Vodafone saw revenues rise in emerging markets

The firm said it had raised full- year forecasts of operating profit, revenue and cashflow.

In the six months to 30 September, the firm made pre-tax profits of �4.56bn compared with a �3.33bn loss in the same period last year.

Revenues were boosted by a strong performance in emerging markets.

Vodafone now expects full-year revenue to total between �34.5bn and �35.1bn, reflecting improvements in operating performance and beneficial movements in foreign exchange rates.

Regulatory pressures

In Europe, good revenue growth in Spain and the UK was offset by declines in Germany and Italy, where Vodafone was under regulatory pressures.

Revenue rose by 9% to �17bn, with sales in Europe rising 2%.

Acquisitions in India and Turkey drove up emerging market and non-European revenues by 40%.

"We are capturing the revenue growth opportunities within emerging markets," said Vodafone chief executive Arun Sarin.

"We expect market conditions and the pricing environment to remain competitive in Europe."

The firm increased its interim dividend by 6% to 2.49p per share.