Safaricom Plc Earnings grows to KES28.1Bn HY 2024

Safaricom PLC (NSE: SCOM) has posted a robust financial performance for the six months ended September 30, 2024, with a net income attributable to equity holders of KES 28.1 billion.
Key Highlights

Strong Growth in Kenya:
Service revenue surged 12.9% to KES 177.5 billion.
EBIT and net income increased by 18.0% to KES 79.2 billion and 14.1% to KES 47.5 billion, respectively.

Group Performance:
Group service revenue grew 13.1% to KES 179.9 billion.
Group EBIT rose 1.8% to KES 42.2 billion.
Net income excluding minority interest on an underlying basis increased 27.1% to KES 36.7 billion.
Reported net income excluding minority interest declined 17.7% to KES 28.1 billion, primarily due to the impact of Ethiopia’s foreign exchange regime reforms and hyperinflationary accounting.

Business Segment Performance:
Mobile connectivity (voice, data, SMS) contributed 52.2% of revenue at KES 93.9 billion.M-PESA contributed 42.9% of revenue at KES 77.2 billion.

Safaricom Telecommunications Ethiopia PLC Operations:
Customer base grew 47.3% to 6.1 million monthly active users.
Data usage increased significantly, reaching 6.6GB per average user, surpassing Kenya’s 4.1GB.

Safaricom Ethiopia is taking measures to mitigate the short-term impact of foreign exchange reforms, including renegotiating contracts, localizing supply chains, and reducing expatriate costs.