# Vodafone earnings boosted as cost-cutting leads to 1,200 job losses in Europe

By Russ Mould — 2026-07-27

Vodafone Group has reported higher sales and profits amid a drive to cut costs which has led to the shedding of 1,200 jobs in Europe over recent months.

Russ Mould, investment director at AJ Bell, said: “Vodafone’s first-quarter update offers further evidence that the company is finally sending out the right signals, thanks to chief executive Margherita Della Valle’s overhaul of the telecoms giant.

“In the past two years, the FTSE 100 company has sold its Spanish and Italian operations, disposed of a Dutch joint venture, and merged its UK operations with those of the one-time rival Three.

“The next is to take full control of VodafoneThree and this restructuring leaves the group looking leaner and meaner than the debt-laden, sprawling mess that Della Valle inherited.

“The more focused arena of operations and cleaner balance sheet mean Vodafone is able to compete more effectively in its core target markets across Europe and Africa and the first-quarter results show the benefits.

“Management now expects the company to reach the top end of its profits and cash flow guidance for the year to March 2027, thanks to a good performance in Europe, notably Germany, also Africa, where the South African arm Vodacom has just completed a deal to give it a majority stake in Kenya’s Safaricom.”

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