Business

Safaricom’s Ethiopia Losses Halve as Group Profit Climbs 36%

AI SUMMARY

Safaricom reported that its first-half net profit rose 36% to 58.2 billion Kenyan shillings as losses in its Ethiopian unit halved.

Safaricom Plc's first-half net profit rose 36% to 58.2 billion Kenyan shillings, equivalent to about $448 million.
Safaricom Ethiopia’s loss before interest and taxes dropped 53% to 11.4 billion shillings, or about $88 million.
The company expects its Ethiopian business to break even by the end of the current financial year.
Group earnings before interest and taxes grew 40% to 91.1 billion shillings, or $702 million.
Group service revenue increased by 13% to 226.1 billion shillings.
Chief Executive Peter Ndegwa confirmed the shrinking start-up losses in Ethiopia are lifting group earnings.
Safaricom maintained its full-year EBIT guidance between 180 billion and 187 billion shillings.
Safaricom entered the Ethiopian market in 2022 following the opening of the telecom sector to foreign competition.
Safaricom is majority-owned by South Africa’s Vodacom Group and is Kenya’s largest listed company by market value.