Good morning, everyone. Good morning, everyone, and thank you for joining us. I'm with Margarita. We are finally back in the office on a phased basis. And also Vivek has joined us from a different location.
So look, we're looking forward to your questions. And maybe we could have the first person.
Thank you, Nick. The first question comes from Georgios from Citigroup. Georgios, your line is now open.
Good morning and thank you for taking my questions. I wanted to start maybe with 2 questions related with the
Chinese New Year. I'm going to just stop a second. I should have said, really, we need to be on one question. I'll allow this too, but if we could just do everyone at 1 so we could get through as many as possible.
Very clear. And it will be on one topic. And the topic is the Chinese vendors. We've already had decisions in France and the U. K.
Where the stance is hardening and obviously delaying the decision in Germany, which I understand now will probably come around September 7 at the earliest. So I wanted to ask you from your perspective whether that changes any of your planning or your expectations, whether the timeframes allowed are long enough. And also in general, whether even without formal bonds, whether that changes some of your planning. And linked to that, obviously, there is the IPO process going on for the tower company. Does that change, I told you, our thoughts around active sharing in Germany in the sense that you could share perhaps the cost and processes of replacement with some other player if that will be the case?
Yes. So look, I'd probably start with sort of if I stand back on the Huawei situation, my view is the U. K. Decision was unique to the U. Because of its sort of geopolitical position, being a member of Five Eyes, its relationship with the U.
S, etcetera, in the current political, let's say, environment. I do not see it as an automatic translation or simple translation across the Europe. In Europe, each of the member states are currently going through a process on the European 5 gs toolkit. They're then submitting those plans back to the European Commission. So they were supposed to have done that by now.
A lot of them have been delayed just because of COVID. So those plans are being submitted. Then what's happening is by the fall, the European Commission will then come out, having seen the plans, with a 5 gs European certification process. I think importantly, within the toolkit, they made a distinction between the core and radio, saying radio was less sensitive. As you know, we already made the decision to replace Huawei in the core across Europe over the next 4 to 5 years at a cost of €200,000,000 If I go down to the radio, our stance is always that we want to have vendor diversity.
So we're operating with the 3 major vendors today, Ericsson, Nokia and Huawei, across Europe. What we're saying is we want more diversity, and also we want vendor balancing. So we want to ensure that there is a degree of balancing because what European countries are really focused on is resilience of the network infrastructure and therefore to not rely on any one vendor. Then the other aspect is Open RAN and getting Open RAN up and running. We think we'll have a rural open RAN ready for 2021.
And we're looking to an urban, which is a more complex improve to improve functionality and efficiency going forward. So what I'd say is don't do a simple extrapolation. It's not that simple. We're engaged with each of the governments, good positive engagement by each country, as an industry as well, not just Vodafone on its own. To the point of Germany on active, we have been sort of engaged.
We went through, as we explained to you, the different scenarios. We are doing some active sharing with Deutsche Telekom. We've agreed a reciprocal 1800 sites. So we have 1800, they have 1800 that we will do reciprocal sharing moving forward. That could be Phase 1.
We could look at whether there's opportunity past that.
Okay. Our next question is coming from Andrew Lee from Goldman Sachs. Andrew, please go ahead.
Yes. Good morning, Nick and Margarita. I had a question just based on one of the starkest data points in your release this morning, which is the churn reduction. So the question was actually regarding your cost base and just whether you're seeing any evidence of lasting, changing consumer behavior coming out of the COVID lockdown. Your churn is down 3 20 bps in the quarter.
It would be great to hear your thoughts on whether any of this is structural and how you are seeing physical commission trends as we come out of lockdown. Thank you.
Thank you, Andrew. I think relative to churn, you may remember what we discussed back in May in terms of our own forecast for the year. And if you look back to what we said at the time, we didn't base our outlook on EBITDA or our cash flow guidance on the assumption that there would be a sort of long lasting hibernation of the industry. We were keen to maintain our commercial momentum. We were seeing potentially some benefits coming through in the lockdown, but we didn't bet on long lasting effects.
And I think if I look at what we see in our markets at the moment, we do not see that. So what we see is benefits from the lockdown. Then as soon as the lockdown ends, volumes start to pick up again. If you look at, for example, Southern Europe after mobile number portability gates have been opened, everyone has been sort of fast off the gate there. As far as we are concerned in this environment, we are number 1 very pleased with our own commercial performance.
If you look at the numbers that we have released despite the lockdown, we have had a fantastic quarter, for example, on fixed broadband and even some really good quarters in mobile. So we are competing effectively. And on the cost front, which was the first part of your question, we do see the benefits of digital coming through. So, if I look at the execution on cost for the remainder of the year, both on ANR through different mix, more digital, this is structural. We see the benefit of that, but not the volume sort of substantial drop for a long period of time.
And also on OpEx, we guided to at least €400,000,000 of OpEx reduction for another year in Europe, and we are proceeding very well on the execution of that.
The next question comes from Jacob Bluestan from Credit Suisse. Jakob, please go ahead.
Hi, good morning. Thanks for taking the question. Hope you're all doing well. Good to see you back in the office. I had a question on the tower EBITDA that you disclosed.
Just if you can maybe help us a little bit with the bridge, you previously disclosed about €900,000,000 of EBITDA. It's now closer to €700,000,000 Obviously, some of that is the reduction in stake in Inuit. I think some other factors explaining some of the difference as well, some accounting differences, some OpEx. So, can you maybe just sort of help us understand what is it that's changed? And is it where is any sort of incremental OpEx coming from?
That's just helping us bridge the previous tower EBITDA with what you disclosed today? Thank you.
So, Jacob, very important bridge today. So, let me sort of take it step by step. In our release, we have communicated 6 $80,000,000 of EBITDA on a proportionate basis for our towers as it stands now. As you know, we intend to contribute our stake into CTIL, our UK JV into the perimeter. And once you do that, you get to call it, euros 740,000,000, euros 750,000,000.
So you are left with a GAAP versus the $900,000,000 we talked about previously of around $150,000,000 And this GAAP is split quite precisely into 2 parts. The first one is our monetization of Inuit, which as you know since we discussed ours for the first time, we have progressed at pace and I think we have already delivered at quite an attractive valuation. So then you are left with residual, call it, €80,000,000 for scale. So, under 10% of what was the original €900,000,000 which is the result of the fact that at the time when we whatever was out there in terms of prevalent anchor tenant whatever was out there in terms of prevalent anchor tenant rates in our markets. Fast forward to today, when the tower company is up and running, effectively we have been able to go into a great level of detail and establish specific MSAs on a market by market basis.
And we have set the numbers on the back of this precise review. We have set them in a position which is quite important in terms of balance because it allows on one end our markets to be competitive and on the other end I think it offers for the tower company a strong baseline to then build on its own growth for the future. This is really the main reason of this $80,000,000 let me call it organic GAAP. As you mentioned, there are all other smaller factors, probably not worth a lot of conversation. There is a little bit of accounting adjustments that again we had to do as we went into more details.
We have set out the teams. It's effectively coming to the final framework for the company to operate that has led to these numbers.
Next question comes from Nick Delphos from Redburn. Nick, please go ahead.
Yes. Thanks very much. Can you hear me? Yes. So just one for Vivek maybe on CTIL.
Obviously, the numbers you're talking about in there look rather low in terms of EBITDA. Could you talk a little bit about how you anticipate that changing? Obviously, it's a rather complicated situation given O2 and Virgin with their merger?
Maybe Vivek, just to give a perspective on CTI. If you remember, CTI was set up on a cost basis. So it was not set up as a profit center commercial business. It was just cost plus basis. So we've had to go through a process of converting it into a commercial business.
We are going through that process as we speak. Obviously, then the announcement of O2 and Liberty. So we then reengage with both of them to understand the process. They're very supportive of the process. They like the strategic direction we're going.
So it is very much our intention to roll CTAL stake to Vantage Towers in due course and hopefully ahead of any IPO events. But of course, we have to go through that process.
Okay. Could I just ask a very quick follow-up on physical stores? I just wanted to clarify, is your thinking changing about how quickly those might close?
Well, I think we went out in May talking about retail stores and the fact I mean, in the COVID world, you've seen digital just ramp, have online channels of 50% sales up year over year. So we are now looking at how do we optimize our retail stores more as part of the overall channel mix and also indirects as well, what role indirects play and how much of a mix they are. So yes, I would say I'd see it more as an acceleration to, let's say, year 1, 2, year 3, how are we advancing that state to the target operating more?
COVID really gave us the opportunity to make a step change from perspective. If you look at the sales numbers in the quarter, which as I was saying before have remained strong, they've remained strong with a 50% increase in volumes on our digital channels across Europe. So quite a big difference. And we have taken the opportunity also to stay close to our customers through the pandemic with campaigns and what I would call as education tutorials on how to access digital. And we believe that some of these changes will actually would be long lasting, which is why I was saying earlier to Andrew, I think the channel mix is definitely a long lasting opportunity.
Okay. Thanks very much.
The next question comes from Akhil Dhatani from JPMorgan. Akhil, please go ahead.
Yeah. Hi, good morning. Thanks for taking the question. Just a follow-up on really on the revenue performance and outlook. I guess, firstly on Italy and Spain, there's some pretty good commercial trends in the quarter.
Just keen to understand how much of that is a function of COVID and lower activity during the period and how much do you think is structural and we can extrapolate? And then I guess linked to that, Margarita, you talked about the 3 buckets of COVID impact on revenues between roaming B2B and other. Can you
Sorry, Akhila, I missed I think you were asking about U. K. And Spain.
Yes. And then the
and Zoe,
it was
roaming business. How do you think about those 3 buckets that you've got in your slide?
Yes. In terms of Yes.
Those 3 buckets. And then the other bit was just I was saying your commercial trends in Spain and Italy have improved a lot this quarter. And I just wondered how much was COVID and lower activity through the lockdown? And then how much can we extrapolate as maybe being more structural improvements?
Sure. So if I start from this last question on commercial performance, I think that there is a lot on what you have seen in the quarter that I would argue is our structural positioning. Clearly, the volumes of mobile number portability for both markets stepped down a lot across April May. As I was saying earlier, as soon as you come to sort of mid May, beginning of June and the lift off of the state of emergency in Spain, you could see the volumes for the market stepping back up again to substantially the levels at which they were pre COVID, if not slightly higher where there was even pent up demand. Within this context, what I think is structural is our competitive positioning.
You've heard us say this multiple times in the past. We compete effectively in those markets now at all levels, right? So from the high end to the lower end with our second brands. And this is the position that we have maintained. I think through COVID, if anything, maybe a bit of an advantage from the fact that having good quality reliable network has been very appreciated at the peak of the lockdowns.
But generally speaking, I think it's our positioning. Spain has been growing this quarter, but has been growing for every single consecutive quarter for the last year on both fixed, mobile, broadband. And in Italy, we already guided towards a more neutral mobile number portability numbers as soon as we left the price increases of 6 months ago. So that's effectively what you see there. In terms of then the revenue blocks, so taking those maybe also in turn starting from roaming.
Roaming, we have seen some recovery in the volumes in starting, I would say, June. However, it's intra European roaming volumes that are catching up because travel restriction on long haul largely remain. And therefore, we see the roaming drag on our revenues, which as I would say, as expected to increase further in the coming quarter because we are going towards the peak summer holiday period. I think over time as travel restriction lift on the out of Europe, we will see there some recovery and of course at some point roaming will become again a growth driver. In enterprise, the second area impacted, We called out projects being suspended or delayed and a bit of weakness in IoT because we are very strong in automotive and there was less car circulation, car sales and the like.
This is actually now starting to recover. We didn't see significant impact from macro yet on Vodafone Business, probably because the government initiatives have some of that catching up again catching up, sorry. In the other, you have a mixed bag of things, some positive traffic during lockdowns, particularly in Spain sorry, in South Africa and Germany, more than offset by some weakness in areas such as prepaid, in the smaller markets or M Pesa in our international markets in Africa where the feed in fees were 0 rated. Overall, I would say if you step back from all these puts and takes, but as you have heard very much the net impact of COVID in line with what our expectations for the quarter quarter were and indeed still very much in line with our expectations for the rest of the year, which is why you have heard us reiterating both our EBITDA outlook and our free cash flow guidance.
Thanks.
Next question comes from Maurice Patrick from Barclays.
Yes, Maurice here. Yes, just a question from me on Vantage, please. I mean, many tower companies are looking at offering additional services beyond just passive access, backhaul services, small cells, distributed antennas, even as far as facilitating edge computing and data centers even. I mean, are these in scope of Vodafone for Vantage going forward? So I mean, take backhaul, for example.
I mean, does Vantage intend to offer backhaul services? I mean, does it currently offer backhaul service, the Vodafone or Vodafone control those? Thank you.
Well, Vivek, why don't you give the summary?
Yes. Thanks for the question, Maurice. Good to hear you. We all of the above are in our intent, services for non mobile operators, public safety, distributed antenna systems and probably a longer with a longer time span, mobile edge computing, I guess, it's unlikely to be widespread to the geographic extent of a tower co in the initial phases, but definitely on the plan. As regards fiber, it's obviously a need for all the customers of the tower co.
So having the ability to offer fiber is a necessity. If you pass the problem, you have sites where Vodafone has fiber. And there is no I mean, when there is a wholesale intent a wholesale offer in the market, the ability to provide this on a wholesale basis is something that we would obviously do. And then we will expect more and more fiberization of these sites as you move towards 5 gs, you're going to need more bandwidth, it's going the operators are going to require an increased fiberization of the sites. We do see that there is a lot of scope for increasing the fiberization across some of our geographies.
So we'll be definitely looking into that.
The next question comes from Emmet Kelly from Morgan Stanley. Emmet, please go ahead.
Yes. Hi, and good morning, everybody. So just, yeah, the one question from my side. So in the press release, you have called for a new deal with regulators and governments, which will you say allow you to invest more and also to make higher returns. Can you maybe say a few words, Nick, about how you would like to see that new deal manifest itself?
Is it through a change in competition law? Is it changes in regulation? Or maybe changes in the likes of net neutrality? Thank you.
Yes. Good morning. I sort of highlighted in the presentation, on the far right of this slide around the social contracts, I itemize about 6 or 7 policy areas we want to influence because I want to make it clear, social contract is a contract, I. E, a two way flow. And so we're saying we understand what you want to achieve as a government.
You want connectivity. You want next generation connectivity, 5 gs, etcetera. You want digitization. You want to create jobs. We want to do all of that too.
But what we need is the right framework to be successful as an industry and improve our returns because our returns are at an unacceptable level. And I spent a lot of time highlighting that. And of course, we added it to our recent results to amplify the publication of the return on capital. I think in the short term, I think there's an opportunity around spectrum. So we had a good outcome or a decent outcome, let's say, in Hungary, an okay outcome in Netherlands.
We've got Spain and the U. K. That we're engaged in saying could we do different models, take a different approach. We're engaging in Italy in terms of the payment that's due next year, September, I think, 2021. Can we do that either deferred or staged payments?
How can you support the industry? I'd say governments are now heightened aware of the state of the industry and how critical we are and understand the need to support us, especially because they want 5 gs rolled out as quickly as possible. So I'd say spectrum is an immediate. There's some things around regulation, whether it's the rules and regulations around deployment, how can you make life easier for us. But also there's regulation around, let's say, disruptive value players that ride off the back of people that are willing to put hard money down in investment.
And I think there's increasingly an understanding that we need to earn a return, and that need that regulation needs to be supportive and pro investment and innovation. So I'd say these are the sort of more immediate ones. And then you can look further out about market structure. Can we have more infrastructure consolidation? We're doing a lot more sharing going forward versus retail.
So making the distinction between the 2 and sort of supporting the industry going forward.
Next question comes from James Ratzer from New Street. James, please go ahead.
Yes. Thank you very much indeed and good morning. And thank you also for the all the extra detail you've given around Vantage Towers. I was wondering if I could ask particularly about how you see consolidation in the European tower market going forward? I mean, it's obviously something you've been involved in so far.
You've announced another deal in Greece this morning. I mean, I was wondering, in particular, are there other markets where you see more opportunities to do power deals with the Vantage portfolio. Is it Vodafone's intention to always keep a longer term majority in Vantage Towers? And how do you see the opening balance sheet of Vantage Towers? Will it have enough balance sheet capacity to go and undertake deals of its own if it wishes to?
Thank you.
Yes. I will always defer to Margarita on balance sheets. But just if I was simplifying it, what I would be saying is the primary focus is driving the big organic growth opportunity we have. Vivek was highlighting the various elements that we see in terms of coverage, in terms of densification, third party tenancies, etcetera. We really see a big opportunity there.
He highlights fiber to the site, various other things. So I think there's a big organic opportunity. And then what we would say on top of that is, yes, there will be targeted, disciplined M and A that we will consider. And I think Greece was a good example where we felt that was a very healthy development for Vantage Towers, and we wanted to take that opportunity. In terms of balance sheet?
I think you have made the perfect summary clearly. We will always look at opportunities of what I would call disciplined M and A and you have seen the case today with Greece, and we will look at our funding options for those. But the bulk of the growth will come from the organic progression and just growth in sites and tenants per site.
And clearly, we've not determined yet level of leverage and where we set the balance sheet will clearly reflect on that on the run up to the IPO. But we would want
it to be efficient,
let's say.
Thank you. And just to confirm, it is still your long term intention to hold a majority in Vantage?
Absolutely. Absolutely. Look, we and the reason is very simple. First of all, we think it's a fantastic asset, a strategic asset with a great opportunity to create real value for shareholders. So we want our Vodafone shareholders to reap that benefit as well.
And then secondly, of course, technology, we're in a fast moving developing industry. And so we want to make sure that we have the right flexibility for both Vodafone and Vantage Towers to ensure we can compete going forward.
Next question comes from Usman Qazi from Berenberg. Usman, please go ahead.
Hello, everyone. Thank you for taking my question. I just had a question around possibly the late order impacts of COVID. And I just wanted to ask if you're seeing any changes in terms of bad debts or request for extension of payment terms increase over the last few weeks since lockdowns have been lifted or have things been very stable? Thank you.
Sure. I think the summary is things have remained fairly stable. We have not seen any material change in behavior in our business customers. Some requests for suspensions of service here and there during the lockdown phase, but nothing material. And I think this is probably due to what I was describing earlier, which is our own customers weren't faced with difficult choices just yet.
And so things have progressed as normal. And we will have to see in the coming quarters if that changes in any shape or form.
Okay. Thank you.
Next question goes to Robert Grindle from Deutsche Bank. Robert, please go ahead.
Thank you. Good morning, everyone. I was looking at your mobile data trends in Europe, your usage growth. It actually accelerated by 12% in Q4, but it slowed down by 5% in Q1. I wondered, do you know why that is?
Is it because we're all just sending us silly memes to each other? Is more of that data going over home broadband Wi Fi? And is that a material benefit to your network and CapEx? Thanks.
I'm actually caught off guard on this one because we would need to sort of look back into the details with IR. I was looking at the trends of traffic through the lockdowns linked to revenues. And frankly, I was going to say we have seen the increase that we had originally sort of lasting all the way to the month of June. But
So in other words, it peaked and sort of slightly drifted down, but I don't remember it materially moving. Yes.
I think we need to see if there was something in Q4 that we need to look into or the trend. Ijard can give you maybe more details later.
Okay. The data over well, that was my calculation, so I'll follow-up on that. Is more of the traffic going over home broadband?
Yes, for sure. During the lockdown, the biggest peaks we have experienced were in fixed traffic. Fixed increased much more than mobile because people effectively were working from home. And it was interesting also that it was a peak that was lasting throughout the day. But we have seen increases in both.
And again, to my understanding is that in Europe, certainly, they are continuing.
Yes. I wouldn't so because I think actually, if you decompose it a little bit, yes, there probably is some people using more Wi Fi. But at the same time, there's a lot of people as we penetrate unlimited plans that are having an exponential growth in mobile and happy to stay on the mobile network and not the poor Wi Fi. So I would say it's a number of factors. It's probably also business as well, people that are business customers obviously at home more.
Okay. Is there a CapEx benefit or headwind or tail?
No, don't think about anything material from all this.
Okay. Thank you.
Next question comes from Polo Tang at UBS.
Just have a bigger picture question in terms of consolidation. So what's your view on the recent European General Court ruling that overturned EC decision in terms of the O23 UK merger? Do you think that this will lead to a new wave of consolidation in the sector? And are you detecting any change in terms of sentiment or attitude from politicians and regulators on the topic?
Yes. I think when I sort of reflect on it, I'd say that the ECJ decision itself, in my view, is sort of an incremental positive, but not transformational. I do think that the Netherlands decision was really important. So if you're a failing operator, being allowed to lead the market and then not have remedies on the other players to create another player. So I think that was a very important decision.
And then I add on top of that the COVID environment and the feeling that this is critical national infrastructure, that actually scale is important and earning returns and having rollout, having the right financial environment for operators is important. And therefore, you add all of it together. And then you sort of say that I think there's a general acceptance that the European market broadly is highly fragmented with over 40 groups of operators versus a U. S. With 3, China with 3, India with 3, etcetera.
So I think there's a feeling that there needs to be better formulas going forward. Now does that automatically mean there's a stand piece of consolidation? I don't necessarily think. But you're seeing infrastructure consolidation led by us taking place and networks coming together. I think the sharing more of network and infrastructure will definitely happen.
And then there's case of what happens with retail brands and what level of competition that is felt necessary in the marketplace that does not hold back investment. So I'd say positive momentum, but not necessarily overnight transformation.
Next question comes from David Wright from Bank of America.
Yes, thank you very much for taking the questions today. It's actually a question that follows on from some of your comments in the last question, Nick. And regards to the Netherlands and your current JV there with Liberty, it does feel like Ms. Vestager has in recent times talked about the potential for more cross border deals. And as you've said, Europe does look very fragmented versus maybe other major regions.
You obviously have the JV with Liberty. I believe there's some optionality around that. One of the options that has been discussed with Liberty Management has been the potential for a cross border deal with Telenet. So I just did wonder whether you would ever be open to such a transaction, perhaps going down to minority stake as long as the existing dividend upstream sort of leverage agreement was sort of broadly maintained. I wondered if you had any views on that.
Goodness me, that's a very generous photograph you just put up, by the way. The 20 years of European telcos have weathered me a little more than that. Thank you.
Yes. And you don't have the COVID beard on that photo. Look, David, I would say that, look, if I stand back, I'm really, really delighted with the performance of our Dutch business. It's been a really successful integration, good growth, I mean, really good performance. Obviously, they've got their results coming after us, so I can't really talk about it.
But we are really pleased with the delivery under Yaron, the CEO. So we're very constructs of the market. It's an excellent market. We've got a fantastic asset within the market, and we have co control. So I would struggle to see why I would want to give that up for a minority position in a cross border combination.
Clearly, if Mike feels there's something compelling, that's a question more for Mike than it is for me. So we're really pleased with where we're at. We remain a very disciplined investor. So clearly, if people are going to step forward with offers, we would always consider at the Board level. But at this point in time, we're very delighted with the business and its performance.
Next question comes from Adam Foxrammley from HSBC. Adam, please go ahead.
Thanks very much. I was wondering if there are any more thoughts on monetizing tower assets at the individual country level, whether there are any processes still ongoing there or if the portfolio is roughly set as is? And then I suppose looking at the numbers this morning, you can see that 90% of Vantage Towers revenues are coming from the Vodafone MSA. Would it be right to think about a medium term target to get that to a lower number 80%, 85% over time? Thanks.
So I'll let Vivek talk about the second part of the question. In terms of monetization, really the only one that could potentially be is the U. K. Do we monetize that? Really, we're focused on the IPO of Vantage Towers.
So at some point, you have to say, let's focus on that and just move forward with the IPO. So that would be a determination that we might make. So it's the only one. Vivek?
Yes. On the second point, yes, we start with a high percentage of our revenues coming in from Vodafone and that provides the stability with a pre agreed MSA. So it gives the certainty on a good level of certainty on those revenues. But of course, the management team will be focused on developing other sources of revenue. We haven't put out the targets in this area yet.
We're analyzing the market. We're having a dialogue already with several of the operators in the different countries to look at the potential for growth. But the clear focus, which will also be translated in the way we drive the company and set its targets will be the development of revenue sources other than Vodafone, so very clear. No number yet.
Our last question for today comes from Sam McHugh from Exane.
I just want on the perimeter advantage, if I can. And apologies, it's slightly both started. If I look at previous slides on towers, I did notice that the number of sites you've got in different places has changed slightly. I wondered if it's because you're maybe not putting all your towers in Vantage or maybe it's just because you've made a clearer distinction to be kind of owned and rented. And then also Vantage has agreed a BTS agreement with the operation in Greece.
And I think you've highlighted $150,000,000 $200,000,000 of kind of growth CapEx advantage. I mean, is that the kind of right number when we think about what they could do? And then just a follow-up on Morris' question earlier about small cells and fiber. Are there any actions being put in? Or does Vodafone Group really not have a material amount of these today?
Thanks very much.
Vivek, do you want to?
[SPEAKER PIERRE YVES LESAICHERRE:] Yes. So on the number of towers, there would be the adjustment for the fact that in the scope we would now have the towers coming in from Wind Hellas. So I mean that would be one of the reasons for the fluctuation was that was not in initial in previous versions. That might be one of the reasons you see the discrepancy. And yes, we have been going through a very detailed inventory of the assets in every country to ensure that we've got the right number.
So this would be the number that we came out with today is our pro form a 2020 end of financial year 2020 entry position on the perimeter that we've disclosed. The other question was on fiber. We are not putting in the basket any fiber assets per se. The option that we're taking is to work on having a wholesale offering that enables operators alongside their rental on the tower to benefit from access to fiber. So that's a service offering, but it's not in the
I think there was a 3rd part on the growth CapEx. We will share much more about all these once we come to our Capital Market Day and of the IPO. So it's together with the funding structure. We will give you more details at a later stage. Today, it was about sharing the current perimeter.
Look, and on that, look, I'd like to thank you all for joining us. As you can see, we've been very busy, burning a lot of hours. We need a rest. So we'll take a small vacation at some point over the coming month. And look, we all look forward to seeing you in September and beyond at various events and our results.
All right. Take care, and I hope you all have a good and safe summer.