Vodafone slashes dividend to bolster balance sheet

Vodafone (NASDAQ:VOD) has cut its annual dividend by 40% to €0.09, reversing a pledge to maintain the payout in order to secure enough firepower to build 5G networks and complete its acquisition of Liberty Global (NASDAQ:LBTYA) assets.

Nick Read, the former CFO who has been in the top job since October, said the decision had not been taken lightly.

Full-year results to the end of March showed the group came under intense competitive pressure in Spain and Italy, while impairments recorded earlier in the year pushed the group into a loss of €7.6B.