Airtel Africa’s nine-month turnover hits $3.9bn

Airtel Africa said Thursday its revenue in the nine months to December 2022 accelerated 12.1 per cent to $3.9 billion compared to the same period of 2021.

The company cited improvement in mobile services income in Nigeria, East Africa and Francophone Africa as pivot of growth.

Altogether, the mobile services revenue of the wireless operator jumped by 15.9 per cent, the most growth recorded in its Nigerian operation at 20.9 per cent.

While voice revenue advanced at the pace of 12.7 per cent, data revenue did at 22.3 per cent, according to its unaudited earnings report issued on Thursday.

Revenue from the mobile money business of the London-headquartered telco expanded by 29.8 per cent, aided by about one-third growth in East Africa and 21.7 per cent increase in Francophone Africa. Expenses leapt by 11.7 per cent to $2 billion.

“I am particularly excited by the performance of our mobile money business, with annualized transaction value reaching nearly $100bn, as we continue to drive financial inclusion in the continent,” CEO Segun Ogunsanya said.

“Despite the inflationary pressures across our markets, the strong revenue performance in the first nine months of the year, combined with continued focus on cost optimisation, contributed to EBITDA growth of over 17% in constant currency, with stable EBITDA margins.”

Airtel Africa committed nearly half a billion dollars to 4G and 5G spectrum across major markets in the review period, the chief executive added.

Earnings Before Interest, Taxes, Depreciation and Amortisation stood at $1.9 billion compared to $1.7 billion.

Airtel Nigeria is the group’s biggest and most profitable market of the fourteen it operates in, and Airtel Africa’s listing in Lagos, valuing it at N6.2 trillion as of Thursday morning, makes the telecom operator Nigeria’s biggest company by market value.

READ ALSO: Airtel Africa gets 10-year spectrum licences worth $30 million for Kenya operation

Net finance costs surged 78 per cent to $519 million on the back of higher foreign exchange and derivative losses of $184 million.

Profit before tax fell to $801 million from $864 million, a 7.3 per cent dip. Net profit saw a feeble growth from $514 million to $523 million, leaving margin at 13.4 per cent.

Last April, Airtel Africa got the Central Bank of Nigeria’s endorsement to run a payments unit named Smartcash Payment Service Bank Limited and subsequently, launched operations in Lagos and the rest of the country.

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