Vodafone Group Plc (NASDAQ:VOD) (LON:VOD) released its earnings reports for the three months through September 2013 this morning s before the market opened in New York The company showed a net profit of £5.71 billion for the three months. Revenue in the period came in at £22.03 billion. On today’s market in London stock in Vodafone Group Plc (NASDAQ:VOD) (LON:VOD) rose by under 1% on the earnings numbers.
In the run up to the release of this earnings report, analysts following Vodafone Group Plc (NASDAQ:VOD) (LON:VOD) were looking for revenue of £21.8 billion. Profit for the September quarter was expected to come in at £5.57 billion including certain items. This morning’s earnings were accompanied by the roll-out of a big investment plan by the company.
Vodafone said that it plans to invest a total of £19 billion in capital expenditure next year. The company is using its new-found prosperity to upgrade and roll out its third and fourth generation services. £3 billion of that will go to Europe alone. The continent is a burgeoning market for lightning fast wireless internet.
Emerging markets will also see a spurt in investment. Vodafone Group Plc (NASDAQ:VOD) (LON:VOD) said that developing markets are growing appreciably while European markets continue to challenge the firm’s results.
Vodafone Group Plc (NASDAQ:VOD) (LON:VOD) saw some big moves this year, and has become intimately linked with the fluctuating United States telecom industry. The company agreed to sell its half of Verizon Wireless earlier this year to the holder of the rest of the company, Verizon Communications Inc. (NYSE:VZ).
Since that deal was agreed upon, rumors have been surfacing that AT&T Inc. (NYSE:T) is looking to make a bid for the British telecom giant. If that deal were to occur, and some reports say it will happen early next year, the next company would be the single biggest telecom in the world. That might be a difficult prospect for regulators to agree with.
Since the start of 2013, shares in Vodafone Group Plc (NASDAQ:VOD) (LON:VOD) have increased by more than 48%. The company’s sale of assets to Verizon, and rumors of more deals on the way have added to momentum behind the shares.