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.

4G/5G

Airtel Africa Reports 7% Sales Boost in Fiscal First Quarter

KEY HIGHLIGHTS:

  • Customer base grew by 9.3% to 99.7 Mn

  • Reported revenues increased to $ 795.9 Mn, up 6.9%, with constant currency growth of 10.2%. This was the 6th consecutive quarter of double-digit constant currency growth

  • Revenue growth of 10.2% in constant currency was driven by double-digit growth in Nigeria and East Africa, partially offset by a decline in revenue in Rest of Africa

  • Growth was recorded across business products. Constant currency revenue in Voice increased by 3.2%, data revenue increased by 35.9% and Mobile Money revenue grew by 41.8%

  • Reported underlying EBITDA was $ 347.6 Mn, up 9.7%, while constant currency underlying EBITDA growth was 12.8%

  • Underlying EBITDA margin in reported currency was 43.7%, an increase of 111 bps, while there was an increase of 101 bps in constant currency terms

  • Free cash flow was $ 102.4 Mn, down 29.2% largely as a result of increased capex for network modernization and rollout of additional sites

  • EPS before exceptional items was $ 2.0 cents., down 46.8% largely as a result of an increase in the number of shares. Basic EPS was 4.1 cents

    Raghunath Mandava, Chief Executive Officer, commented on the trading update:

    "I am pleased to report a strong start to the financial year, in our first quarterly results since the IPO. These results, which are in line with our expectations, are clear evidence of the effectiveness of our strategy across Voice, Data and Mobile Money. In the quarter, we delivered a 10% increase in revenue in constant currency terms, with even higher underlying EBITDA growth largely as a result of operating leverage and a tight focus on costs which led to underlying EBITDA margin expansion of 101bps.

    Voice revenue, our largest business product, was up 3% largely driven by 9% growth in our customer base, now reaching nearly 100 Mn customers across our footprint. Data revenue, our largest contributor to growth, was up 36% as an increasing number of customers relied on our high-quality and high-speed LTE network, resulting in a 79% growth in data usage. Mobile Money revenue, our fastest growing business, increased by 42% as we expanded our distribution reach.

    We continued to invest in our 4G network, adding nearly 1,500 sites; now more than half of our sites are 4G. We also continue to prepare for the launch of our Mobile Money business in Nigeria, securing approval of the brand name, an important step as we await approval for our payment service bank license.

    The business continues to show momentum and we are confident of delivering sustained growth across Voice, Data and Mobile Money, underpinning our medium-term aspirations for revenue and profit growth."

    ENDS

  • Innovation hub

    Story

    Africa can leverage GenAI for economic growth – Microsoft

    A whitepaper on generative artificial intelligence (GenAI) and the future of work has found that the African continent, with its young population, can leverage AI to drive economic growth.

    Registration opens for Africa Tech Festival 2024

    Registration has opened for the 2024 edition of Africa Tech Festival, the continent's leading platform for technology innovators, specialists and thought leaders.

    More Innovation hub

    Latest video

    More videos

    Partner perspectives

    All Partner Perspectives

    Sponsored video

    More videos

    Follow us on X

    Industry announcements

    More Industry announcements

    Upcoming events

    Cyber Revolution Summit
    August 9, 2024
    Gaborone, Botswana
    Africa Tech Festival 2024
    November 11-14, 2024
    Cape Town, South Africa
    More Upcoming events

    Africa Tech Perspectives

    Story

    Uber's Marjorie Saint-Lot on inclusion and sustainability in Africa

    Uber's Country Manager for Ghana and Cote d'Ivoire, Marjorie Saint-Lot, shares how the ride-hailing company is approaching public-private partnerships, environmentally friendly initiatives and gender inclusion in Africa.

    Story

    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.

    Story

    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.

    More Africa Tech perspectives

    Guest Perspectives

    Story

    Omdia View: May 2024

    By Omdia Analysts

    May 2024's telecoms highlights in the Middle East and Africa included African 5G subscriptions surpassing 5 million, growth from SpaceX's satellite Internet service Starlink, and a major fiber partnership in the Middle East and North Africa.

    Story

    How e-mobility could transform Africa's transport sector

    By Francis Hook

    ICT analyst Francis Hook delves into Africa's e-mobility sector and unpacks the challenges faced locally and the benefits the move to electric vehicles could bring to urban transport systems.

    More Guest Perspectives

    Like us on Facebook

    Newsletter Sign Up


    Sign Up
    Tag id test-002