London, February 9, 2026, 09:19 GMT — Regular session
- Vodafone stock climbed roughly 1.9% to trade close to 112.6 pence early in the London session.
- Company says it will begin Vodafone Egypt spectrum payments in FY26, kicking off with $100 million.
- Cash flow remains in the spotlight, with Germany’s momentum drawing attention and all eyes on the May 12 FY26 results date.
Vodafone (VOD.L) shares climbed Monday, gaining around 1.9% to 112.6 pence by 09:19 GMT, after the telecom company announced that its Egypt unit is set to pick up more mobile spectrum. 1
Spectrum is on the agenda again in Egypt, with the government pressing mobile carriers into a fresh, multi-year airwaves plan. Over the weekend, Egypt’s cabinet announced a $3.5 billion deal to distribute 410 megahertz of new spectrum to the country’s four mobile operators. 2
Vodafone Group Public Limited Company faces a different dilemma: the balance sheet, not just market exposure. Investors are tracking whether gains in Africa are enough to counter hefty network investments and a German rebound that remains tangled.
Vodafone announced Vodafone Egypt picked up 2×10 MHz of 1,800 MHz spectrum, agreeing to pay in four annual instalments starting with a $100 million outlay—roughly 84 million euros—in fiscal 2026. According to the company, it plans to record an extra $350 million as a spectrum intangible asset. There’s also a mention of a subsequent phase involving 3,500 MHz spectrum, plus renewal of 2,600 MHz licences. 3
That’s the sector calculus: add capacity, expect to spend more. Spectrum typically hits as a cash outflow up front—hoping eventually it pays off in data usage and better pricing.
Vodafone posted its latest quarterly update last week, highlighting robust gains in Turkey and Africa, though Germany still has investors divided. “Every quarter customer experience goes one step higher,” Chief Executive Margherita Della Valle told reporters. Still, she noted, “the market remains competitive.” 4
“Germany remains Vodafone’s toughest nut to crack,” wrote Aarin Chiekrie, equity analyst at Hargreaves Lansdown, in a note following the update. 5
Vodafone stuck to a straightforward line: “We maintained good service revenue momentum in the third quarter across both Europe and Africa,” Della Valle said in the company’s Q3 materials. 6
The bear case stands out. When spectrum and network costs outpace gains in service revenue—or if Germany’s rebound falters again—free cash flow takes the hit. That’s the key number for equity holders, since it’s what’s left after capital expenditures.
Investors are watching May 12, when Vodafone will release its FY26 results and lay out cash flow and capital return guidance for the coming year. 7
