M-Pesa, Mobile Data push Safaricom to make Sh35.65bn in profit for HY20

M-Pesa, Mobile Data push Safaricom to make Sh35.65bn in profit for HY20

November 1, 2019 0 By mykenyancareers
SAFARICOM NEW BUNDLES - M-Pesa, Mobile Data push Safaricom to make Sh35.65bn in profit for HY20
The mobile money service grew by 18.2 percent to Sh41.97 billion, while mobile data revenue increased by 4 percent to Sh19.78 billion/FILE

NAIROBI, Kenya, Nov 1 – East Africa’s most profitable telecoms operator Safaricom has recorded a 14.4 percent rise in half year net profit to hit Sh35.65 billion, largely driven by growth of M-Pesa and mobile data.

The mobile money service grew by 18.2 percent to Sh41.97 billion, while mobile data revenue increased by 4 percent to Sh19.78 billion.

Voice revenue, which is the telco’s dominant revenue generator, however continued to decline, dropping by 1.4 percent to Sh46.87 billion.

Additionally, messaging revenue was also noted to have declined by 11.0 percent to Sh8.60 billion.

Earnings before income and taxes grew by 12.7 percent to Sh49.82 billion, which Chief Financial Officer Sateesh Kamath says was underpinned by solid commercial performance and cost optimization.

Going forward, Kamath said the firm is set on delivering the 4G network before the end of the year, supported by the Sh18 billion investment it has made so far.

Developing story.