Vodafone to Cut More Costs as Profits Rise

LONDON (TheStreet) -- Vodafone(VOD Quote), the world's largest mobile operator by revenue, said first-half earnings before interest, taxes, depreciation and amortization rose 2.9% to 7.5 billion pounds ($12.48 billion) and it plans to extend cost cuts by a further 1 billion pounds.

In a statement Tuesday, Vodafone said group revenue rose 9.3% to 21.8 billion pounds, while organic revenue declined 3%.

The company said operating profit at Verizon Wireless, the joint venture Vodafone operates with Verizon Communications(VZ Quote), rose 34.3% in the six-months ended Sept. 30, driven by strong revenue growth.

Vodafone also confirmed its guidance for the full year of adjusted operating profit of 11 billion pounds to 11.8 billion pounds.

Vodafone said its plan to cut costs by 1 billion pounds is expected to be completed in the current financial year, while it also extended the plan by an added 1 billion pounds by 2012.