DUBLIN, Ireland—The pressure on dominant Irish mobile operator Vodafone Ireland has intensified with the revelation that Vodafone Group is expecting its Irish operation to improve its performance in line with that of its sister companies in other parts of the world. Vodafone spent more than 3.5 billion euro (US$3.3 billion) to acquire incumbent mobile operator Eircell last year in a period when the group as a whole posted losses in excess of 25 billion euro (US$23.6 billion). Now the company expects rates of return comparable with other mobile operations in the group.
At a press briefing in London, Finance Director Ken Hydon said the Irish business was not in the top 25 percent of performance when measured against other Vodafone assets, and that margins would have to be increased if this was to improve. However, those involved in the Irish operation are confident that margins will improve.
Vodafone Ireland said its emphasis during the past year has been on increasing average revenue per user rather than chasing new business to add to the 1.7 million users it already has.
