Vodacom sales growth up on data, mobile money take-up

Vodacom. (Duncan Alfreds, Fin24)
Vodacom. (Duncan Alfreds, Fin24)

Johannesburg - Vodacom [JSE:VOD] said third-quarter revenue growth accelerated as Africa’s biggest phone company by market capitalisation added customers and boosted sales from mobile money.

Revenue gained 6.7% to R22.6bn in the three months through December, the Johannesburg-based unit of Vodafone said in a statement on Wednesday. That compared with 1.2% in the same quarter a year earlier. Active subscriber numbers across all markets increased by 13% to 73.6 million.

In international markets such as Tanzania, Democratic Republic of Congo and Mozambique, growth was driven by data sales as more customers switch to smartphones and internet costs fall.

Vodafone’s revenue at M-Pesa, the mobile-banking service popular in countries under served by traditional banks, soared 33% as the company broadens its offering in sub-Saharan Africa.

The shares have gained 6.4% this year, valuing the company at R267bn. That compares with R247bn at cross-town rival MTN [JSE:MTN], Africa’s biggest wireless carrier by sales and customers.

Vodacom shares were trading 5.21% up on the JSE at R163.13 shortly before 11:00.

* Sign up to Fin24's top news in your inbox: SUBSCRIBE TO FIN24 NEWSLETTER


ZAR/USD
17.39
(+0.27)
ZAR/GBP
22.74
(+0.11)
ZAR/EUR
20.56
(+0.13)
ZAR/AUD
12.45
(+0.39)
ZAR/JPY
0.16
(+0.41)
Gold
1961.18
(+2.07)
Silver
27.32
(+6.62)
Platinum
965.00
(+3.86)
Brent Crude
45.32
(+2.09)
Palladium
2181.00
(+2.74)
All Share
57419.46
(+0.00)
Top 40
53082.08
(-0.08)
Financial 15
10227.06
(+0.86)
Industrial 25
75743.15
(-0.61)
Resource 10
59161.88
(+0.29)
All JSE data delayed by at least 15 minutes morningstar logo
Company Snapshot
Voting Booth
Do you think it was a good idea for the government to approach the IMF for a $4.3 billion loan to fight Covid-19?
Please select an option Oops! Something went wrong, please try again later.
Results
Yes. We need the money.
11% - 987 votes
It depends on how the funds are used.
74% - 6563 votes
No. We should have gotten the loan elsewhere.
15% - 1372 votes
Vote