 60 (26.7) 7.3
Total ARPU (local currency per month) 4
Tanzania (TZS) 6 992 6 092 5 761 21.4 14.8
DRC (USD) 3.5 3.1 4.1 (14.6) 12.9
Mozambique (MZN) 182 185 189 (3.7) (1.6)
Notes:
1. Active customers are based on the total number of mobile customers using any service during the last three months. This includes customers paying a monthly
fee that entitles them to use the service even if they do not actually use the service and those customers who are active whilst roaming.
2. Churn is calculated by dividing the annualised number of disconnections during the period by the average monthly customers during the period. During the
quarter ended 30 June 2012, Tanzania, Mozambique and Lesotho changed their disconnection policy from 215 days to 90 days inactivity.
3. Minutes of use ('MOU') per month is calculated by dividing the average monthly minutes (traffic) during the period by the average monthly active customers
during the period.
4. Total ARPU is calculated by dividing the average monthly service revenue by the average monthly active customers during the period.
Historical financial review
Revenue
June March December September June March December
Rm 2013 2013 2012 2012 2012 2012 2011
South Africa 14 549 14 699 15 475 14 426 14 007 14 379 15 135
International 3 065 2 553 2 875 3 058 3 097 2 930 2 983
Corporate and eliminations (78) (55) (56) (82) (80) (124) (121)
Revenue 17 536 17 197 18 294 17 402 17 024 17 185 17 997
Service revenue
June March December September June March December
Rm 2013 2013 2012 2012 2012 2012 2011
South Africa 11 678 11 894 12 507 12 055 11 702 12 134 12 724
International 2 978 2 480 2 786 2 964 3 028 2 848 2 905
Corporate and eliminations (20) (19) (20) (56) (61) (89) (93)
Service revenue 14 636 14 355 15 273 14 963 14 669 14 893 15 536
Historical key indicators
South Africa
June March December September June March December
2013 2013 2012 2012 2012 2012 2011
Active customers (thousand) 1 29 282 29 190 29 474 29 734 29 971 28 009 26 495
Prepaid 24 488 24 404 24 712 25 031 25 284 23 312 21 835
Contract 4 794 4 786 4 762 4 703 4 687 4 687 4 660
Machine to machine customers
1 239 1 159 1 107 1 049 999 931 878
(thousand)
Churn (%) 2 55.5 60.8 56.4 48.1 38.9 37.6 31.6
Prepaid 62.1 68.2 62.9 53.3 43.3 42.4 35.3
Contract 11.6 11.0 11.3 11.8 10.4 9.6 11.9
Traffic (millions of minutes) 3 9 752 9 252 9 631 9 940 8 657 8 690 9 012
Outgoing 7 448 7 018 7 238 7 634 6 459 6 471 6 741
Incoming 2 304 2 234 2 393 2 306 2 198 2 219 2 271
MOU per month 4
112 105 109 111 99 106 118
Prepaid 98 91 93 95 81 85 99
Contract 183 180 191 193 191 207 202
Total ARPU (rand per month) 5 125 127 133 127 126 140 156
Prepaid 74 76 80 74 73 82 96
Contract 387 391 409 412 402 416 429
International
June March December September June March December
2013 2013 2012 2012 2012 2012 2011
Active customers (thousand) 1 22 259 21 327 20 375 19 341 18 971 18 894 18 047
Tanzania 9 666 9 468 9 357 8 968 9 065 9 665 9 417
DRC 8 129 7 706 7 086 6 696 6 240 5 643 5 118
Mozambique 3 310 3 045 2 861 2 734 2 700 2 784 2 717
Lesotho 1 154 1 108 1 071 943 966 802 795
Churn (%) 2
Tanzania 56.8 64.7 60.1 78.7 72.5 41.8 37.7
DRC 87.7 90.0 69.2 83.0 75.6 72.2 66.5
Mozambique 69.8 69.0 73.2 61.1 54.0 40.8 48.2
Lesotho 43.7 31.9 38.9 50.5 22.0 21.6 24.3
MOU per month 4
Tanzania 116 83 102 88 66 57 62
DRC 39 44 48 46 43 40 42
Mozambique 92 84 86 75 63 56 57
Lesotho 26 26 34 32 35 40 37
Total ARPU (rand per month) 5
Tanzania 41 34 39 38 30 25 27
DRC 33 28 35 35 34 35 38
Mozambique 57 54 62 46 55 50 59
Lesotho 44 41 57 57 60 65 73
Total ARPU (local currency per month) 5
Tanzania (TZS) 6 992 6 092 7 066 7 207 5 761 5 153 5 527
DRC (USD) 3.5 3.1 4.0 4.3 4.1 4.5 4.7
Mozambique (MZN) 182 185 213 158 189 177 197
Notes:
1. Active customers are based on the total number of mobile customers using any service during the last three months. This includes customers paying a
monthly fee that entitles them to use the service even if they do not actually use the service and those customers who are active whilst roaming.
As of 30 June 2013, this excludes M2M connections, prior periods have been restated.
2. Churn is calculated by dividing the annualised number of disconnections during the period by the average monthly customers during the period. During the
quarter ended 30 June 2012, Tanzania, Mozambique and Lesotho changed their disconnection policy from 215 days to 90 days inactivity. Churn has been
restated as a result of M2M connections excluded from active customers.
3. Traffic comprises total traffic registered on Vodacom's mobile network, including bundled minutes, promotional minutes and outgoing international
roaming calls, but excluding national roaming calls, incoming international roaming calls and calls to free services.
4. Minutes of use ('MOU') per month is calculated by dividing the average monthly minutes (traffic) during the period by the average monthly active customers
during the period. MOU has been restated as a result of M2M connections excluded from active customers.
5. Total ARPU is calculated by dividing the average monthly service revenue by the average monthly active customers during the period. Prepaid and contract
ARPU only include service revenue generated from Vodacom mobile customers. ARPU has been restated as a result of M2M connections excluded from
active customers.
Reconciliation of normalised growth
The reconciliation represents normalised growth at a constant currency (using current period as base) from on-going operations. The
presentation of the pro-forma constant currency information from on-going operations is the responsibility of the directors of
Vodacom Group Limited. The purpose to presenting this information is to assist the user in understanding the underlying growth
trends in these segments. It has been prepared for illustrative purposes only and may not fairly present the financial position, changes
in equity, and results of operations or cash flows of Vodacom Group Limited. This information has not been reviewed and reported on
by the Group's auditors.
Year on year reconciliation
Translation foreign
Reported 1 Gateway Carrier Services 2 exchange 3 Normalised
% change ppt ppt % change
13/14 13/14
Revenue
Group 3.0 4.1 (2.0) 5.1
International (1.0) 29.1 (14.5) 13.6
Service revenue
Group (0.2) 4.7 (2.1) 2.3
International (1.7) 29.8 (14.1) 14.1
Notes:
1. The reported percentage change relates to the quarter to date year on year percentage growth between 30 June 2012 and 30 June 2013. The Group's
presentation currency is the South African rand. Our International operations include functional currencies in United States dollar, Tanzanian shilling and
Mozambican metical. The prevailing exchange rates for the current and comparative periods are disclosed below.
2. The Group disposed of its subsidiary, Gateway Carrier Services, effective 31 August 2012. We have excluded Gateway Carrier Services from the above calculation
to give the user insight into the underlying performance of our on-going operations. Gateway Carrier Services contributed R764 million (US$ 95 million) to
service revenue in the quarter ending 30 June 2012.
3. Translation foreign exchange arises from the translation of the results, at average rates, of subsidiaries' functional currencies to Vodacom's presentation
currency, being rand. The exchange variances are eliminated by applying the quarter 30 June 2013 average rate (which is derived by dividing the individual
subsidiary's translated rand value with the functional currency for the quarter) to 30 June 2012 quarter numbers, thereby giving a user a view of the
performance which excludes exchange rate variances. The prevailing exchange rates for the current and comparative quarters are disclosed below.
Quarter on quarter reconciliation
Translation foreign
Reported 1 Gateway Carrier Services 2 exchange 3 Normalised
% change ppt ppt % change
13/14 13/14
Revenue
Group 2.0 - (0.9) 1.1
International 20.1 - (6.5) 13.6
Service revenue
Group 2.0 - (1.0) 1.0
International 20.1 - (6.3) 13.8
Notes:
1. The reported percentage change relates to the quarter to date quarter on quarter percentage growth between 31 March 2012 and 30 June 2013. The Group's
presentation currency is the South African rand. Our International operations include functional currencies in United States dollar, Tanzanian shilling and
Mozambican metical. The prevailing exchange rates for the current and comparative periods are disclosed below.
2. The Group disposed of its subsidiary, Gateway Carrier Services, effective 31 August 2012. We have excluded Gateway Carrier Services from the above calculation
to give the user insight into the underlying performance of our on-going operations.
3. Translation foreign exchange arises from the translation of the results, at average rates, of subsidiaries' functional currencies to Vodacom's presentation
currency, being rand. The exchange variances are eliminated by applying the quarter 30 June 2013 average rate (which is derived by dividing the individual
subsidiary's translated rand value with the functional currency for the quarter) to 31 March 2012 numbers, thereby giving a user a view of the performance
which excludes exchange variances. The prevailing exchange rates for the current and comparative quarters are disclosed below.
Average quarterly exchange rates
June March June Year on year Quarterly
2013 2013 2012 % change % change
USD/ZAR 9.49 8.96 8.14 16.6 5.9
ZAR/MZN 3.19 3.41 3.41 (6.5) (6.5)
ZAR/TZS 171.93 180.40 194.82 (11.7) (4.7)
EUR/ZAR 12.40 11.82 10.43 18.9 4.9
Non-GAAP information
This trading statement contains certain non-GAAP financial information which has not been reviewed or reported on by the Group's
auditors. The Group's management believes these measures provide valuable additional information in understanding the
performance of the Group or the Group's businesses because they provide measures used by the Group to assess performance.
However, this additional information presented is not uniformly defined by all companies, including those in the Group's industry.
Accordingly, it may not be comparable with similarly titled measures and disclosures by other companies. Additionally, although
these measures are important in the management of the business, they should not be viewed in isolation or as replacements for or
alternatives to, but rather as complementary to, the comparable GAAP measures.
Trademarks
Vodafone, the Vodafone logo, Vodacom and Vodacom M-Pesa, are trademarks of Vodafone Group Plc (or have applications pending).
Other product and company names mentioned herein may be trademarks of their respective owners.
Forward-looking statements
This trading statement which sets out the quarterly results for Vodacom Group Limited for the quarter ended 30 June 2013 contains
'forward-looking statements', which have not been reviewed or reported on by the Group's auditors, with respect to the Group's
financial condition, results of operations and businesses and certain of the Group's plans and objectives. In particular, such forward-
looking statements include statements relating to: the Group's future performance; future capital expenditures, acquisitions,
divestitures, expenses, revenues, financial conditions, dividend policy, and future prospects; business and management strategies
relating to the expansion and growth of the Group; the effects of regulation of the Group's businesses by governments in the countries
in which it operates; the Group's expectations as to the launch and roll out dates for products, services or technologies; expectations
regarding the operating environment and market conditions; growth in customers and usage; and the rate of dividend growth by the
Group.
Forward-looking statements are sometimes, but not always, identified by their use of a date in the future or such words as 'will',
'anticipates', 'aims', 'could', 'may', 'should', 'expects', 'believes', 'intends', 'plans' or 'targets'. By their nature, forward-looking statements
are inherently predictive, speculative and involve risk and uncertainty because they relate to events and depend on circumstances
that will occur in the future, involve known and unknown risks, uncertainties and other facts or factors which may cause the actual
results, performance or achievements of the Group, or its industry to be materially different from any results, performance or
achievement expressed or implied by such forward-looking statements. Forward-looking statements are not guarantees of future
performance and are based on assumptions regarding the Group's present and future business strategies and the environments in
which it operates now and in the future.
Sponsor: UBS South Africa (Pty) Limited
Debt sponsor: Absa Bank Limited (acting through its Corporate and Investment Banking division)
ADR depository bank: Deutsche Bank Trust Company Americas
Date: 18/07/2013 07:05:00 Produced by the JSE SENS Department. The SENS service is an information dissemination service administered by the JSE Limited ('JSE').
The JSE does not, whether expressly, tacitly or implicitly, represent, warrant or in any way guarantee the truth, accuracy or completeness of
the information published on SENS. The JSE, their officers, employees and agents accept no liability for (or in respect of) any direct,
indirect, incidental or consequential loss or damage of any kind or nature, howsoever arising, from the use of SENS or the use of, or reliance on,
information disseminated through SENS.
Sharenet Sites 
