Vodacom revenue up

2013-05-20 09:34

Revenue at Vodacom increased by 4.5% in the year ended March 2013, the company has said.

Excluding the sale of Gateway Carrier Services and the foreign currency affect, revenue was up 5.3% and service revenue was up 2.9%, it said in preliminary results.

Group data revenue had risen by 22.2%, and the number of active data customers had increased by 22.5% to 18.5 million, as the company continued to drive smartphone penetration.

International operations maintained strong momentum as service revenue surged by 22.3% supported by customer growth and increased adoption of data and financial services, the company said.

Earnings before interest, taxes, depreciation and amortisation expanded by 10.9% to R25.2 billion.

Vodacom CEO Shameel Joosub praised the company’s performance under the current economic conditions.

“In South Africa, poor performance among independent service providers (and) persistent economic weakness... hampered service revenue growth,” he said.

“But strong commercial execution, which included heavily revised pricing and new prepaid and contract offerings helped to offset these factors.”

Joosub said Vodacom had spent R38bn on network investment, R28 billion of it in South Africa, in the past five years.

“In just the last year alone, we spent R9.5 billion across the group and R7 billion in South Africa. It’s thanks to this intense investment activity that we’ve got the footprint, capacity and technology to capitalise on the smart device revolution,” Joosub said.

Group capital expenditure rose by 9.2% to R9.5 billion, supporting expanded 3G coverage and network renewal projects.

Group operating free cash flow increased by 7.2%, despite significant network expansion and investment in working capital to finance smartphones and tablets.

Headline earnings per share went up by 23% as a result of strong operating profit growth and secondary tax on companies falling away.

Vodacom declared a final dividend per share of 430 cents. Total dividends per share rose by 10.6% to 785 cents.

Join the conversation!

24.com encourages commentary submitted via MyNews24. Contributions of 200 words or more will be considered for publication.

We reserve editorial discretion to decide what will be published.
Read our comments policy for guidelines on contributions.

24.com publishes all comments posted on articles provided that they adhere to our Comments Policy. Should you wish to report a comment for editorial review, please do so by clicking the 'Report Comment' button to the right of each comment.

Comment on this story
Comments have been closed for this article.

Inside News24


Book flights

Compare, Book, Fly

Traffic Alerts
There are new stories on the homepage. Click here to see them.


Create Profile

Creating your profile will enable you to submit photos and stories to get published on News24.

Please provide a username for your profile page:

This username must be unique, cannot be edited and will be used in the URL to your profile page across the entire 24.com network.


Location Settings

News24 allows you to edit the display of certain components based on a location. If you wish to personalise the page based on your preferences, please select a location for each component and click "Submit" in order for the changes to take affect.

Facebook Sign-In

Hi News addict,

Join the News24 Community to be involved in breaking the news.

Log in with Facebook to comment and personalise news, weather and listings.