Capital and financial risk management (Tables)

12 Months Ended

Mar. 31, 2025

Capital and financial risk management



	2025 €m			2024 € m

Borrowings (note 21)		53,143			56,987

Cash and cash equivalents (note 19)		(11,001	)		(6,183	)

Derivative financial instruments included in trade and other receivables (note 14)		(4,197	)		(4,226	)

Derivative financial instruments included in trade and other payables (note 15)		1,906			1,524

Non-current investments in sovereign securities (note 13)		(913	)		–

Short-term investments (note 13)		(5,280	)		(3,225	)

Collateral assets (note 13)		(1,010	)		(741	)

Financial liabilities under put option arrangements		97			–

Equity		53,916			60,998

Capital		86,661			105,134

Schedule of financial instruments exposure to credit risk



	2025 €m		2024 € m

Cash and bank deposits (note 19)		8,871		4,168

Money market funds (note 19)		2,130		2,015

Managed investment funds (note 13)		3,141		2,024

Bonds and debt securities (note 13)		4,013		2,142

Collateral assets (note 13)		1,010		741

Other investments (note 13)		1,134		1,126

Derivative financial instruments (note 14)		4,197		4,226

Trade receivables (note 14) 1		5,717		5,513

Contract assets and other receivables (note 14)		4,605		4,067

Financial Guarantees 2		1,518		2,038

		36,336		28,060

Notes:

1.	Includes amounts guaranteed under sales of trade receivables € 1,765 million (2024: € 1,929 million).

Principally comprises Vodafone Group Plc’s guarantee of the Group’s share in a multicurrency loan facility, amounting to US$1 billion and

€

0.6 billion (2024: US$1.0 billion and

€

0.6 billion), which forms part of its overall joint venture investment in TPG Telecom Ltd. The Group’s share of these loan balances is included in the net investment in joint venture (see note 12 ‘Associates and joint arrangements’). Financial guarantees also includes

€

nil (2024: INR 42.5 billion) in relation to the secondary pledge over shares owned by Vodafone Group in Indus Towers (see note 29 ‘Contingent liabilities and legal proceedings’).

Schedule of cash collateral, which is reported within short-term borrowings, held by Group



	2025		2024

	€m		€ m

Collateral liabilities (note 21)		2,357		2,628

Schedule of movements in the allowance for expected credit losses



	Contract assets						Trade receivables held at amortised cost						Trade receivables held at fair value through other comprehensive income

	2025			2024			2025			2024			2025			2024

	€m			€ m			€m			€ m			€m			€ m

1 April		20			78			765			1,149			78			71

Exchange movements		1			(1	)		(7	)		(41	)		–			1

Amounts charged to credit losses on financial assets		85			96			360			419			31			82

Transfer of assets held for sale		–			(31	)		–			(324	)		–			(16	)

Other 1		(60	)		(122	)		(253	)		(438	)		(32	)		(60	)

31 March		46			20			865			765			77			78

Note:

1.	Primarily utilisation of the provision by way of write-off.

Expected credit losses are presented as net credit losses on financial assets within operating profit and subsequent recoveries of amounts previously written off are credited against the same line item.

The majority of the Group’s trade receivables are due for maturity within 90 days and largely comprise amounts receivable from consumers and business customers. The table below presents information on trade receivables past due¹ and their associated expected credit losses:



31 March 2025				Trade receivables at amortised cost past due
				30 days			31–60			61–180			180
	Due			or less			days			days			days+			Total
	€ m			€ m			€ m			€ m			€ m			€ m


Gross carrying amount		2,553			400			134			284			736			4,107

Expected credit loss allowance		(67	)		(59	)		(27	)		(129	)		(583	)		(865	)

Net carrying amount		2,486			341			107			155			153			3,242



31 March 2024				Trade receivables at amortised cost past due
				30 days			31–60			61–180			180
	Due			or less			days			days			days+			Total
	€ m			€ m			€ m			€ m			€ m			€ m


Gross carrying amount		2,199			347			122			308			638			3,614

Expected credit loss allowance		(52	)		(56	)		(26	)		(111	)		(520	)		(765	)

Net carrying amount		2,147			291			96			197			118			2,849

Note:

1.	Contract assets relate to amounts not yet due from customers. These amounts will be reclassified as trade receivables before they become due. Trade receivables at fair value through other comprehensive income are not materially past due.

Schedule of maturity analysis for non-derivative financial liabilities on an undiscounted basis



Maturity profile 1																Trade
																payables and
							Lease						Total			other financial
	Bank loans			Bonds			liabilities			Other 2			Borrowings			liabilities 3			Total
	€ m			€ m			€ m			€ m			€ m			€ m			€ m

Within one year		223			3,626			2,765			2,969			9,583			11,719			21,302

One to two years		171			4,426			2,081			253			6,931			138			7,069

Two to three years		79			2,034			1,756			673			4,542			–			4,542

Three to four years		176			2,628			1,434			469			4,707			–			4,707

Four to five years		69			4,893			965			422			6,349			–			6,349

More than five years		769			41,898			3,868			90			46,625			–			46,625

		1,487			59,505			12,869			4,876			78,737			11,857			90,594

Effect of discount /

financing rates		(274	)		(23,103	)		(2,043	)		(174	)		(25,594	)		(8	)		(25,602	)

31 March 2025		1,213			36,402			10,826			4,702			53,143			11,849			64,992

Within one year		365			2,871			2,603			4,747			10,586			10,891			21,477

One to two years		140			5,860			1,984			247			8,231			128			8,359

Two to three years		27			5,608			1,599			245			7,479			–			7,479

Three to four years		91			2,310			1,461			226			4,088			–			4,088

Four to five years		161			3,437			1,129			422			5,149			–			5,149

More than five years		72			40,826			2,366			277			43,541			–			43,541

		856			60,912			11,142			6,164			79,074			11,019			90,093

Effect of discount /

financing rates		(89	)		(20,169	)		(1,470	)		(359	)		(22,087	)		(7	)		(22,094	)

31 March 2024		767			40,743			9,672			5,805			56,987			11,012			67,999

Notes:

Maturities reflect contractual cash flows applicable except in the event of a change of control or event of default, upon which lenders have the right, but not the obligation, to request payment within 30 days. This also applies to undrawn committed facilities. There is no debt that is subject to a material adverse change clause. Where there is a choice of contractual cash flow dates, principally on ‘hybrid bonds’, the expected settlement date is used.

Includes spectrum licence payables with maturity profile

€

187 million (2024:

€

153 million) within one year,

€

187 million (2024:

€

187 million) in one to two years,

€

187 million (2024:

€

187 million) in two to three years,

€

187 million (2024:

€

187 million) in three to four years,

€

187 million (2024:

€

187 million) in four to five years and

€

89 million (2024:

€

276 million) in more than five years. Also includes

€

2,357 million (2024:

€

2,628 million) in relation to cash received under collateral support agreements shown within 1 year.

3.	Includes financial liabilities under put option arrangements and non-derivative financial liabilities presented within trade and other payables.

Schedule of maturity analysis for derivative financial liabilities on an undiscounted basis



	2025								2024
	Payable 1			Receivable 1		Total			Payable 1			Receivable 1		Total
	€ m			€ m		€ m			€ m			€ m		€ m

Within one year		(8,207	)		8,792		585			(7,181	)		7,886		705

In one to two years		(5,780	)		6,180		400			(4,984	)		5,466		482

In two to three years		(2,363	)		2,807		444			(5,496	)		5,910		414

In three to four years		(5,782	)		6,326		544			(2,457	)		2,909		452

In four to five years		(4,174	)		4,666		492			(3,451	)		4,020		569

In more than five years		(47,357	)		53,987		6,630			(40,415	)		46,561		6,146

		(73,663	)		82,758		9,095			(63,984	)		72,752		8,768

Effect of discount/financing rates							(6,804	)							(6,066	)

Financial derivative net receivable							2,291								2,702

Note:

1.	Payables and receivables are stated separately in the table above where cash settlement is on a gross basis.

Schedule of sensitivity of Group's adjusted operating profit to strengthening major currency



	2025		2024

	€m		€ m

Increase/ (decrease) in Profit before taxation

EGP 41% change (2024: 43%)		224		191

TRY 38% change (2024: 54%)		118		104

ZAR 9% change (2024: 10%)		114		60

GBP 3% change (2024: 2%)		(27)		(50)

Schedule of carrying values and nominal amounts of derivatives


							Other comprehensive income											Weighted average
At 31 March 2025	Nominal amounts € m		Carrying value assets € m		Carrying value liabilities € m		Opening balance 1 April 2024 € m			(Gain)/loss deferred to OCI € m			Gain/(Loss) recycled to financing costs € m		Closing balance 31 March 2025 € m			Maturity year		FX rate		Euro interest rate %
Cash flow hedges - foreign currency risk 2
Cross-currency and foreign exchange swaps:
- US dollar bonds		16,097		2,245		138		(810	)		(307	)		56		(1,061	)		2044		1.15		3.51
- Australian dollar bonds		163		–		11		(13	)		14			(2)		(1	)		2027		1.56		1.58
- Swiss franc bonds		204		37		–		(10	)		(23	)		24		(9	)		2030		1.08		1.53
- Pound sterling bonds		4,642		58		444		333			86			70		489			2043		0.86		3.84
- Hong Kong dollar bonds		216		20		–		–			(4	)		3		(1	)		2028		9.14		1.62
- Japanese yen bonds		78		–		14		(6	)		2			1		(3	)		2037		128.53		2.47
- Norwegian krona bonds		25		–		4		(5	)		3			2		–			2025		9.25		0.37
- Foreign exchange forwards 3		–		–		–		(42	)		(1	)		43		–			–		–		–
Cash flow hedges - foreign currency and interest rate risk 2
Cross currency swaps - US dollar bonds		–		–		–		–			–			–		–			–		–		–
Net investment hedge - foreign exchange risk 4
Cross currency and foreign exchange swaps - South African rand investment		1,203		124		–		898			96			–		994			2026		17.62		2.76
		22,628		2,484		611		345			(134	)		197		408


							Other comprehensive income											Weighted average
At 31 March 2024	Nominal amounts € m		Carrying value assets € m		Carrying value liabilities € m		Opening balance 1 April 2023 € m			(Gain)/loss deferred to OCI € m			Gain/(Loss) recycled to financing costs € m		Closing balance 31 March 2024 € m			Maturity year		FX rate		Euro interest rate %
Cash flow hedges - foreign currency risk 2
Cross-currency and foreign exchange swaps:
- US dollar bonds		16,756		2,689		188		(2,709	)		1,775			124		(810	)		2039		1.18		3.29
- Australian dollar bonds		288		–		2		(21	)		14			(6)		(13	)		2027		1.56		1.57
- Swiss franc bonds		624		80		–		(3	)		(22	)		15		(10	)		2026		1.08		1.57
- Pound sterling bonds		4,771		45		362		(37	)		244			126		333			2043		0.86		4.05
- Hong Kong dollar bonds		233		20		–		(5	)		2			3		–			2028		9.08		1.92
- Japanese yen bonds		78		–		11		(12	)		15			(9)		(6	)		2037		128.53		2.47
- Norwegian krona bonds		241		–		47		(12	)		13			(6)		(5	)		2026		9.15		1.12
- Foreign exchange forwards 3		287		–		42		(34	)		(15	)		7		(42	)		2024		29.88		–
Cash flow hedges - foreign currency and interest rate risk 2
Cross currency swaps - US dollar bonds		–		–		–		(11	)		11			–		–			–		–		–
Net investment hedge - foreign exchange risk 4
Cross currency and foreign exchange swaps - South African rand investment		1,505		176		–		952			(54	)		–		898			2026		17.81		2.19
		24,783		3,010		652		(1,892	)		1,983			254		345

Notes:

1.	Fair value movement deferred into other comprehensive income includes € 200 million g ain (2024: € 251 million loss) and € 1 million gain (2024: € 10 million gain) of foreign currency basis outside the cash flow and net investment hedge relationships respectively.

2.	For cash flow hedges, the movement in the hypothetical derivative (hedged item) mirrors that of the hedging instrument. Hedge ineffectiveness of the swaps designated in a cash flow hedge during the period was € 28 million (2024: € 67 million).

Includes euro and US dollar forward contracts against Turkish lira to hedge foreign currency forecast expenditures in local markets. Notional amounts of

€

nil (2024:

€

166 million) and $nil (2024: $130 million or

€

121 million equivalent) with weighted average exchange rates of nil (2024: 29.68) and nil (2024: 30.15) respectively to Turkish lira.

4.	Hedge ineffectiveness of swaps designated in a net investment hedge during the period was € nil (2024: € nil).

Summary of changes in assets and liabilities arising from financing activities



	Borrowings € m			Derivative assets and liabilities € m			Financial liabilities under put options € m		Other liabilities 3 € m			Assets and liabilities from financing activities € m

1 April 2024		56,987			(2,702	)		–		105			54,390

Cash movements

Proceeds from issuance of long-term borrowings		4,680			–			–		–			4,680

Repayment of borrowings 1		(12,963	)		–			–		–			(12,963	)

Net movement in short-term borrowings		78			–			–		–			78

Net movement in derivatives		–			404			–		–			404

Interest paid 1		(2,975	)		348			4		(82	)		(2,705	)

Purchase of treasury shares		–			–			–		(1,868	)		(1,868	)

Non-cash movements

Fair value movements		–			(45	)		–		–			(45	)

Foreign exchange		121			61			–		(4	)		178

Interest costs 2		2,196			(356	)		–		43			1,883

Lease additions		4,361			–			–		–			4,361

Other		658			(1	)		93		2,000			2,750

31 March 2025		53,143			(2,291	)		97		194			51,143



	Borrowings € m			Derivative assets and liabilities € m			Financial liabilities under put options € m			Other liabilities € m			Assets and liabilities from financing activities € m

1 April 2023		66,390			(4,702	)		485			103			62,276

Cash movements

Proceeds from issuance of long-term borrowings		1,533			–			–			–			1,533

Repayment of borrowings 1		(10,106	)		–			–			–			(10,106	)

Net movement in short-term borrowings		(1,636	)		–			–			–			(1,636	)

Net movement in derivatives		–			144			–			–			144

Interest paid 1		(2,531	)		272			(17	)		(54	)		(2,330	)

Other		–			–			(493	)		–			(493	)

Non-cash movements

Fair value movements		–			2,233			–			–			2,233

Foreign exchange		61			(231	)		–			1			(169	)

Interest costs 2		2,766			(395	)		13			56			2,440

Lease additions		3,915			–			–			–			3,915

Transfer of assets and liabilities held for sale		(3,455	)		(23	)		–			(1	)		(3,479	)

Other		50			–			12			–			62

31 March 2024		56,987			(2,702	)		–			105			54,390

Notes:

1.	Includes € nil (2024: € 1,136 million) in Repayment of borrowings and € nil (2024: € 103 million) in Interest paid that are presented within Cash outflows from discontinued operations in the Consolidated statement of cash flows.

2.	Includes € nil (2024: € 111 million) of Interest costs presented within Discontinued operations in the Consolidated income statement.

3.	Movement in Other liabilities primarily relate to share buyback programmes.

Schedule of Group's financial assets and liabilities that are subject to offset in the balance sheet and the impact of enforceable master netting or similar agreements



At 31 March 2025							Related amounts not set off in the balance sheet
At 31 March 2025	Gross amount € m		Amount set off € m		Amounts presented in balance sheet € m		Right of set off with derivative counterparties € m		Collateral (liabilities)/ assets 1 € m		Net amount € m

Derivative financial assets		4,197		–		4,197		(1,146)		(2,357)		694

Derivative financial liabilities		(1,906)		–		(1,906)		1,146		1,010		250

Total		2,291		–		2,291		–		(1,347)		944



At 31 March 2024							Related amounts not set off in the balance sheet
At 31 March 2024	Gross amount € m		Amount set off € m		Amounts presented in balance sheet € m		Right of set off with derivative counterparties € m		Collateral (liabilities)/ assets 1 € m		Net amount € m

Derivative financial assets		4,226		–		4,226		(899)		(2,628)		699

Derivative financial liabilities		(1,524)		–		(1,524)		899		741		116

Total		2,702		–		2,702		–		(1,887)		815

Note:

1.	Excludes non-cash collateral of € 613 million (2024: € 370 million) which is not recognised on balance sheet, but which would become payable to the Group in the event of a counterparty default on the related derivative financial assets.