Vodacom, a leading mobile network operator, has reported an impressive increase in service revenue for the fiscal year ending March 31, 2024. With the acquisition in Egypt significantly contributing, the Group’s service revenue soared by 29.1%. Vodacom South Africa remained the largest market, with service revenue reaching R61.6 billion ($3.36 billion), up by 2.6% from the previous fiscal year. The company’s investment in network and IT infrastructure tallied at R11.1 billion ($606 million). Celebrating three decades of operations, the milestone of surpassing 200 million customers was highlighted, with Egypt’s market showing substantial customer growth and a 41.8% surge in data traffic. Despite layoffs in South Africa as a part of cost-cutting measures, CEO Shameel Joosub emphasized the positive economic moves by Egypt and the successful repatriation of dividends to South Africa. Vodacom’s array of new services, especially in digital and finance, contributed to 20% of the group’s service revenue, with notable growth observed from financial services. The firm’s insurance and payment services recorded significant revenue. However, the group’s headline earnings per share saw a 10.8% drop, influenced by start-up losses in Ethiopia, elevated finance, energy costs, and unfavorable currency movements. Vodacom also reported growth in its M-Pesa revenue across various African markets and emphasized the digital strategy with 10.4 million VodaPay downloads. Furthermore, Vodacom is pursuing a stake in Maziv, a fibre company, currently under regulatory review. Though the Competition Commission initially recommended against the acquisition, Maziv is seeking approval from the Competition Tribunal.

Telecommunications, Financial Services,South Africa, Egypt

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