Safaricom grew its 2024 full-year revenue by 11% to $540 million (KES 69.8 billion), lifted by easing losses in Ethiopia and regular development in its cellular information and cellular cash companies at residence. The outcomes mark a return to development for Kenya’s largest telecoms operator after two years of earnings stress linked to its expensive push into Ethiopia.
Safaricom’s service income rose by 10% year-on-year to $2.8 billion (KES 371.4 billion) within the yr to March, as buyer numbers throughout the enterprise jumped 16% to 57.1 million. Safaricom mentioned development was pushed by elevated cellular information utilization, voice, and M-Pesa, which stays central to its income combine.
The corporate’s important revenue engine remained the Kenyan unit, accounting for many earnings. Losses from the Ethiopian unit halved to $165.7 million (KES 21.4 billion) as the corporate added extra subscribers and ramped up its cellular cash, M-PESA, rollout.
“We’re happy with our efficiency in FY25 regardless of the assorted challenges that confronted the working setting, together with financial disruptions, slowdown in GDP development, and the affect of overseas alternate regime reforms in Ethiopia,” Safaricom mentioned in an announcement.
Safaricom continues channelling funding into its Ethiopian subsidiary, constructing community infrastructure, and scaling M-Pesa following the cellular cash platform’s launch in August 2023.
“The child, Ethiopia, is making extra assured steps. It really contributed 9% to group service income,” Safaricom chief monetary officer Dilip Pal mentioned.
The Ethiopian unit stays in an early development section, however Safaricom is trying on the enhancing unit economics and rising subscriber numbers as encouraging indicators.
Ndegwa mentioned the corporate expects to additional slim its Ethiopia losses to between $178.1 million (KES 23 billion) and $201.3 million (KES 26 billion) within the present monetary yr, in comparison with $472.4 million (KES 61 billion) within the yr simply ended. Its earnings earlier than curiosity and taxes may rise 50% to $1.16 billion (KES 150 billion) within the yr to the top of March 2026.