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TOP NEWS: Airtel Africa earnings jump in year amid growing client base

12th May 2021 09:20

(Alliance News) - Airtel Africa PLC on Wednesday said its performance improved in its recently-ended financial year amid high demand for its services.

The FTSE 250-listed telecommunications and mobile money services provider reported revenue growth of 14% to USD3.91 billion in the year to the end of March. Constant currency underlying revenue growth was 19%.

Airtel Africa said growth was recorded across all regions, as revenue in Nigeria was up 22% in financial year, East Africa grew revenue by 24% and Francophone Africa revenue was up 10%.

Underlying earnings before interest, tax, depreciation and amortization was USD1.79 billion in the the year, up 18% in reported currency, and growing 25% in constant currency. The underlying Ebitda margin was 46.1%, adding 181 basis points.

Pretax profit, meanwhile, grew to USD697 million from USD598 million year-on-year.

Airtel Africa said its customer base grew by 6.9% to 118.2 million, with increased penetration across mobile data and mobile money services.

Looking ahead, Chief Executive Raghunath Mandava said: "The combination of bringing connectivity to underpenetrated mobile markets and improving financial inclusion through banking the unbanked, across our territories of operation, together provide us with a sizeable runway of sustainable profitable growth potential, and one we remain very confident of delivering."

The company has recommended a final dividend of 2.5 cents per share, lower than 3 cents paid the year before.

Airtel Africa shares were trading 2.1% higher in London on Wednesday morning at 79.55 pence each.

By Evelina Grecenko; [email protected]

Copyright 2021 Alliance News Limited. All Rights Reserved.


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