Vodafone Group Plc (ADR) (NASDAQ:VOD) stock was on the rise today following an update to its outlook for the year.
During its most recent earnings report, Vodafone Group Plc (ADR) updated its Adjusted EBITDA guidance for the full year to between €14.75 billion and €14.95 billion. This represents roughly a 10% organic growth to its Adjusted EBITDA and was a boon to VOD stock.
Vodafone Group Plc (ADR) notes that it was previously expecting Adjusted EBITDA guidance to range from €14.0 billion to €14.5 billion for the year. This would have represented a 4% to 8% increase in Adjusted EBITDA.
Free cash flow was another figure that got a guidance update in Vodafone Group Plc (ADR)’s most recent earnings report and was helpful to VOD stock today. The company says that it now expects free cash flow for the year to exceed €5 billion. It was previously expecting free cash flow of around €5 billion.
Vodafone Group Plc (ADR)’s update to its guidance comes after a strong first half for its fiscal 2017 year. This includes reporting operating profit of €2.0 billion compared to €1.5 billion from the same time last year. It also reported profit of €1.2 billion, which is a major boost over its loss of €5.0 billion in the same period of the year prior.
Vodafone Group Plc (ADR) increased its outlook for the year despite a drop in revenue during the first half of fiscal 2017. The company reported revenue of €23.08 billion for the period, which is down roughly 4% from revenue in the first half of fiscal 2016.
VOD stock was up 5% as of noon Tuesday and is up 23% year-to-date.
As of this writing, William White did not hold a position in any of the aforementioned securities.