Airtel Africa Reports 19.7% Revenue Growth, Surpassing $2.6 Billion

Editorial Desk
By Editorial Desk 3 Min Read

Airtel Africa reported a 19.7% rise in revenue, exceeding $2.6 billion, up by 2.3% in its half-year results for the period ending September 2023.

One of the standout achievements for Airtel Africa was the significant increase in its customer base, which grew by 9.7% to reach 147.7 million.

This growth was primarily driven by the rising adoption of mobile data and mobile money services. Data customers saw a substantial increase of 23.0%, totaling 59.8 million, while mobile money customers grew by 23.1% to reach 36.5 million.

However, due to the impact of the Nigerian naira devaluation, reported currency revenues only increased by 2.3%.

Despite this, all segments of the company delivered double-digit constant currency revenue growth, with mobile services revenue growing by 18.3% and mobile money revenue growing by 30.9%.

Airtel Africa also showcased a strong improvement in its earnings before interest, taxes, depreciation, and amortization (EBITDA), which increased by 21.2% in constant currency to $1,302 million.

This improvement in EBITDA margin was particularly impressive, with a 70 basis points increase over the previous period, despite inflationary cost pressures and foreign exchange headwinds.

However, the company did report a loss after tax of $13 million, primarily due to a foreign exchange loss resulting from the Nigerian naira devaluation. This impact was classified as an exceptional item.

Airtel Africa’s earnings per share (EPS) before exceptional items showed improvement, reaching 7.0 cents, but the basic EPS was negative at (1.5 cents) due to the net exceptional loss resulting from the naira devaluation.

Looking ahead, Airtel Africa remains focused on delivering affordable and reliable telecom and mobile money services across its markets.

Despite challenges such as rising diesel prices in Nigeria, the company aims to mitigate the impact through operational leverage and cost efficiencies to improve its EBITDA margin in the next fiscal year.

Overall, Airtel Africa’s half-year results demonstrate its resilience and strong momentum in the African telecommunications market.

With a growing customer base and a commitment to driving sustained and efficient growth, Airtel Africa is well-positioned to capitalize on the growth opportunities in its markets.

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