7/21/2008 10:03:00 AM
Vodafone results expected to be hit by slowing economy
A slowing UK economy is expected to impact the UK results of mobile phone giant Vodafone when it issues a trading update tomorrow.
Broker Lehman Brothers said it was expecting a slowdown in Vodafone's UK organic revenue growth, to 3.4% during the first quarter compared to the prior year.
This compares with 3.8% growth seen during the previous quarter, and 5.9% before that.
Investors will also be keen to see how the uptake of 3G devices is faring, which the group is pinning much of its future revenue growth hopes on.
The group had 27 million 3G devices in operation at the end of March but their uptake rate slowed during the year.
Vodafone's first quarter revenues are expected to be around £9.8 billion, compared to £8.2 billion for prior year.