Vodafone Ukraine (VFU), Ukraine’s second-largest mobile operator, reduced its net profit by 13% in the first half of 2025 compared to the same period last year, to UAH 1.705 billion, while its revenue grew by 15% to UAH 13.518 billion.
“The main growth factors remain the development of the fixed-line business, an increase in the volume of data services and the number of Internet users, and, accordingly, revenues from services, both mobile and fixed-line,” the company said in its financial report on Friday.
According to the report, the decrease in net profit was caused by additional expenses related to the two-year deferral of payments on Eurobonds, as well as an increase in debt servicing costs due to a 1.5-fold increase in the interest rate in accordance with the new restructuring terms.
As reported, in January-March 2025, revenue increased by 14% compared to the same period in 2024, to UAH 6.59 billion, while net profit fell by 24%, to UAH 697 million.
Vodafone Ukraine notes that OIBDA in the first half of 2025 increased by 12% compared to the first half of 2024, to UAH 7.17 billion, while the OIBDA margin decreased by 1.7 percentage points compared to the same period last year, to 53.1%.
The company emphasized that in the first half of the year, it increased its investments by 66% compared to the same period in 2024, investing more than UAH 3.5 billion in critical infrastructure, and in total, over 3.5 years of full-scale war, investments in Ukraine reached almost UAH 19 billion.
In the structure of investments in the first half of this year, 51% is accounted for by the construction and restoration of the network, as well as its preparation for operation during blackouts, 31% – network maintenance, 11% – fixed-line communications development, and 4% – the billing exchange program.
It is noted that the company’s net debt in the middle of this year amounted to UAH 13.65 billion: UAH 23.55 billion in gross debt, of which UAH 12.43 billion was in Eurobonds, against UAH 9.9 billion in free cash, including government bonds.
Vodafone Ukraine also noted that in July-August 2025, it paid dividends totaling UAH 97 million.
According to the report, in the second quarter of 2025, the number of customers decreased by 3.1% compared to the same period last year, to 15.4 million, but ARPU (average revenue per user per month) increased by 18.5% to UAH 136.
Vodafone announced that it had introduced innovative energy-saving technology Powerstar 2.0, based on artificial intelligence, and began connecting mobile base stations via passive xPON (1/10 Gigabit/s Passive Optical Network) optical networks, which should allow for a relatively quick transition to new mobile communication technologies – 5G and, in the future, 6G.
In addition, the modernization of the telecom infrastructure of the fixed-line operator Frinet, which has been part of the group since August 2023, has begun: replacement of the FTTB network with GPON, which will provide customers with up to 72 hours of autonomous operation and 10 times faster internet speed.
It is also noted that in May 2025, Vodafone Ukraine received and began using the 1940–1945/2130–2135 MHz radio frequencies, which previously belonged to the operator TriMob, which made it possible to increase the efficiency of spectrum use and strengthen network capacity.
According to the financial statements, in August 2025, the Group committed to participate in a joint project to build a new submarine cable system across the Black Sea, connecting Ukraine to the international transit route between Europe and Asia. The system will connect Bulgaria, Ukraine, Georgia, and Turkey, and is expected to be completed within five years. The total cost to the group is estimated at EUR65 million.
Vodafone Ukraine has been part of NEQSOL Holding since December 2019.
