Vodacom’s fintech and digital drive power growth as Egypt shines and SA margins face pressure
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GUEST: Shameel Joosub, Vodacom Group CEO
Vodacom’s half-year results show a company firing on multiple cylinders but with contrasting fortunes across its markets. Group revenue rose 10.9% to R81.6 billion, boosted by Egypt’s exceptional 42% local-currency growth and a surge in financial services, which climbed 20.3% to R8 billion. The fintech business now serving almost 94 million customers continues to anchor Vodacom’s Vision 2030 ambitions, with M-Pesa processing nearly US$477 billion in transactions over the year.
However, South Africa still Vodacom’s largest market saw margins under pressure despite a 2.2% rise in service revenue to R31.7 billion. Heightened competition, rising costs, and one-off items such as the Please Call Me settlement weighed on profitability. Still, a 32% jump in headline earnings per share and a higher interim dividend signal strong overall execution.
Vodacom’s half-year results show a company firing on multiple cylinders but with contrasting fortunes across its markets. Group revenue rose 10.9% to R81.6 billion, boosted by Egypt’s exceptional 42% local-currency growth and a surge in financial services, which climbed 20.3% to R8 billion. The fintech business now serving almost 94 million customers continues to anchor Vodacom’s Vision 2030 ambitions, with M-Pesa processing nearly US$477 billion in transactions over the year.
However, South Africa still Vodacom’s largest market saw margins under pressure despite a 2.2% rise in service revenue to R31.7 billion. Heightened competition, rising costs, and one-off items such as the Please Call Me settlement weighed on profitability. Still, a 32% jump in headline earnings per share and a higher interim dividend signal strong overall execution.
