Mobile and broadband group Vodafone reported a drop in service revenue in its largest market Germany in the first quarter, reflecting broadband and TV losses after regulation changes.
Overall service revenue growth however, accelerated slightly quarter-on-quarter to 2.5%, helped by Turkey, where high inflation is providing a boost, and Britain. It said it was on track to hit its full-year targets.
Vodafone said its German TV customer base fell by 79,000 while its cable broadband service saw a 34,000 decline after regulatory changes ended processes like automatic recontracting, resulting in a 0.5% decline in service revenue in the country.
It said the scale of customer losses had reduced versus the previous quarter following remedial action.
Chief Executive Nick Read said Vodafone had "executed in line with expectations", with growth recorded in Europe and Africa.
He said in November he was pursuing consolidation in a number of Vodafone's European markets, as well as opportunities for its towers business, Vantage Towers.
"Our near-term focus on our operational and portfolio priorities remains unchanged," he said on Monday.
"We've made good progress towards stabilising our commercial performance in Germany, and we continue to actively pursue opportunities with Vantage Towers and to strengthen our market positions in Europe."