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Vodacom Group Limited IR presentation | 5 September 2016

Vodacom Group

Limited

September 2016

Vodacom Group Limited IR presentation | 5 September 2016

Disclaimer The following presentation is being made only to, and is only directed at, persons to whom such presentations may lawfully be

communicated (relevant persons). Any person who is not a relevant person should not act or rely on this presentation or any of its

contents.

Information in the following presentation relating to the price at which relevant investments have been bought or sold in the past or the yield

on such investments cannot be relied upon as a guide to the future performance of such investments. This presentation does not constitute

an offering of securities or otherwise constitute an invitation or inducement to any person to underwrite, subscribe for or otherwise acquire

securities in any company within the Group.

Promotional material used in this presentation that is based on pricing or service offering may no longer be applicable.

This presentation contains certain non-GAAP financial information which has not been reviewed or reported on by the Groups auditors. The

Groups management believes these measures provide valuable additional information in understanding the performance of the Group or

the Groups businesses because they provide measures used by the Group to assess performance. However, this additional information

presented is not uniformly defined by all companies, including those in the Groups industry. Accordingly, it may not be comparable with

similarly titled measures and disclosures by other companies. Additionally, although these measures are important in the management of

the business, they should not be viewed in isolation or as replacements for or alternatives to, but rather as complementary to, the

comparable GAAP measures.

This presentation also contains forward-looking statements which are subject to risks and uncertainties because they relate to future events.

These forward-looking statements include, without limitation, statements in relation to the Groups projected financial results. Some of the

factors which may cause actual results to differ from these forward-looking statements are discussed on slide 23 of this presentation.

Vodafone, the Vodafone logo, Vodafone Mobile Broadband, Vodafone WebBox, Vodafone WebBook, Vodafone Smart tab, Vodafone 858

Smartphone, Vodafone Passport, Vodafone live!, Power to You, Vodacom, Vodacom M-Pesa, Vodacom Millionaires, Vodacom 4 Less and

Vodacom Change the World are trademarks of Vodafone Group Plc (or have applications pending). Other product and company names

mentioned herein may be trademarks of their respective owners.

2

Vodacom Group Limited IR presentation | 5 September 2016

Vodacom DRC

Licenced 2002 Population 71 million Vodacom Tanzania

Licenced 1999 Population 55 million

Vodacom Mozambique

Licenced 2003 Population 29 million

Vodacom Lesotho Licenced 1995 Population 2 million

Vodacom South Africa Licenced 1993 Population 55 million

All information in presentation is as at 31 March 2016, unless otherwise stated. #Market capitalisation value as at 5 September 2016.

A leading African mobile communication company providing

a wide range of communication services including mobile

voice, messaging, data and converged services to over

61 million customers.

Vodacom is majority owned by Vodafone Plc (65%) and we

are listed on the JSE Limited.

Market capitalisation of R231.3 billion#.

Group revenue of R80.1 billion.

Head office in Midrand, South Africa

History consistent track record of innovation

2012 2011 2009 2008 2004 1996

First to launch

prepaid services

in the world on IN

platforms

Vodacom

launches a 3G

HSDPA network

in South Africa

Vodacom

Business

launches

Vodacom listed

on the JSE

(18 May)

Vodacom

rebrands from

Green and Blue

to Vodafone

RED

LTE-Advanced

launched First to launch

4G in

South Africa

2016

3

Vodacom Group Limited IR presentation | 5 September 2016

Share information

As at 5 September 2016

JSE Ticker symbol VOD

ADR code VDMCY

Stock exchange JSE Limited

Shares in issue 1 487 954 000

Freefloat 35%

52 week low and high R132 R172

Market capitalisation R231.3 billion

Debt rating Long term scaling zaAAA (S&P)

Transfer agent ComputerShare

Indices

FTSE/JSE Top 40 Index

JSE Socially Responsible Index

Nedbank BGreen Exchange Traded Fund

66%

19%

7% 4% 4%

South Africa

United States

United Kingdom

Rest of Europe

Rest of world

Institutional shareholding

4

PIC = 49.9%

Vodacom Group Limited IR presentation | 5 September 2016 5

Five reasons to own Vodacom shares

2

3

Focus areas of growth potential

Market leadership

1

Scale benefits driving efficiencies

Experienced, diverse management team

5 Track record of delivering shareholder returns

4

5

Vodacom Group Limited IR presentation | 5 September 2016

#1 mobile operator in all markets

All information is as at 31 March 2016

#1 | Market leadership

61.3 million customers in

5 countries in Sub-Saharan Africa

R14 billion enterprise revenue from

30 countries in Africa

R13 billion investment per annum to maintain our leading network quality

> 18 000 base stations, > 80% 3G 1st to launch 4G in South Africa, Lesotho and Tanzania

6

Vodacom Group Limited IR presentation | 5 September 2016

Enterprise (21% of Group service revenue)

Enterprise contributes 21% to Group service revenue

SA fixed and managed services revenue +27%

o Pan African MPLS network

o Fibre to the business/home

7

#2 | Focus areas of growth potential

Data (32% of Group service revenue)

Group: 29 million active data customers; 57% of total base

SA: 14 million active smart devices; 37% of active

customers

SA: 572MB per smart device growing 23%

International (27% of Group service revenue)

27% of Group service revenue

Data revenue growth +32%

Active customers 27 million

o Active customers now 44% of Group active customers

FY14: +37%

FY15: +13%

FY16: +19%

FY14: +24%

FY15: +10%

FY16: +17%

New services (SA) (4.2% of Group service revenue)

Insurance revenue +19%

o Expanding portfolio: life, funeral, device, cover

Capture Internet of Things opportunity

Fibre to home +25 000 homes and businesses passed

7

.

FY14: +33%

FY15: +25%

FY16: +29%

Vodacom Group Limited IR presentation | 5 September 2016 8

Focussed savings programmes Fit 4 Growth

Reduced transmission rentals through self-provisioning

Cost optimisation through sharing, outsourcing and supply

chain management

Improved return on investment in customer acquisition

spend

Reduced support costs offsetting inflationary pressures

Benefits from being part of the Vodafone Group

Global technology and product roadmap

Better pricing through Vodafone Procurement Company

Benefits from best practice sharing and benchmarking

Talent and skills sharing

#3 | Scale benefits driving efficiencies

8

Vodacom Group Limited IR presentation | 5 September 2016

4

Executive Committee (12 members)

Male

83%

Female

17%

CEO: Shameel Aziz Joosub (45)

20 years industry experience

Previously CEO of Vodafone Spain

IT Person of the year 2015

CFO: Till Streichert (41)

15 years industry experience

Previously CFO of Vodafone Romania

European and emerging market experience

#4 | Experienced, diverse management team

Black

58%

White

42% South African

75%

Intern-ational

25%

9

Vodacom Group Limited IR presentation | 5 September 2016

395 375 395

430 400 400

FY14 FY15 FY16

Interim dividend Final dividend

Dividend per share Cents per share

825 775

795

#5 | Consistently delivering shareholder returns

Relative share price performance1

TSR ZAR YTD (for 12 months ending 5 September 2016)

-31.5%

-18.1%

-7.1%

3.8%

13.0%

-35.0% -25.0% -15.0% -5.0% 5.0% 15.0%

MTN

Millicom

Bharti

Telkom

Vodacom

10

1. As at 5 September 2016.

Vodacom Group Limited IR presentation | 5 September 2016 11

Service revenue growth

Low to mid single-digit

Mid to high single-digit

EBITDA growth

12% to 14%

Capex intensity

Targets | Group three-year targets

Vodacom Group Limited IR presentation | 5 September 2016 11

Vodacom Group Limited IR presentation | 5 September 2016

Continuing to deliver returns

12

Best network

---------------------

Best value

---------------------

Best service

Diversify

revenue to

deliver gr