Connecting Africa is part of the Informa Tech Division of Informa PLC

This site is operated by a business or businesses owned by Informa PLC and all copyright resides with them. Informa PLC's registered office is 5 Howick Place, London SW1P 1WG. Registered in England and Wales. Number 3099067.


Africa & Middle East Push Up Orange Revenues

Article Image
Strong growth in Africa and the Middle East helped push up Orange Group revenue in the third quarter of 2019.

Revenue in Africa and the Middle East rose 7.6% in the quarter ended September 30, 2019 to €1.45 billion (US$1.6 billion) while overall revenue rose 0.8% year-on-year to almost €10.6 billion ($11.75 billion) on a comparable basis.

The strong results from the Middle East and Africa (MEA) helped offset a fall in France and Spain, Orange's two main markets. The MEA region continues to be a good growth region for the French operator which previously said it was confident it could maintain sales growth of 5% across the region. (See Africa & Middle East the Key 'Growth Driver' for Orange and Orange Keeps MEA Sales Growth Target at 5% as Focus Shifts.)

"The Group has confirmed its growth momentum during this third quarter, with revenues up 0.8% and EBITDAaL [earnings before interest, tax, depreciation and amortization after leases] improving 0.2% thanks to our excellent performance in Africa & Middle East and the resilience of the enterprise market. While competitive pressures are on the increase in Spain, in France they have somewhat abated and revenue would have increased had it not been for the impact of ePresse and audiobook offers," said Stéphane Richard, chairman and CEO of the Orange Group.

Continued strong growth in MEA was underpinned by the solid performance of retail services. On a comparable basis, Africa and the Middle East was the largest contributor to the Group's growth, accelerating revenues compared to the previous quarter thanks to a 10.2% increase in retail services.

The strong growth was driven by all countries in the region -- with the exception of Niger -- with eight out of 17 of the countries delivering double-digit growth, versus four countries the previous quarter. All the countries contributed to the revenue growth, including the Sonatel group (Senegal, Mali, Guinea, Guinea-Bissau and Sierra Leone) which rose 6.9% and Orange Côte d’Ivoire group (Côte d’Ivoire, Burkina Faso and Liberia), up 7.5% in the third quarter.

Source: Orange
Source: Orange

The group now has 209.4 million mobile customers, an increase of 4.2%, driven by growth in the MEA region. The region had a total of 124.3 million customers at the end of September, up from 118.2 million a year ago, a 5.1% increase, while the region added 1.7 million new customers in just the last quarter.

"In mobile, Orange now has 65.3 million 4G customers, 22 million of whom are in Africa & Middle East," said Richard.

In Africa and the Middle East, the deployment of 4G led to a 49% increase in 4G customers year-on-year.

Orange said that revenues from mobile-only services, of €2.7 billion ($3 billion), rose 1.0%, thanks to the strong performance in Africa and the Middle East. Mobile-only services in the MEA region grew almost 10% in the quarter, thanks to the excellent performance of 4G and Orange Money services.

For its part, the active Orange Money customer base of 16.6 million grew 22% year on year, with revenues up 29%.

"The increase in revenues was also supported by the momentum of fixed services (up 11.9% in the third quarter) and, notably, by broadband services which now have 1.14 million customers. Wholesale revenues were down 5.5% in the third quarter (compared with a 7.5% decline in the second quarter), primarily taking into account the decline in the volume of direct incoming international traffic," the group said.

Orange Group chairman and CEO Stephane Richard.
Orange Group chairman and CEO Stéphane Richard.

— Paula Gilbert, Editor, Connecting Africa

Innovation hub


Interview: Juliet Ehimuan on Africa's next wave of innovation

Juliet Ehimuan, founder and CEO of Beyond Limits Africa and ex-MD of Google West Africa, spoke to Connecting Africa about the next wave of innovation in Africa and the continent's digital future.


InDrive enters Zimbabwe's Bulawayo

Ride-sharing platform InDrive is expanding its services to Zimbabwean city of Bulawayo after successfully introducing its services in the capital of Harare in May this year.

More Innovation hub

Latest video

More videos

Industry announcements

More Industry announcements

Sponsored video

More videos

Partner perspectives

All Partner Perspectives

Africa Tech Perspectives


The 100 most influential African leaders in 2023

A new report from Africa Tech Festival and Connecting Africa puts a spotlight on the top 100 African leaders in the telecoms and technology sector in 2023.


Deep dive into East Africa's tech startup ecosystem

New survey reveals a lack of access to investors, reliance on international VCs and global recession trends as the biggest barriers for East African tech startups to access funds.


Challenges and opportunities for women's tech careers

A new survey reveals that COVID-19, the cost-of-living crisis, skills shortages and a lack of mentorship have negatively affected women's career development over the past two years.

More AfricaCom perspectives

Upcoming events

Nextv Series Africa
October 4-5, 2023
Hotel Sky Sandton, Johannesburg
Africa Tech Festival, Home of AfricaCom and AfricaTech
November 13-16, 2023
CTICC, Cape Town
More Upcoming events

Flash poll

All polls

Guest Perspectives


Omdia View: August 2023

By Omdia Analysts

Highlights in August 2023 in the Middle East and Africa included a commercial 5G launch from Ethio Telecom and the signing of a virtual wheeling agreement between Vodacom South Africa and Eskom – that and more in this month's Omdia View.


Omdia View: February 2023

By Omdia Analysts

In February 2023 key events in the Middle East and Africa included a major Internet project for Africa's underserved by Liquid Intelligent Technologies and Microsoft as well as a 5G launch in Tanzania – that and more in this month's Omdia View.

More Guest Perspectives

Like us on Facebook

Newsletter Sign Up

Sign Up
Tag id I-0000192